Psychology of management

First Principle:
a worker is wise enough to be able to increase the output and labor 
quality on his/her own. In other words, this principle emphasizes that a worker is not silly. 
Japanese managers believe that workers are people endowed with capabilities who can put 

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forward proposals as to improvement of output and labor quality. Managers think than workers 
have certain professional training not only for performing specific job, but also for improvement 
of separate operations. At a Japanese factory, any innovation starts with collecting workers’ 
opinions on technological and organizational innovations. Japanese suppose that any, even the 
most experienced engineer knows less about a technological process than the worker who does it 
on the shop-floor. That is why Japanese managers don’t feel ashamed to ask their subordinates 
for advice. 
Japanese scientists have developed three administrative methods helping to bring this 
principle into life: 
1. Quality circles where workers put forward their innovative propositions. These circles 
consist of eight people and one elder and gather once a month in order to develop a program on 
working efficiency improvement. The circle members are taught theory and practice of 
management, solving of problematic situations which lead to lower working efficiency. 
2. The practice of stimulating every worker to improve their professional skills and 
abilities. Most of young workers study at specialized evening courses, and also adopt their older 
colleagues’ experience. Work skills are also passed by means of observation and copying. 
3. The practice of 
transferring workers
from one working place to another. Not a single 
company employee remains at the same place of work till retirement. (S)he improves 
qualifications, changes specialization, moves up the service stairs, and gets a bigger salary 
accordingly because (s)he gets more experience, improves his/her abilities, and brings more 
benefit to the company.