Hawthorne Studies in Management

Written By: Rana Asif Shahzad Ali

Professor George Elton Mayo (1880-1949) has secured fame as the leader in a series of experiments which became one of the great turning-points in management thinking. At the Hawthorne plant of Western Electric, he discovered that job satisfaction increased through employee participation in decisions rather than through short-term incentives.

Mayo's importance to management lies in the fact that he established evidence on the value of a management approach and style which, although not necessarily an alternative to F W Taylor's scientific management, presented facts which Taylorism could not ignore.

Key Takeaways: Hawthorne Effect

• The Hawthorne effect refers to the increase in performance of individuals who are noticed, watched, and paid attention to by researchers or supervisors.
• In 1958, Henry A. Landsberger coined the term ‘Hawthorne effect’ while evaluating a series of studies at a plant near Chicago, Western Electric’s Hawthorne Works.
• The novelty effect, demand characteristics and feedback on performance may explain what is widely perceived as the Hawthorne effect.
• Although the possible implications of the Hawthorne effect remain relevant in many contexts, recent research findings challenge many of the original conclusions concerning the phenomenon.

What Were the Hawthorne Studies?

In the late 1920s, managers at Hawthorne Works - a large manufacturer operating in Illinois - asked themselves this question: Are our employees more productive in a well-lit environment than they are in a poorly-lit environment? This was really the beginning of the quality revolution in American business, and questions that now seem simple to us now had to be answered.

What Did the Hawthorne Studies Discover?

To answer their question, managers at Hawthorne Works hired some consultants and commissioned a study. Their findings are probably what you would expect. Well-lit lighting increased productivity, as did a few other variables, such as having a clean workstation, allowing employees to build and work in teams, and having regular breaks. While these were the direct findings from the Hawthorne study, none of them were groundbreaking. But the researchers made another observation - one that led to an idea taught in nearly every business textbook used in the last 70 years.

The Hawthorne Effect

During the Hawthorne study, when researchers adjusted an independent variable, the variable that can be manipulated to measure its impact on another dependent variable, productivity changed. But, after a relatively short time, those productivity gains disappeared and output ended up drifting back to the previous level. The conclusion was that changes in the work environment could impact productivity, but those productivity gains are only short term. Like any good researcher would, those working with Hawthorne Works scratched their heads and asked why.

Their answer became known as the Hawthorne effect and is the same principle that leads most drivers to slow down when they see a cop. Like the speeder reacting when seeing a cop, the participants of the Hawthorne Works study changed their behavior because they were receiving attention, but once that attention was gone, they reverted to their 'normal' behavior.

Conclusions of Hawthorne Studies / Experiments

The conclusions derived from the Hawthorne Studies were as follows:

• ·         The social and psychological factors are responsible for workers' productivity and job satisfaction. Only good physical working conditions are not enough to increase productivity.
• ·         The informal relations among workers influence the workers' behavior and performance more than the formal relations in the organization.
• ·         Employees will perform better if they are allowed to participate in decision-making affecting their interests.
• ·         Employees will also work more efficiently, when they believe that the management is interested in their welfare.
• ·         When employees are treated with respect and dignity, their performance will improve.
• ·         Financial incentives alone cannot increase the performance. Social and Psychological needs must also be satisfied in order to increase productivity.
• ·         Good communication between the superiors and subordinates can improve the relations and the productivity of the subordinates.
• ·         Special attention and freedom to express their views will improve the performance of the workers.

Criticism of Hawthorne Studies / Experiments

The Hawthorne Experiments are mainly criticized on the following grounds:

• ·         Lacks Validity: The Hawthorne experiments were conducted under controlled situations. These findings will not work in real setting. The workers under observation knew about the experiments. Therefore, they may have improved their performance only for the experiments.
• ·         More Importance to Human Aspects: The Hawthorne experiments gives too much importance to human aspects. Human aspects alone cannot improve production. Production also depends on technological and other factors.
• ·         More Emphasis on Group Decision-making: The Hawthorne experiments placed too much emphasis on group decision-making. In real situation, individual decision-making cannot be totally neglected especially when quick decisions are required and there is no time to consult others.
• ·         Over Importance to Freedom of Workers: The Hawthorne experiments gives a lot of importance to freedom of the workers. It does not give importance to the constructive role of the supervisors. In reality too much of freedom to the workers can lower down their performance or productivity.