hrm: work process design – g. grote ethz, hs07 human resource management (hrm) what? …the...

HRM: Work Process Design – G. Grote ETHZ, HS07

Human Resource Management (HRM)

What?

… the functional area of an organization that is responsible for all aspects of hiring and supporting employees (e.g., providing and administering employee benefits).

… all the activities related to the recruitment, hiring, training, promotion, retention, separation, and support of employees.

… functions within a company that relate to people.

Why?

… is the effective use of human resources in order to enhance organisational performance.

… the process of evaluating human resource needs, finding people to fill those needs, and getting the best work from each employee by providing the right incentives and job environment, all with the goal of meeting the needs of the firm.

… applying human resources within complex systems such that people succeed, performance improves, and human error decreases.

(Source: web definitions for HRM)


Effects of HRM

• HRM-practices (especially job design and selection/ appraisal/training) better predict company performance than R&D, QM, strategy and technology (West, 2001)

• Empowerment better predicts company performance than technology-based management practices (Patterson et al., 2004)

• HRM-practices as cause and effect of company performance (Guest et al., 2003)


Road map for both HRM classes (Work process design, Leading teams)

MotivationSatisfaction

Performance

Personnel selection

Performance appraisal / Pay

Personnel development

Task /Work process


HRM: Work process design

Overview25.9. Introduction; Work and organizational perspective on HRM

2.10. Organization as socio-technical system; Management of uncertainty in organizations as basis for work process design

9.10. Methods for analyzing work processes

16.10. Tutorial Work process analysis - System level

23.10. Job design: Effects for motivation, competence development and health

30.10. Tutorial Work process analysis - Individual job level

6.11. Key factors in HRM: Motivation, satisfaction, performance

13.11. Assumptions about human nature as core of work process design

20.11. Approaches to work process design

27.11. Work process design embedded in organizational change

4.12. Guest speaker from industry

11.12. Disucsssion of student projects

18.12. Integration of different approaches in HRM: "fit task to human" & "fi t human to task"


Organization of course

• 3 ETCS points (approx. 75-90 work hours).

• Besides the lecture, the prerequisite for credits points and exam participation is the completion of a semester project in groups of 4 students.

• Topic of semester project: Analysis and assessment of job and organizational design in a company including a written report and feedback to the company.

• The exam is written (1.5 hours; open book) and takes place the 2./3. Week of January. Overall grade: 50% project & 50% exam.

• Material for the lecture at www.oat.ethz.ch.


Semester project• Assessment of job and organizational design in a company based

on two instruments– work system analysis (focus on work processes and handling of

disturbances in the processes)– job analysis (focus on criteria for humane work)

• Analyses involve 2-3 interviews with managers and employees and .5 - 1 day observation of work tasks and processes

• To be carried out in groups of four either in a company of your choice or in a company provided

• Please send an e-mail to Jacqueline Hohermuth by Sept. 30 ([email protected]) with the names and e-mail addresses of the four people in your group, indicating also if you want us to provide a company and whether you can conduct the analyses in English and/or German


Required reading Grote, G. (2004) Uncertainty management at the core of system design. Annual Reviews in Control, 28, 267-274. Landy, F.J. & Conte, J.M. (2006). Work in the 21st century (pp. 346-392). Boston: McGraw Hill. Le Blanc, P., de Jong, J. & Schaufeli, W. (2000). Job stress and health. In N. Chmiel (Ed.), Introduction to work and organizational psychology - A European perspective (pp. 148-177). Oxford: Blackwell. Lees, C.D. & Cordery, J.L. (2000). Job analysis and design. In N. Chmiel (Ed.), Introduction to work and organizational psychology - A European perspective (pp. 45-68). Oxford: Blackwell. Parker, S.K. & Wall, T.D. (2001). Work design: Learning from the past and mapping a new terrain. In Anderson, N., Ones, D.S., Sinangil, H.K. & Visweswaran, C. (Eds.). Handbook of Industrial, Work and Organizational Psychology, Vol. 1 (pp. 90-109). London: Sage. Schein, E. (1988). Organizational psychology (3rd ed.) (pp. 50-72 and 93-101). Englewood Cliffs, NJ: Prentice-Hall. Additional reading: Weick, K.E. & Quinn, R.E. (1999). Organizational change and development. Annual Review of Psychology, 50, 361-386.

