jurnatPRQDUKTIVITI

BIL. 17, DIS'95 PERBADANAN PRODUKTIVITI NEGARA ISSN 0127-8223

MEASURING AND IMPROVING TOTAL PRODUCTIVITY:AN INTEGRATED APPROACH

BySabegh Jalal Sajedi & Sharma Sushil Kumar

(Banaras Hindu University)PageS

INFORMATION TECHNOLOGY AND QUALITY CONTROLBy

Sa'ari Md. Nooh(Ph.D. Candidate)

Page 21

PROGRAM PENGURUSAN STRESS KE ARAH MEMBENTUKBUDAYA KERJA PRODUKTIF

OlehSabitha Marican

(Universiti Utara Malaysia)Page 35

HOW LEADERSHIP DIFFERS FROM MANAGEMENTAND THE FUTURE OF LEADERSHIP TRAINING

ByDzulkifli Sipon

(NPC)Page 61

FACTORS FOR EVALUATING FACTORY AUTOMATION PROJECTS:INFERENCES FROM AN INDIAN SURVEY

ByR.P. Mohanty

(Indian Institute of Technology, Delhi)Page 77

TECHNICAL EFFICIENCY OF COCOA PRODUCTIONIN WEST MALAYSIA

ByDr. Nasuddin Othman

(Mara Institute of Technology)Page 97

0000053851Jumal Produktiviti - [Journal],

jurnaCPRODUKTIVITI

lUTTUlCTRODUKTIVm

PenasihatIsmail Adam

(Ketua Pcngarah)

Ketua PengarangSharifah Normah Sycd Omar

(Pengarah Perhubungan Korporat)

PengarangSujaidi Dasuki

Sidang PengarangDr. Abd. Wahab Muhamad

Pauzi HanipiIsa Abu Bakar

Suhaimy Abdul TalibHamdi OthmanAzlan Kassim

PenerbitPerbadanan Produktiviti Negara

(National Productivity Corporation)Peti Surat 64,

Jalan Sultan 46904Petaling Jaya, Malaysia.

Tel: 03-7557266Fax: 03-7578068

Kami mengalu-alukan sumbangan rencana untuk dimuatkan di dalam jumal ini. 'JumalProduktiviti' ditabitkan enam bulan sekali, menampung semua aspek ekonomi danpengurusan serta lain-lain bidang yang ada hubungannya dengan konsep produktiviti.Rencana-rencana yang tersiar tidak semestinya merupakan pendapat NPC.

Menulis Rencana Yang Sesuai

Setiap yang vujud di bavah inatahari bwi ini,boleh dikaitkan dengan produktiviti. Sama ada sumber asli ataugantian, buangan atau komohan, sisa atau lebihan; selagikesagalaannya itu boleh dikitar dan dikuiabah untuk kepentinganmanusia dan hidupan — maka proses itu stenepati kehendak dankaedah produktiviti. Tegasnya hukm produktiviti jnenyebutten,selagi ianya boleh digunakan dan digunakan lagi dengan cara yanglebih baik dan lebih baik — selama itulah proses produktivititiada hentinya.

Perancangant kerjasam, kaedah, disiplin dan penjimatan koshanyalah panduan asas kepada proses produktiviti; namun jika adaindividu yang boleh melakukannya dengan lebih baik tanpa panduankonvensional itu juga dianggap produktif. Begitu juga jika adapihak yang terpaksa siengeluarkan kos yang besar dalam usahanyamencari kaedah, demi untuk kepentingan survival umat manusia,diioana akhimya akan jaeuiberikan pulangan yang lebih besar; wakaianya juga termsuk di dalm hukum produktiviti.

Dendkianlah panduan dasar - sebagai menjawab pertanyaantentang tern rencana yang sesuai untuk terbitan 'JURNALPRODUKTIVITI' ini. Saioa ada bersifat akademik atau send akademik,yang penting bagi NPC sebagai pusat penyebaran produktiviti dankualiti ialah setiap saranan yang diutarakan melaluipenerbitan boleh dilaksanakan.

BIODATA

Dr. Sushil K. Sharma is a professor of Industrial Engineering and Manage-ment in the Department of Mechanical Engineering, Banaras Hindu Univer-sity, India. He has published over 50 international paper in leading interna-tional journals and is the founder member of the System Dynamics Societyof India.

Jalal Sajedi Sabegh is a research scholar in the Department of MechanicalEngineering, Banaras Hindu University. He obtained his bachelor inAgricultural Engineering and master in Industrial Engineering Techanologyand Management He obtained his Ph D degree in the area of IndustrialEngineering from the same university.

MEASURING AND IMPROVINGTOTAL PRODUCTIVITY:

AN INTEGRATED APPROACH

Sabegh Jalal Sajedi, Sharma Sushil KumarDepartment of Mechanical Engineering

Banaras Hindu University

INTRODUCTIONProductivity is a complex concept. In simple way productivity isdefined as the quotient obtained by dividing output by all thefactors of production.

Total Productivity = (Total tangible output)/(Total tangible input).

Sumanth (1985) defines output as value of finished units ofproduct, value of partial units produced, dividends from securities,interest from bonds and other income added together. The inputsare human, material, capital, energy and other expenses takentogether. In the same way the partial productivity is defined as"the quotient obtained by dividing output by one of the factors ofproduction [OEEC, 1950]. In this paper the output factorsconsidered are value of finished and semi finished goods and theinput factors are the cost of labour, managerial, material, capital(capacity), and other expenses.

The improvement of productivity depends upon a variety offactors [Sumanth & Omachonu, 1982] acting together to increasethe value of output factors faster than the cost of input factors.The public debate often has been centered around the relativeimportance of each factor and often in a oversimplified attempt tofix upon a dominant one. The factors responsible for improvementof productivity are:

1. Money or capital

2. Management

3. Personnel

It is generally agreed that capital plays the most important part.However, capital investment and technology both are highly

significant elements in sustaining productivity in an enterprise,industry or nation and so have attracted the lion share ofattention. Although capital investment, production capacity,technology, and research and development received carefulattention but at the same time authors have not directedthemselves to one track solution (Rosow, 1981).

Management is a more subtle issue, it has been implicit in theproductivity equation especially at enterprise level. The need forleadership and freedom of decision making for top executives togrip the problem of low productivity has also been stressed byauthors (Fuller 1981, Yankelovich 1979, Joji 1979, BLS).

Personnel or the human factor is the third category of factorswhich has also received principal focus now a days. A work forcethat is highly educated and more diverse than ever before offersorganizations a rich pool of talent. At the same time, theirindividual abilities on the job. Because these new breed of workersare no longer willing to follow orders blindly, they are moredifficult to manage; but if managed wisely, they have much to offerto the organization in terms of initiative and resourcefulness. Theimportance of human factor to productivity and to the need forusing it well can not be ignored (Hersheur, 1978).

Finally, the real and lasting answer to achieving a satisfactory rateof productivity growth lies in the ability to bring all of these factorsinto harmonious interaction. Capital investment with its innova-tions, new technology and long term commitment to research anddevelopment is generated by a free and profitable economy withreasonably balanced growth (Rosow, 1981). But profitableeconomy depends on sound management practices that iscommitted to productivity and quality. In the same sense, thehuman talent within every organization hold the potential for ever- increasing contributions to the efficiency of the enterprise. Thispaper presents a system dynamics model and stresses on systemthinking towards the complex problem of productivity (Frazer1981, McLaughtan 1978, BLS, Jacob & Jacob 1979).

MODELING THE PRODUCTIVITY MEASUREMENTAND IMPROVEMENT SYSTEMTo study the process of productivity measurement and improve-ment effectively, the policy makers must bring all the perceptionsand experience into a form which is understandable by all anddetermine simultaneously all their implications in short and long

runs. The interactions of a manufacturing organization and itsbasic components are show in fig. 1. In the centre lies the concernfor productivity measurement and improvement. The factors thatare involved in the measurement of productivity of an organizationare depicted. The use of measuring productivity index is to informmanagement for initiating actions for efficient utilization ofresources. In this model we have considered the three importantresources that influence it are capital/technology, professional/managerial and personnel/labor resources. These three compo-nents are inter-dependent and are required simultaneously asinputs within a manufacturing organization. The capital/technol-ogy refers to items such as capital, machine tools, equipment R &D and other facilities. The professional/managerial resourcessector deals with managerial capabilities, management practices,linkages and organizational culture required for harmoniouscoordination. The personnel sector refers to labor pool, skillrequirements, motivation and experience. The productivityimprovement depends upon the interaction of these factors.

THE MODEL STRUCTURETechnology/Capital Loop:The loop in fig. 2 describes the interactions of technology,production capacity, market share and financial resources. Whena new technology is introduced in the form of new productionmachinery, it enhances the existing production capacity. It isassumed that due to increase in customer order rate of a givenproduct, the firm needs additional production capacity. This needfor additional demand to maintain quality products drives themanagement to acquire new technology. Besides this, some otherfactors that may motivate a firms management to acquire a newproduction technology are productivity growth, cost reduction,capacity expansion, quality improvement and making the productmore competitive (APO 1989). In this model the productioncapacity order is influenced by management's effort on acquiring anew technology and research and development activity inside thefirm. The increased technology increases the production capacityorder rate and hence the production rate.

The supply of financial resources influences the productioncapacity order rate and R&a activities. The delivery delay andthe price have negative effects on market share. Finally, thedecision whether to invest in new production capacities isconstrained by the financial condition of the firm. The new

technology often brings destructive affect on workers and theirjobs and often involves labour saving operations ie. increasedproduction with the same number or fewer workers which maydisplace existing job. The improved technology brings a reductionin labour hiring rate, demands more skills from a person andconsequently reduces his motivation.

THE PERSONNEL SECTORThe changes that a new technology makes in the way goods andservices are produced and distributed provide potential benefits.The new technology consequently raises the requirement for newskills of labour to deal with it [Diawati, 1993]. This increase intechnology requires more on-the-job training and is thereforeconsidered to be the main approach for the firm to meet the skillrequirement. This creates more pressure on management effort toprovede workers with new knowledge to increase their skill [APO;1986-A, APO - 1986 - B, Koib and Irobi, 1990]. Apart form this avariety of other factors likS education level, motivation level ofworkers proper incentives will also influence the up gradation oflabour skills (Koike and Inobi 1990). If enough attention is givento the workers for improving their skill backed up by sallary andpromotion for those who have made effort can be a motivatingfactor for the workers (Ramnathan & Chandratilleke 1989;Milkovitch & Boudreau, 1991).

THE MOTIVATION SECTORThe human resources management which often holds the key tohigh prodution rate and hence productivity. There are not twooptions that human resources utilization is poorer in developingcountries as compared to developed countries, the problems inpublic sectors is even more severe than in the private sectors. Sincethe labour is a human input to production, companies are usuallymore concerned with variation in the labour than other productionresources. The political situations, labour laws, union contract andfinancial cost of hiring and firing tries to maintain some labourinstability thereby causing problem of labour adjustments (Lyneis,1984).

The thrust to human activity lies in his motivation (Desseler, 1985)and why does the motivation develops the way it does especially inthe case of developing countries. According to Maslow (1954)every human being has certain basic need pattern which iscommon to all. These needs can be categorized into five categories

viz physiological, security, social, ego and self actualization. Theneeds in the inverse proportion of their satisfaction will create thebasic urge in a human being. The behaviour will be a morecomplex phenomenon substantially influenced by perceivedrewards, personality, informal group influences. As a part of thefree enterprise society governed by the competition and free trade,a person has to always strive to satisfy his needs. The psychologicalneeds may be satisfied and so also the social needs, if the personhappens to be reasonably successful in his life but the security needare seldom satisfied. There always exists a possibility that one mayloose what he has already acquired if one does not strive enough toearn it.

The level of competition determines what the level of security needsatisfaction is. As a consequence, security need is one of thepredominating influence working on the motivational pattern ofsuch an individual. There is always a balancing action betweenperceived rewards and perceived losses. Contrary to this in adeveloping countries under socialistic norms the security needs arefully satisfied. It is the ego need (psychological) which takespredominance and as no check is exercised by the security needsthe psychological need depending upon personality of theemployee may appear in the form of highly erratic behaviour.The balancing is no more because there are no perceived losses, ifat all there is anything, it is the perceived gains.

Fig. 4 shows the detailed model of the labour sector. The customerorder rate influences the desired labour which determines thelabour hiring rate which increases the labour pool. The labourpool and labour productivity decides the potential output from thelabour, potential output from the labour in turn affects theproduction rate. As the level of technology increases the labourrequirements also decreases causing a low motivation of theemployees. The motivation is governed by the need pattern of aperson. For simplicity only two categories of needs, thephysiological and psychological have been considered, and theseneeds in the inverse proportion of there satisfaction creates a basicurge in the human being which leads to behaviour. The behaviourcan be desirable or erratic depending on many factors suchpersonnel goal, working conditions and degree of supervision(Sabegh & Sharma, 1991). A person before engaging himself inerratic or desirable behaviour weighs his perceived losses andperceived gains. The perceived losses are affected by the securityneed satisfaction. The higher is this satisfaction less will be the

perceived losses and will lead to more erratic behaviour reducinglabour output. The security need satisfaction depends on the levelof competition present and also on the government regulation. Thelevel of competition is influenced by the market share, with largermarket share and lesser competition security need satisfactiondecreases. The delay in rewards, financial and non financial leadsto increase in the erratic behaviour. The professional effort for on-the-job training and leadership reduces the erratic behaviour.

THE PROFESSIONAL RESOURCESProfessional resources are again a type of human resources butdifferent and distinct in nature by being oriented towards makingthe necessary business decisions, laying down policies andproviding organizational leadership (Sharma & Sharma, 1982).

As distinct from effort which contribute directly to enhancing andor supporting the productive function, the managerial know how isthe input which sets the direction. Lynesis (1984) states that"professional resources manage the activities of the company, theyinevitably influence all aspects of the competitive value ofcompany products in the market place, understanding the effectof professional resources on corporate growth is much moredifficult than understanding the effect of production and financialresources."

Ranftle (1981) has stressed that the technique practiced bymanagement have tremendous potential for either stimulating ordepressing productivity. Management attitudes, action andpersonal example prevade the organization and directly affectemployee attitudes motivation and action. In another context hestates that "Management must create a proper climate for highproductivity - an open, performance oriented professionalclimate...".

The above discussion shows that the relationship betweenprofessional resources and productivity is complex. Productiveprofessionals must exercise acute awareness and perception,continually picking up and interpretting cues and tailoring theirapproaches and techniques as appropriate for each situation.

Fig. 5 shows the professional resources sector model the basicstructure of the model is common in many ways with that of theLyneis (1984). The professional effort available can be directed toother sector depending upon the productivity indices. The

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productivity indices have been compared with the base periodindex before deciding the amount of attention a particular sectionneeds.

THE MODEL LIMITATIONThe primary difficulty in using this model is the units which are noteasy to measure many behavioural factors quantitatively, howeverattempts have been made to partial quantify some of the factors.The motivational model has been simulated without bothering forunits.

CONCLUSIONSSimulation experiments with this model have been tried andfollowing policy guidelines are being suggested:

1. For organizations to improve productivity especially indeveloping countries, it is the quality or skill of managerialresources which plays the dominant part in improvingproductivity.

2. Out of the total professional effort available, more effort hasto be directed towards on the job training of employees forimproving productivity gains.

3. The productivity measurement provides valuable informationto strategic policy planners in making decisions to concen-trate on specific operational areas to improve productivity.

4. The management philosophy is to be so oriented that thenecessity of striving to earn and its consequent enforcementthrough a perceived reward and fulfillment cycle does not getobscured.

5. The external factors such as the political factors, governmentregulation, bureaucratic delays, pay policies and autonomy indecision making have to be made more conducive.

6. Declining professional efficiency can be avoided by lessergrowth rate and market share.

7. As the market share grows substantially, and the level ofcompetition falls, this reduces the pressure on the profes-sionals thereby reducing productivity. The rapid changes in

11

technology does not improves productivity substantiallyunless it is matched by quality of professional.

To improve productivity of organization a strongly motivatedprofessional cadre of managerial and technical executives have tobe created and attracted to run the enterprise as distinct profitcentre all necessary authority, backup support and flexibility haveto be offered to make the management more autonomous andaccountable for results. Capable professionals willing to shoulderthe responsibility have to find the higher births, all otherconsideration must rank secondary. Strong leadership whichinfluences and alters the motivation aspects of the employees hasto be created at all levels and a tough minded philosophy ofmanagement has to be pursued, any irresponsible behaviourdetrimental to productivity has not to be condoned for any reasonswhatsoever. The external factors like labour laws, labour courtstrade unionism and political situations have to change forimproving productivity. An ethical competition should always bepresent for maintaining pressure on the management to beproductively oriented.

Base periodproductivity

Effect of professional efforton different sector

Productivitygain or loss

Total productivityand partial productivity

Value of ————semifinished goodValue of ————finished good

Productivitymeasurement

Prof, input cost

Human input costCapital input costMaterial input costOther expenses cost

Fig. 1: Factors involved in productivity measurement and effect ofmeasuring productivity on other sectors.

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Technology

+Production capacityorder rate

Production capacity +arrivals

Productioncapacity —

Parts inventory+

Parts arrival

Technologychange rate

+

R&D investment

Desired productioncapacity

-j- Productionk rate ——

'

Parts order rate

Effect ofprofessionals onacquiring technology

+ +V l^USk LL

order

^- Ur

——————— ̂ oru^. — —————————————

rate _

Delivery Productiondelay price

+ t t+

T +filledj__

financial- resources

Fig. 2: The production capacity, technology and market demand sector.

Production capacityorder rate

Production capacityarrivals

Desired productioncapacity

-f

Investment expenditure

Indicated financing

Debt financing

Debt

Customerorder rate

Market share

Production capacity ———t Production rate

Supply of financial

'+Cash flow from

operation

Unfilled order

Debt equity ratio

Earnings

+Dividend

Retainedearning

Equity

resource

Fig. 3: The financial resources sector and its effect on other sector

Effect of technologyon labour

Level of competition ^———— Market share ——•——^ Customer order rate ————^ Desired labour

OtherFactors

-Security

Production rate Potential output 4~from labour +

Technology —i

Motivation

i+^Behaviour

need Prof, effort onthe job training

Perceived losses -^ Erratic beh. rate

Effect of erratic beh. ̂ ———— Erratic beh.

Rewards

Fig. 4: The Labour and Motivation Sector

Labour ^-+

Labour hiring/firing rate

Physiological

Phychological

Desirable beh. rate

Desirable beh. Effect of desirable beh. _

Delay

Non financial 4——— Promotion policies

Financial Financial positionof comp.

Professional +being assimilate 'T"

Professional +hiring rate ^~

Professional

Professional 4"effort onimproving itsquality

Professionalindicatedby budger

Customer ~j~order rate T"

Marketshare

—Professional—|_ effort

—t- available

Profession —effort onand research

Professionaleffort on recruitingand training

Erratic —behaviour

-^ Potential output+ form labour

Productionrate

Fig. 5: Professional resource sector and its on effect on market share

REFERENCES1. Agrawal, S.C., 1979, A Study of Productivity Measures for

Improving Benefit Cost Ratios of Operating Organisation. Proc.5th. Conference Production Research, Amsterdam, the Nether-lands, August 12-16, pp. 64-70.

