Implementing the Taylorism Theory to Uber Paper Example

Introduction to Organization and Definition of Problem

Uber has experienced a steady stream of negative publicity and scandals in recent years. There have been claims of sexual harassment, a technology lawsuit, leaks concerning the conduct of executives, and controversial spy programs among other issues. Uber was involved in negative publicity in 2017 when it attempted to recruit more drivers than its primary competitor, Lyft, using dubious means. The company made false statements between 2013 and 2015 to recruit more drivers and stay ahead of the competition. Uber was forced to pay $20 million over allegations that it had duped drivers into registering for its ride-hailing services (The Guardian, 2017). Uber used false promises to lure the drivers by inflating the money they would earn while minimizing the amount needed for financing a car. According to the Federal Trade Commission, most American drivers earned far less than Uber had advertised in 18 major American cities. Regulators also found that drivers ended up paying substantially higher amounts than what the company had claimed earlier.

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Taylorism Theory

There was no management theory before the 1900s. The idea that the work process could be studied and improved did not exist before the time of Fredrick Winslow Taylor. He came up with the concept of scientific management by using techniques such as analysis, synthesis, logic, rationality, and observation in developing the most efficient way of working (Lumen learning, n.d.).

After the Industrial Revolution, the relationship between factory owners and managers became distant, and the workers on the factory floor did just enough work to avoid getting fired (Lumen learning, n.d.). There was no incentive to work harder than the next person, or efficiently since there was no standardization. Taylor believed that money was a powerful incentive to motivate people to work hard, and he suggested that workers should be paid according to their productivity in the workplace. Those who worked more deserved to get paid more than others and vice versa. Those who did not meet the new working standards were fired. Taylor then suggested that managers and workers should have a close relationship with the former handling the planning while the employees execute.

In his Principles of Scientific Management, he suggested that the optimization and simplification of jobs would lead to increased productivity (Lumen learning, n.d.). He also called for the matching and training of workers to excel at performing particular jobs that suited their skill levels. Taylor used time and motion studies to break down complex jobs into parts, and each part was timed to determine the most efficient working method. After learning from the experiments, Taylor condensed his ideas into four critical principles of scientific management (Lumen learning, n.d.):

• He replaced the conventional ways and opted for using scientific ways to determine the most efficient ways of performing specific tasks.
• Matching workers to a certain job rather than assigning anybody.
• Monitoring worker performance, and providing supervision to ensure they are operating at maximum efficiency
• Leaving the planning and training to the managers while workers handle the actual work.

Application

The Taylorism theory can be used in solving problems such as employee motivation. When some workers are paid more than others, based on their high performance, it motivates them to keep working to maintain that status. Other employees also have an incentive to be productive since they can also achieve the same as their well-off colleagues. The cumulative effect of paying people according to work done is that it will inspire everybody to increase their productivity. Paying substantial amounts to the high performing drivers will encourage new drivers to register with Uber to offer their taxi services to the people.

The theory can also be used in improving financial performance since it increases efficiency in operations. It looks for the most efficient way of performing a task to maximize the output while minimizing wastage. When a company does not waste resources, its financial performance improves. One of the principles stands for monitoring the workers to ensure they are operating as efficiently as possible. Uber ought to keep studying routes, software, and anything else that can help to improve the travelling experience for the passengers and drivers.

The Taylorism theory can also help the organizational structure to work efficiently. One of its principles specifies that the planning and training activities should be conducted by the managers while the employees do the actual work (Lumen learning, n.d.). This functional structure can help in ensuring there is a proper division of labor and specialization at work. Uber can ensure that drivers only have to worry about getting the passenger to their destination. The company should handle aspects such as mapping out the fastest routes, setting performance standards, and providing the necessary oversight among others.

The theory can also help in the issues encountered by Uber in 2017. The drivers are like the employees in the company, and hence Uber should have used scientific management tactics. The theory could have considered looking for the most efficient way to get new drivers to register with the company. It was unethical and inefficient to use figures that the company knew it was not going to honor, to lure the drivers. The managers should have broken down the process into small parts to see how best they could approach the drivers, and convince them to join Uber instead of the competition. Using the theory could have guided the managers to do thorough research on the drivers to know what they wanted, and use that information to come up with excellent matches.

Problems of Implementing the Theory

Some problems exist in implementing the Taylorism theory. It could lead to low employee morale in some cases. The theory states that people should be paid according to their contribution and hence those who work primarily for money are satisfied. Employees who are after self-actualization will feel underutilized since Taylor did not encourage the creativity of the worker. Breaking down the work into smaller units dehumanizes it and reduces satisfaction since people operate like machines (The Economist, 2015). Modern organizations prioritize other factors such as loyalty and employee engagement alongside efficiency. Therefore, the notion that money is the only motivator, and that employees should not think, but just work, makes Taylor's theory outdated, impractical, and challenging to implement.

References

Lumen Learning., n.d. Scientific Management. [online] viewed 13 November. 2018, <https://courses.lumenlearning.com/wm-principlesofmanagement/chapter/scientific-management/>

The Economist., 2015. Digital Taylorism. [online] viewed 13 November. 2018, <https://www.economist.com/business/2015/09/10/digital-taylorism>

The Guardian., 2017. Uber to Pay $20m Over Claims it Misled Drivers Over How Much They Would Earn. [online] viewed 13 November. 2018, <https://www.theguardian.com/technology/2017/jan/19/uber-settlement-ftc-driver-earnings-car-leases>