Copies of the texts will be availabe during the lecture on Oct. 9 (CHF 10)


Psychology

• Describing, explaining, predicting and changing of human experience and behavior

Experience/Behavior

Perception CognitionProblem solvingEmotionsMotivationAction regulation

Situation

Physical and socialenvironment

Development,Learning

Person

Dispositions


Work and organizational psychology

Psychologically founded theories, methods and solutions for the effective and humane interaction between people, techologies and organization in order to reach individual and organizational goals

Areas Examples of topics

Analysis, assessment, and design of individual jobs and work systems

Job analysis and assessment Stress Job motivation/ saticfaction Individual and collective work design

Personnel selection and development

Individual assessment Career management Training

Individual and organization

Social processes and leadership Culture Organizational change

Design of technical systems Ergonomics Human-computer interaction Supervisory control


Methods: Psychology as natural and social science

• Methods in natural sciences– Experiment as core paradigm = controlled variation of

conditions in order to test their effects• Characteristics of social science research

– Control of complexity• Constraints on manipulation of study conditions• Studying "hypothetical constructs"• Limited possibilities for reduction of complexity

– Studies with humans• Effects through researcher / researched individual and social

embeddedness• Ethical principles

• Action research– Researchers and „researchees“ as subjects in a shared

process of social change


HRM from a work and organizational psychology perspective

• Scientific foundation for HRM tools • HRM as a function penetrating the whole organization• Focus on working conditions as influences on human

competence and motivation• Systematic linking of "fit human to task" and "fit task to

human"


Road map for HRM: Work Process Design


Performance

Task /Work process


Fundamentals of organizational design (Kieser & Kubicek, 1983)

• Specialization: Distribution of labor, resulting in different kinds of work tasks

• Coordination: management of dependencies among subtasks, resources, and people

• Configuration: Structure of line of command

• Delegation of decision authority: Distribution of decision authority regarding actions and decision rules

• Formalization: Determination of rules and procedures, e.g. structures, flow of information, performance measurement/assessment


Socio-technical systems approach• The beginning - Studies by the Tavistock Institute in

English coal mines: One-sided adaptation of the work organization in accordance with the demands of a new technology lead to a suboptimal work system

• Three core assumptions:1) Every work system comprises a social and a technical sub-

system.

2) The social and technical sub-system have to be jointly optimized.

3) The main criterion for the joint optimization is the control of disturbances at their source.


