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Galt Contracting Essay

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Below is an essay on "Galt Contracting" from Anti Essays, your source for research papers, essays, and term paper examples.

The solution presented by Santosh as a remedy for the Galt Consulting challenges might sound like a fantastic one. However, it does not provide a viable solution to the existing problem.   Rather, it is going to introduce more confusion and problems into the system. To begin with, Santosh rightly identified that a flat rate removes the motivation to plant more trees. The important thing to consider here is, if workers are not motivated to work or there is no competition amongst workers to achieve a higher productivity level, the workers will not take their duties serious. Workers would rather work slowly, take a lot of breaks, hang around and gist, since they know they will get paid an agreed amount at the end of the day notwithstanding the number of trees planted. It will also breed feud amongst workers because some will feel unjustly treated if they put in so much and are paid the same amount as someone who did little. This will result to low standard of work.
Secondly, setting a limit for planting trees per day; I don't see how that is going to help the system or provide a solution. If you set a limit, the workers can do the work quickly to achieve the set limit and then spend the rest of the day for the personal purpose. Which means they will cheat the process. Also there is a confusion with setting a limit under a flat rate system. If the worker did not achieve the limit how will the system handle that? Because it is meant to be a flat rate, meaning equal pay for all workers at the end of the day. So setting limit will in no way improve or solve the existing problem.

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