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Western Electric Company

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Principles of Management

Definition

The Western Electric Company was a major American electrical engineering and manufacturing company that played a significant role in the development of the Human Relations Movement in the early 20th century. As a subsidiary of American Telephone & Telegraph (AT&T), Western Electric was responsible for the manufacture and distribution of telecommunications equipment, including telephones, switchboards, and other related technologies.

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5 Must Know Facts For Your Next Test

  1. The Hawthorne Studies conducted by Western Electric researchers in the 1920s and 1930s challenged the prevailing scientific management approach and laid the foundation for the Human Relations Movement.
  2. The Hawthorne Studies found that factors such as employee morale, social interactions, and working conditions had a significant impact on productivity, contrary to the belief that productivity was solely determined by physical working conditions.
  3. Elton Mayo, a prominent Australian psychologist and sociologist, led the Hawthorne Studies and is considered a key figure in the development of the Human Relations Movement.
  4. The Human Relations Movement emphasized the importance of understanding and addressing the social and psychological needs of employees, rather than solely focusing on maximizing efficiency through scientific management techniques.
  5. Western Electric's role in the Hawthorne Studies and the subsequent development of the Human Relations Movement highlighted the company's influence in shaping management practices and organizational behavior in the early 20th century.

Review Questions

  • Describe the key findings of the Hawthorne Studies conducted by the Western Electric Company.
    • The Hawthorne Studies, conducted by researchers at the Western Electric Company in the 1920s and 1930s, challenged the prevailing scientific management approach by finding that factors such as employee morale, social interactions, and working conditions had a significant impact on productivity. The studies revealed that the social and psychological needs of employees were just as important as physical working conditions in determining workplace productivity, laying the foundation for the Human Relations Movement.
  • Explain the role of Elton Mayo and the Western Electric Company in the development of the Human Relations Movement.
    • Elton Mayo, a prominent Australian psychologist and sociologist, led the Hawthorne Studies at the Western Electric Company's Hawthorne Works plant. The findings of these studies, which highlighted the importance of human factors in workplace productivity, were instrumental in the development of the Human Relations Movement. As a subsidiary of AT&T, Western Electric's role in conducting and disseminating the Hawthorne Studies significantly influenced the shift in management thinking from a purely scientific approach to one that recognized the social and psychological needs of employees.
  • Analyze the long-term impact of the Western Electric Company's involvement in the Hawthorne Studies and the Human Relations Movement on management practices and organizational behavior.
    • The Western Electric Company's involvement in the Hawthorne Studies and the subsequent development of the Human Relations Movement had a lasting impact on management practices and organizational behavior. By challenging the prevailing scientific management approach and emphasizing the importance of human factors, the Hawthorne Studies and the work of Elton Mayo helped to reshape the field of management, leading to a greater focus on employee motivation, job satisfaction, and social dynamics within the workplace. This shift in management thinking has continued to influence organizational behavior, with modern management practices placing a greater emphasis on employee engagement, work-life balance, and the creation of positive work environments that cater to the needs of the workforce.

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