Organization as socio-technical system

H U M A N T A S K

M o t i v a t i o n t h r o u g h t a s k o r i e n t a t i o n

T a s k c o m p l e t e n e s s

P l a n n i n g a n d d e c i s i o n m a k i n g r e q u i r e m e n t

T a s k v a r i e t y

C o m m u n i c a t i o n r e q u i r e m e n t s

O r g a n i z a t i o n a l t r a n s p a r e n c y

C o n t r o l o v e r w o r k i n g c o n d i t i o n s

O p p o r t u n i t i e s f o r l e a r n i n g a n d d e v e l o p m e n t

T e m p o r a l f l e x i b i l i t y

W O R K S Y S T E M

S e l f - r e g u l a t i o n i n

s m a l l c o n t r o l l o o p s

T a s k c o m p l e t e n e s s

R e l a t i v e i n d e p e n d e n c e

F i t o f r e g u l a t i o n n e e d s a n d o p p o r t u n i t i e s

P o l y v a l e n c e o f o p e r a t o r s

A u t o n o m y o f p r o d u c t i o n g r o u p s

B o u n d a r y r e g u l a t i o n b y s u p e r i o r s

H U M A N - M A C H I N E S Y S T E M

C o n t r o l l a b i l i t y

b y h u m a n o p e r a t o r

P r o c e s s t r a n s p a r e n c y

D y n a m i c c o u p l i n g

F i t o f d e c i s i o n a u t h o r i t y a n d r e s p o n s i b i l i t y

F l e x i b l e f u n c t i o n a l l o c a t i o n

C o m p e t e n c e f o r

c o p i n g w i t h v a r i a n c e s

a t t h e i r s o u r c e

C r i t e r i a f o r c o m p l e m e n t a r y s y s t e m d e s i g n


Process upset in a polyethylen plant (taken from an obs ervat ion study during a sa fety man age ment aud it) In a plant of a la rge pert roche mica l compan y, po lyethy len is pro duced from ethy len disso lved in isobuta ne and a nun ber of other c hemica ls inc lud ing hexane. The react ion takes plac e und er high temperat ure and pressure in loop rea ctors. An opera tor in the contro l room of the plan t mon itors two such reactor s by means of a number of scre ens an d process record ers on a contro l pane l. Looking at one of th e process record ers, another sh ift ope rator exp la ins to the observ er that when two of the curves on the line record er do no t run in para lle l any more , extra caut ion is ne eded, an d when the cruves cross the process has to be s toppe d immediate ly. Those two curve s conc ern the press ure in the react or and the en ergy consu mption in a g roup of p umps. The cro ss ing of t he curves indicates lumping of t he po lyethy len in the rea ctor, which increases the pressur e in the react or and the energy consu mption by the pumps becaus e more energ y is nee ded to pump the finished product out of the react or. Next to the pro cess rec order, a p iece of p aper is taped to the contro l pane l, stat ing critica l va lues for these two par ameters, dis tingu ish ing between va lues whe n the shift superv isor has to be informed an d when the process has to be stop ped. Stopp ing the process implies the imm ediate emptying and rins ing with water of the reacto r and an inte rrupt ion of product ion for severa l hours. An hour later dur ing the obser vat ion, the curves do indeed beg in to move towards ea ch other. The pa ne l oper ator not ices the change imm ed ia te ly an d cha nges the se t va lues for he xan e after hav ing checked a numbe r of other process par ameter s and a lso hav ing ver ified the set va lues for he xane in the standa rd ope rat ing proced ures. This action causes the process con trol syste m to redu ce the influx of he xane which redu ces the pres sure in the reac tor due to a s maller volume of react ing substances . At the sa me time , the operato r has informed the shift su perv iso r who leaves a meet ing to join him a t the cont rol pane l where he remains during the course of the process ups et. The first act ions taken by the operat or have not been ab le to reverse the tr end in the two para mters. On ly after further redcut ion of he xane influx an d faster e mptying of the reactor the va lues turn back to no rmal. In the f ifteen minu tes that this course of events takes, the curves disp layed on the pro ce ss record er have briefly cros sed. Trust ing his own competence in ha ndling the proces s upse t and supp orted by the sh ift superv isor , the ope rato r dec ide d aga inst stopp ing the process comple te ly. Instead of caus ing a s ign ificant interr uption of product ion, the ope rator succe eds in nor malizing the process in the cours e of ha lf an ho ur, with a lso the resu lts from qua lity contro l be ing pos itive aga in a little while later. His sh ift co lleague comm ents: „I def inite ly wou ld have stopped the process complete ly“, but admirat ion for the other` s co mpetence can be sensed. Your task: Did the operat or act correct ly? Why?


Managing uncertainty in organizations (Grote, 2004)

Minimizing uncertainties • complex, central planning systems

• reducing operative degrees of freedom through procedures and automation

• disturbances as to be avoided symptoms of inefficient system design

Co ping w ith un cer taintie s • plann ing as re sourc e for s ituated act ion

• maximizing operat ive degree s of freed om throu gh complete tasks and la tera l coope rat ion

• distu rbances a s opp ortun ity for us e and deve lopment of compe tenc ies and for syste m ch ange

Dependence /

feedforward control

Autonomy /

feedback control

Balance through loose coupling Motivation through task orientation

Higher order autonomy Flexible changes between organizational modes

Culture as basis for coordination/integration * Uncertainties may stem from the system environment and/or from the transformation processes within the system.


Mechanistic vs. organismic organisation (Burns & Stalker, 1960)

Mechanistic Organismic

specialization / differentiation functional integration

abstract and minutely definedsubtasks detached from the overall

goal

subtasks and roles with clearconnection to the overall task

vertical and unidirectionalcoordination

lateral and reciprocal coordination

hierarchical structure for leadershipand knowledge transfer

network for leadership and knowledgetransfer

t t

routine innovation

effective for known processes instatic environments

effective for new processes indynamic environments

Contingencies: Minimizing of uncertainty possible with few uncertainties Coping with uncertainty necessary with many uncertainties


Methods for the psychological analysis of work processes

• Different goals– Determination of pay schemes– Determination of requirments/qualification profiles– Asessment of job and organizational design during/after

technological/organizational change– Humane work design

• Different levels of analysis– Human-technology interaction– Individual work tasks– Organization unit / work system– Firm– Interfirm processes

• Different perspectives– "objective" situational demands - Assessment by external experts– "subjective" personal perception - Assessment by workers themselves


Need to combine "objective" and "subjective" perspective

• Expert for the assessment of a work situation – external observer and/or workers themselves ?

• Objective conditions and subjective re-interpretation of these conditions are relevant determinants of action

• Compensation of different kinds of biases (stemming from norms, needs, social context, different uses for data etc.)


Empirical methods

• Analysis of documents– Advantages: non-reactive, "condensed organizational knowledge"

Disadvantages: not aligned with purpose of the investigation

• Written survey – Advantages: objective, applicable for large samples– Disadvantages: no control over the actual data collection, response

biases

• Interview – Advantages: control over data collection, complex issues possible– Disadvantages: resource-intensive, interviewer influences

• Observation – Advantages: access to implicit knowledge, natural situation– Disadvantages: subjective meaning of the observed unknown, no

control over the occurrence of the events under study


Work system analysis

• Description and evaluation of work processes in work systems based on analysis of variance handling and criteria such as independence of work system

• Data collection method: Interview and observation based on guidelines

• Support for assessment through scales with anchor descriptions or with lists of relevant characteristics


Work system analysis: Examples

r

low independence

r

r

medium independence

r

r

high independence

Production delays in the work system have large or rapid effects on other work systems, since there

are no buffers regarding time, material etc.