2. APO (1986-A), Technology Assimilation and Adptation) AsianProductivity Organisation Tokyo.

3. APO (1986-B), In Quest of Human Dynamism, Asian ProductivityOrganisation, Tokyo.

4. APO 1989, Hybrid of Man and Technology, Asian ProductivityOrganisation, Tokyo.

5. Crandall, N.F. and Wooton, L.M. 1978, Development Strategies ofOrganisational Productivity, California Manag. Rev., Vol. 21, No.2, pp. 37-46.

6. Dessler, G., 1985, Management Fundamentals: Modern Principles &Practices, Reston Pub. Company. 4th Ed. Virginia, USA.

7. Diawati, L., Kawashima H., Hayashi Y., 1993, Better Design ofHuman Resources Development Policies, Proceedings of FifthNational Conference on System Dynamics, I.I.T., Delhi, pp. 267-279.

8. Roberts, B.E., 1978 Managerial Application of System Dynamics,the MIT Press, Cambridge, Massachusetts and London, England.

9. Forrester, J.W., Industrial Dynamics, M.I.T. Press, Combridge,1961.

10. Freser, D.A., 1981, Employee Participation for Productivity: ALabour View, In Productivity Prospects for Growth ed. Rosow M.J.,pp. 310-329.

11. Stephen, F.H., 1981, Employees Participation for Productivity: AManagement View, in Productivity Prospects for Growth ed.Roswon M.J., pp. 296-309.

12. Hershauer, J.C. and Ruch, W.A., A Worker Productivity Model andIts Use at Lincoln Electric, Interfaces, Vol. 6. No.

13. Jacob, B.M., and Jacob, P.E., Automation and Humanization (draft)Research Corporation of the University of Hawaii, August 20,1979, p. 91.

14. Joji, A., 1979, Productivity-the Japanese Approach, ProductivityEngineering, September.

15. Lei, M. and Zhand X., 1989, Proceedings of the 1988 InternationalConference on the System Society, California, SUSA, July 5-8. pp.247-58.

16. Lyneis, J.M., 1988, Corporation Planning and Policy Design, ASystem Dynamics Approach, Pugh-Robert Associates, Inc., Cam-bridge, pp. 354-388.

17. Milkovich, G.T. and Bouradreau, J.W., 1991, Human ResourceManagement, Richard D. Irwin, Inc., Home Wood, pp 404-443.

18. Pugh-Robert Associates Inc., 1986, Professional, Dynamo Plus,Simulation Software, Pugh Robert Associates Inc., Cambridge.

19. Ranftle, R.M., 1981, Making Research and Development work, in

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Productivity Prospects for Growth, ed. Rosow J.M.K. VanNostrand Reinhold, NY, pp. 204-239.

20. Rosow, J.M, 1981, Productivity Prospects for Growth ed., van.Nostrand Reinhold, Company.

21. Ramanathan, K. and Chandra Tilleke, K.L (1989), Country CaseStudies: Sri Lanka, in Hybrid of Man and Technology, ed. HyungSup Choi et al., Asian Productivity Organisation, Tokyo, pp 309-333.

22. Sumanth, D.J. and Omachonu V.J., 1982, Productivity Improve-ment in Manufacturing Companies - A Nation Wide Survey,Working Paper.

23. Sumanth, D.J., 1979, Productivity Measurement and EvaluationModels for Manufacturing Companies, Ph.d Dissertation, IllionsInstitute of Techonolgy, University Microfilms International AnnArbor, no 80-03, pp. 665.

24. Sumanth, D.J., 1985, Prodictivity Engineering and Management,Mc-Graw Hill Book Company New York, pp. 12-46.

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BIODATASa'ari b. Md. Nooh, works for the State Government of Johor/JohorCivil Services. He has B. A. (Hons) from Universiti KebangsaanMalaysia and an M.B.A. from the Graduate School of Business atNew Hampshire College in Manchester, New Hampshire, He is a Ph.D.candidate (Business Administration with International Managementspecialty) at Nova South Eastern University in Fort Lauderdale,Florida. He is currently doing research in product attributes andperception of product quality.

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INFORMATION TECHNOLOGY ANDQUALITY CONTROL

BySa'ari Md. Nooh

IntroductionQuality is a primary objective of the business enterprises in thedecade of the 1990s. This means that value enhancement tocustomers through quality control is necessary for sustained com-petitiveness and perpetuation of business enterprise.

The objective of information technology (IT) in businesses is togain various advantages. Namely, (i) sustain product or servicequality and competitive advantage, (ii) keeping pace with changingtechnology and monitoring of its performance, (iii) long-termsuccess of organisation, (iv) increasing customer value, and (v)maintaining the intended quality design and quality of confor-mance.

The question is how can information technology (IT) contribute tothe business enterprise's product or service quality control per-formance? How can a business enterprise maintain the resultingquality control through information technology? This paperattempts to address the above issues and proceeds as follows.Firstly, this paper provides a conceptual definition of quality controland information technology. Secondly, the paper examines therequirement and application of information technology in businessenterprise's operations system. Finally, the paper discusses variousfactors to achieve quality control through the use of informationtechnology.

Definition of Quality Control and Information TechnologyContinuing from the previous work of Deming (1982) who stressesthe "prevention" aspect of control as did Juran (1989) and Shewhart(1931). The three individual stress corrective action is control. Takingcorrective action to eliminate the causes of the problem is a necessarypart of control.

For the purpose of this paper, quality control refers to a high levelof activity and overall systems in the fields of the product

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specification, verifications, audits, production, installation, andinspection. In other word it may regarded as a set of procedures fordefining, measuring, and improving reliability so as to reducedefects and lower rejection rates.

In addition, the information technology refers to those technolo-gies which will be used as a tool to achieve products or servicesquality control. In other words, information technology is non-human resources that include device such as computers, microprocessors, communication lines, software applications, tele-phones, artifical intelligence (AI), expert system (ES), and the like.

Requirements and Applications of Information TechnologyGenerally, the need of new technology such as advancedmanufacturing technology (AMT) or information technologyderived from several factors (see Exhibit 1):

(i) Major influence and trends: These factors refer to thetrends such as a shorter product life cycle, and pressureto improve quality in business enterprises, competitive-ness, and survival in the long-term. Thus, the newtechnology is essential in business enterprise investment.

(ii) A changing and uncertain environment: The need fornew technology stems from various changing climatesand uncertain fields such as demand uncertainty,unfavourable competition, fragmented markets, andthe like. Without new technology, a business enterprisecannot endure the competitive turbulence and variousstrategies coming from its competitors.

(iii) A slow down in productivity growth: This refers to theslow productivity growth that has been experienced inthe American economy. For example, this has led to lowjob level growth and a reduction in real wages. Theinvestment in new technology is needed to improveproductivity and job growth level.

(iv) Increased international competition: This factor has ledto the business enterprise being faced with'its competi-tors that have significant advantage in product or servicequality. This challenge has led the firm to lose its marketshares, customers, and contributed to the nation's tradedeficit.

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(v) Advanced technologies: This refers to the advancedtechnologies. A business enterprise needs to update itstechnology strategies in order to achieve production orservice flexibility so that it will be able to respond to thechanges in the market place.

Responding to these challenges, firms need to employ new tech-nology (refers to both automotive or information technology) toimprove product/service quality and enhance quality control, reducecosts, introduce new product/service, improve productivity andabove all to achieve flexibility and to survive.

The contribution of information technology can be applied intothree areas:

1. Process Monitoring and Control Technologies.

The most obvious application of IT is to fulfill a requirementacknowledged by every quality product. An effective programfor quality achievement must have a clearly defined standardagainst which performance is measured. IT can fill this role ina variety of ways by collecting performance data and bypresenting the relevant analysis clearly and precisely. IT alsocan be used to help in the development of quality impro-vement activity by modeling prospective scenarios and bytracking the results of quality improvement.

The use of computer process monitoring (CPM) and com-puter process control (CPC) is an example to support theprocess monitoring and control technology facilities. CPMrefers to the use of a computer to gather information aboutthe manufacturing process. With CPM, information aboutthe process flows only one way, form the process beingmonitored to the computer. In this case, process adjustmentsare made by human operators using the computer informa-tion. An enhancement over CPM is computer process control(CPC), which refers to a system where the process ismonitored and controlled directly by the computer. Forexample, if the computer noticed that a machine tool wasworn beyond a specified dimension, it would automaticallyshut the machine down, and perhaps even replace the toolautomatically. The main benefit of CPM or CPC is that theyimprove production scheduling and product quality. Machinemalfunctioning, worn tooling, and variations in input mate-rials may lead to a process difficult to schedule and that

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results in poor quality. Without CPM and CPC, many ofthese process problems may remain undetected or unidenti-fied. Furthermore, the advent of CPM and CPC has to someextent changed the methods to measure and control quality.

2, Customer Service

In terms of quality, customer service must be defined toencompass every aspect of the interaction between thecustomer and the company. In addition to its after-the-fact,purely reactive components (helping with problems andmaintenance following delivery of product or service).Customer service includes the provision of pertinent productor service information to customers. These include theexchange of relevant transactional data, the provision oforder status information and the delivery of product orservice). Customer service includes the provision of pertinentproduct or service information to customers. These includethe exchange of relevant transactional data, the provision ororder status information and the delivery of the product andservice. The main goal in customer service quality control isto satisfy the customer and achieve zero defection in serviceoperation (Richheld and Sasser, 1991).

The use of IT in a customer service market provide manyadvantages in its operations. IT provides customers with pro-active information in that orders or purchases can beautomatically changed according to pre-arranged purchasecriteria and terms. IT exchanges increasingly occur electro-matically with both receipt and dissemination tailored toinclude work flow requirement. Many industries use IT in itsoperations such as auto service chains, credit cards, creditinsurance, industrial distribution, industries laundry, soft-ware, and the like.

American Hospital Supply (AHS), as an example, on atightwire due to increasing competition, determined that itcould provide more support to its customers by placingterminals in each customer location. Thus, the customercould easily order supplies when desired as well as check outprices and availability. The information technology providedto the customer was exactly the same as provided in the oldmanner when the customer called a salesman. The strategickey here was to provide quality service to the customer and

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IT was the way to provide quality service to the customer andIT was the way to go about doing it (Keyes, 1993).

3. Production Support System

Production support system contributes to quality control intwo significant ways (Ashmore, 1992). They include:

(i) To help enhance quality control by supporting in per-forming actual production tasks in a way that minimizeserror or problem with products or provides betterproducts, and

(ii) To have post impact on service quality by improvingproduct availability, keeping the customer well in-formed, and accurate information is shared amongmarketing sales, maintenance and production function.

The first category, obviously has long been recognized as anarea for potential contribution by IT. It embraces all of thetraditional reason for automation including yield, producti-vity and cost control. For instance, Computer IntegratedManufacturing (CIM) bring into manufacturing productionall of these technology such as computer aided design (CAD),computer aided engineering (CAE) and computer aidedmanufacturing (CAM).

According to Sutherland and Morieux (1991) CAD and CAEhave significantly improved the design process. CAD refers tothe use of a computer to create or modify an engineeringdesign. CAE enables a design to be tested to ensure that itdoes not violet any mechanical, heat, stress, or otherengineering properties. Noori (1990) claims that CAD andCAE offer the potential for susbstantial gains over thetraditional method of design in the area of product flexibility,modification flexibility, design access, quality, and produc-tivity.

Again Noori (1990) stress that the quality contorl in the CADand CAE application is significant. Design part can be testedfor performance before being run, and any required changesto upgrade the quality of the product can be easily made. Thisalso not only saves time and money but also sustain thequality that perceived by the customer.

25

On the other hand, CAM refers to the use of computers tocontrol or monitor manufacturing operations directly,including the use of Numerical Control Machine (NCM),Computer Numerical Control (CNC), Industrial Robot, andother process monitoring control. CAM is a generic termused to describe the complete range of computer applicationsin direct manufacturing activities. It is therefore obvious thatCAM in combination with NCM provides excellent qualitycontrol and eliminates human error during machiningprocesses (see Exhibit 2).

CAD, CAE, and CAM techniques have been used extensivelyin the aerospace and automotive industries. In the aerospaceindustry, the development of Airbus family aircraft, as anexample, all 200,000 component drawing by some 2,000engineers and drafters in Germany were produce on CAD,none by hand. With the CAD, Airbus possesses significantadvantage in producing high quality commercial aircraft.Consequently, they captured the world's largest commercialaircraft market (Stark, 1990).

In the automobile industry, Chrysler, as an example, uses apowerful Cray computer for numerical-intensive CAEapplication such as finite element analysis and simulatedcrash testing. Also introduction of Dassault Systems' CATIAsoftware as the primary system for CAD results in consistentdesign standards internally and with outside suppliers. TheChrysler advantage of using CAE and CAD is significant inquality control on every car Chrysler produce. As a result,defective materials received at plants have been reduced bynearly 90% in six years (Tortolano, 1990).

The second category deals with the cross-functional informa-tion exchange and interaction between production and otherbasic business functions. If properly exploited, this IT canenhance production efficiency and effectiveness by improvingmaterials management, increasing production throughput,and supporting the design and operation of customer-definedproduct designs and flexible manufacturing processes.

General Electric's aircraft engine development section, as anexample, utilises the information exchange between the GE'steam development with its customers (commercial airframemanufacturer and government military planes) from the

26

distant. The purpose of this information exchanges is to getmore information so that whatever the customer appeal, itcan be translated into aircraft engine specifications. Thisspecification, will also help GE's aircraft engine controltechnologies to measures engine parts defection in order toensure top quality and perfect essential (McKenna andLenorovitz, 1990).

Key Success Factors

(1) Integrate IT with advance manufacturing technology(AMT)

The first way to achieve quality control success is to useIT with AMT in the operations techniques either in themanufacturing or service sector. Business enterpriseshould integrate the use of AMT-refer to technologieswhich are used directly by the firm in the production ofproducts (e.g. television sets) or services (e.g. hospitaloperation rooms) with information tech-no logics. Onthe other hand, it refers to those tech-nologies which areused to generate and transmit infor-mation esential tosupport the production of goods and services (seeExhibit 3). With the aid from IT, it could administerthe operation in a better way by controlling the humanerror, scheduling, machine defection and enhanceeliminate unnecessary cost or time.

(2) IT as Organisational Support/Corporate Strategy

A second way to achieve quality control is to use IT asorganisational support or corporate strategy for a firm'sproducts or service whether technology based or not).As in the case of the business enterprise, choose IT as aorganisational support in producing goods or service.Firm embeds IT as a corporate strategy because IT as acritical success factors (CSFs) for the long-term survivalof every firm. Firm choosing to use IT in operationtechniques or production support in this way are seekingto develop high quality goods or services. Hereinformation technology is allowed to measure the firm'smarket, monitor performance, analyse the environment,communicate the mission, and in the end to suppliers,customers, and employees.

27

Firms using this strategy emphasise quality, zero defec-tion, elimination of waste or differentiation (Porter, 1980).As previously mentioned that the customer service firmcan achieve quality control success in service through ITusing a customer focus; (a) providing customer withterminals to enter orders directly, and (b) using IT totarget potential customers for other products.

(3) IT as sources to detect problem and analyze for solution

IT is not useful to many firms or business enterprise if itis not used extensively. IT as utilise in the AmericanHospital Supply, as an example, has been used for trackdefection, search, and decision making in an inexpensiveway. Defection analysis can also help companies decidewhich service quality investment will be profitable. ITused to find defection can point to common transitamong customer. The company can use defection ratesto classify its quality service level.

(4) Commitment of the Whole Organisation

The fourth way to see quality control success is to makeIT as the commitment of the whole organisation.Investment in IT by itself will not automatically reapbenefit. It is the creative, ingenious, and often intuitiveuse of new techniques and the willingness to make alongterm commitment. On the other hand, total quality/quality control involves the whole origination from topto the bottom. High levels of quality are not necessarilysynonymous with being successful. One prerequisite forthe distinguished achievement information technologyand quality control is the management commitment.Top management must develop a program geared atinspiring quality control through IT as a predominantphilosophy. With management commitment, employeeparticipation in quality control will be valuable.

Summary and Conclusion.The reasons for the use of IT in business enterprise stems formpressures of the firm (internal and external). These include: majorinfluences and trends, a changing and uncertain environment,productivity slowdown, global competition, and advance technol-ogies. Overall, the investment in the IT is essential to improve

28

quality, launch new product quickly, productivity, flexibility,compete globally and to survive.

The contribution of IT to quality control has been addressed intothree areas: process monitoring and control technologies, customerservice, and production support system. However, investing in ITby itself will not automatically gather benefit. The success of IT inquality control needs various support not only in terms of financialbut' also organizational support, commitment of the entireorganisation, integration with other firm's operations techniques,and using IT as a tool to seek quality control objectives.

Finally, the main focal point is that every business enterprise mustrealise its IT capacity and function in order to create a capabilitythat is responsive to customers (internal or external) and thequality needs of the business.

REFERENCES AND RESOURCESAshmore, G.M. (1992). Bettter information means better quality. The

Journal of Business Stratetgy. 13 (1). 57-59.Belohalv, J.A. (1993). Quality, Strategy, and Competitiveness. California

Management Review. 35 (3), 35-65.Chan, P.S. and Heide, D. (1992). Information technology and the new

environment: developing and sustaining competitive advantage.Sam Advanced management Journal. 57 (4) 4-9.

Deming, W.E. (1982). Quality, Productivity, and Competitive Position.Cambridge, Massachusetts: MIT Center for Advanced EngineeringStudy.

Drdyfust, J. (1988). Victories in quality crusade. Fortune 84 (1).Farrell, C. and Song, J.H. (1988). Strategic use of information tech-

nology. Sam Advanced Management Journal. 53 (1), 10-16.Freund, R.A. (1987). Definition and basic quality concepts. In Mehran

Sepheri et al., (eds). Quest for quality: Managing the total system.Atrlanta: Industrial Engineering Management Press.

Fuqua, V. and Yeage, R.L. (1993). Taking the right track on carpetmaking. Manufacturing System. \ \ (5), 42-47.

Gale, B.T. and Klavans (1987). Formulating a quality improvementstrategy. In Mehran Sepheri et al. (Eds). Quest for quality:Managing the total system. Atlanta: industrial EngineeringManagement Press.

Groves, RJ. (1991). If you are going to compete: Know the issue"Financial Executive. 1. (1), 24-25.

'Juran, J.M. (1989). Quality Control Handbook. 5th Ed. New York:MacGraw Hill Incorporation.

Keyes, J. (1993). Infotrends: The competitive use of information. NewYork: MacGraw Hill Incorporation.

29

King, W.R. (1989). Using information and information technology forsustainable competitive advantage: some empirical evidence.Information and Management. 17. (2) 87-93.

