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Explain the Following Technique of Scientific Management: Differential Piece Wage System - Business Studies

Short Note

Explain the following technique of scientific management:
Differential piece wage system

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Solution

Differential Piece Wage System: Under this system, different wages are paid to efficient and inefficient employees. Employees who perform better are paid higher wages than employees who perform below the standard target. This motivates employees to become efficient and earn more. Taylor introduced this system to differentiate efficient workers from inefficient ones and reward them accordingly.

Concept: Techniques of Taylor’s Scientific Management
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