The Circuit Systems Company, which was located in Midtown, was engaged in the manufacturing of computer components. These components, though more or less or a standard type, were manufactured to order as in a job shop. The Company had operated a pilot plant while waiting for the completion or their new manufacturing facility to be located on the outskirts of the city. Upon completion of the new building early in 1959, the manufacturing operation was moved from the pilot plant to the new building. | Upon completion of the move to the new quarters, the various divisions of manufacturing were determined and a wage incentive plan was inaugurated. This wage incentive plan was a group piecework system. | A group piecework system was used because it was considered by the company to be more fair. There were a number of jobs performed by each of the various work groups. Some jobs were more repetitive than others which meant that such jobs had a greater earning power than those jobs that were less frequent or repetitive. with an incentive wage program on individual earnings, some members of the various groups would have been able to earn considerably more than others. The Company felt that the use of group incentives reduced this advantage of one member over another. The rates for the various jobs were determined in a number of ways, namely, stop watch studies, elemental tine standards or predetermined time standards based on previous experience on like work.
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