Marquardt, D.W. (1987). New technical and educational direction formanaging product quality. In Mehran Sepheri et al. (Eds). Quest forquality: Managing the total system. Atlanta: Industrial EngineeringManagement Press.

McKenna, J.F. and Lenorovitz, J.M. (1990). GE to develop new large-thrust engine for commercial aircraft. Aviation Week SpaceTechnology. 132 (1), 24-27.

Noori, H. (1990). Managing the dynamics of new technology: Issue inmanufacturing management. Englewood Cliffs, New Jersey: Pren-tice-Hall.

Porter, M. (1980). Competitive strategy. New York: The Free Press.Reichheld, F.F. and Sasser W.E. (1990). Zero defection: quality comes to

service. Harvard Business Review. 47(3), 103-110.Shewhert, W.A. (1931). Economic Control of quality of manufacturing

product. New York: Van Nostrand.Stark, J. (1990). Competitive manufacturing through information techno-

logy: The executive challenge. New York: Van Nostrand.Sutherland, E. and Morieux, Y. (1991). Business strategy and information

technology. New York: Routledge.Tortolano, F.W. (1990). How Detroit chases quality. Design News. 46

(19), 95-99.

30

EXHIBIT 1THE IMPETUS FOR TECHNOLOGY ADOPTION

Pressure on the firm(internal and external)

* Major influences.and trends (e.g.shorter life cycles,pressure to improvequality etc).

* A changing anduncertainenvironment

* Productivityslowdown

* Internationalcompetition

* TechnologicalAdvance

\

Why New Technology?

* To Improve ProductQuality/QualityControl

* To Introduce NewProducts Quickly

* To ImproveProductivity

* To Improve Flexibility

* To Compete Globally

* To Survive

1

WhocanBenefits

Both

small

and

large

firms

^

A

D

O

P

T

I

O

N

Source: Adapted from Noori (1990, p. 71)

31

EXHIBIT 2INFORMATION TECHNOLOGY INTEGRATION IN CIM

Order processing

Material requirementplanning

Capacity planning

Production planning

Production control

Data recording

Cost accounting

Shipment

Product design

Construction

No-pro gramming

Inventory management

Materials handling

Assembly

Maintenance

Quality control

C

A

E

C

A

D

M

Source: Adapted from Sutherland and Morieux. (1991, pg. 133)

32

EXHIBIT 3INTEGRATION OF INFORMATION TECHNOLOGY WITH AD-

VANCE MANUFACTURING TECHNOLOGY

New Technology

Advanced Technology

Advanced OperationsTechnology

AdvancedManufacturing

Technology(AMT)

InformationTechnology

33

BIODATA

Sabitha Marican is currently a senior lecturer at UUM. Obtained her Bachelor'sDegree from Point Park College in 1985 and Master's (Public Administration)from the Pittsburgh University, Pennsylvania in 1987. Areas of speciality are'Public Policy', 'Conflict Management' and 'Career Development'. Has writtensome articles on management and published in several magazines and localnewspapers. Has also produced several books such as 'Hubungan ManusiaDalam Organisasi' and Pengurusan Masalah dan Penyelesaian'.

34

PROGRAM PENGURUSAN STRESSKE ARAH MEMBENTUK BUDAYA

KER JA PRODUKTIF

Sabitha Marican(Universiti Utara Malaysia)

1.0 PENGENALANPentadbiran yang menghadapi stress sering dikaitkan denganketerjejasan dalam prestasi dan kepuasan kerja lantas menurunkanproduktiviti kerjaya (Jamal, 1984). Namun mereka yang mem-punyai strategi daya tindak peribadi (personal coping strategy)yang berkesan, dikenalpasti dapat mengimbangkan stress yangdialaminya di kadar optimum untuk terus bekerja dengan prestasiyang memuaskan (Benson, 1975; Selye, 1976).

Bukan sahaja pihak pengurusan atasan yang menghadapi cabarandalam menguruskan masalah stress. Malah ada kajian di negaraBarat yang menunjukkan bahawa kumpulan pengurusan tengah(pengurus) selalu tidak diberi peluang menghadiri seminar yangberkaitan dengan stress dan pengurusannya (Watson, 1989). Iniagak membimbangkan kerana sebagai pemimpin sesebuahorganisasi, mereka seharusnya berada dalam keadaan mentaldan fizikal yang sihat agar dapat membimbing diri sendiri danpekerjanya dengan berjaya ke arah mencapai matlamat organisasi.Para pengurus yang tidak diberi peluang ini, terdedah kepadabahaya stress dalam organisasi, memberi kesan ke atas dayatindak mereka dalam kerja, lantaran menjejaskan prestasi kerjamereka.

Dalam usaha menangani stress, setiap individu akan mengguna-kan strategi daya tindak yang berbeza-beza. Penggunaan konsepdaya tindak selalu digandingkan dengan stress kerana ia berkaitandengan tindakan yang dilakukan oleh individu dalam mengurang,menghalang atau mengawal kesan stress yang tidak menyenang-kan (Cox, 1978). Namun demikian, setiap strategi daya tindak itumempunyai tahap keberkesanannya yang tersendiri (Howard,1975). Kajian seperti Quick dan Quick (1984), Wolfe, Ulrich danParker, et. al., (1987) dan Maturi (1992) menyatakan tentang peripenting strategi daya tindak yang berkesan dalam mengawalstress.

35

2.0 STRESS, KEPUASAN KERJA DAN DAYA TINDAKStress adalah satu keadaan yang member! kesan ke atas emosi,pemikiran, proses dan fizikal seseorang (Selye, 1977). Walaupunsecara umumnya stress perlu untuk merangsang aktiviti kerja atauharian, namun terlalu banyak stress boleh menghasilkan pelbagaisimptom negatif yang boleh mengganggu prestasi dan kepuasankerja (Selye, 1977; Quick, 1984).

Dalam alam kerja, fenomena stress sering dilihat sebagai reaksiindividu terhadap ciri-ciri persekitaran kerja yang dianggap meng-gugat dirinya (Watson, 1989; Maturi, 1992). Ini kerana berlakunyasatu padanan yang kurang sesuai di antara keupayaan individudengan persekitaran kerja, yang mana kerja yang berlebihan atau-pun individu berkenaan tidak mempunyai kebolehan, mahupunkelengkapan yang cukup untuk mengatasi sesuatu keadaan bolehmenyebabkan berlakunya stress (French, 1963).

Beberapa aspek kerja yang sering dikaitkan dengan stress adalahkepuasan dan prestasi kerja. Kajian Cooper dan Hensman (1985)umpamanya mendapati bahawa pekerja yang mempunyai kadarstress yang rendah mengalami tahap kepuasan kerja yang tinggi.Banyak kajian lain (Jamal, 1984; Kahn, Wolfe, Quinn, Snoek danRosenthal, 1964; Landerweed & Boumans, 1988) juga menunjuk-kan perkaitan yang signifikan antara stress dan kepuasan kerja.

Kepuasan kerja secara umumnya dapat didefmisi sebagai sikapseseorang terhadap kerjaya (Genchmen & Wiener, 1975). Ke-puasan kerja juga berkaitan dengan pusing ganti, ponteng kerjadan produktiviti. Pelbagai kajian mengenalpasti bahawa lebihtinggi kepuasan kerja, maka kuranglah kemungkinannya untukponteng kerja serta pusing ganti dan memungkinkan produktivitiyang lebih tinggi (Schneider & Snyder, 1975).

Dari sudut strategi daya tindak, stress dan kepuasan kerja mem-punyai hubungan yang erat dengan strategi daya tindak (copingstrategy) terhadap stress. Kajian Cooper dan Hedsman (1985)mengenai stress di kalangan eksekutif menunjukkan bahawa stressboleh berlaku dalam mana-mana masyarakat sekalipun dan bukanhanya di kalangan eksekutif di negara Barat sahaja. Mengikutkajian tersebut, penyelidik menyatakan bahawa tekanan ke ataspengurus untuk bekerja dalam suasana sosiologi, ekonomi danteknologi yang mengalami perubahan yang pesat seperti di negara-negara Singapura, Mesir, Nigeria, Brazil dan Jepun juga mulamerasakan kesan negatif stress dari punca-punca tersebut. Kajian

36

Cooper dan Hedsman (1985) juga mendapati di Britain, JermanBarat dan Amerika Syarikat, para eksekutif mempunyai peng-kadaran yang baik dari segi kesihatan mental dan kepuasan kerja.Namun di Jepun, walaupun mereka produktif, tetapi 32% dari-pada para eksekutif tidak berada dalam keadaan mental yangsihat. Kesihatan mental dalam konteks ini didefinisikan sebagaikeberkesanan fungsi, kesihatan, kepakaran dan daya saing(Cooper & Hensman, 1985).

Strategi daya tindak merangkumi pelbagai aspek. Salah satu dari-pada strategi daya tindak stress boleh dikaitkan dengan sikap sese-orang itu. Mengikut beberapa sumber seperti Carver dan Scheir,(1981); Benson (1975), Burke (1971), folkins (1976), Herbiak (1993)dan Scheir et al. (1987), individu yang bersikap optimis, bersikapterbuka, fleksibel dan ekstroversi sering mempunyai strategi dayatindak yang lebih baik. Howard (1975) pula mengenalpasti dayatindak yang selalu digunakan untuk mengatasi stress secara ber-kesan adalah seperti berikut (mengikut urutan kepentingan)

i Menukar kepada aktiviti yang menarik bukan dalambentuk kerja.

ii Bercakap mengenainya dengan kawan-kawan sekerja.

iii Menganalisis situasi dan mengubah strategi.

iv Asingkan cara hidup pekerjaan dan cara hidup.

v Melibatkan diri dalam senaman fizikal yang teratur dirumah.

vi Berbincang dengan suami/isteri.

vii Membina halangan dengan mengamalkan cara hidupyang sihat (pemakanan, senaman, hubungan dan santai).

viii Mengasingkan diri secara fizikal dari stress tersebut.

ix Bekerja dengan lebih kuat.

x Mengubah kepada tugas kerja yang berlainan.

Howard (1975) juga merumuskan bahawa individu yang mengam-bil berat tentang dirinya dan menangani secara terus stress yangdialami kurang mengalami kesan simptom untuk sakit Psikoso-matik berbanding dengan strategi daya tindak stress yang lain.

37

Kualiti hubungan manusia yang baik juga boleh dikaitkan dengandaya tindak terhadap stress dan kepuasan kerja. Namun, ke-banyakan pengurus kurang memberi perhatian dalam memeliharakualiti hubungan manusia yang baik. Ramai pakar teori organisasimenyatakan bahawa hubungan yang baik antara pekerja orga-nisasi merupakan faktor utama dalam meningkatkan kesihatanorganisasi. (Likert, 1961; Agyris, 1964). Fenomena ini menunjuk-kan bahawa memelihara hubungan interpersonal yang kukuh ada-lah penting untuk kesinambungan keadaan kesihatan yang baikdalam menangani stress.

Pengukuran perasaan negatif juga mempunyai hubungan denganpengurusan stress, kekecewaan, perasaan bimbang, ketidakpuasankerja dan aduan sakit berbentuk somatik di tempat kerja. Olehyang demikian seseorang itu harus bersikap positif ke arah pem-bangunan dan peningkatan diri. Dengan cara ini, individu ber-kenaan akan dapat mengembangkan teknik anti-keletihan kerja(Lurie, 1987; Quick and Quick, 1980).

Strategi daya tindak senaman juga didapati mempunyai kaitandengan usaha menangani stress. Individu yang selalu bersenamdidapati kurang merasa tegang atau stress di samping merasa lebihyakin pada diri sendiri dan lebih bersifat optimis. Mereka yang tidakbersenam secara teratur akan lebih mudah merasa tegang, murungdan kesan negatif lain yang berkaitan dengannya (Folkins, 1976).Mengenai kesantaian pula, kajian Benson (1975) menunjukkanbahawa mengambil rehat selama 20 minit sehari mempunyai kesanyang besar ke atas keberkesanan dalam kerja dan peningkatankeupayaan dalam menahan stress di kalangan pengurus.

Satu lagi bentuk daya tindak yang dikenalpasti dalam menanganistress ialah bentuk Transcendental Meditation atau TM. Badan-badan korporat Jepun banyak menganjurkan dan menggunakanTM sebagai cara untuk mengurangkan stress dan merangsangkansikap positif. Cara TM dilaksanakan ialah dengan menutup matadan menyebut mantra (iaitu bunyian yang mengandungi satubunyi 'Syllable' sahaja). lanya tidak memerlukan banyak tumpuandan sesuai dengan mana-mana gaya/cara hidup. Ahli korporatJepun juga telah mendapati bahawa cara TM ini dapat membantuseseorang untuk tidur dengan lebih nyenyak, lebih berhati-hatidan meningkatkan keberkesanan pekerja. (Subramaniam, 1989).Skala pengkadaran prestasi menunjukkan TM telah meningkat-kan kepuasan kerja dan prestasi hampir dua kali ganda dikalangan pekerja, dan telah mengurangkan perasaan bimbangsebanyak satu setengah kali ganda. (Subramaniam, 1989).

38

Aspek pemakanan yang sihat juga adalah salah satu strategi dayatindak yang mempunyai perkaitan dalam menangani stress. KajianHerbiak (1993) mengatakan bahawa individu yang makan tiga kalisehari dan digabungkan dengan dua snek yang 'berkualiti' dapatmembantu mengirhbangkan tahap gula dalam badan dan mem-berikan individu tersebut berfikir dengan lebih jelas.

Secara ringkasnya, boleh dinyatakan bahawa ada pelbagai strategidaya tindak yang merangkumi dari aspek sikap optimis ataupesimis, pecancangan masa, hubungan interpersonal, kesedarandiri, senaman dan pemakanan yang sihat, kemuanya amat bergunauntuk menangani stress.

Cooper dan Hensmen (1983) menyarankan bahawa mereka yangmempunyai kadar stress yang rendah selalunya mengecapikepuasan kerja yang tinggi. Kerangka ini disokong oleh kajian-kajian Watson dan Clark (1984), Watson dan Pennebaker (1989)dan Watson et al. (1987) yang mana semuanya mengatakanbahawa individu yang mempunyai perasaan negatif selalunya adahubungan dengan pengukuran stress yang tinggi, kekecewaan,perasaan bimbang, ketidakpuasan kerja dan aduan sakit ber-bentuk somatik di tempat kerja.

Disamping itu, kajian ini juga telah dijalankan di Control DataCorporation dan Johnson & Johnson's (Maturi, 1992) yang jugamenunjukkan bahawa strategi daya tindak yang menggunakan ga-bungan teknik seperti senaman, mengurangkan rokok, menjaga beratbadan, kaunseling pemakanan telah membawa kepada perubahanyang positif dalam bentuk fizikal dan psikologi pekerja-pekerjanya disamping mencatatkan tahap tekanan yang kurang.

KEPENTINGAN KAJIANArtikel ini berdasarkan kepada kajian yang tidak dilaksanakan keatas pentadbir. Kajian tersebut, bertujuan untuk melihat strategidaya tindak stress yang dapat membawa kepada tahap kepuasankerja yang maksimum. Ini penting, agar maklumat yang sedemi-kian dapat digunakan dan disyor-kan kepada organisasi dalamusaha menangani stress yang dihadapi.

Program-program yang bertujuan untuk membantu meningkatkankesihatan pekerja semakin mendapat perhatian dalam suasanapembangunan ekonomi dan teknologi yang semakin canggih.

Ternyata banyak organisasi yang telah memulakan program yang

39

dibentuk ini untuk meningkatkan kesihatan pekerja dari segi mentaldan fizikal. Contohnya, pelbagai program telah dibentuk untuk rae-ningkatkan produktiviti, di antaranya ialah masa boleh ubah(Golembiewski dan Proehl, 1978), pengurusan mengikut objektif(Kondrasuk, 1981), kumpulan kawalan mutu (Munchus, 1983), dansistem mentor (Hunt dan Michael, 1983). Kesemua usaha ini ber-tujuan untuk membentuk tingkah laku pekerja. Seterusnya banyakkajian telah dilakukan dalam menilai keberkesanan kaedah tersebutsamada ianya mampu merangsang pekerja dengan lebih kuat, lebihlama dan lebih berkesan. Namun kurang sekali kita dapati pengu-rusan melakukan penilaian ke atas perkaitan antara produktiviti danprogram kesihatan pekerja. Dengan yang demikian artikel ini akanmengutarakan beberapa strategi daya tindak yang digunakan olehpentadbir dalam me-nangani stress bersama cadangan mengenaiprogram pengurusan stress yang boleh dikendalikan dalamorganisasi. Khususnya, program baik pulih berorientasikan indivi-du dan organisasi disyorkan memandangkan pentadbir atau pekerjasecara umumnya menghadapi dan bertindak terhadap stress dengancara yang berbeza-beza.

METHODOLOGI KAJIANKajian ini menggunakan rekabentuk peninjauan keratan rentas(cross-sectional survey). Persampelan probablistik dilakukan denganmenggunakan pendekatan berlapis dan prositional daripada senaraijabatan yang dikenalpasti secara rawak. Pemilihan responden dari-pada jabatan-jabatan yang terpilih dilakukan dengan berpandukankepada strata kategori jawatan. Sebanyak 131 responden terdiridaripada pentadbir kategori A dan B telah mengembalikan soalselidik yang diedarkan.

PENGUKURANSkala cope yang diperolehi dari Carver et. al. (1989) digunakanuntuk mengukur berapa banyak strategi yang digunakan dalammenangani masalah yang dihadapi. Sebelum menjawab soalantersebut responden diminta menggambarkan situasi masalah yangtelah dialami dan bagaimana. dia telah bertindak terhadapnya.Skala cope ini mengukur daya tindak ekstrinsik (strategi dayatindak yang mengfokus pada masalah) dan daya tindak intrinsik(strategi daya tindak yang mengfokus pada emosi).

Manakala kepuasan kerja responden pula diukur denganmenggunakan ukuran Minnesota Job Satisfaction Questionnaire(MSQ) yang diperolehi dari Weiss, et. al. (1976).

40

DAPATKAN KAJIANDemogragi Responden

A.

Jantina

Jawatan

Bangsa

LelakiPerempuan

Kategori AKategori B

MelayuCinaIndiaLain-lain

Peratusan

8020

36.263.8

79.210.09.21.5

Maklumat Mengenai Pembolehubah BersandarStrategi Daya Tindak Terhadap Stres

Jadual la

Pembolehubah

Mengfokuskandan mengeluarkanemosi

Pemisah bentuktingkah lakuPemisah bentukmentalPemisahan bentukalkohol-ubatan

Markat

4

4

4

1

Markat

16

16

16

4

Median

10

10

10

2.5

Min

8.98*

8.20*

7.58*

1.17*

SD

2.75

2.73

2.59

0.62

Dapatan juga menunjukkan (Jadual la) bahawa responden kurangkecenderungan dalam menggunakan strategi daya tindak meng-fokus dan mengeluarkan emosi yang mempunyai purata 8.98 her-banding dengan nilai median sebanyak 10.0. Seterusnya strategidaya tindak pemisahan tingkahlaku, pemisah mental, dan pemisahalkohol-ubatan juga masing-masing mencatat markat minimumyang lebih rendah daripada nilai median. Ini menunjukkan ba-hawa responden mempunyai kecenderungan yang kurang untukmenggunakan daya tindak mengfokus dan mengeluarkan emosi,

41

pemisah tingkah laku, pemisah mental dan pemisah mental danpemisah alkohol-ubatan berbanding dengan strategi daya tindakstress yang lain.

