6351 Wk 4 Chapter 10, 11, and 12

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Organization Development & Change 11 edition Thomas G. Cummings • Christopher G. Worley

CHAPTER

12

Employee Involvement

©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Learning Objectives

Define the principles of employee involvement and describe its relationship to performance.

Compare three employee involvement interventions: parallel structures, total quality management, and high-involvement organizations.

©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Overview of Employee Involvement

Employee involvement seeks to increase members’ input into decisions that affect organization performance and employee well-being.

Employee involvement (EI) is the broad term for diverse approaches to gain greater participation in relevant workplace decisions.

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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Definition of Employee Involvement

Power

Extent to which influence and authority are pushed down into the organization

Information

Extent to which relevant information is shared with members

Knowledge and Skills

Extent to which members have relevant skills and knowledge and opportunities to gain them

Rewards

Extent to which opportunities for internal and external rewards are tied to effectiveness

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How EI Affects Productivity

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Secondary Effects of EI on Productivity

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Employee Involvement Interventions

Application Power Information Knowledge/Skill Rewards
Parallel Structures (e.g., Employee Resource Groups, Union-Management Cooperation) Low Moderate Moderate Low
Total Quality Management (e.g., continuous improvement, six sigma High High High High
High Involvement Organizations High High High High

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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Parallel Structures Application Stages

Define the parallel structure’s purpose and scope

Form a steering committee

Communicate with organization members

Form employee problem-solving groups

Address the problems and issues

Implement and evaluate the changes

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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Total Quality Management

Comprehensive approach to Employee Involvement

Increases workers’ knowledge and skills through extensive training, provides relevant information to employees, pushes decision-making power downward in the organization, and ties rewards to performance.

Known as “Business Excellence”, “Continuous Process Improvement”, “Continuous Quality”, “Lean”, and “Six Sigma”

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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Deming’s Quality Guidelines

Create a constancy of purpose

Adopt a new philosophy

End lowest cost purchasing practices

Institute leadership

Eliminate empty slogans

Eliminate numerical quotas

Institute on-the-job training

Retrain vigorously

Drive out fear

Break down barriers between departments

Take action to accomplish transformation

Improve processes constantly and forever

Cease dependence on mass inspection

Remove barriers to pride in workmanship

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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Deming’s Seven Deadly Sins

Lack of constancy of purpose

Emphasizing short-term profits and immediate dividends

Evaluation of performance, merit rating, or annual review

Mobility of top management

Running a company only on visible figures

Excessive medical costs

Excessive costs of warranty

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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

TQM Application Stages

Gain long-term senior management commitment

Train members in quality methods

Start quality improvement projects

Measure progress

Reward accomplishment

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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

High-Involvement Organizations

Flat, lean organization structures

Enriched work designs

Open information systems

Sophisticated selection and career systems

Extensive training programs

Advanced reward systems

Participatively designed personnel practices

Conducive physical layouts

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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

High-Involvement Application Factors

Guided by an explicit statement of values that are strongly held and widely shared by organization member.

Implementation process is participative with managers and employees taking active roles in choosing and implementing the design features.

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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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