Deviations in quality standards in other work systems cannot be recognised or prevented at

their source; they have uncontrollable effects on the work system.

Deviations in quality standards in the work system cannot be recognised or prevented at their source,

so they spread uncontrolled.

The work flow between work systems is fixed within strict limits (e.g. processing sequences

which are required by technology or prescribed by the organisational structure).

Production delays in the work system have small or slow effects on other work systems, since there are

buffers regarding time, material etc.

Deviations in quality standards in other work systems can be recognised or prevented at their source; they have no effects on the work system.

Deviations in quality standards in the work system can be recognised or prevented at

their source, so they do not spread uncontrolled.

The work flow between work systems can be designed flexibly (e.g. technically possible variants of the processing sequences, organisational scope regarding the planning or handling of work orders).

Description of variance/disturbance

Cause of variance/disturbance

Source of variance / disturbance - where did it happen?

Where/by whom was the variance/ disturbance discovered?

Where/by whom was the variance/ disturbance handled?


Method for job analysis

• Description and evaluation of work processes on the level of the individual task based on criteria such as learning opportunities and task completeness

• Data collection method: Observation with integrated interview

• Support for assessment through scales with anchor descriptions

r low

task completeness

The worker is occupied extensively with one of

these functions: preparation, planning, executing, controlling,

finishing or maintaining/repairing.

He/she does not or only partially participate in the

performance of other functions.

r r medium

task completeness

The worker participates

extensively in the performance of

preparation, planning, executing, controlling and

finishing functions.

His/her task includes no maintaining/repairing

functions.

r r high

task completeness

The worker’s task includes

preparing, planning, executing, controlling,

finishing and maintaining/repairing

functions.

He/she is strongly involved in the performance of all

these functions.


Zwei Gesichter der Arbeit (Lewin, 1920)

Arbeit ist einmal Mühe, Last, Kraftauf-wand. Wer nicht durch Renten oder Herrschaft oder Liebe versorgt ist, muss notgedrungen arbeiten, um seinen Lebensunterhalt zu verdienen. Arbeit ist unentbehrliche Voraus-setzung zum Leben, aber sie ist selbst noch nicht wirkliches Leben. Darum Arbeit so kurz und so bequem wie möglich! Wenn die Arbeit dazu gleich-förmiger und einseitiger werden muss, so schadet dies nichts, solange es ihrer Produktivität keinen Abbruch tut. Denn aller positiver Wert kommt dieser Arbeit nur indirekt zu, nur durch die wirtschaftlichen Vorteile, die sie dem Arbeitenden bietet.

Die Arbeit ist dem Menschen unentbehr-lich in ganz anderem Sinn. Nicht weil die Notdurft des Lebens sie erzwingt, sondern weil das Leben ohne Arbeit hohl und halb ist. Dieses Bedürfnis nach Arbeit, die Flucht vor dauernden Müssiggang, die bei zu kurzer Arbeitszeit zur Arbeit ausserhalb des Berufs treibt, beruht nicht auf blosser Gewohnheit zu arbeiten, sondern gründet sich auf den 'Lebenswert' der Arbeit. Weil die Arbeit selbst Leben ist, darum will man auch alle Kräfte des Lebens an sie heran-bringen und in ihr auswirken können. Darum will man die Arbeit reich und weit, vielgestaltig und nicht krüppelhaft beengt. Der Fortschritt der Arbeitsweise gehe also nicht auf mögliche Verkürzung der Arbeits-zeit, sondern auf Steigerung des Lebens-werts der Arbeit, mache sie reicher und menschenwürdiger.


Psychosocial functions of work (Jahoda, 1984)

• material means of existence

• activity / competence

• structuring of time

• cooperation / social contact

• social approval

• sense of personal identity


Job design as crucial measure for personnel development

• Design of humane work tasks in order to further– health– competencies– personality

• based on the psychosocial functions of work


Criteria for humane work tasks (from Ulich, 1998)

Promotion of physical health • Tasks which are not detrimental to physical and psycho-physiologicalwell-being

Promotion of psycho-social health • Tasks which are not detrimental to psycho-social well-being

Completeness • Taks which include planning, execution, feedback, and correction

Variety • Tasks with different cognitive and physical demands

Social interaction • Tasks which require or allow cooperation

Development Autonomy • Tasks with decision latitudeeof personality Learning and

development• Tasks which require the use of existing qualifications and the

acquisition of new qualifications

Time control • Tasks with time buffers in planning and execution

Meaning • Tasks whose outcomes are useful for society

Task compatibility • Tasks whose demands are compatible with qualifications andexpectations