Maklumat Mengenai Pembolehubah BersandarKepuasan Kerja Terhadap Stress

Jadual Ib

Pembolehubah

Inntrinsik

Extrinsik

Markat

16

10

Markat

35

28

Median

25.5

19.0

Min

17.06

21.44

SD

3.86

2.70

Dapatan kajian menunjukkan bahawa rata-rata markat min yangdiperolehi melepasi paras median. Ini menunjukkan bahawa res-ponden kajian secara umumnya mempunyai kecenderungan untukberpuas hati dalam kerja. Namun secara terperinci (Jadual Ib)markat min untuk kepuasan kerja dari sudut intrinsik adalah lebihrendah daripada median. Seterusnya markat min untuk faktorekstrinsik kepuasan kerja adalah lebih tinggi daripada markatmedian. Melihat pada markat min, dapatan kajian menunjukkanbahawa responden lebih cenderung berpuas hati dalam kerja darisudut ekstrinsik jika dibandingkan dengan sudut intrinsik.

Jadual 2a: UJIAN t UNTUK JANTINA DAN ANGKUBAHTRATEGI DAYA TINDAK TERHADAP STRESS.

min/SPAngkubahBersandar

Mengfokus danmengeluarkanemosi

Perkembangandan penterje-mahan positifBerserah padaagama

Pemisahantingkah laku

Lelaki

10.30/2.73

12.62/2.11

13.39/2.77

7.88/2.65

Perempuan

11.62/3.58

13.72/2.09

14.48/1.61

9.52/2.67

L

102

103

103

104

W

26

25

25

25

t

-0.1425

-1.3935

-2.0430

-0.5174

P

0.0431*

0.0207*

0.0128*

0.0066*

* p < 0.05 L = Laki-laki, W = Wanita, p = Kebarangkalian,n = bilangan

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Jadual 2b: UJIAN t UNTUK JANTINA DAN ANGKUBAHSTRATEGI DAYA TINDAK TRHADAP STRESS

min/SP nAngkubahBersandar

Extrinsik

Intrinsik

Lelaki

27.0/4.04

21.49/3.90

Perempuan

27.27/3.15

21.27/2.86

L

100

100

w

26

26

t

-0.3032

0.2699

P

0.7622

0.7877

* p<0.05 L = Laki-laki, W = Wanita, p = Kebarangkalian,n = bilangan

Hasil kajian menunjukkan bahawa strategi daya tindak terhadapstress di antara pentadbir wanita dan laki-laki mempunyai per-bezaan yang signifikan dari aspek strategi daya tindak bentukmencari sokongan sosial untuk tujuan emosional (MME), perkem-bangan dan penterjemahan positif (PPP), berserah pada agama(BPA) dan pemisahan tingkah laku (PTL). Melihat pada markatmin, pentadbir wanita lebih cenderung dalam menggunakan dayatindak mencari sokongan sosial untuk tujuan emosional (MSSE),perkembangan dan penterjemahan positif (PPP), berserah padaagama (BPA) dan pemisah tingkah laku (PTL) berbanding denganpentadbir lelaki.

Seterusnya dapatan juga menunjukkan bahawa secara umum fak-tor kepuasan kerja (KK) antara pentadbir wanita dan lelaki jugatidak mempunyai perbezaan yang signifikan. Nilai untuk faktorEkstrin (ekstrinsik) dan Intrin (intrinsik) juga menunjukkan per-bezaan yang signifikan antara pentadbir wanita dan lelaki.

Jadual 3: Ujian t Untuk Kategori Jawatan dan Pembolehubah StrategiDaya Tindak

min/SP nAngkubahBersandar

Pemisahantingkah laku

Pemisahanmental

Kategori' A

7.19/2.66

6.59/2.20

Kategori B

8.78/2.60

8.15/2.64

A

47

47

B

82

82

t

-3.3083

-3.403

P

0.0012*

0.0009*

* p < 0.05

43

Jadual 4: Ujian t Untuk Kategori Jawatan dan Kepuasan Kerja Daya Tindak

min/SP nAngkubahBersandar

Intrinsik

Ekstrinsik

Kategori A

26.35/4.27

21.11/2.98

Kategori B

27.45/3,59

21.62/4.04

A

45

44

B

81

82

t

-1.5391

-0.8024

P

0.1263

0.4241

* p < 0.05

Dapatan menunjukkan bahawa strategi daya tindak terhadap stressoleh pentadbir kategori A berbeza secara signifikan dengan pen-tadbir kategori B dari bentuk strategi, pemisah tingkah laku (PTL)dan pemisah mental (PM). Melihat pada markat min untuk pemisahtingkah laku (PTL) dan pemisah mental (PM) menunjukkan bahawaresponden Kategori B mempunyai kecenderungan yang lebih dalammenggunakan strategi pemisah mental (PM) dan pemisah tingkahlaku (PTL) jika dibandingkan dengan Kategori A. Strategi dayatindak terhadap stress yang lain menunjukkan tidak ada perbezaansignifikan antara pentadbir kategori jawatan A dan kategori B.

Perbincangan Hasil KajianHasil kajian menunjukkan bahawa pentadbir menggunakan semuabentuk strategi, namun kurang cenderung menggunakan strategidaya tindak mengfokus dan mengeluarkan emosi, pemisahanmental, pemisahan alkohol-ubatan dan pemisahan tingkah laku.Ini menunjukkan bahawa responden boleh bertindak dalam duacara, satu yang mengfokuskan masalah dan yang kedua ialahberfokuskan pada emosi. Strategi yang berfokuskan masalah ialahmelakukan sesuatu dengan berusaha menyelesaikan masalah atauberusaha mengubah punca stress tersebut. Bentuk strategi yangberfokus emosi ialah cenderung mengurang atau mengawalperasaan emosi terhadap stress yang dialami (Folkman danLazarus, 1980). Mengikut Carver dan Scheier (1989) bahawabentuk strategi mengfokus dan mengeluarkan emosi, pemisahmental dan pemisah alkohol-ubatan mempunyai kecenderunganyang boleh menganggu seseorang berfungsi dengan baik.

Ujian kolerasi (Jadual 5) menunjukkan bahawa untuk mencapaikepuasan kerja kedua-dua bentuk strategi daya tindak iaitubentuk ekstrinsik dan intrinsik adalah penting. Dalam erti kata

44

Jadual 5Analisis Karelasi Bagi Pembolehubah Kepuasan Kerja dan

Strategi Daya Tindak Terhadap Stress

Kepuasan Kerja

Daya Tindak Stress

Daya Tindak Aktif

Perancangan

Menahan Aktiviti yangBersaingan

Pemisahan MentalPemisahan Ubatan-Alkohol

Instrinsik

Ekstrinsik

0.404+++

0.419+++

0.213+++

0.096++0.249++0929+++

0.873+++

p<0.05p<0.01

lain, strategi daya tindak yang mengfokus pada masalah danstrategi daya tindak yang mengfokus pada emosi. Kajianmenunjukkan bahawa pentadbir yang mencapai kepuasan kerjamenggunakan strategi daya tindak daya tindak aktif, perancan-gan, menahan aktiviti persaingan dan pemisah alkohol-ubatan.Memandangkan kajian menunjukkan bahawa keseluruhan re-sponden kajian men-capai kepuasan kerja mungkin disebabkanmereka menggunakan gabungan strategi yang bukan berfokusemosi dan lebih ber-orientasikan menyelesaikan masalah dengancara yang seimbang. Oleh yang demikian, ini mungkin merupakanasas untuk ke-banyakan responden puas hati ditempat kerja.

Seterusnya analisis juga telah dilaksanakan untuk melihat samaada ada perbezaan yang signifikan dalam strategi daya tindakterhadap stress antara pentadbir lelaki dan wanita. Hasil kajianmenunjukkan wanita lebih cenderung menggunakan strategi dayatindak mencari sokongan sosial untuk tujuan emosional. Ini me-nunjukkan bahawa wanita selalu bercakap dengan orang lainmengenai masalahnya untuk mendapat sokongan emosi dan sim-pati. Ini mungkin lebih ketara di kalangan pentadbir wanitakerana peratusan wanita dalam kategori pentadbir adalah amatberkurangan jika dibandingkan dengan pentadbir lelaki. Malahan

45

kajian ini sendiri menunjukkan bahawa 80% daripada respondenterdiri daripada lelaki dan hanya 20% sahaja pentadbir wanita.Mengikut kajian Cohen (1994), beliau menyatakan bahawa wanitadi peringkat pengurusan terasa kesunyian di sebabkan kebanya-kan daripada kawan sekerja mereka adalah daripada jantina yangbedainan. Responden dalam kajian Cohen (1994) mencadangkanbahawa lebih ramai wanita harus diambil dalam peringkat peng-urusan untuk mengurangkan perasaan demikian. Keadaanperhubungan antara perorangan yang baik berhubung kait rapatdengan kesihatan mental pekerja seperti yang dijelaskan dalamkajian Cooper dan Hansmen (1985) dan Howard (1975).

Kajian Wandycz (1993) menunjukkan bahawa apabila berha-dapan dengan stress, kaum lelaki tidak cenderung untuk berkongsimasalah dengan orang lain dan lebih cenderung untuk memencil-kan diri serta menggunakan ubatan, alkohol disamping menum-pukan pada kerja secara kompulsif.

Kajian menunjukkan bahawa wanita lebih cenderung untuk me-ngendalikan masalah mereka dengan mengubah cara ataupegangan mereka agar mereka beroleh kejayaan dalam suasanatersebut (Johnson, 1994). Ini selaras dengan dapatan kajian yangmencatatkan cara wanita bertindak dalam suasana stress. Pen-tadbir wanita juga lebih cenderung untuk menggunakan perkem-bangan dan penterjemahan positif dibandingkan dengan pentadbirlelaki. Wanita akan cuba menggunakan perkembangan dan pen-terjemahan positif jikalau dengan lain kata cuba melihat keadaanitu dari sudut yang berlainan atau positif untuk mengatasi masalahyang dihadapi.

Seterusnya pentadbir wanita juga cenderung menggunakan stra-tegi berserah pada agama iaitu dengan bersembahyang memintapertolongan dari Tuhan, dan berasa tenang dengan cara demikian.Ini selaras dengan kajian Leiter, Clark dan Dump (1994) yangmenunjukkan bahawa eksekutif wanita sering menyuarakanbahawa mereka tiada kuasa langsung dalam menghadapi masalahyang berkaitan dengan tempat kerja. Dapatan kajian ini jugamempunyai persamaan dengan kajian barat yang mana wanitajuga didapati mempunyai kecenderungan untuk menggunakandaya tindak berserah pada agama dalam mengatasi stress ditempat kerja. Memandangkan jumlah pentadbir wanita juga amatkecil jika dibandingkan dengan lelaki, maka strategi berserah padaagama mungkin digunakan lebih kerap dalam keadaan merekatidak dapat mengawal sesuatu keadaan itu dari berlaku. Kajianoleh Weinstock (1994) menunjukkan bahawa wanita sering

46

diletakkan dalam pekerjaan yang penuh dengan cabaran, tetapitidak mempunyai kuasa untuk mengawal beban kerja ataupunsuasana kerja mereka yang menjurus pada masalah kesihatan danstress. Oleh yang demikian, pentadbir wanita akan berpaling padastrategi berserah pada agama.

Seterusnya wanita juga lebih kerap menggunakan strategi pemisahtingkah laku dalam usaha untuk mengurang atau menyelesaikanmasalah yang dihadapi. Hasil kajian ini nampak agak berlawanandengan dapatan kajian ini yang sebelumnya menunjukkan bahawawanita cenderung menggunakan strategi perkembangan danpenterjemahan positif. Ini mungkin disebabkan daya tindak inidigunakan pada tahap yang berbeza. Pertama, pentadbir wanitaakan cuba menggunakan daya tindak perkembangan dan pen-terjemahan positif yang berfokuskan emosi dan apabila ia tidakberkesan dan tidak dapat berbuat apa-apa mengenainya, respon-den akan beralih ke fasa dua iaitu berserah pada agama (Lazarus,1980, Scheir, et. al, 1985, 1987).

Kajian menunjukkan bahawa pentadbir wanita lebih cenderungmenggunakan daya tindak berserah pada agama. Pentadbir wanitamungkin berserah pada Tuhan sebagai satu sumber sokonganemosi, sebagai satu alat bantuan untuk penterjemahan dan melihatsesuatu secara positif. Ini dapat dilihat dimana pentadbir wanitalebih cenderung menggunakan daya tindak mencari sokongansosial untuk tujuan emosi dan perkembangan dan penterjemahanpositif.

Hasil kajian ini menunjukkan bahawa pentadbir wanita lebihcenderung menggunakan strategi daya tindak pemisah tingkahlaku yang mana akan mengurangkan usaha dalam mengatasimasalah tersebut. Ini selaras dengan kajian Towery (1992) yangmenyatakan bahawa pekerja wanita yang menghadapi keletihankerja (burnout) akan wujud simptom-simptom seperti perubahandari segi fizikal dan rasa tidak dapat berbuat apa-apa dan berserahsahaja kepada keadaan (feeling of hopelessness). Oleh yang demi-kian pemisahan tingkah laku akan digunakan apabila respondentidak dapat berbuat apa-apa (hopelessness) dalam suasana stresstersebut. Walaupun cara ini merupakan penyesuaian yang mudahdigunakan (Klinger, 1975), namun ia menghalang responden dari-pada bertindak terhadap stress dengan cara aktif (Roth danCohen, 1986). Walaupun demikian mengikut Felton, et. al. (1984),penggunaan strategi yang berfokuskan emosi jika digunakanuntuk sementara waktu ia tidak memberi kesan buruk ke atasresponden. Kesan negatif akan wujud apabila strategi ini diguna-

47

kan dalam jangka waktu yang panjang yang akan menghalangresponden dari berusaha untuk mengatasi masalah tersebut danmengalami kesan negatif dalam bentuk psikologi (King danScandura, 1990).

Bentuk-bentuk strategi daya tindak yang sering digunakan olehwanita seperti pemisah tingkah laku, mencari sokongan sosialuntuk tujuan emosi, berserah pada agama, mempunyai perkaitanyang rapat dengan tret tingkah laku wanita yang meliputi emo-sionalisme, ingin bekerjasama dan mengambil berat tentang oranglain (MacCurtain dan Connor, 1992).

Walaupun hasil kajian tidak menunjukkan perbezaan yangsignifikan antara jantina dengan daya tindak pemisahan bentukalkohol-ubatan, namun markat min untuk pentadbir lelaki adalahlebih tinggi dari pentadbir wanita. Ini menunjukkan pentadbirlelaki lebih cenderung menggunakan ubatan-alkohol dalam me-nangani stress jika dibandingkan dengan pentadbir wanita. Inimungkin disebabkan, wanita mungkin menggunakan peranannyayang pelbagai (iaitu sebagai ibu dan pekerja) sebagai satu unsurdaya tahan dalam mengendalikan stress dibandingkan dengankaum lelaki (Thoits, 1983). Manakala pentadbir lelaki, yang manapersekitaran kerja adalah tumpuan utama untuk kebanyakanpekerja lelaki dan peranan selain daripada pencari nafkah utamaadalah tidak ketara (Pleck, 1977). Kajian ini menunjukkan lelakitidak banyak menolong dari-aspek mengendalikan beban tugasrumah yang mana kebanyakkannya adalah dipikul oleh kaumwanita. Malahan kajian juga menunjukkan bahawa pekerja lelakimempunyai perkaitan yang lebih signifikan antara kepuasan kerjadan stress yang berkaitan dengan tempat kerja jika dibandingkandengan wanita (Thoits, 1983).

Seterusnya jika dilihat dapatan kajian menunjukkan bahawawanita lebih cenderung menggunakan str.ategi perkembangandan penterjemahan positif, yang mana mengikut kajian Scheir et.al. (1983) perkembangan dan penterjemahan positif mempunyaiperkaitan yang positif dengan kesihatan mental dan fizikal. Jus-teru itu mereka yang menggunakan perkembangan dan penterje-mahan positif juga kurang simptom sakit dari aspek fizikal.Mungkin juga merupakan salah satu punca mengapa pentadbirlelaki kelihatan lebih cenderung menggunakan strategi pemisahalkohol-ubatan. Ini mungkin disebabkan lebih ramai lelaki yangsering dirujuk ke pakar-pakar sakit jantung dan yang akanmenerima rawatan jika dibandingkan dengan kaum wanita.Kajian oleh Cynthia (1992) menunjukkan bahawa pesakit lelaki

48

dirujuk kepada pakar 10 kali ganda lebih kerap daripada pesakitwanita apabila mereka didapati menghadapi stress.

Kajian juga menunjukkan bahawa kaum lelaki mempunyaikecenderungan dalam mengalir stress pada kaum wanita dalampasangan dwi-kerjaya. Namun ia tidak pula berlaku apabila wanitamenghadapi stress. Kajian itu juga mendapati bahawa wanitamempunyai lebih banyak sokongan dalam bentuk interpersonaljika dibandingkan dengan kaum lelaki (Jones dan Fletcher, 1993).Ini mungkin menyebabkan lelaki lebih mudah mengalir stress padapasangannya dan bukan sebaliknya.

Cadangan dan StrategiHasil kajian menunjukkan bahawa setiap orang akan mengalamistress dan akan menguruskan pelbagai strategi daya tindak dalammenguruskan stress masing-masing. Hasil kajian menunjukkanbahawa gabungan strategi daya tindak yang berbentuk ekstrinsikdan intrinsik membawa kepuasan kerja dalam diri pekerja. Dayatindak tersebut ialah:

i) ekstrinsik - daya tindak aktif dan perancangan

ii) intrinsik - menahan aktiviti bersaingan,pemisahan mental dan pemisahanalkohol dan ubatan

Namun kajian mendapati bahawa penggunaan pemisahan mentaldan pemisah alkohol-ubatan dalam jangka panjang akan mem-bawa kesan buruk ke atas pekerja. Strategi daya tindak yangberfokuskan emosi digunakan apabila strategi berfokuskanmenyelesaikan masalah tidak berjaya. Ini menunjukkan bahawapekerja memerlukan bantuan dalam menangani masalah stressmereka. Berdasarkan kepada dapatan yang sedemikian ini me-nunjukkan bahawa betapa besarnya peranan pengurusan dalammembantu menguruskan masalah stress pekerja dalam organisasimasing-masing.

Jika diteliti program untuk menangani stress di negara kita wujuddalam pelbagai nama seperti program kesihatan mental, programkaunseling, seminar pekerja sihat, kursus ke arah pekerja cemer-lang dan pelbagai lagi. Namun tidak ada satu bentuk yang tercatatdalam bentuk polisi atau dasar yang boleh dijadikan sebagaipanduan.

