CBSE Class 12 Business Studies 2015 Delhi set 2

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Explain the following techniques of scientific management:
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Question : 6
Total: 7
Differential piece wage system; and
Solution:  
Differential piece wage system: Under this technique, wages are decided according to a set standard. The workers who perform better than the set standards get higher wages than the workers who perform below the standards. Taylor introduced this system to differentiate the efficient workers form the inefficient ones and reward them accordingly. For example, suppose the standard output of per worker per day is determined as 50 units. So, it was decided that those workers who made more than or equal to the standard will get 30 per unit and those who made less than the standard will get 25 per unit. In this way a difference is made between efficient and inefficient workers.
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