Core characteristics of humane work: Complete tasks

• sequential completeness

Cycle of goal setting, planning, execution, control and correction

• hierarchical completeness demands on action regulation at different levels

of complexity (skill-, rule- und knowledge-based actions)

Reversal of tayloristic principles


The five principles of Taylorism

1. Separation of planning and doing– Responsibility for planning at management level; implementation as

sole shopfloor responsibility2. "one best way" of task execution

– Definition of the more efficient way of task execution based on scientific methods; every worker executes only one step in the overall task

3. Selection of the best person– Definition of qualification profile for each task step, selection of the

appropriate person4. Reduction of training

– Training for the more efficient way of executing each task step, workers are easily replaced

5. Control– Surveillance of adherence to the prescribed work methods and of

achievement of required results


Objectives of job design

• Autonomy:Self-determination regarding goals and rules for goal achievement.

• Control:Influence on situations in order to achieve goals which can be self-determined or determined by others.

Prerequisite for effective use of control: Transparency and predictability of work situation.


Design rules regarding autonomy and control

• Control should be at a maximum.

But: Management and staff positions can only provide indirect control via line employees.

• Control without autonomy is possible if strong identification with goals determined by others can be achieved.

• Autonomy without control contains high potential for frustration (e.g. staff functions without direct influence on the line of command)


Effects of humane job design: Stress reduction

• Stress = a situation with demands that cannot be met by personal resources

• Important resources are– control (=means of influence):

given (objective) and perceived (subjective)– qualification– social support


Stress at work: EU 2002

• 28% of employees in 15 EU member countries answer that they suffer work-related stress

• Causes:• Lack of control, e.g. regarding planning (35%), work duration

(55%), time pressure (29%)• Monotony• Mobbing• Job insecurity

• Effects:• Heart diseases (Men:16%, women: 22%)• Absenteeism (50-60%)• Estimated costs 20 billion Euro


Stress at work: Switzerland 2002 (BfS, 2004)

• 44% of working people state that they suffer from severe work load.– Of these 27% indicate that they suffer physical

symptoms.

• 11% of working people fear that they might lose their job. – Of these 37% indicate that they suffer physical

symptoms.


Effects of humane job design: Furthering development of competencies and personality

• Results of longitudinal studies on the effects of job design changes:– E.g. Baitsch (1985): Increase in technical competencies,

intellectual flexibility, social competence, and moral awareness

• Results of longitudinal studies in the general public– E.g. Kohn & Schooler (1982): Reciprocal interaction

between intellectual demands of work andd intellectual development through processes of selection and socialization


Considering individual differences in job design

• Participative und differential-dynamic job design:Involvement in organizational change decisions and offer of choices regarding job design options allows for consideration of indiviual needs and competencies

• „Job crafting“:Opportunities for self-determined adaption of work tasks according to changing individual needs and competencies

• Management by Objectives (MbO):Systematic furthering of individual motivation through tailored goals and ways for goal achievement

General objective:

no fixation of individual differences, but individually tailored support


Fundamental objective of job design

Create conditions that support people in being capable (competence) and also wanting (motivation) to do their job well


Road map for HRM: Work Process Design


Performance

Task /Work process


Extrinsic motivation through external incentives

Intrinsic motivation through task orientation

Financial incentives

External working conditions

Surveillance

Pressure

Social relationships

Complete tasks

Task variety

Task-related cooperation

Decision latitude

Learning opportunities

Extrinsic versus intrinsic motivation

The less intrinsic motivation …

The less extrinsic motivation …

… th

e mo

re intrin

sic m

otivatio

n is n

eeded

… t

he

mo

re e

xtri

nsi

c m

oti

vat i

on

is

nee

ded


Individual differences in motivation

Different needs: Motivation = f (satisfaction / frustration of needs)__________________________________________________e.g. Physiological needs

Security needsAffiliation and affection needsAppreciation needsSelf-actualization needs

Different goals and expectations: Motivation = Valence x Instrumentality x Expectancy __________________________________________________Decision to (not) undertake a certain action depends on the answers to three questions: Which goal do I want to achieve?Does this action lead to this goal?How likely is the success of the action?


How satisfied are you with your job?

A:The job doesn´t exactly match my needs and expectations but it could be worse.

D: There are no opportunities for me to improve my situation.

B: The job matches my needs and expectations and I wish that everything stays as is.

E: If things won´t change soon I will find myself another job.

C: The job has matched my needs and expectations in the past and I can impove my situation even further.

F: I try to change my situation through my own efforts and others`support.