49

Bertitik tolak dari situ, setiap organisasi harus mengadakan pro-gram pengumsan stress di setiap organisasi jika organisasi mahuterus produktif dalam suasana yang penuh persaingan, perubahan,perkembangan teknologi. Dengan adanya program yang demikianini membantu budaya pekerja yang mampu menghamngi danmenyesuaikan diri dengan perubahan.

Banyak kajian telah menunjukkan bahawa kesan programpengumsan kesihatan pekerja telah membawa kepada peningka--tan dalam hubungan antara pekerja dan majikan, moral pekerjayang lebih tinggi, kepuasan kerja yang lebih tinggi (Hoffman danHobson, 1984), Panly, 1982). Produktiviti yang lebih tinggi dankurang kejadian ponteng kerja, kos kesihatan dan pusing ganti(Baun, Bernacki dan Tsai, 1986; Bernacki dan Baun, 1984; Parkerdan De Cotiis, 1983) dan telah berjaya meningkatkan prestasi(Steers, 1977).

Dalam melaksanakan program pengurusan stress secara amnyaharus mengandungi ciri-ciri yang berikut:

# Cam pur tang an pengurusan dari segi kesihatan fizikalyang mengandungi 3 kategori: senaman aerobik, pem-bentukan otot yang kuat dan program untuk badanyang fleksibel.

# Pemakanan dan pengawalan berat badan: ini dapatmembantu pekerja dari kesedaran mengenai pemaka-nan yang sihat dan seimbang.

# Mengenalpasti tekanan tinggi: ianya khusus untuk mem-beri perhatian dan mengenalpasti pekerja yang mem-punyai darah tinggi dan lain-lain sakit somatik.

# Penyalahgunaan ubat-ubat: memberi keterangan dan ke-fahaman kepada pekerja mengenai kesan buruk ubatanyang terlalu banyak dan mengambilan arak, serta mem-beritahu kepada pekerja tentang perkhidmatan yangdapat membantu pekerja yang menghadapi masalahtersebut.

# Penyelidikan Kesihatan: pihak pengurusan akan me-nyampaikan falsafah dan tingkah laku pekerja yangberkaitan dengan penyelahgunaan ubatan dan arak.

50

CADANGAN PROSEDUR PROGRAM PENGURUSANSTRESSSesuatu program pengunisan stress haruslah dilaksanakan dengancara yang sistematik. Antara prosedur harus diikuti ialah denganmengambil kira tiga peringkat iaitu peringkat pelaporan, mengen-alpasti masalah, peringkat analisa dan peringkat tindakan. Setiapperingkat mempunyai objektifnya yang khusus. Seterusnya berda-sarkan kepada maklumat didapati program tersebut boleh dilaksa-nakan berorientasikan individu atau berorientasikan organisasi atausecara gabungan. Cadangan prosedur program pengurusan stressadalah seperti berikut:

i. Peringkat Pelaporan: Mengenalpasti MasalahPihak pengurusan perlu mengenalpasti sama ada wujudnyatekanan yang tidak diingini di dalam organisasi. Di sini, adalahperlu untuk memahami antara stress positif dan stress negatif.Sesetengah peringkat/tahap stress kerja adalah suatu sifat semula-jadi dan ia tidak boleh dihapuskan. Tambahan pula berdasarkankepada pendapat Hans Selye, produktiviti akan meningkat apabilatekanan meningkat sehingga mencapai suatu peringkat yangoptimum. Apabila berada pada tahap yang lebih dari optimumpekerja akan berhadapan dengan tekanan. lanya boleh digam-barkan seperti dalam gambarajah berikut:

Gambarajah 1

Tahap

Produktiviti

Tahap Stress Optimum

Tahap Stress

51

Oleh itu organisasi perlu mengambil tindakan bagi memperbaikikeadaan tersebut. Stress yang negatif boleh diketahui melaluisimptom-simptom stress. Sebagai contoh, simptom-simptom stressadalah seperti nilai prestasi, peningkatan dalana peringkat lantik-henti, peningkatan dalam peringkat ketidakpuasan pekerja,peningkatan dalam kemalangan, kurang nilai fizikal dan mental,peningkatan dalam bidang komunikasi yang lemah dan peningka-tan dalam peringkat/tahap permasalahan penggunaan dadah danalkohol. Kesemua ini mempunyai kaitan dengan wujudnya stressyang tinggi di peringkat organisasi.

Pelaporan yang teliti adalah perlu untuk mengembalikan suasanakerja kepada peringkat yang normal. Proses pelaporan ini direka-bentuk untuk menyediakan maklumat yang boleh dibuat penilaianberdasarkan kepada standard yang diterima dalam organisasi.Sekiranya berlaku apa-apa penyimpangan dari standard ini iaboleh dikenalpasti. Walaupun tanggungjawab untuk pelaporandibuat berdasarkan kepada peringkat dalam organisasi, setiappenyelia dan pengurus perlu menggalakkan untuk membuat pela-poran mengenai perubahan dalam sikap (seperti perubahan dalamsikap pekerja) dan kenalpasti tanda-tanda yang negatif yang ber-laku pada seseorang pekerja.

Secara ringkas, setiap organisasi perlu mengetahui tiga isu untukmenjamin peringkat pelaporan yang berkesan. Pertama, organisasiperlu menyedari simptom-simptom yang spesifik bagi sesuatu te-kanan. Kedua, organisasi perlu mengukuhkan dalam mengutara-kan jarak toleransi yang boleh diterima bagi indikator-indikatortersebut. Ketiga, ialah organisasi perlu berhati-hati dalam me-laporkan sesuatu simptom dan catatan perkara yang menyimpangdari indikator dan jarak toleransi yang ditetapkan.

ii. Peringkat Analisa: Mengenalpasti Bentuk dan SkopMasalahPeringkat analisa ini melibatkan cara untuk mengenalpasti puncadan tahap masalah tersebut. Langkah pertama, ialah mengenal-pasti sumber utama berlakunya stress yang telah dikenalpasti padaperingkat pelaporan simptom stress.

Langkah kedua ialah menentukan skop spesifik terhadapsimptom-simptom stress tersebut. Langkah ini penting, keranasimptom stress ini mungkin dihasilkan oleh satu atau dua kum-pulan sahaja dimana pekerja lain berada dalam jarak toleransi

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stress yang ditetapkan. Namun mengenalpasti sesuatu skopmasalah samada ianya terasing atau meluas penting keranakeseluruhan tindakan adalah bergantung kepada betapa luasnyamasalah tekanan tersebut dihadapi oleh pekerja. Oleh yang demi-kian organisasi harus waspada pada simptom-simptom stress yangsaling bergantung antara satu sama lain.

iii. Peringkat Tindakan : Merumus Dasar Baik-pulihPeringkat merumus dasar baik-pulih adalah berdasarkan padapunca-punca stress dan skop stress tersebut. Apabila simptom danpunca berlaku secara berasingan maka tindakan baik-pulih bolehdibuat atas individu yang telibat. Jika simptom stress itu kelihatariwujud pada keseluruhan kumpulan kerja, maka tindakan yang'berorientasikan-organisasi' atau secara gabungan diperlukan da-lam mengatasi masalah tersebut. Bentuk orientasi itu adalahseperti berikut :

a) Dasar Baik-pulih Berorientasikan IndividuSeringkali organisasi gagal untuk membantu stress yang dialami olehpekerja-pekerja yang tertentu. Sekiranya seorang pekerja mengha-dapi simpton dan kesan stress, amnya pekerja tersebut diharapkanakan melakukan apa sahaja tindakan yang perlu untuk mengatasikesulitan tersebut. Walaupun kini terdapat bahyak buku-buku yangmengajar teknik-teknik untuk mengurangkan stress, namun iamungkin tidak dapat mengurangkan stressnya. tanpa mengambilkira faktor masalah yang dihadapi ditempat kerja. Oleh yang demi-kian organisasi harus menggalakkan pekerjanya dari semua pering-kat untuk melibatkan diri secara aktif dalam proses pengurusanstress yang berorientasikan individu (lihat Rajah I). Organisasi perlumenyedari bahawa pekerja yang lemah itu mungkin adalah pekerjayang bersemangat dan bermotivasi dalam kerja dan berpotensimenjadi pekerja yang cekap, tetapi mereka memerlukan perhatiankhas dan bantuan dalam mengurus stress yang dialaminya.

Organisasi boleh melaksanakan baik-pulih berorientasikan individumelalui tiga langkah. Pertama pekerja perlu dimaklumkan mengenaihakikat simptom stress, punca-punca stress yang berkaitan, danpilihan yang wujud dalam mengatasi masalah tersebut. Sebagaicontoh, pendidikan latihan, kaunseling mungkin wajar disediakanoleh organisasi dalam mengatasi masalah pekerja tersebut.

Langkah kedua ialah pengurusan dan pekerja perlu bekerjasamauntuk menggubal perancangan baik-pulih tersebut. Perancangan

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tersebut perlu merangkumi langkah tindakan yang spesifik yangperlu diambil, hasil yang dijangka dari rancangan tersebut, danjangka waktu yang diperlukan untuk melaksanakan. Akhir sekalirancangan itu perlu diawasi sekerap yang boleh untuk memastikankejayaannya dan menghasilkan langkah-langkah yang seterusnyauntuk mencegah stress, jika perlu.

Rajah IContoh Program Baik-Pulih Berorientasikan Individu

Punca Stress TindakanBaik-Pulih

Program-programYang Sesuai

1. Ketidaksesuaianpekerja/pekerjaan

PerjawatanLatihan

2. Konflik peranan Komunikasi

3. Perhubungan Latihan

Kauseling

Tukar jawatan/tempatmengujudkan programuntuk membina danmembangunkan ke-mahiran yang tertentu

- Menggambarkanjangkaan organisasiterhadap perananpekerja dan membantupekerja menyedaribagaimana mencapaimatlamat kerjaya

- Bentuk sessiperancangankumpulan-kerja

- Membentu pekerjamemahami konflikdalam dirinya danmemahamiperasaannya

b) Polisi Baik-Pulih Berorientasikan OrganisasiJika hasil yang tidak diingini meluas/tersebar luas dalam kum-pulan kerja, maka keseluruhan kumpulan kerja tersebut yang

'menjadi penyebab kepada masalah itu. Oleh kerana ini, tindakanpembetulan berorientasikan individu adalah kurang sesuai ber-banding dengan tindakan yang berorientasikan organisasi. Apa-bila sebahagian daripada sistem dalam organisasi tidak beroperasisecara berkesan, maka ini bererti wang dan masa perlu diperun-tukkan dalam mengatasi masalah tersebut.

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Seterusnya, pengurusan harus cuba mengelakkan punca-puncastress dan membuat perancangan untuk baik-pulih. Dalam padaitu pihak pengurusan harus sedar bahawa dasar baik-pulih yangberorientasikan organisasi mungkin memerlukan perubahan yangsignifikan dalam sistem perjalanan organisasi yang sedia ada.Sepertimana semua perubahan akan menghadapi halangan, makatindakan baik-pulih stress perlu dilaksanakan dengan penuh telitiagar perubahan itu sendiri tidak menjadi beban pada organisasitersebut.

Antara contoh-contoh tindakan baik-pulih yang boleh dilaksana-kan oleh organisasi adalah seperti berikut (Rajah II):-

Rajah IIContoh Program Baik-Pulih Berorientasiakan Organisasi

Punca Stress

1. Ketidaksesuaianpekerja/pekerjaan

2. Konflik peranan

3. Perhubungan

TindakanBaik-Pulih

- Rekabentuksemula kerja

- Penilaianpersonel

- Latihan

- Latihan

- Komunikasi

- Merebentuksemula kerja

- Latihan

Program-programYang Sesuai

- Mengujudkan programpengkayaan kerja

- Mempertingkatkanprosedur pemilihan danperjawatan

- Memberi latihan khususberkaitan dengan kerja

- Berikan kaunseling untukmendedahkan punca-punca konflik

— Menilai dan mengurang-kan salah faham terhadapperkara yang menimbul-kan konflik

- Jadual waktu, contoh -masa boleh ubah, 4 hari/seminggu, perkongsiankerja, dan sepertinya(iaitu wanita yang bekerjadan masalah keluarga,kerja dan masa rehat)

- Memberikan teknik-teknik yang membantumeningkatkankomunikasi dalamkumpulan/antara pekerja

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Program-program yang dibentuk mungkin sesuai untuk sese-tengah bentuk tekanan, tetapi tidak lagi semua bentuk stress. Olehyang demikian usaha mengenalpasti punca-punca stress harusdigabungkan dengan teliti bersama bentuk-bentuk polisi danprogram-program yang bersesuaian untuk setiap satu rancangan.

Gabungan Program Baik-PulihSelain daripada bentuk program berorientasikan individu, organisasijuga harus melaksanakan program gabungan baik-pulih. Cara inipenting kerana gabungan polisi baik-pulih bentuk individu danorganisasi diperlukan dalam kes-kes yang tertentu. Sebagai contoh,apabila baik-pulih berorientasikan organisasi - umpamanya mereka-bentuk semula kerja mungkin dilaksanakan untuk menjadikan kerjalebih bermakna bagi pekerja. Walau bagaimanapun, perubahan inimemerlukan pekerja mempelajari kemahiran yang baru. Pekerjayang mempunyai masalah dalam menyesuaikan diri dengan suasanakerja yang baru akan memerlukan perhatian yang lebih denganmenggunakan baik-pulih berorientasikan individu. Secara keselu-ruhan program atau proses baik-pulih terhadap stress boleh digam-barkan seperti dalam gambarajah II.

Seterusnya organisasi juga perlu menyediakan pakar kaunselordan stress secara tetap atau kontrak agar dapat membantu merekayang memerlukan pertolongan yang lebih khusus dalam mengatasimasalah mereka.

KesimpulanSecara kesimpulannya sesuatu program yang diadakan haruslahmudah diperolehi oleh pekerja. Kursus-kursus yang diadakanperlu agar ada kesinambungan dalam program membendungstress berunsur jangka panjang. Sesuatu program hanya akanberjaya jika ianya dibentuk, dirancang dan disediakan dengankakitangan yang mencukupi dalam melaksanakan programkesihatan tersebut. Akhir kata walau apa sekalipun programyang dianjurkan ia perlu ada kesinambungan dan komitmen daripihak pengurusan dan pekerja harus memastikan programpengurusan stress dapat mencapai tahap stress yang optimumdalam organisasi.

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BIODATA

Dzulkifli Sipon graduated from University of Malaya (UM) with a B .Ec (Hons)and obtained his M. Sc. (HRD) from University of Agriculture, Malaysia.

He is currently a Senior Consultant with the Directorate of Human ResourceDevelopment (HRD), National Productivity Corporation (NPC). Among hisspecialisation are conducting training programmes and undertaking research inareas related to Human Resources Development.

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HOW LEADERSHIP DIFFERS FROMMANAGEMENT AND THE FUTURE

OF LEADERSHIP TRAINING

Dzulkifli Sipon(NPC)

IntroductionLeadership is a universal phenomenon that is present where everpeople work together to achieve common goals. To a large degree,an effective achievement of organizational goals depends on thequality of managerial leadership. Leadership is an importantfactor in enhancing organizational effectiveness. Bennis and Nanus(1985) point out that present problems occuring in organizationswill not be solved without successful organization and organiza-tions cannot be successful without effective leadership. Anorganization without effective leadership has little chance to sur-vive. An organization has to overcome "trained incapacity" and toadapt to changing conditions in order to survive. Leadership givesan organization its vision and its ability to translate this vision intoreality.

Leadership DefinedAttempting to define leadership is not easy. Conger (1992) statesthat "Leadership is largely an intuitive concept for which there cannever be a single, agreed-upon definition." Bennis and Nanus(1985) point out that there are more than 350 definitions of leader-ship. Stogdill (1974) concludes that "There are almost as manydefinitions of leadership as there are persons who have attemptedto define the concept." Terry (1960) states that "Leadership is theactivity of influencing people to strive willingly for groupobjectives". Tannenbaum, et al. (1961) define managerial leader-ship as a process of interpersonal relationships through which amanager attempts to influence the behavior of others toward theattainment of predetermined objectives.

Hersey and Blanchard (1983) define leadership as the processof influencing the activities of an individual or a group in effortstoward goal achievement in a given situation. Thus, leadershipprocess is a function of the leader, the follower, and othersituational variables - L = F (1, f, s). According to Bennis and

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Nanus (1985), leadership concerns with activities of vision,judgement and effectiveness. Leaders are people who do the rightthings. Kotter (1990) defines leadership as a process that helpdirect and mobilize people and or their ideas.

The focus of this article is to analyse leadership from the followingperspectives:

1. The differences between leadership and management.

2. The work of a leader and

3. The future of leadership training.

The Differences between Leadership and Management.Is leadership different from management?. If they differ, in whatareas do they differ?. The above questions are very interesting topursue further. Kotter (1990) agrees that leadership and manage-ment differs. However both concepts are similar in some ways.They both involve deciding what needs to be done, creating net-works of people and relationship that can accomplish an agenda,and then trying to ensure that those people actually get the jobdone. Leadership and management complement each others.Organization needs both skills to ensure organization effective-ness. One of the problems faced by many organizations, especiallyones that are failing is that they tend to be overmanaged andunderled. Overmanaged and underled organisations are efficentbut not effective.

One of the differences between leadership and managers aspointed by Bennis and Nanus (1985) is that leadership concernswith activities of vision and judgements - effectiveness. Specifi-cally, management concerns with activities of mastering rountines- efficiency. Leader are considered as people who do the rightthings and managers are people who do things right. Bennis (1985)also agrees that one of the key problems facing Americanorganisations (and probably those in much of the industrialisedworld) is that they are underled and overmanaged. Underled andovermanaged organisations concentrate on doing the things rightand less on doing right things. Under weak leadership (underled)and weak management (undermanaged) organisations face veryserious problems and find much difficulty to survive and adapt tochanging conditions. It is like a "rudderless ship with a hole inhull". Organisations can become bureaucratic and stiffing under

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strong management and weak leadership. Strong leadershipwithout much management can become messianic and cult like,producing change for change's sake, even if movement is not right.Organisations should strive for strong management (well mana-ged) and strong leadership (well led). Well managed and strongleadership are needed in organisation with high complexity of theoperation and high amount of change needed in the operation.

According to Kotter (1990), the process which make up thecore of modern management involves:

1. Planning and budgetting.

Setting targets or goals for the future establishing detailedsteps for achieving those targets, and then allocatingresources to accomplish those plans.

2. Organizing and staffing.

Establishing an organization structure and set of jobs foraccomplishing plan requirements, staffing the jobs withqualified individuals, communicating the plan to thosepeople, delegating responsibility for carrying out the plan,and establishing systems to monitor implementation.

3. Controlling and problem solving.

Monitoring results versus plan in some detail; identifyingdeviations, and then, planning and organising to solve theseproblems.

The process of leadership involves:

1. Establishing direction.

Developing a vision of the future, along with strategies forproducing the changes needed to achieve that vision.

