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Management article
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Reference no. 93101
Published by: Harvard Business Publishing
Published in: "Harvard Business Review", 1993

Abstract

Western manufacturers have long believed that standardized work in a hierarchical environment alienates employees, poisons labor relations, stifles initiative, and lowers quality. This belief sets up Frederick W. Taylor''s time-and-motion studies as the enemy of manufacturing innovation and excellence. NUMMI, the joint-venture auto assembly plant set up by General Motors and Toyota in 1984, shows that hierarchy and standardization motivate workers and increase job satisfaction. NUMMI has a no-layoff policy and its production system is strongly committed to the social context in which work is performed. Workers rather than engineers analyze jobs, design more efficient procedures, and create a consensus for new standards. Reduced variability in task performance increases safety, quality, productivity, and flexibility, and gives continuous improvement a base. Workers interact with the system by refining it.

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Abstract

Western manufacturers have long believed that standardized work in a hierarchical environment alienates employees, poisons labor relations, stifles initiative, and lowers quality. This belief sets up Frederick W. Taylor''s time-and-motion studies as the enemy of manufacturing innovation and excellence. NUMMI, the joint-venture auto assembly plant set up by General Motors and Toyota in 1984, shows that hierarchy and standardization motivate workers and increase job satisfaction. NUMMI has a no-layoff policy and its production system is strongly committed to the social context in which work is performed. Workers rather than engineers analyze jobs, design more efficient procedures, and create a consensus for new standards. Reduced variability in task performance increases safety, quality, productivity, and flexibility, and gives continuous improvement a base. Workers interact with the system by refining it.

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