Development of job (dis)satisfaction (Bruggemann, 1974)

Needs and expectations at work

Characteristics of the work situation

(Mis-)match

Satisfaction Dissatisfaction

Keeping expectations

Problem solving

Constructive dissatisfaction

Raising expectations

Progressive satisfaction

Stable satisfaction

Keeping expectations

Lowering expectations

Resigned satisfaction

Fixed dissatisfaction


Discussion in small groups

• What is “good performance” in your studies/your job/voluntary work?

• How is it measured?

• How satisfied are you with how it is measured?


"Good" performance indicators

• Adequate for task• Sufficient influence -> Based on behavior

and results, not personal traits• Reliability, validity, objectivity• Constructive feedback• Participatory development• Fit with organizational culture


Motivation, satisfaction and performance – an imperfect relationship

Performance

Motivation Satisfaction

?r = .3

Performance-reward relationship

congruence of formal/informal performance

criteria

Feedback

Performance criteria adequate for task

Difference between expectation and reality

Individual coping with unfulfilled expectations

Fit between individual and organizational goals

Instrumentalities for individual goals


Design of complete tasks

• individual tasks:

– horizontal (job enlargement), i.e. adding tasks with the same qualification profile Usually neither improvement of sequential (= complete cycles of goal setting - planning - executing - controlling - correcting) nor hierarchical completeness (= different levels of task complexity)

– vertical (job enrichment), i.e. adding tasks with more complex qualification profiles Opportunity for improving both sequential and hierarchical completeness

– job rotation, i.e. changes between tasks with same or different qualification profilesOpportunity for improving sequential and hierarchical completeness depending on tasks

• collective tasks:

– self-regulating teams, i.e. assignment of a complete task to a group Opportunity for improving both sequential and hierarchical completeness


Work in self-regulating (="semi-autonomous") teams• Team:

– several people,– working together for some time,– in order to reach common goals,– having a group identity.

• "semi-autonomous":The team can decide or participate in decision-making on several of the following issues: – production goals (amount and quality)– task spectrum– production methods– work schedule– representation of group in the organization– internal management of the group– group membership– internal distribution of tasks– individual work methods


Example: Reorganizating production of medicinal instrumentsBefore After

Production distributed across three departments Production groups based on functional integration per product type

Scheduling per operation Scheduling for whole jobs

Planner in different department/location Planner in same location as production

Internal coordination by shift supervisor Internal coordination by production groups

Boundary regulation by shift supervisor Boundary regulation by shift supervisor (incl. involvement in development of new production concepts)

High specialization in individual tasks Increasing polyvalence, individual and group tasks

Bonus based on department performance Bonus based on group performance

significant reduction in lead time objectively und subjectively better working conditions

still tight and unrealistic scheduling


Advantages of teams

• developing ideas

• discovering and compensating individual errors

• furthering systems view

• supporting shared task orientation

• offering reciprocal support

• alleviating individual work load


Disadvantages of teams

• friction

• conformity

• levelling of individual performance

• diffusion of responsibility

• devaluation of other groups


Prerequsites for good team work

• Adequate common task – Complexity higher than individual competencies– Clear performance criteria– Collective decision competence

• Shared goal orientation – Positive goal coupling– Goal transparency and feedback

• Adequate group composition– Different perspectives on the task– Shared language

• Development of group rules– Adequate group size– Support for team development (form, storm, norm, perform)– Explicit handling of conflicts between individual and collective autonomy


And don´t forget individual job design ...

…Empowerment better predicts company performance than technology-based management practices (Patterson et al., 2004)


Fundamentals of organizational design (Kieser & Kubicek, 1983)

• Specialization: Distribution of labor, resulting in different kinds of work tasks

• Coordination: Management of dependencies among subtasks, resources, and people

• Configuration: Structure of line of command

• Delegation of decision authority: Distribution of decision authority regarding actions and decision rules

• Formalization: Determination of rules and procedures for work processes


Changes in organizational design: Examples

• Functional specialization vs. integration

• Line vs. group production

• Centralization vs. decentralization

• Increase in formalization (e.g. management systems)

• ...


Phases of organizational change

Unfreeze - Move - Freeze

Neues

Gleichgewichts-

niveau

Aktuelles

Gleichgewichts-

niveau

Treibende Kräfte

Hemmende Kräfte

Current level of equilibrium

Driving forces

New level of equilibrium

Restraining forces


Organizational change through the lens of the learning organization


Change strategies

Direct influence on people (Selection, training: e.g. communication training)

Behavior change (e.g. more cooperation)

More efficieny/ satisf action in e xisting structures – Necessi ty for new structures ?

Direct influence on structu res (Work proc esses, line of command, introducing new technology: e.g. decentra -lization)

Changes requirements and condis tions for behavior (e.g. more lateral coordination)

More efficient processes – Necessi ty for new people ?