2. Aligning people.

Communicating the direction to those whose cooperationmay be needed so as to create coalitions that understand thevision and that are committed to its achievement.

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3. Motivating and inspiring.

Energising people to overcome major political, bureaucraticand resources barriers to change by satisfying very basic, butoften unfulfilled human needs

Bennis and Nanus (1985) after several years of studying ninetyeffective leaders in America conclude that leaders develop fourcompetencies.

1. Management of attention.

Leaders managed attention through a compelling vision andguide the followers to achieve the vision.

2. Management of meaning.

Leaders communicate their vision to make the vision clear tothe followers and to align people with the vision. In this sense,leader needs to be a "communicators": integrating facts,concepts and anecdotes into meaning for the followers.Accordingly, this abilities come from the whole person.

3. Management of trust.

Management of trust is essential to all organizations. Leaderhas to develop reliability (constancy) which is the maindeterminant of trust.

4. Management of self.

Managing self is knowing one's skills and deploying themeffectively and this competency is critical. Leaders know theirstrengths and nurture it and has the ability to accept risk (theWallenda factor).

Saleznik (1992) differentiates leaders and managers in thefollowing five areas:

1. Manager vs leader personality.

Rationality and control is emphasized in a managerialculture. A manager is a problen solver. From thisperspective, leadership is a practical effort to direct affairs

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of others. Leadership also involve managing work that otherpeople do. Qualitities like persistence, tough mindednesshardwork, intelligent, analytical ability, tolerance, goodwillare needed for managers to manage successfully.

Accordingly, managers and leaders are very different kinds ofpeople and they differ in motivation, personal history and inhow they think and act.

2. Atittudes towards goals.

Managerial goals arise out of necessities and the attitudes ofthe managers toward goals are more impersonal and passive.The attitudes of the leaders toward goals are more personaland active. The influence of a leader exerts in altering moods,evoking images and expectations, and in establishing specificdesires and objectives determine the direction a businesstaking.

3. Conception of work.

The view of the managers is that work is an enabling processinvolving some combination of people and ideas interactingto establish strategies and make decisions. To achieve thisenabling process, managers tactics could be 'flexible' on onehand, but 'rigid' on the other. Managers tend to act to limitedchoices in accepting solutions to solve problems, actsconserratively and limiting risk in solving problems.

Leaders develop fresh approaches for long-standard pro-blems and open issue to new options by arousing andmobilizing expectations. Leaders risk taking chances todevelop more apportunities.

4. Relations with others.

Managers prefer to work with people avoiding solitaryactivity which make them anxious. He maintains a low levelof emotional involvement with those relationship. Managersreconcile difference, seeking compromise and establishing abalance of power. Managers also relate to people accordingto the role they play in a sequence of event. However, leadersrelate to people in a more intuitive and emphathetic ways.

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5. Senses of sense

Managers are considered as 'once-born'. A 'once-born' senseof personality is derived from a feeling of being at home andin hormony with one's environment. Managers see themselvesas conservators and regulators of an existing order of affairswhich they personally identify and from which they gainreward. His sense of self-worth is enhanced by perpetuatingand strengtheing existing institution.

Leaders who are 'twice-born personalities' feel separatedfrom the environment. They experienced little dependency ontheir organization, their work roles and others. Leaders tendto feel little or no desire to adhere to status quo. Leaders as'twice-born' felt free to promote change and to lead people innew directions.

The Work of a LeaderPagonis (1992) views leadership process as only possible where theground has been prepared in advance. Leaders need to be developethrough formally educated, informally mentored and system-atically rotated through a wide variety of postings and broadeningof skills and knowledge. He states that two essential and inter-related traits required of a leaders are expertise and empathy.Expertise is vital for leadership achieving profound experience andthis could be done by first achieving a mastery in a particularfunction plan and later in a more general area. Expertise grows outof hard work and to some extent luck. Empathy is necessary for aleader and without empathy and expertise, a leader cannot com-mand trust. Leaders take active roles in reshaping the environmentin productive ways. Thus, leadership can be developed throughorganization development. The work leaders do involve personaland organization and Pagonis believed that leadership are made,not born. Qualities like charisma, presence and others are alsoneeded to ensure that subordinates or followers follow the com-mand or orders of the leaders. In this situation, developing trust isvital. Cultivating leadership could be done on both a personal andorganization level. The steps involved are;

1. Know oneself.

This means knowing one's own strength and weaknesses. Theself-analysis will allow an individual to be real, a vitalcontributing factor in effective leadership.

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2. Learn how and what to communicate.

This involves speaking and listening effectively, projectingand interpreting body language.

3. Know the mission.

This refers to knowing what needs to be done.

After developing personal leadership, the leaders need toconcentrate on building an approporiate context for leadership.Leaders need to develop cooperation and collaboration inconducive manner. Leaders need to build a leadership supportingenvironment by combining centralised control with decentralisedexecution. This could be done by extensive delegation by findingthe right person and involves system building to ensure effectivechannelling of information through the organization to the leader.Leaders also could ensure effective organisation developmentthrough the following techniques.

1. Shaping the vision

The simpler the vision, the better the objectives that is theconcrete steps by which the vision must be realized anddefined by the leader's subordinate.

2. Educating the subordinate

This educational process pertains to the organization vision,procedures and methods of working. Educating the sub-ordinate in this area involves disseminating of information,giving and getting feedback through two ways:

* Organizational Effectiveness.This method requires leaders to go for organizationalretreat and through various activities to evaluatethemselves and others effectively.

* Elavuation ReportContrast to one-step process where the subordinatesreceive evaluation at the end of the year, the multi-stopprocess involves identifying individual weaknesses andproviding opportunities to improve the weaknesses.

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In complex organization, leaders must energize formal commu-nication with structure designed to complement the chain ofcommand through series of meetings, memo, management bywalking around (MBWA), information gatherings and others.

In short, leaders according to Pagom's need to be motivators,educators, role models, sounding board, confessor.s and cheerleaders. The leaders must be accessible and must aggresivelypursue contact with colleagues and subordinates.

The future of Leadership Training.Leadership training represents a large percentage of the manage-ment development activities conducted in organizations today. Thecontent of such training normally focuses on: 1) increasingtechnical knowledge within specific functional areas, 2) learningnew managerial techniques for performing the managementfunctions, and 3) improving personal relationships with othersthrough better communication, increased participation and a morecomprehensive understanding of motivation.

However, the basic question is that can leaders be developedthrough leadership training and development?. Many scholars ofleadership and practitioner in the field argue whether leaders areborn or made. Some state that genetics and childhood dynamicsare the forces behind leaders. Others see life experiences as thecritical factor (Kotter, 1992). The impact of these differentperspectives on the training and development of leaders areprofoundly different. Leadership training will play a minimal ifleadership abilities are genetically determined. In contrast, ifleadership is learned through experience, training might well beused to develop new skills and to help synthesize past experiencesinto useful insights.

Bennis (1985) disagrees with the notion that leaders are born.One of the leadership myth that need to be dispelled is that leadersare born not made. Bennis views that although major capacitiesand competencies of leadership are not easy to learn but it can belearned. Conger (1992) is of the view that leaders are combinationof two school of thought; they are born and made. He points outcertain individuals with the prerequisites to be a leader can bedeveloped into becoming a leader by providing essential knowl-edge and behavioral skills. Late life experiences are also adetermine factor in developing leaders. Finally opportunity andluck are the final determinants of who gets a chance to lead. If

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training and developnent is to a certain extent important indeveloping leader, we need to define the concept of training anddevelopment. Nadler and Nadler (1992) define training as theactivity where the learning is focused on the present job of thelearner. Development is the activity where the learning does notfocus on a job. Most experts agree that training could cover thefollowing scope: knowledge, behavior, skill, attitude and to certainextent, experience.

Effectiveness of leadership training.Conger (1993) points out that leadership becomes criticallyimportant in times of great transition. The magnitude of today'schanges will demand not only on more leadership but newer formsof leadership. Accordingly, Conger states that our older models ofleadership will not longer be appropriate and adequate to meet thechanging demands of the decades of 1990's. Leadership trainingfaces several serious problems:

1. Most of the leadership training and development programsare done in a haphazard process resulting in a neglect of thisimportant area.

2. Although investment in leadership training and developmentincreases, trainers are paying little attention regarding theright direction of training.

Conger's concern is that leadership training programs might beslipping 'behind the times' and failing to keep up with the newleadership paradigms. The focuses of current leadership training are:

1. Simple skill building exercise.

2. Concepts.

3. Outdoor adventures wth a purpose to build teamwork andexperiment with risk-taking and

4. Feedback.

Leadership training and development have to keep up with theleadership demands of the 1990's. Business environment of thefuture changes dramatically and future leaders need to addresseffectively the following two primary forces 1) increasingcompetitive pressures and 2) diversity of work place.

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Under increasing competitive pressures, future leaders need toequip themselves with three market place competencies:

1. Leaders as Strategic Opportunists.

As strategic opportunists leaders need to find new marketslocally and foreign, identifying new customers overseas andmaintaining close contact with them. The customers (not justthe employees) become potential followers.

Conger points out that training programmes that areconducted at some distance from the market place will beoutdated. The new approaches include sending managers intothe market place, actually involving the leaders in leading areal company and being involved in action learning. Actionlearning refers to a technique that duplicate 'real time'experiences in structured learning environments by usingcompany's strategic issues as the learning context.

Exploration of new learning processes such as leader lab thatare being practised at Center for Creative Leadership inNorth Carolina needs to be encouraged. Organisation needsto provide 'Think-tank' training that provides opportunitiesto reflect on long-term strategy and debate future demo-graphic trends and allowing the possibility for correcting the'growing up' in the myopia of functionally specialized fields.Strategic training that facilitate long-range thinking, job-rotation across a range of functions will also helps the futureleaders to face the tremendous pressure awaiting them.

2. Leaders as Anthropologist.

Business today is becoming more global and leaders need todevelop 'cross-cutural savvy*. Cross-cultural savvy willbecome a prerequisite for managing overseas operation ornegotiating joint ventures with foreigners. Future leadersneed to understand the culture, values and local conditions ofthe local people overseas. As such training that provides thefuture leaders opportunities to be immersed in foreign cultureand actually observing the culture first hand will help preparethe leaders to effectively lead a foreign company. Ifconstraints exist in the form of complex logistic or costs toohigh, organization may use actors trained in the nuances ofother cultures to stimulate the problems a leader is likely toface in a particular foreign company.

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If classroom technique is used, different exercises andsimulations involving as many 'cultural factors' involving aparticular country neede to be developed and later shared bythe participants.

3. The leader as Tightwire Walker.

The future leaders will play different roles as the organiza-tions of the future will be far more decentralised. The leader'sspan of control will expand dramatically. Leaders willincreasingly become more of a teacher, a coach and aguide. Future leaders will have to balance between beingdirective (set the direction) and also being able to participate,listen well and cooperate. Future leaders will be TightwireArtists". Training that focuses on persuasive and inspira-tional communication skills will becoming more important.

Future leaders also need fo equip themselses with three work forcecompetencies:

1. Leaders as Diversity Expert.;

Diversity will be a constant phenomenon in the future. Futureleaders need to manage diversity in the form of manydifferent ethnic groups that have different values and worldviews as well as facing cross-cultural issues of managingoverseas operation.

Training, if to be effective will have to incorporate theeducation on the issues and concerns of specific nationalities,races and genders and giving the opportunities to learn andmanage the issue 'first hand'.

2. Leader as Role Model

Leader as role-model is becoming more important for theleader. Leadership training can train 'interpersonal skills'(one of the most important skills needed to become effectiverole model) either by using the traditional programs such asactive listening, or by using more complex, difficult, andprofound learning process.

Conger points out that to learn interpersonal skill, one need acoach. Coaching becomes important since it constantlyreinforced and later ingrained the new behavior.

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3. Leader as Community Builder.

Community builder combines with strategic opportunist arethe most important competencies but also the most difficultto teach.

Community building reflects an individuals deep sense ofpurpose and combines two leadership competencies-empow-erment and vision. Empowerment, according to Bennis andNanus (1983) translate attention into reality and sustain it.Empowered leaders empower the followers to achieve thevision through encouraging commitment and motivation ofthe followers.

Four components of empowerment are identified:

1. Significance. This is a process that give the workers thefeeling of being at the active centers of the social order.

2. Competence. This refers to the development and learning onthe job.

3. Community. This is a feeling of being joined in somecommon purpose and

4. Enjoyment or plain fun. This is a feeling of being happy inthe job.

Conger (1993 ) states that training alone is unlikely to transformleaders into empowering leaders. However training can helpmanager's to become aware of the need to have the right skillsand looking beyond the status quo to achieve the vision.

Ulmer (1994) identifies that the following three critical elementswhich are rarely given serious attention should be included inleadership development programs.

1. The role of personality and the essentiality of self-awarenessin adult progress and growth,

2. An enlargement of the most common two-dimensional modelof leader behavior, and

3. An improved approach to the evaluation of the effectivenessof individuals, teams and organization.

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Ulmer also points out organization needs to expand the familiarconstruct of leader behavior; "task/structure", "people/considera-tion" component and the element of context or situation to includetwo ingredient that is self-management and institutional sustain-ment.

Leaders need to develop self management skills in order to beaware and understand of their inherent tendencies, drives,strengths, weaknesses, and their patterns of processing informa-tion that could lead to deeper insights and behavioral change.

Institutional sustainment refers to the leader's obligation tonourish and to focus on the longer horizon as well as to reachshort-term goals. Conger proposes that leadership trainingprogram be designed as multiple-session programs rather thansingle-session program. Multiple-session programs consist of aweek-long session followed by a break of three to six months andthen a several day follow-up courses. If single-session is to be con-ducted, participants can be asked to outline a series of leadershipactions for their return to the jobs. Another area for futuredevelopment is pre-course contact where the participants must doall the assignment given to them prior attending the class.

ConclusionThe differences between management and leadership are vital fororganisational effectiveness. Organisation should strive for abalance between management and leadership. Most scholars andexperts on leadership agree that leadership skills can be developedthrough various organisational development techniques andtraining. However, the current approach suggests the changingof the design of the leadership training to suit the increasingdemand of the decades of 1990's on the future leaders. In order tobe more effective, leadership training needs to consider all therelevant factors that might influence leadership effectiveness in thefuture. Leadership training should not be left a deceptive play withwords. Determining the most effective training method depends onthe participants, learning objectives, time, money, and othersitnational factors. A key element in the success of any leadershiptraining program is the motivation of participants. Many timestop-level managers become so ethusiastic about leadership trainingthat it is something for all individuals in positions of leadership.But unless participants are sufficiently motivated, even the moreexacting approaches may be of little value in learning.

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Reference1. Bennis, Warren & Nanus, Bert (1985). Leaders. New York: Harper

Perennial.2. Conger, Jay A. (1992). Learning to lead. San Francisco, California:

Jossey-Bass Publisher.3. Conger, Jay A. (1993). The Brave New World Of leadership

Training. Organization Dynamics, Winter, 1993: 46-58.4. Hersey, Paul., and Blanchard, Kenneth H. (1983). Management of

Organizational Behavior: Utilising Human Resoursces. Fourth.Edition: New Delhi: Prentice-Hall of India.

5. Koontz, Harold., and O'Donnel Cyril (1959). Principles ofManagement 2nd Edition. New York: Me Graw-Hill BookCompany.

6. Kotter, John P. (1990). A force for change. New York: the FreePress.

7. Nadler, Leonard., and Nadler, Zeace (1992). Every managers guideto Human Resources Development. San Francisco: Jossey Bass.

8. Pagonis, William G (1992). The work of a leader. Harvard BusinessReview. November-December, 1992: 118-126

9. Stogdill, R.M (1974). Handbook of Leadership. A survey of theliterature. New York: Free Press.

10. Tannenbaum, Robert., Weschler, Irving R., and Massarik, Fred.(1959). Leadership and Organization: A behavioral Scienceapproach. New York: Me Graw-Hill Book Company.

11. Terry, George R.L (1960). Principles of management. 3rd. Edition,Homewood: Richard D. Irwin, Inc.

12. Ulmer, Jr. Wait F. (1994). Missing links in the Education of SeniorLeaders. The Public Manager - The New Bureaucrat, Summer1994: 9-12.

13. Zaleznik, Abrahim (1992). Managers and Leaders: Are theydifferent. Harvard Business Review. March-April 1992: 126-135.

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BIODATA

Dr. R.P.Mohanty is currently a professor at National Institute for Training inIndustrial Engineering (NTTIE), Bombay, India. Previously he was a visitingprofessor in the division of Industrial Engineering and Management at AsianInstitute of Technology, Bangkok. Meanwhile, K.V. Sambasivarao and S.G.Deshmukh are professors at Mechanical Engineering Department, IndiaInstitute of Technology Delhi, New Delhi.

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FACTORS FOR EVALUATING FACTORYAUTOMATION PROJECTS:

INFERENCES FROM AN INDIAN SURVEYBy

R.P. Mohanty(Indian Institute of Technology, Delhi)

K.V. Sambasivarao and S.G. Deshmukh(National Institute of Industrial Engineering, Bombay)

AbstractSelection and evaluation of Automation Projects (AP) involvedecisions that are critical to the growth and survival of the organi-zation. It is observed from the literature that AP offer number ofqualitative benefits (intangible attributes). Generally, these aredifficult to quantify but their relative importance can be convertedinto priority weights. The objective of this paper is to formulate aframework for converting relative importance of attribute intopriority weights. The framework is demonstrated through a study onthe Indian manufacturing industry to analyze some of the auto-mation factors. The study also includes identification of some of thepotential automation factors and their significance in the givencontext. A survey instrument (SI) was designed for the purpose andwas administered with the professionals from industry andacademics. The results of this study and suggested uses of this SIare highlighted in this paper.

Key words: Selection, Evaluation, Automation Projects

1. INTRODUCTIONGlobally, manufacturing facilities are constantly being upgraded inorder to have competitive advantages. Parundekar (1990) observesthat Indian manufacturing firms have recognized such animportance of automating their production systems to meet thechallenges posed by the pluralistic market. However, adoption ofsuch automation projects involves large investments and strategicmanagement style. Meredith (1986) states that any financialinvestment in economic activities requires a justification for thepurpose of committing capital. The introduction of AP includeschanges in management style and organizational culture of a firm.Thus decision making process regarding selection of AP is quite

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complex, because the success of manufacturing firm highly de-pends on the mechanics of such a process. AP offer a large numberof qualitative (intangble) benefits. Datta et al (1992) observed thatthese are generally difficult to quantify. Researchers haveattempted to convert relative importance of qualitative benefitsinto priority weights (PW) for procedures involving selection andevaluation of AP. Mohanty (1992) states the project selection andevaluation involve decisions that are critical to the profitability,growth and survival of the manufacturing firm in the increasinglycompetitive global scenario. Such decisions are complex andrequire analysis of tangible and intangible attributes.

