oc 6440 employee involvement

Organization Development and Change

Thomas G. CummingsChristopher G. Worley

Employee Involvement

Cummings & Worley, 8e (c)2005 Thomson/South-Western

15-2

Learning Objectivesfor Chapter Fifteen

• To understand the principle characteristics of employee involvement interventions

• To understand the three predominant applications of employee involvement


15-3

Employee Involvement

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

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


15-4

Employee Involvement• Power

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

• Information– Extent to which relevant information is shared

with members• Knowledge and Skills

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

• Rewards– Extent to which opportunities for internal and

external rewards are tied to effectiveness


15-5

EI and Productivity

EmployeeInvolvementIntervention

ImprovedCommunication

and Coordination

ImprovedMotivation

ImprovedCapabilities

ImprovedProductivity


15-6

Secondary Effects of EI on Productivity

EmployeeInvolvementIntervention

Productivity

ProductivityEmployee

Well-being andSatisfaction

Attraction andRetention


15-7

Employee Involvement Applications

Application

Power

Information

Knowledge/Skill

Rewards

Parallel Structures

Low

Moderate

Moderate

Low

High Involvement Organizations

High

High

High

High

Total Quality Management

High

High

High

High


15-8

Parallel StructureApplication Stages

• Define the parallel structure’s purpose and scope

• Form a steering committee• Communicate with organization members• Form employee problem-solving groups• Address the problems and issues• Implement and evaluate the changes


15-9

High Involvement Organization Features

• Flat, lean organization structures

• Enriched work designs• Open information

systems• Sophisticated selection

and career systems

• Extensive training programs

• Advanced reward systems

• Participatively designed personnel practices

• Conducive physical layouts


15-10

TQM Application Stages

• Gain long-term senior management commitment

• Train members in quality methods• Start quality improvement projects• Measure progress• Rewarding accomplishment


15-11

Deming’s Quality Guidelines• Create a constancy of

purpose• Adopt a new philosophy• End lowest cost

purchasing practices• Institute leadership• Eliminate empty slogans• Eliminate numerical

quotas• Institute on-the-job

training• Retrain vigorously

• Drive out fear• Break down barriers

between departments• Take action to accomplish

transformation• Improve processes

constantly and forever• Cease dependence on

mass inspection• Remove barriers to pride

in workmanship


15-12

Deming’s Seven Deadly Sins• Lack of constancy of purpose• Emphasizing short-term profits and immediate

dividends• Evaluation of performance, merit rating, or annual

review• Mobility of top management• Running a company only on visible figures• Excessive medical costs• Excessive costs of warranty

oc 6440 employee involvement

Business