This is the fifth weekly blog in the series, “10 Weeks to Supreme Productivity.” Today, I will discuss a little gem called “the Hawthorne effect.” This is a beautiful, yet simple ‘law” that has wide applicability. I once used the Hawthorne effect as the key component in turning around one failing company. It is one of the most powerful concepts ever found in increasing organizational efficiency and productivity. It is another reason why goal-setting works. And, it’s free. Simply stated, the Hawthorne effect asserts: “what is measured is important, and what is important is acted upon.”

Week #5 Tip: Understand the Hawthorne Effect

The Hawthorne effect was coined as a result of a study by Elton Mayo from 1927-1932 at the Hawthorne Western Electric plant. In that study, Mayo and his colleagues conducted a study to show that increased lighting would increase worker productivity in the plant. (I wonder why an electric company would want to prove that?) In the test, one group, the control group, continued to operate with its normal level of lighting. The second group, the test group, was given increased lighting in the production facility. The result: there was a significant increase in the test group’s productivity with the additional lighting. But surprisingly, the control group’s productivity also significantly increased, although there was no change in lighting for that group. Mayo’s findings gave rise to a theory called the Hawthorne effect, which suggests that if you highlight some area for improvement, and then measure it over time, improvement will occur even if no other significant changes to the work environment are presented.

So how can this principle be applied? If you tell your salespeople that their customers will be surveyed at the end of the month to determine the level of service, what will automatically happen to the level of customer service that month? It will improve, of course. What if you tell your crew that phones must be answered by the third ring (so customers don’t hang up and call the next competitor in the phone book) and that you will count the number of times that week that the phone rings more than three times? Likely, that phone will never go beyond the third ring. I used a simple whiteboard (which cost me $35.00) to prominently display plant productivity results in a company lunchroom. The production in the plant doubled over a four year period, with the same equipment and the same number of personnel. (I got a great return on investment on my $35.00.) And when I began posting that particular plant’s downtime compared to previous periods, the downtime also diminished significantly.

The Hawthorne effect is a valuable tool for all managers at all levels. It works at home, too. You will be amazed at how simple it is to apply the Hawthorne effect, and even more amazed at the results this simple principle will bring you!

So tip #5 is to understand the Hawthorne effect: if you want improvement in any area, simply advise your employees that you will be measuring their performance in that area, and prominently display and regularly update the results.

Next Week: “Apply the 80/20 Rule.”