A major problem in the adoption of advanced manufacturingsystem is the identification of Automation Factors (AF) that aremandatory for selection and evaluation of AP. Today most majorcorporations in India are making an attempt to select and imple-ment AP. Mohanty (1992) observed that the real-life decisionmaking process in the project selection is compounded by a varietyof multi-dimensional issues which are:

* Huge investments require financial analysis to asseslong-term profitability.

* The long-term strategic benefits such as flexibility,improved quality etc. and intangible benefits have tobe quantified for the evaluation purposes.

* Irreversibility of the decision making.

* Greater financial risks in terms of future unforeseencosts.

* Organizational risks in terms of unanticipated changesin the system.

* Lack of information for making accurate estimates offuture returns.

* Cost patterns of new technologies are rarely understood,and the knowledge and expertise to make criticalevaluations lying with only a few individuals with inthe organization.

Selection and evaluation of AP is thus a complex process andrequires analysis of large number of issues. In this context, anattempt has been made to formulate a framework for convertingrelative importance of such attributes into priority weights.

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A brief discussion on literature, formulation of framework,application of the methodology are dealt in the following sections.

2. Literature ReviewDatta et al (1992), Demmel and Askin (1992) have reported in theliterature that selection and evaluation processes highly depend onlarge number of attributes. A brief review of literature is takenhere.

Naik and Chkravarthy (1992) reviewed selection and justificationprocedures and suggested a four stage framework for strategicacquisition of new manufacturing technologies. Park et al (1990)stated that implementation of automation technologies entails alarge initial investment under a long-term, uncertain environment.They also observed that the decisions to implement AP must bedetermined by expectations concerning factors of demand such asthe breadth of the variety of products, the quality of demand, andalso the quality of products. Bessant and Hayward (1986), Boerand During (1987) argued that the full benefits of AP are notrealized because of the following issues such as economic, technicaland organizational, while implementing AP.

It is observed from the literature that, researchers have identifiedlarge number of attributes and classified them with varying degreesof aspects. For example, Tayyari and Kroll (1990) have identifiedattributes into two categories viz., direct cost benefits, andintangible (hidden) benefits. Demmel and Askin (1992) haveidentified considerable number of implementation issues andcategorized under three categories vis., strategic, tactical, andpecuniary (economical) issues. Wabalickis (1988) has classified APattributes into three categories viz., direct cost factors, strategicand tactical attributes.

Young and Murray (1986) discussed procedures for acquiringFMS. They have identified seven factors for the purpose viz.,system quality, productivity, system reliability, system diagnostics,flexibility, material management, and economics. Mohanty (1993),has considered six types of attributes viz., strategic, technological,human, social, pre-production costs, and direct production costfactors. He has considered economic issues both in pre-production,and production cost categories. Wabalickis (1988) has consideredfour attributes such as inventory costs, sales, opeating costs, andstart-up costs and seven sub-attributes viz., lead-time, minimizeinventory, product mix response, profitability, product change

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response, tooling, and scrap for evaluating three manufacturingsystems using analytic hierarchy process. Mohanty and Venkatra-man (1993) have adopted twelve attributes for selecting automatedmanufacturing system. Datta et al (1992) have used twelveattributes for justification of FMS. Demmel and Askin (1992)have adopted fifteen attributes for evaluating advanced manufac-turing technologies. Sambasivarao and Deshmukh (1994), haveadopted numerous attributed for design and implementation ofAP. They have also classified attributes into five categories viz.,economic, human, social, strategic, and technological attributes.

Researchers have perceived the attributes with different names butthe spirit behind the expression is same. For example, Mohanty(1993) has considered hardware as plant and equipment, Troxlerand Blank (1990) have perceived market position as growth, Dattaet al (1992) have considered finance position as investment andmanagement information as information system. A large numberof attributes are identified from the literature and classified intofive categories. Majority of authors have referred these attributeswith different expressions. These attributes are identified and listedin Table 1.

The attributes identified from the literature were reviewed byprofessionals both from academics and industry in the presentstudy. A framework is designed for converting relative importanceof attributes into priority weights. The implications of theframework is explained and is demonstrated on Indian industryto derive the list of prioritized attributes. This is explained in thefollowing section.

3. Framework for Converting Attribute Priorities intoPriority WeightsWhen a change in the existing manufacturing system is proposed, aconsensus idea generation may be sought. People in an organizationusually hold many conflicting views about the best method ofreaching goal. Also for successful implementation, the basic thrust isto keep reinforcing effective participation of its employees. If a newmanufacturing system is imposed from higher-ups without fullknowledge and participation of all, it is almost sure to beunworkable. Huang and Sakurai (1990) observe that, in Japan, theautomation systems are designed and selected by their own technicalstaff. For successful adoption, a company needs support of theiremployees with adequate training to operate as well as design andselect automated equipment. Employees are given due preference to

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participate in the automation process, thus the employees recognizethe specific needs of the factory than most outside consultants.

The present study incorporate a four stage framework is devised forobtaining consensus pattern of reaching goal. The framework isdevised for deriving corporate goals and evolve a list of prioritizedobjectives. The step wise explanation is given in the following:

Step 1: In the first stage, a group of people who participate inthe decision making must be identified and called for aconsensus confrontation.

Step 2: In this stage the group will again meet and identify thegoals or objectives of the proposal. The objectives orattributes may be identified from literature, knowledgeexperts, practical experiences, individual opinions, andconsultation with practitioners. A list of consensusattributes are generated in the meeting.

Step 3: During the third stage, the group is asked to rate theattributes on an appropriate (n-point) scale. Generally,the automation factors are difficult to quantify.However, their relative importance is converted intopriority weights using an appropriate scale.

Step 4: Finally, responses for each attribute are tested using t-test for acceptable data. If the input sample (responses)of an individual attribute is unacceptable, then indicatethe theoretical mean, and priority weight (PW) and askthe group to modify if they favor to. Step 3 is repeatedfor acceptable data. Finally acceptable data for allattributes are to be obtained.

The framework is illustrated in Figure 1. The application of theframework is on Indian industry is explained in the followingsections.

4. An Indian SurveyIn this context, it was planned to identify the potential attributesconcerning the Indian manufacturing industry and to illustrate theframework to obtain a list of prioritized attributes. Thirty sevenattributes are identified for the purpose. Firstly, an open-ended listof attributes was identified from the literature. Then, the list ofattributes is categorized into five categories viz., economic, human,

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social, strategic, and technological factors in consultation anddiscussion with professionals.

A Survey has been conducted to illustrate the application offramework on Indian industry. Similarly, a manufacturingorganization can apply the methodology to derive corporategoals. The purpose of this survey is to:

* identify potential attributes for selection and evaluationof AP.

* develop a methodology for converting attribute prio-rities into priority weights.

* examine the relative importance of attributes.

* list and rank the prioritized attributes.

* draw the attention of industry and understand theimportance of AP.

4.1 Details of the SurveyA Survey Instrument (SI) was devised for the purpose. Primarydata for this study were collected from various professionals fromindustry and academics through a self-addressed mail question-naire. Prior to administering the questionnaire, the surveyinstrument was reviewed by three professionals from academicsand two top level industry professionals. The results of their inputshave been used to ensure clarity, completeness, and to eliminateany ambiguites.

A copy of the final version of the questionnaire was mailed to 125professionals. The professionals were from all across the country,who are currently involved in automation projects. The sampleincluded Automobile and auto parts, CNC machince tools andallied manufactures, Electrical and Electronics equipments, R&D,Academics, Turnkey and developmental projects. Thirty tworespondents replied, representing a 25-percent response rate.Apart from collecting responses to tbe basic questions, a fewopen-ended responses were also obtained.

Table 2 summarizes the characteristics and profile of therespondents and their organizations. The SI was used as aninstrument form conduction the study. A seven point scale was

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devised for the purpose. The scale is given in Table 3. Professionalswere requested to indicate the priorities for the attributes listed inSI. The response were gathered and analyzed. The suitability of theresponse were tested using t-test. If t value does not fall in thecritical reqion, the respondent was informed and asked to moditythe priority if he/she favors to do. Finally, all valid responses wereobtained and analyzed as follows:

4.2 Analysis of DataThe sample of inputs consists the responses from five types ofindustry viz., Automobile and auto parts, CNC Machine tools andallied products, Electrical and Electronics equipment, Researchand Development, Academicians, Turnkey developmental pro-jects. Responses are processed on individual sector basis as well ason composite industry as a whole.

Priorities of each attribute are gathered on individual basis andmean is calculated. This is treated as Priority Weight (PW).Average of highest and lowest priorities of an attribute is treated asthe theoretical mean. Validity of the samples are tested using t-test.Standard deviation for each attribute is also calculated. To test thehypothesis of the responses, sample mean, standard deviation arecalculated. Mean and standard deviation of various attributes arelisted in Table 4 (for all responses). The calculation procedure forattribute "Finance position" is illustrated here.

Attribute : Finance PositionNumber of responses (Sample Size) : 32

Priority Scores:

6 7 4 6 5 6 5 4 6 6 4 6 5 6 5 5 65 3 5 5 6 5 4 5 5 4 6 7 6 5 6

Highest priorityLowest priorityTheoretical meanPriority weightStandard

7355.3121.184

4.3 Hypothesis TestingThe hypothesis for a given attribute is tested for acceptableresponses. The sample is tested at specified level of confidence

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using t-test. For example, the on going responses are tested at 95%confidence level. The relation is expressed as:

t = (M - p) *\AI/CT (for v degree of freedom) ...(1)

where,

// = Sample meanM = Theoretical meann = Sample size (Number of responses)a = Standard deviationv = (n — I) degrees of freedoma = .significance level

Based on the t values the significance of mean difference(Theoretical mean and PW) is tested. Figure 2 gives the procedureadopted for one such attribute. Similar procedure is adopted forthe other attributes, t values, PW are presented in Table 4. In thecurrent study acceptable data for all attributes was obtained.

For example, the input sample for attribute "Finance Position" at95% confidence level is acceptable. Hence, accept the PW. Thisindicates that corporate goals are often set to improve financeposition. Similar observations can be made regarding the otherattributes.

4.4 Implications of the Study: Some ObservationsThe responses are processed sector wise. Table 5 shows the listingof priority weights of attributes as sector wise. Ranking of eachattribute is done based on the highest PW. Table 4 shows the com-posite results of all responses.

From the study, it is observed that Quality, finance position,management development, throughput, technology position,flexibility, technical feasibility, etc. are given foremost PW.Human factors, community development, and ecology are lowestpriority. It is evident that the sampled industry is facingcompetitive threats from market forces. The industry is concernedabout quality. Strategic and technological attributes are also givenprominent importance. But human and social attributes are lessconsidered. The employees are given less importance to getthemselves involved in AP.

From Table 5, it may be observed that all types of industries have

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given highest importance to quality and least weightage to ecology.The study indicates that different industries have variation ofpriorities while deriving new projects. Manufacturing firms maysimilarly evaluate their project proposals for achieving corporategoals.

Using the above study, AP can be appraised for investmentjustification, for which may analytical justification approaches areadopted. Naik and Chakravarthy (1992), Meredith and Suresh(1986) have reviewed and explained various justification ap-proaches. For example: Scoring models, multi-attribute decisionmodels such as Analytic Hierarchy Process (AHP), LinearAdditive Model, Technique for Order Preference by Similarity toIdeal Solution (TOPSIS), etc. are some of the justificationapproaches using these potential automation factors.

Apart form the SI, few open ended responses were received onIndian industry. Respondents have observed few commondifficulties in adapting automated manufacturing systems such as:

* Lack of technical skills

* Managerial problems

* Lack of confidence to implement automated systems

* Absence of clear-cut policy direction towards automa-tion

* Poorly understood evaluation methods and

* Strong resistance to adopt automation

5.0 Concluding RemarksThe technological changes are dynamic. In such a competitiveenvironment, manufacturing firms are struggling to implement theAP successfully despite many factors. In this context, an attempt ismade to evolve a framework to convert attribute priorities intopriority weights. A survey has been conducted to study the relativeimportance of various attributes. The study was intended tosuggest few potential attributes for implementing AP. Thisframework may be used for identification of corporate goals,selection of automation factors, deriving goal priorities. The set ofattributes used in this study may give volatile picture of Indian

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industry. Manufacturing firms may attempt h. a similar way forderiving the corporate goals and related factors.

The usefulness of this methodology can be summarized as follows:

(i) Economy

(ii) Industry

(iii) Academics

In the national economy, the automatedmanufacturing sector occupies a verysignificant position. Government of Indiahas liberalized its economy and integratingits economy with the global markets.Manufacturing industries are faced withheavy market pressures both from homeand abroad. This needs flexible manufac-turing technologies which can quicklyrespond to the market. The need for auto-mation in a growing economy like India iswell acknowledged. For this reason, thepresent study is meant for addressing theautomation issues such as economic, hu-man, social, strategic, and technologicalwhile implementing AP at macro level.

The study provides a basic frameworkupon which various attributes can beevaluated for meeting the corporate objec-tives for successful implementation atindividual industry level, i.e at micro level.A list of prioritized attributes are obtainedfrom the survey. This may draw theattention of manufacturers to give legiti-mate importance to the automation factorswhile deriving the corporate goals.

The learning points from this study include:

* Development of a comprehensivemethodology for evaluation of intan-gible/tangible attributes.

* Need for developing an understandingwhere technology vis-a-vis humanfactors co-exists and there is amplescope to model this co-existance.

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18. PARK, Y. H. PARK, E.H., and NTUEN, C. A., 1990. Aneconomic model for cellular manufacturing systems, Justificationmethods for integrated manufacturing systems, (Ed Parsaei H,Ward T and Karwoski W), Elsevier, New York, 176-192.

19. Parundekar, S., 1990. Justification for Automated ManufacturingSystems: design of a Decision Support System (DSS), UnpublishedMasters Thesis, NITIE, Bombay. (India).

20. PRIMROSE, P.L., 1991. Investment in manufacturing technology,Publishers: Chapman and Hall (I)., London.

21. SAMBASIVARAO, K.V., and DESHMUKH, S.G., 1993. Under-standing the implementation process of advanced manufacturingsystems, Emerging trends in Mechanical Engineering, Proceedingsof 8th ISME conference on Mechanical Engineering, (Editors:Agarwal et al) Pub: Tata McGraw Hill, Delhi, 653-658.

22. SAMBASIVARAO, K.V., and DESHMUKH, S.G., 1994. Strate-gic Framework for Implementing the Flexible ManufacturingSystems in India, International Journal of Operations andProduction Management, 14(4), 52-65.

23. TAYYARI F, and KROLL, D.E., 1990. Total cost analysis ofmodern automated systems, Justification methods for computerintegrated manufacturing systems, (Ed Parsaei H, Ward T andKarwoski W), Elsevier, New York, 234-241.

24. TROXLER, J.W., and BLANK, L., 1990. Decision support systemfor value analysis of integrated manufacturing technology,Justification methods for computer integrated manufacturingsystems, (Ed Parsaei H, Ward T and Karwoski W), Elsevier, NewYork, 193-202).

25. WABALICKIS, R.N., 1988. Justification of FMS with AnalyticHierarchy Process, Journal of Manufacturing Systems, 7(3), 175-182.

26. WEATHERALL, A., 1988. Computer integrated manufacturing,Published by Affiliated East-West Press Pvt, Ltd., New Delhi,(India).

27. YOUNG, A.R., and MURRY, J., 1986. Performance Evaluationof FMS, International Journal of Operations and ProductionManagement, 6(5), 57-62.

Priority Score

7

6

5

4

3

2

1

Explanation

Very Important

Important

Essential

Necessary

Considered

Less Considered

Least advised

Table 3: Relative Importance rating scale

Hypothesis:

HO = p.

Assumption : The Input sample is reliable and acceptable at 95%of confidence level

Assumption : The input sample is not reliable and not acceptable

Critical region : _ta/2 < t < tQ/2 for v = 31, a = 0.05,-1.749 <t< 1.749

Procedure : Calculate the value of t

1 = (M — p) * ^/n/ff (for v degrees of freedom) = —1.493

Conclusion : Acceptable the null hypothesis which assumes thatsample is acceptable at 95% level of confidence.

Figure 2: Hypothesis testing

89

Factor Sub-factor (attribute) References

ECONOMIC

ConsumablesDesignInspection and controlInventoryLaborMaintenanceMaterialMaterial handlingModificationQualityThroughputTraining

14, 19, 215. 6, 14, 19, 21, 246. 14, 19, 21, 271,4,6, 8, 10, 11, 14, 19,21,22,245,6, 8,9, 11, 14, 17, 19, 215, 11, 17, 19,215, 17, 19,21,275, 14, 19, 21, 275, 6, 9, 14, 19, 21, 224. 6, 10, 11, 14, 19, 20, 21, 22, 24, 275. 6, 10, 14, 19, 20, 21, 24, 255,9, 10, 11, 14,21,22

HUMAN

Employee co-operationEmployee relationsEmployee morale/motivationManpower planning

9, 21, 244, 5, 19, 21, 22, 24, 264, 5, 6, 14, 19, 21, 22, 24, 2610, 14, 19, 21,22

SOCIAL

Community developmentCustomer satisfactionEcologyWorking environment

14, 19, 21, 266,9, 14, 17, 19,21,24,2614, 19, 217, 9, 14, 19, 21

STRATEGIC

Finance positionGovernment advantageManagement developmentMarket positionResearch and developmentTechnology position

4, 11, 13, 14, 19,21,22,24,266, 11,225, 11, 14, 19,21,224, 5, 6, 11, 13, 14, 20, 22, 24, 25, 2614, 19, 21, 224, 5, 13, 14, 19, 20, 21, 22, 24, 26

TECHNOLOGY

AvailabilityCapacity utilizationCompatibilityFlexibilityHardwaresManagement informationManufacturing engineeringProductivityReliabilitySoftwareTechnical feasibility

5, 7, 8, 14, 19, 21, 24, 261,4, 8, 9, 11, 14, 19,21, 22, 245, 6, 9, 14, 19, 215, 6, 7, 8, 11, 14, 19, 20, 21, 24, 26, 275,6, 10, 11, 13, 14, 19,2114, 19, 21, 264, 5, 9, 10, 14, 19, 20, 21, 276, 11, 14, 19,21,26,24,274. 14, 19,21,265. 10, 11, 14, 17, 19,214, 5, 14, 19, 21, 22, 24

Table 1: List of attributes identified for SI from literature

90

a) Title of the respondentPresident or Director of firmGeneral Manager (Manufacturing)Head of the departmentAsst. EngineerAcademician

Values in %

9.418.721.918.831.2

b) Title of DepartmentResearch and DevelopmentBusinessProductionStrategic ManagementOthers

21.915.631.221.99.3

c) Turnover of the organization^Below $5m (Millions)$6m to $25m$26m to $50m$51m to 100mAbove $101m

40.013.320.013.313.3

d) Manpower of the organization*Below 100101 to 500501 to 1500above 1501

5.858.817.617.6

e) Business categoryAutomobile and Auto partsCNC Machine tools and Allied productsElectrical & Electronics equipmentResearch and development, academicsTurnkey and developmental projects

12.537.612.531.26.2

Table 2: A Profile of the respondents

* n = 32. (# values in percentage)@ Excluding academicians

91

Automation factor

QualityManagement developmentFinance positionFlexibilityTechnology positionThroughputTechnical feasibilityDesignManufacturing EngineeringCustomer satisfactionProductivityReliabilityCompatibilityInventoryMarket positionHardwaresLaborMaterialResearch and DevelopmentTrainingEmployee co-operationEmployee relationsAvailabilityManpower planningCapacity utilizationManagement informationMaintenanceEmployee morale/motivationSoftwareInspection and controlWorking environmentWork force compositionMaterial handlingConsumablesGovernment advantageCommunity developmentEcology

Mean1

6.0005.0005.0004.5004.5004.5004.5004.0004.0004.0004.0004.5004.0004.0004.0003.5003.5004.5004.0003.5003.0003.5003.5003.5003.5003.5003.5003.5003.5003.5003.5003.0003.0003.0003.5002.0002.000

Std.

