Final answer:
Elton Mayo's Hawthorne studies found that productivity increased when workers' needs were met and they knew they were being observed, leading to the concept of the Hawthorne effect.
Step-by-step explanation:
According to Elton Mayo's Hawthorne studies, treating people well and meeting their needs often resulted in increased productivity and better job performance. These studies were a pivotal step in understanding the importance of human relations and psychological factors in the workplace. The term Hawthorne effect emerged from these studies, describing how individuals change their behavior due to the awareness that they are being observed. This creates a situation where the mere act of being observed boosts worker productivity, regardless of other changes such as improvements or deteriorations in working conditions.