Division of labour
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Types of division of labour
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the ans is Different laboures is perform different parts of production on the basis of their specialisation. ... Thus, division of labour means that the main process of production is split up into many simple parts and each part is taken up by different workers who are specialised in the production of that specific part.
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The modern age is the age of large-scale industries and businesses. Though the bigger is not always the better and bigger does not always become the biggest, trend towards the bigger — the larger — is much too pronounced.
As a matter of fact, if small-scale enterprises had retained the fields of industry and commerce, single ownership firms, partnership firms and cooperative societies would have been the main forms of business organisation — not joint stock companies and State enterprises. In that case, joint stock companies and State management would not have come into prominence.
Definitions of Division of Labour:
(1) In the words of Prof. Watson – “Production by Division of Labour consists in splitting up the productive process into its component parts, concentrating specialised factor on each sub-division and combining their output into particular forms of consumption output required.”
ADVERTISEMENTS:
(2) According to Hanson – “Division of Labour means specialisation of process.”
(3) According to Chapman – “The specialisation of works is called Division of Labour.”
Essential Conditions or Pre-Requisites of Division of Labour:
Complete success of division of labour depends on the following factors:
(1) Wide Market:
It is the opinion of the economists that Division of Labour will function well and its success depends on wide market. If there will be small market Division of Labour will not develop much. Division of Labour is mostly found in big factories, where commodities are produced on a large scale only then it will be possible to split up the job into different processes and to assign process to a different set of workers.
(2) Large Scale Production:
For the complete success of Division of Labour the goods must be produced on large scale. When there is large scale production more labourers will be employed and then Division of Labour will be possible in a nice way.
(3) The Quantity of Capital Available:
Sufficient capital is needed for a successful and better Division of Labour. Shortage of capital and money not available on time may help the company not to go for Division of Labour.
(4) Nature of Demand:
Some industries are of such nature that it is not possible to split up the work into distinct and separate processes. Here also the scope of Division of Labour is limited. Possibility of splitting up production is essential for Division of Labour.
(5) Organising Ability:
Division of Labour involves the employment of a large number of workers in one factory. To handle them properly and to assign to each worker a suitable job requires judgment of human nature of a high order. Hence, the entrepreneur must have the necessary ability to organise production on a large scale.
(6) Spirit of Co-operation:
If the workers are not co-operative. They are quarrelsome and cannot work together amicably, Division of Labour is out of question. There must be a spirit of co-operation, a spirit of compromise and a team spirit should exist. Without the spirit of give and take, Division of Labour cannot be introduced.
(7) Laws of Increasing Returns:
Where the law of increasing returns prevails, the possibilities of Division of Labour are greater, because production will be on a large scale.
(8) Availability of More Labour and Capital:
Division of Labour implies large scale production. Large number of workers is needed. Further Division of Labour and use of machinery go together, large amounts will have to be spent on machinery. If the required number of labour and capital are not forthcoming, Division of Labour cannot be extended and cannot be possible to the required extent.
(9) There should be Development of Means of Transport and Communication:
For the success of Division of Labour means of transport and communication must be developed. If there is development of means of transport raw-materials can be easily available and finished goods can be sent outside for sale.
As a matter of fact, if small-scale enterprises had retained the fields of industry and commerce, single ownership firms, partnership firms and cooperative societies would have been the main forms of business organisation — not joint stock companies and State enterprises. In that case, joint stock companies and State management would not have come into prominence.
Definitions of Division of Labour:
(1) In the words of Prof. Watson – “Production by Division of Labour consists in splitting up the productive process into its component parts, concentrating specialised factor on each sub-division and combining their output into particular forms of consumption output required.”
ADVERTISEMENTS:
(2) According to Hanson – “Division of Labour means specialisation of process.”
(3) According to Chapman – “The specialisation of works is called Division of Labour.”
Essential Conditions or Pre-Requisites of Division of Labour:
Complete success of division of labour depends on the following factors:
(1) Wide Market:
It is the opinion of the economists that Division of Labour will function well and its success depends on wide market. If there will be small market Division of Labour will not develop much. Division of Labour is mostly found in big factories, where commodities are produced on a large scale only then it will be possible to split up the job into different processes and to assign process to a different set of workers.
(2) Large Scale Production:
For the complete success of Division of Labour the goods must be produced on large scale. When there is large scale production more labourers will be employed and then Division of Labour will be possible in a nice way.
(3) The Quantity of Capital Available:
Sufficient capital is needed for a successful and better Division of Labour. Shortage of capital and money not available on time may help the company not to go for Division of Labour.
(4) Nature of Demand:
Some industries are of such nature that it is not possible to split up the work into distinct and separate processes. Here also the scope of Division of Labour is limited. Possibility of splitting up production is essential for Division of Labour.
(5) Organising Ability:
Division of Labour involves the employment of a large number of workers in one factory. To handle them properly and to assign to each worker a suitable job requires judgment of human nature of a high order. Hence, the entrepreneur must have the necessary ability to organise production on a large scale.
(6) Spirit of Co-operation:
If the workers are not co-operative. They are quarrelsome and cannot work together amicably, Division of Labour is out of question. There must be a spirit of co-operation, a spirit of compromise and a team spirit should exist. Without the spirit of give and take, Division of Labour cannot be introduced.
(7) Laws of Increasing Returns:
Where the law of increasing returns prevails, the possibilities of Division of Labour are greater, because production will be on a large scale.
(8) Availability of More Labour and Capital:
Division of Labour implies large scale production. Large number of workers is needed. Further Division of Labour and use of machinery go together, large amounts will have to be spent on machinery. If the required number of labour and capital are not forthcoming, Division of Labour cannot be extended and cannot be possible to the required extent.
(9) There should be Development of Means of Transport and Communication:
For the success of Division of Labour means of transport and communication must be developed. If there is development of means of transport raw-materials can be easily available and finished goods can be sent outside for sale.
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