0.6960.9091.1841.5601.3211.7491.3521.6191.6191.6941.7311.4991.2691.2402.0531.7981.6761.5601.9192.0381.0291.4461.4521.5761.3971.4461.4361.2501.4361.4241.3251.0291.1661.3212.0380.8080.695

t-dist

-1.016-1.749-1.493-1.586-1.873-1.415-0.915-1.965-1.965-1.461-1.430

0.236-1.672-1.568-0.861-1.966-1.899

1.586-0.184-0.868

0.344-0.734

0.4870.4490.8860.7340.9851.1310.9851.2421.4670.3440.6061.873

-0.8681.3131.780

PW

6.1255.3125.2814.9384.9384.9384.7194.5624.5624.4384.4384.4384.3754.3444.3124.1254.0624.0624.0623.8123.7193.6883.3753.3753.3123.3123.2813.2503.2503.1883.1562.9382.8752.5622.1561.8121.781

Table 4: Priority weights of attributes of sampled composite industry

3J indicates theoretical meanindicates sample mean

92

Automation factor

AvailabilityCapacity utilizationCommunity developmentCompatibilityConsumablesCustomer satisfactionDesignEcologyEmployee co-operationEmployee morale/motivationEmployee relationsFinance positionFlexibilityGovernment advantageHardwaresInspection & controlInventoryLaborMaintenanceManagement developmentManagement informationManpower planningManufacturing EngineeringMarket positionMaterialMaterial handlingProductivityQualityReliabilityResearch & developmentSoftwaresTechnical feasibilityTechnology positionThroughoutTrainingWorkforce compositionWorking environment

Mean1

4.0002.2502.0005.0002.2504.2505.7501.5003.0002.5003.2505.7505.7502.0005.5002.2503.5003.7503.0006.0003.2503.7504.0003.7504.2502.5004.2506.2505.5005.0004.0005.2505.2504.5004.5002.2502.500

Std

3.1673.6671.7504.1672.6674.5004.1671.8334.0003.5003.8335.1674.6672.4173.6673.5004.5004.1673.3334.9173.3333.2504.7504.5004.0003.0004.5006.0834.0833.7503.0004.5004.7505.0833.5833.1673.417

Electr

4.0002.2502.0005.0002.5004.2505.7501.5003.002.5003.2504.7505.7502.005.5002.2503.0003.7503.0006.5003.2503.7504.0003.7504.2502.5004.2506.2505.5005.0004.0005.2505.5004.5004.5002.2502.500

t-dist

3.3004.1001.7004.5002.6004.7004.1002.0003.8003.4003.6005.4004.5002.0003.8003.4004.9004.2003.5005.0003.5003.3004.4004.3003.8003.3004.4005.9004.1004.0003.0004.7004.7005.3003.5003.0003.000

PW

2.5001.5002.0002.5002.5003.5004.5001.5004.5004.0005.0005.5005.5002.0003.0004.0005.0004.0003.0005.5002.5003.0006.5005.5005.0001.5005.0007.0004.0002.5003.0004.0005.5004.0004.0004.0005.000

Table 5: Priority weights of attributes sector wise

93

IDENTIFY GROUP OFPROFESSIONALS

IDENTIFYATTRIBUTES

SUPPLYRESPONSESANDVALIDITY

NO

SUPPLY SITO PROFESSIONALS

VALIDITYOF RESPONSES

YES

DERIVE GOALS

Figure 1: Framework For Prioritizing Attributes

94

BIODATA

Dr. Nasuddin Othman is a senior lecturer at the Mara Institute ofTechnology, Shah Alam, Selangor. He obtained his master in agriculturedevelopment from Belgium dan Ph D degree from Scotland.

96

TECHNICAL EFFICIENCY OF COCOAPRODUCTION IN WEST MALAYSIA

BYNASUDDIN OTHMAN

ABSTRACTThe objective of this study was to examine the technical efficiencyin the production of cocoa at the smallholders level. Cross-sectional data collected from 260 cocoa smallholders were used forthe study. Both the average production functions estimated by theOrdinary Least Squares techniques and the frontier productionfunction estimated by the Linear Programming methodology wereemployed in the analysis.

The results indicated that technical inefficiencies were present inthe study area. A large proportion of the farmers has output levelsbelow their potentials. If there were improvements in themanagement expertise, the least efficient fanners could increase their output by 34 percent.

The variations in technical efficiency in this area were explained bythe differences in land size, farmers educational level, their age andthe practice of keeping farm records and accounts.

This study emphasises the need that increasing efforts must bedirected at the least efficient farmers through better and effectivemanagement practices and better organization of the farm activitywithout major new investments, at least in the short-run.

INTRODUCTIONCocoa as the third major export crop plays a substantial part in theeconomic development of the country mainly through itscontribution to the foreign exchange earnings and employment.Export earnings from cocoa amounted to RM 180 million in the first seven months of 1994 and are expected to reach RM 300million in 1994 (Economic Report 1994/95). However, in spite ofits significant role, this particular production sector is still besetwith the problem of low agricultural productivity at thesmallholders level. It has been observed that although varioussteps such as the provision of the support services have been

97

undertaken by the government in recent years, there seems to havebeen not much change in their productivity status. At the farmlevel production per hectare is relatively low when compared to thepotential yields which can be obtained if the farmers were to followthe recommended practices.

There are numerous factors that may account for this phenomenonand among them are because of the presence of technicalinefficiencies. The latter forms the subject of the present study.In addition, this study attempts to estimate the level of technical efficiency of the individual cocoa producers and to identifythe factors which contribute to its variations.

METHODOLOGY AND FUNCTIONAL FORMThe theoretical definition of a production function is that itrepresents the maximum possible output that can be producedfrom given input bundles. This indicates that there is a frontierwhich sets a limit to the maximum possible output which could beobtained. Thus a farm producing less than the maximum possibleoutput may lie below the production frontier and is regarded as aninefficient farm.

There are three frontier production models that have been widelyused in empirical studies, namely, 1) a deterministic productionfrontier estimated by means of a linear programming technique; 2)a statistical production frontier which is estimated either by usingthe corrected least squares or the maximum - likelihood techniqueand; 3) a stochastic production frontier with a composed errorstructure which is also estimated by using the maximum -likelihood technique (Forsund et al. 1980).

In this study the deterministic production frontier developed byTimmer (1970) is employed in the analysis that follows. Thisapproach allows the measurement of technical inefficiency for eachobservation in the sample. In addition this method also providesthe ease of comparing the frontier estimates with that of theaverage production estimates computed.

Consider the Cobb-Douglas production function

j = ( ( > l n X i j + ewhereYJ = logarithm of the output of farm jXi = logarithm of the level of input used by farm j

98

m = the number of inputsa; = parametersEJ = logarithm of random error termTo make this a frontier function, all the error terms areconstrained to one side of the production surface that it satisfies.

m AIn xlj = In yj > In yj

where, yj is the potential output and Yj is the actual output.

The frontier function ca be estimated by minimising the linear sumof the residuals assuming all (j are non-negative. This estimationaccording to Timmer (1970) is equivalent to solving the linearprogramming problem.

The technical efficiency of the jth farm can be estimated from theLinear Programming solution by computing an index of technicalefficiency given by the ratio yjyj .

In this study the effects of six conventional inputs comprising land,farm tools, chemicals, fertilizers, labour and living capital on theproduction of cocoa were analysed.

In terms of measuring the variable for the study:

1. The dependent variable was measured as the expected incomefrom cocoa and coconut.

2. Land was measured in physical units of area.3. Farm tools were measured in term of its service flow.4. Chemicals were measured in monetary values and comprised

cost of weedicides and pesticides.5. Fertilizers were measured in monetary values.6. Labour was measured as the total man-days used in the

maintenance and harvesting operations.7. Living capital comprising cocoa and coconuts was measured

in monetary values.

Data for the study were collected from 260 cocoa smallholdersfrom the district of Hilir Perak that is considered as one of thelargest cocoa growing areas in the country. The data gathered wereconfined to the calendar year 1988.

EMPIRICAL RESULTSTable 1.1 reports the results of fitting the linear form of the Cobb-

99

Douglas function using both the average and the frontierapproaches. The columns labeled LP (100) are the results fromfitting the deterministic function; while the label LP (98) is theresults obtained from the chance constrained functions afterremoving two per cent of the extreme observations from thesample.

TABLE 1.1 REGRESSION COEFFICIENTS USING AVERAGEAND FRONTIER PRODUCTION FUNCTIONS

VARIABLES

Intercept

Land

Farm Tools

Chemicals

Fertilizers

Labour

Living CapitalR2

F - Statistic

AVERAGEPRODUCTION

FUNCTIONn= 260

4.4.684***(0.4443)

0.5702***(0.0756)0.0091**(0.0047)

0.0070**(0.0031)

0.0181***(0.0029)0.1197**(0.0520)

0.2310***0.8624

271.49***

LP (100)

n = 260

4.6224

0.5679

0.0082

0.0040

0.0298

0.2429

0.2385

(LP98)

n = 255

4.8628

0.5691

0.0087

0.0057

0.0168

0.1324

0.2296

Figures in parentheses are the standard errorsLevel of significance: *** 1 per cent

** 5 per cent

A comparison of the deterministic frontier (LP 100) and theaverage production function results indicated that the majordifference between the two to be the larger coefficient for labourfor the frontier function. When a closer examination of themagnitude of the frontier intercept was made it was revealed thatits value was actually within the 95 per cent confidence interval of

100

the average production function estimate. This therefore impliedthat there was no significant difference in its value between the twomethods used. The plausible explanation for the large labourcoefficient is that the efficient farmer might have used less labourinput compared to the less efficient farmers in this study area. Thishas the consequence of increasing the marginal productivity of thisinput.

When two per cent of the observations were removed the estimatedcoefficients looked remarkably like those estimated with theordinary least squares. All the coefficient were very similar tothose of the analogous average function. The intercept as well asthe magnitude of the labour coefficient of the chance constrainedfunction were also within the 95 per cent confidence interval of theaverage estimates. The rest of the inputs have similar outputelasticities because the amount used increased proportionately, orapproximately so, with output.

TABLE 1.2 FREQUENCY DISTRIBUTIONOF TECHNICAL EFFICIENCY (TE) INDICES

TE Indices

> 0.50 < 0.55

> 0.55 < 0.60> 0.60 < 0.65> 0.65 < 0.70> 0.70 < 0.75> 0.75 < 0.80> 0.80 < 0.85> 0.85 < 0.90> 0.90 < 0.95> 0.95 ( 1.00Mean

Std. Dev.MinimumMaximum

Pooled Datan = 255

--

-19 (7.45)17(6.67)49 (19.22)84 (32.94)53 (20.78)28 (10.98)5 (1.96)0.8200.0720.6601.00

101

In order to estimate the performance of the individual producerTimmers technical efficiency indexes were computed. From theanalysis as shown in Table 1.2 it was found that the sample has amean efficiency level of 0.82 with a standard deviation of 0.07. Theaverage technical efficiency level of 82 per cent recorded impliesthat if the average fanner were to improve his managementexpertise, or improve the efficiency in the use of the farm inputs hewould obtain 18 per cent more output. It was also observed thatthe least efficient operator had an index of 0.66. For this particularproducer output would be increased by 34 per cent if similaractions were taken.

DETERMINANTS OF TECHNICAL EFFICIENCYThe observed differentials in technical efficiency may be attributedto a number of factors such as the differences in managerial ability;the employment of different levels of technology and differences inthe physical factors.

In the present study, an attempt is made to identify the factors whichwere thought might have some power to explain the variations intechnical efficiency among the cocoa farmers in the study area. Thevariables comparised the farmers age, his educational level, hisspouses and childrens educational levels and whether he practiceskeeping farm records and accounts or not. All these variables wereused as proxies for the farmers management ability. Beside themanagement factors, land size used for the cultivation of cocoa wasalso included in the analysis as this input might also contribute tovariation in technical efficiency in this study.

Different types of soil have different nutrient levels as well asdifferent chemical and physical properties. In this study since thereare two types of soil series involved namely; the Kankong and theSelangor soil series, it is expected that there are bound to bevariations in technical efficiency depending upon how this input ismanaged by the farmers during crop production.

In addition to the above variables, regional dummies were alsoincluded in order to capture the possible effects of the environ-mental factors. In this study there are four regions involvedcomprising Teluk Baru, Bangan Datoh, Rungkup and HutanMelintang.

The results of regressing these variables with the technicalefficiency indices were presented in Table 1.3. Each estimated

102

TABLE 1.3 DETERMINANTS OF TECHNICAL EFFICIENCY:ESTIMATED REGRESSION COEFFICIENTS FOR POOLED DATA

VARIABLE

Intercept

Farmers age

Farmers educ.

Spouses educ.

Childrens educ.

Farm records &accountsSoil Dummy:1 = Kankongseries0 = Otherwise

Regional Dummies:Teluk BaruBagan Datoh

Rungkup

Land size

Adjusted R squareF - statistic

REGRESSIONCOEFFICIENTS

1.012***(0.0774)

-0.0597***(0.0185)

0.0695***(0.0182)

-0.0062(0.0162)0.0068

(0.0086)0.0733***(0.0137)

-0.0239(0.0174)

-0.0023(0.0221)-0.0062(0.0162)0.0074

(0.0099)-

0.19668.04***

REGRESSIONCOEFFICTENTS

0.8463***(0.0589)

-0.0259*(0.0146)

0.0533***(0.0142)

-0.0117(0.0219)-0.0010(0.0067)

0.0387***(0.0109)

0.0086(0.0146)

0.0098(0.0183)-0.0126(0.0134)0.0027

(0.0078)0.0881***(0.0069)0.5138

27.58***

Figures in parentheses are the standard errors*** Significant at 1% level,** Significant at 5% level,* Significant at 10% level.

103

regression coefficient represents an estimated change in thetechnical efficiency index in response to a one unit change in theparticular factor - other factors held constant.

In the first stage analysis, only the effects of farmers age, farmerseducation, spouse and childrens education, farm records andaccounts, soil series and the regional dummies were incorporatedinto the analysis. The results however bore little fruit when appliedto the Malaysian data. Although the explanatory power of theregression equation was low, nevertheless, three variables, namely;farmers age, farmers education and farm records and accountswere statistically significant at one per cent level of probability.

However, when land size was included in the analysis, the resultschanged dramatically. It was found that about 51 per cent of thevariability in the efficiency indices for the entire survey area couldbe explained by the factors specified in the model.

DISCUSSION OF THE RESULTSStudies related to land size that have been undertaken by otherresearch workers have not produced consistent results. In India,for example, Lau and Yotopoulos (1971) found smaller farms to bemore efficient than larger farms. In Pakistan it has been shownthat greater efficiency appears to be closely linked with largerfarms (Khan and Maki, 1979). In this study, this input was foundto have a statistically significant effect on technical efficiency andthe relationship was positive. This indicates that the larger the landsize the more technically efficient the farmers become.

As regard to education, a number of studies have been undertakento examine the effect of this input on technical efficiency. Jamisonand Lau (1980) found a significant contribution of this input inaffecting efficiency among the rice farmers in Malaysia, Korea andThailand. Lingard et al (1983) also revealed that education was acontributing factor that caused variation in technical efficiencyamong the Philippines rice fanners.

It appears that the outcome of the present study was in accord withthe findings of the above research workers. In this study, it wasindicated that fanners education had a positive and statisticallysignificant effect on technical efficiency. This outcome implies thatthe more educated the farmers the more technically efficient theybecome.

104

The present study also revealed the importance of keeping farmrecords and accounts in affecting the variation in technicalefficiency. This outcome was to be expected. Given the nature ofthe agricultural activity where the elements of risk anduncertainties are involved, it is essential that in order to assistthem in making the correct decisions about their farms, detailedinformation about the farming activity is highly essential and thisis only feasible provided that they have farm records and accounts.With the records kept they will be in a capacity to make the bestuse of the available resources. Hence it is not surprising thatfarmers who kept records and accounts were found to be moretechnically efficient that those who did not.

Finally, the results computed indicated that there was a decline intechnical efficiency as the age of the farmers increased. Theplausible explanation for this outcome was that farmers.in thisarea have already passed their productive age and the experiencethat is normally associated with this variable seems not to have hadany significant effect on their decision- making process.

CONCLUSIONThe study reveals that technical inefficiencies are present in thestudy area and this give rise to a considerable gap between theactual and the potential output. Computation of the individualefficiency indices showed that only a small proportion of thefanners was on the efficient frontier indicating that the majority ofthem have output levels below their potentials.

From this study it emerged that the variations in technicalefficiency among the cocoa farmers in this area were explained bythe differences in land size used for the cultivation of cocoa,farmers educational level, their age and the practice of keepingfarm records and accounts.

This study suggests that more efforts should be directed at groupfarming in this area. A bigger holding will be in a capacity toexploit the economies of scale, have more access to information,credit and better management that the smaller ones. The observeddispersions in efficiency indices also point to the need of improvingcocoa production through extension efforts that need to be focusedespecially to the managerially worst farms as suggested by Lingardet al (1983).

105

BIBLIOGRAPHYFORSUND, F.R., LOVELL, C.A.K., and SCHIDMT, P. (1980). A

Survey of Frontier Production Functions and on their Relationshipto Efficiency Measurement. Journal of Econometrics 13, pp. 5-25.

JAMISON, D.T. and LAU, J.L. (1980). Farmer Education and FarmEfficiency, A World Bank Research Publication, The John HopkinsUniversity Press, Baltimore.

KHAN, M.H., and MAKI, D.R. (1979) Effects of Farm Size onEconomic Efficiency: The Case of Pakistan. American Journal ofAgricultural Economics, Vol. 61 (1), pp. 64-69.

LINGARD, J., CASTILLO, L. and JAYASURIYA, S.K. (1983).Comparative Efficiency of Rice Farms in Central Luzon, thePhilippines, Journal of Agricultural Economics, Vol. 34, pp. 164-173.

MALAYSIA, MINISTRY OF FINANCE (1995). Economic Report1994/95, Jabatan Percetakan Negara, Kuala Lumpur.

TIMMER, P.C. (1970). On Measuring Technical Efficiency FoodResearch Institute Studies, Vol. 9(2), pp. 99-171.

106