Taylor's viewpoint is reflected in the use of piece-rates in manufacturing industries and sales bonuses amongst sales forces. A problem that project leaders must be aware of is that piece-rates often cause difficulties if a new system is going to change work practices. If new technology is going to improve productiv ity, the question of adjusting piece-rates dow nwards to reflect this will be a sensitive issue.
Piece-rates are where workers are paid a fixed sum for each item they produce. Day-rates refer to payment for time worked.
Usually, radical changes in work practices have to be preceded by a move from piece-rates to day-rates.
Group norms are liven where work practices are stable and output can be easily related to reward, discussed further under people paid by the amount they produce will not automatically maximize their group decision making. output in order to maximize their income. The amount of output will often by constrained by 'group norms', informal, even unspoken, agreements among colleagues about the amount to be produced.
Rewards have to be related in a simple and direct way to the work produced. Where a computer system is being produced, this is not easy. It is difficult to Quoted by Wanda J. isolate and quantify work done, especially as system development and support is
Orlfcowski in Evolving with very much a team effort. Typical is the sentiment expressed by one member of staff Notes: Organizational in a study of software support work practices:
change around groupware 4This support deportment does well because we're a team. not because we're technology' in Groupware all individuals. I think it's the only way the support team can work successfully/ & Teamwork. edited by In this kind of environment, a reward system that makes excessive distinctions
Claudio U. Ciborra. Wiley between co-workers can be damaging to morale and eventually to productivity, and Sons. 1996.
Exercise 11.2 A software development department wants to improve productivity by encourag ing the re-use of existing software components. It has been suggested that this could be encouraged through financial rewards. To what extent do you think this could be done?
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What you need to know about… Project Management Made Easy! Project management consists of more than just a large building project and can encompass small projects as well. No matter what the size of your project, you need to have some sort of project management. How you manage your project has everything to do with its outcome.