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Fordism and scientific managem
FORDISM, SCIENTIFIC MANAGEMENT AND THE LESSONS FOR CONTEMPORARY ORGANISATIONS
Fordism and Scientific Management are terms used to describe management that had application to practical situations with extremely dramatic effects. Fordism takes its name from the mass production units of Henry Ford, and is identified by an involved technical division of labour within companies and their production units. Other characteristics of Fordism include strong hierarchical control, with workers in a production line often restricted to the one single task, usually specialised and unskilled. Scientific management, on the other hand, “originated” through Fredrick Winslow Taylor in 1911, and in very basic terms described the one best way work could be done and that the best way to improve output was to improve the techniques or methods used by the workers. (Robbins p.38)
Many comparisons can be made between the two theories, such as the mechanisation, fragmentation and specialisation of work and that a lack of intellectual or skilled content will speed up the work at hand. Fordism's mechanisation of mass production further emphasised many of Taylor’s popular beliefs about management being divorced from human affairs and emotions, using ‘humans as instruments or machines to be manipulated by their leaders’ (Hersey p.84). Fordism fused and emphasised the scientific methods to get things done by Ford’s successful mass-production processes. Contrasts also exist between the two theories. Fordism dehumanisied the worker whereas scientific management convinced the workers that their goals could be readily achieved along with their employers goals, therefore they should all work together in this direction. Fordism suited industrial companies participating in mass production, whereas Scientific Management could be used in many types of organisation. Large companies such as Ford Motors, The Reichskuratorium fur Wirtschaftkichkeit (RKW) in Germany examples these theories in practice. These theories of the past are lessons for the way modern organisations are run today. Managers now realise that they should treat their workers more democratically and since the mid-70’s, sweeping changes in markets and technology have encouraged managers and manufacturers to use greater product diversity and more flexible methods of production. Movements towards a more flexible organisation have become apparent. Examples of orgainisations such as Nissan, NASA and Toyota serve as modern day examples of post-Fordism and depict movement towards a modified Scientific Management.
Comparisons that can be made include Fordism's mechanisation of mass production and Taylor’s attempts at using employees as machines. Taylor designed this using his principles of management that included developing a science for each element of work and finding the quickest way the job could be done. Henry Ford’s ideal types of Fordist production system included using fixed and dedicated machines in individuals work, rather than turning the employee into a machine. (Hollinshead 1995)
With Taylor attempting to prove to the world that there was a science to management and that the quickest way was the best way, he attacked the incompetence of managers for their inefficiencies in running the railroads and factories. Using time and motion studies, Taylor achieved productivity increases of up to 200 per cent. (Dunphy, 1998, p.4). His thoughts were echoed by others: during a 1910 Interstate Commerce Commission hearing, Louis D. Brandeis argued that US railroads could save a million dollars a day if they introduced scientific management into their operations (Oakes, 1996). Taylor showed the world that the methodical and scientific study of work could lead to improved efficiency. He believed that by defining clear guidelines for workers many improvements could be made to the production of goods. Fordism like Scientific Management in the newly mechanised industries of the early 20th century emphasised that efficiency came from precision in job design, clear division of responsibilities and tight policing of implementation (Taylor, 1911). Taylorism and Fordism were consistent with notions of the organisation as “ a ‘military machine’ first developed by Frederick the Great of Prussia, and later refined by Henri Fayol”. (Taplin, 1995, p.430)
Scientific Management encouraged firms to improve efficiency by analysing individual processes of industrial production and then recreating them to produce maximum output from any given size labor force. (Hudson, 1997) Ford's production-line innovations compounded scientific management’s efficiencies into the economy. Taylor believed it would be best to scientifically select, train, teach and develop ... more
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Advertising and promotion campaigns of coca-cola in the euro
Advertising & Promotion Campaigns of Coca-Cola in the European Union
Executive Summary 1
Coca-Cola, which was named Beverage Industry's 1999 Company of the Year, has embraced a decentralized operating philosophy, recognizing that each market in which they operate has "different demands which must be met in unique ways"1. Coca-Cola Enterprises (The European bottler for Coke) CEO Henry Schimberg has stated that although they have well-defined general policies, much of the responsibility to succeed and make decisions has to come from each local market, not headquarters in Atlanta.2
While it may seem that firms have to choose between the extremes of a global vs. customized approach, in practice the method used is often a combination of both, "blending uniformity with individual area differences".3 Coca-Cola, for instance, has previously had a successful international soccer-star campaign which featured the same common theme, but with a different celebrity athlete for each targeted country. Such pan-European advertising is becoming increasingly popular and common. 4 This strategy has built a strong global brand awareness not only in Europe but throughout the world. Based on this strong brand awareness, Coca-Cola tailors each ad to a specific country to achieve global sales success through local penetration.
EU Promotional Campaigns 2
Coca-Cola uses a multitude of promotional vehicles to attract new coke drinkers and retain current ones. One of the strongest promotional venues has been through television and sporting events (mainly soccer) but in the nineties the internet is strongly becoming a popular means to increase promotions.
Coke takes a global approach to its sports promotion. In 1997 they established managers for each of the different sports that Coke sponsors worldwide.5 This global coordination effort helps to oversee major marketing campaigns, however it also still allows unique advertising techniques and messages to be conveyed in each country.
Recently, Coca-Cola has hired the services of TeleVest, a New York media agency specialized in purchasing television airtime, to select and locate TV series to purchase or sponsor in order to more effectively reach European television viewers. By purchasing programs, Coca-Cola will be able to license them to various markets with contracts stipulating that Coca-Cola receive a certain amount of free ad-time spread across other shows on the station. This strategy seems attractive especially as most international markets have national networks (such as TF1, A2, or FR3 in France) but no local stations. 6
As expected, Coca-Cola has not just a European website, but several websites for certain countries in the EC; the countries offering such sites are France, Belgium, Denmark, Spain, Germany, and Norway. Upon examining these various sites, we concluded that they are another example of Coca-Cola's decentralized marketing campaign. Each country's management team has the freedom to market itself the way they want, as long as certain guidelines are followed. In France, the site (www.coca-cola.fr) is presented as a web-zine, offering the latest in music and sports-related news, obviously targeting a young public; In Spain, the site (www.siempre-on.com) offers coupons which you can print out at home, indicating that Coca-Cola reaches a price conscious audience. Denmark's site (www.coca-cola.dk) is primarily a contest site currently featuring trips to Australia. Thus, Coca-Cola customizes its web campaign for each country in order to more effectively tap into people's feelings, integrating any culturally relevant issues or preferences into the sites' presentation.
Specific Promotional Activities
The following are specific promotional activities that are currently being done in the various countries in the European Union.
Telefonica Interactiva entered into a promotional arrangement with Coca-Cola Espana aimed at boosting Teleline's user base. Telefonica Interactiva, Internet subsidiary of Telefonica, has entered into a promotional arrangement with Coca-Cola Espana aimed at boosting Teleline's user base. Under the deal, people who buy 20 half-litre Coca-Cola bottles will receive a year's Internet access for only Pta4k Vs Pta13k/y on average at present. 7
Coca-Cola launched "Dress-up with Coca-Cola Light" promotion in Spain in co-operation with clothing retailer Cortefiel. A consumer who buys the soft drink at a bar can have a special card marked by the waiter, building up points giving discounts of up to 20% at outlets of Cortefiel's Springfield and Women's Secret chains. The promotion ... more
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