Beside the
standardizing of tasks and the relating the wage to the fixed
standard, scientific management has made intensive experiments in
the scheduling of the various operations to be performed, which are
divided among the working force, so that no one operation is held up
awaiting the completion of another. It has shown in this connection
that work can be "routed" so that the time of workers is not lost. The
most successfully managed factories also plan their annual product
so that employment will be continuous. They have discovered that the
periods of unemployment seriously affect the personnel of a labor
force and they estimate that the turnover of the labor force which
requires the constant breaking in of new men is an item of serious
financial loss. The Ford Automobile Works at one time hired 50,000 men
in one year while not employing at any one time more than 14,000. They
estimated that the cost of breaking in a new man averaged $70.00. To
reduce this cost, they instituted profit sharing, as an incentive for
men to remain. Other factories have estimated the cost of replacing
men from $50.00 to $200.00. A rubber concern in Ohio has a labor
turnover of 150 per cent. In connection with the effort to reduce the
turnover in the labor force the management of well organized factories
takes great care to estimate a worker's value before employing him.
The policy of transferring a man from one department to another where
he is better suited yields evidently valuable results.
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