Efficiency Methods
An Introduction to Scientific Management

140 EFFICIENCY METHODS would be a sign of want of success in the manage- ment. Mr. Gantt’s Task and Bonus system secures a day-rate of wages to all who do not complete the standard task ; and gives a sudden rise, the bonus, as soon as they do. The bonus increases in pro- portion as the amount of work surpasses the stan- dard. It is calculated in a rather complicated way as percentage on time saved, but works out prac- tically like a straight piece-rate, though one which there is no intention of cutting. We have still the sudden rise, which may seem very unfair to a man who is just not able to complete the standard task; but, as we saw in the last chapter, much depends on how difficult the standard is made. Also it seems to be quite customary in many works to begin paying a small bonus when the standard amount is nearly accomplished, be- ginning when 90 per cent, or even 80 per cent, of it has been achieved. Mr. Emerson’s system is based on an efficiency computation1 instead of on a standard task, and can be readily used when the computation has to be on some other basis than output. His 100 per cent, efficiency corresponds to the standard task; and he fixes this generally as about half the result of his best ma.n s exertions ,* i.e., his “ percentage allowance,” as discussed in pp. 107-112, is about 50. The bonus paid in addition to the time-wage begins at two-thirds efficiency—67 per cent. It 1 See p. 13, ante.