• Expert versus process consulting

• Personal versus structural approach:

• Planned change (e.g. BPR) versus organization development


Kotter (1996)

to manage change: to tell people what to do

to lead change: to show people how to be


Resistance against change

Causes: Uncertainty regarding novel thingsSense of loss of controlSticking to old norms/privilegesOne-sided perception of old/new situation

Strategies dealing with resistance:rational = Informing about advantages of new situationnormative/ = Developing new compatible values and norms ("speaking re-educative differently rather than arguing well as chief instrument for

cultural change")coercion = sanctioning change through exercising power

Requirements for constructive handling of resistance:ParticipationTrust/openness Qualification for changeAvoiding strain/threat


"Opportunities for individuals and groups to follow their interests by influencing the choice of alternatives in a given situation"

Degree of influence:

Information = no influenceConsultation = opportunity for expressing opinions

versus = due consideration of all opinions

VetoCommon decision

Effects of participation:

Control, motivation, competence development;Common decision as link between change motivation and changed behavior

Attention! Fit between chosen form of participation and general principles of operation in the organization is crucial

Participation


Degree of participation in decision-making:The decision tree by Vroom & Yetton (1973)

1. Is there a quality requirement: Is one solution better than another?

2. Do you yourself have enough information to make a good decision?

3. Is the problem well-defined? Has it been reduced already to choosing among a set of alternatives?

4. Is it important for implementation that the decision and its effects are accepted by your team?

5. Would your team accept the decision if you made it alone?6. Does your team share the organizational goals which are to

be reached through the decision?7. Will the chosen solution lead to conflicts among your team?


1

4

Autocratic decision

Group decisionno

no

yes5 no

yes

2

4 noAutocratic decision

no 3 4

yes5 yes

no6yes 5 no

Group decisionyes

no

7yes

no

Individual decision afterconsultation with group

Individual decision afterconsulation with eachgroup member

no

Autocratic decision afterobtaining informationfrom individual groupmembers

yes

no

4 yes 5 yes


Group decision


yes

yes

yes

no no

6 yes

no


A process approach to work process design: Organization development

Change of the entire organizational system with active participation of all people involved in order to increase organizational performance and individual development

Participation and openness of the change process as core characteristic

Taking into consideration the linkages between subsystems in the organization

Linking organizational and individual goals

Change through the process of changing (i.e. participatory diagnosis and implementation)


Basis for organizational diagnosis: Socio-technical systems analysis

1. - 4. Analysis of work system and its organizational integration1. Description of most important elements of work system and its

environment (Layout, organizational structure and processes, relationship to other parts of the organization, etc.)

2. Detailed description of the production processes3. Identification of main variances and disturbances and their sources4. Detailed description of the social system (distribution of labor, work role

assignments, reulation requirements and possibilities, etc.)

5. Perception of task requirements and their fulfilment by members of the work system

6. - 8. Analysis of external influences on the work system 6. Maintenance system7. Supplier/costumer relationships8. Context (market, societal factors etc.)

9. Design propositions


Introducing an intranet at Admin (Grote, 1993)

• Introduction of an intranet in part of a large administration for supporting professionals in carrying out long-term cross-departmental projects with high cooperation demands

• Company objective in phase 1: Increasing efficiency of communication in existing structures

• Revised company objective in phase 2: Increasing efficieny and effectiveness of work processes through participatory use of organizational options


Design decisions phase 1 (top-down)

• All heads of groups/departments and some professional staff are included in intranet.

• Distribution of tasks and work processes are to remain unchanged.


0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Writing with PC Writing by hand Conceptual work Filing IT Filing paper Mail IT Mail paper Schedulemeetings

Info exchange IT Info exchangepersonal

Meetings

Department heads

Group leaders

Professionals

Administrative assistance

Task profiles for different occupational groups in Admin based on task diaries


Profile of intranet usage in year 1

0

0.5

1

1.5

2

2.5

3

Organizingmeetings

Ownappointments

Filing Recievedocuments

Senddocuments

Receivemessage

Send message

Department heads

Group heads

Professionals

Administrative asssistance

never

once per week

several times per week

once per day


Communication network in year 1

C O N S T R U C T

R e g i o n I I I

C O N S T R U C T

H e a d O f f i c e

C O N S T R U C T

R e g i o n I

C O N S T R U C T

R e g i o n I I

S u p p o r t

u n i t s

P r o j e c t s t a f f

R E A L E S T

R e g i o n I

R E A L E S T

R e g i o n I I I

R E A L E S T

R e g i o n I I

R E A L E S T

H e a d O f f i c e


Technology use as reflection of organizational culture (Grote & Baitsch, 1993)


Tec

hn

olo

gy

use

as

refl

ecti

on

of

org

aniz

atio

nal

cu

ltu

re (

2)(G

rote

& B

aits

ch,

1993

)


Technology use as reflection of organizational culture (3)(Grote & Baitsch, 1993)


Design meetings after phase 1

• Meetings per department/group with representatives of all occupational groups

• Information on results of phase 1• Analysis of own current work situation• Analysis of typical work processes with

strengths and weaknesses• Discussion on potential of intranet to

improve individual work situation and work processes


Design decisions phase 2 (bottom-up)

• All administrative assistants are included in intranet.

• Redistribution of tasks between admini-strative assistants and professional staff (more adminstrative tasks for professio-nals, more professional tasks for assistants)

• In some groups delegation of decision authority to professional staff.


Profile of intranet usage in year 2

0

0.5

1

1.5

2

2.5

3

3.5

Organizing meetingsOwn appointments

Filing

Receive documentSend documentReceive message

Send message

Department headsGroup headsProfessionalsAdministrative assistance

never

once per week

several times per week

once per day


Conclusions on introduction of intranet at Admin

• Participatory reflection on technology use improves organization-technology fit.

• Organizational culture shapes technology use.

• Intranet technologies have the potential for furthering decentralization.

• Organizational diagnosis and continuous description of changes are main instru-ments for supporting decisions on work process design.


Road map for both HRM classes (Work process design, Leading teams)


Performance

Personnel selection

Performance appraisal / Pay

Personnel development

Task /Work process


Two perspectives on the relationship person - work

• static relationship: person and job stay the same, fit has to be established once.

• dynamic relationship: person and/or job change continuously, continuous adaption needed.

Fit / adaptation can happen based on „fit human to task“ and/or „fit task to human“.


Fit task to human (focus in HRM A)

• Job design

• Job crafting

supports dynamic relationship between person and work if tasks are created that include autonomy and learning requirements


The product of work is people (1)

„Jemand, der tagtäglich nur wenige einfache Handgriffe ausführt, die zudem immer das gleiche oder ein ähnliches Ergebnis haben, hat keinerlei Gelegenheit, sich im Denken zu üben. Denn da Hindernisse nicht auftreten, braucht er sich auch über deren Beseitigung keine Gedanken zu machen. So ist es ganz natürlich, dass er verlernt, seinen Verstand zu gebrauchen, und so stumpfsinnig und einfältig wird, wie es ein menschliches Wesen nur eben werden kann. Solch geistige Trägheit macht ihn nicht nur unfähig, Gefallen an einer vernünftigen Unterhaltung zu finden oder sich daran zu beteiligen, sie stumpft ihn auch gegenüber differenzierten Empfindungen (...) ab, so dass er auch seine gesunde Urteilsfähigkeit vielen Dingen gegenüber, selbst jenen des täglichen Lebens, verliert.“ (Adam Smith, 1776)



• Cross-sectional studies = comparison between people at one point in time

e.g. relationship between work and leisure activities– no relationship - empirical finding only for subjective

assessment by people themselves, especially for "identity threating work" (Hoff, 1986)

– work changes leisure - most frequent empirical finding (e.g. Meissner, 1971; Leitner, 1993)

– leisure compensates for work - empirical finding especially regarding compensation of strain (e.g. Bamberg, 1986)



• Longitudinal studies = Observe the same people over a period of time

e.g. reciprocal relationship between intellectual job demands and development of intelligence (Schallberger, 1987)– selection effect (more intelligent people get more demanding

jobs) and – socialization effect (demanding jobs further intelligence)

result in– widening gap (for more intelligent people intelligence

increases, for less intelligent people intelligence stays the same/decreases)



Study in the 80s in D Career orientation after one year of job experience

Career orientation at time of university degree

Upward mobility Leisure Alternative engagement

Upward mobility (n=109) 80% 8% 12%

Leisure (n=96) 25% 68% 7%

Alternative engagement (n=78)

13% 38% 49%

Study in the 90s in D Career orientation after one year of job experience

Career orientation at time of university degree

Upward mobility Leisure Alternative engagement

Upward mobility (n=379) 69% 10% 21%

Leisure (n=176) 31% 28% 41%

Alternative engagement (n=448)

18% 11% 71%

Career orientations and their change through job experience (Rosenstiel et al., 1998)


Fit human to task (focus in HRM: Leading teams)

• Personnel selection

• Training

supports dynamic relationship if people are chosen/trained for motivation and capability to learn


When to use which strategy with which objective ?

• fit human to task versus fit task to human?

• select the right people or train people to become right?

• strive for stable fit versus continuous adaptation?


Integration of "fit human to task" and "fit task to human"

Strive for dynamic relationship between people and work to keep people and organization moving

Select people that want to and can develop => learning ability and willingness as important selection criterion

Personnel development via training and via work assignments that further learning

Support for lateral und vertical careers in syste-matic processes of selection and development

hrm: work process design – g. grote ethz, hs07 human resource management (hrm) what? …the...

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