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Harmony is a constant stream of evolution, a constantly changing vocabulary and syntax. Rogers Sessions ©2007 Parris, Wolfe & Associates

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Presentation on theme: "Harmony is a constant stream of evolution, a constantly changing vocabulary and syntax. Rogers Sessions ©2007 Parris, Wolfe & Associates"— Presentation transcript:

1 Harmony is a constant stream of evolution, a constantly changing vocabulary and syntax. Rogers Sessions ©2007 Parris, Wolfe & Associates Canada:

2 Effects of Discord in the Organizational Structure Internal Environment Effects of Discord in the Organizational Structure Financial and Human Asset Costs ©2007 Parris, Wolfe & Associates Canada:

3 Harmony Business Strategy Internal Environment Process With the business spheres in harmony corporate assets and resources are enabled to perform at optimum levels. Harmonizing: Strategy, People, and Process ©2007 Parris, Wolfe & Associates Canada: Effects of Discord in the Organizational Structure

4 "Harmony" in an Organization When an organization has harmony there is: Open and honest communication Strong work ethic combined with strong team spirit Respect for each other Healthy / productive conflict productive debates People work towards the same strategic goals ©2007 Parris, Wolfe & Associates Canada: Effects of Discord in the Organizational Structure Strategies are properly implemented because of strengthened interpersonal infrastructures; increasing overall productivity.

5 ©2007 Parris, Wolfe & Associates Canada: Cultural tone of an organization Human Resource Structure - an entity's people. Effects of Discord in the Organizational Structure 5 Harmony Business Strategy Internal Environment Process When analyzing the HR structure we look at; the social work environment in which people operate their integrity and ethical values, and if talent and capacities are correctly being used.

6 ©2007 Parris, Wolfe & Associates Canada: Impact of Human Resource Discord on: Organizational Work Culture Human Resource Succession Planning Operation Costs Effects on your Employees Health Effects on your Workforce Effects of Discord in the Organizational Structure 6 Harmony Business Strategy Internal Environment Process

7 Effects of Discord in the Organizational Structure Internal Environment 7 ©2007 Parris, Wolfe & Associates Canada: Effects of Human Resource Discord on the Organizations Work Culture Macro Level Inhibits the owners/CEOs positive work values and principals from being replicated throughout the company Creates a distance between the main decision maker and the Organizations workforce Creates illusion of betrayal by senior management

8 Effects of Discord in the Organizational Structure Internal Environment 8 ©2007 Parris, Wolfe & Associates Canada: Effects of Human Resource Discord on the Organizations Work Culture – contd Mezzo-Level Erodes employees trust and loyalty towards senior level management Dissolves level of confidence in senior managements leadership capabilities Creates an environment of undermining and espionage between workforce and management

9 Effects of Discord in the Organizational Structure Internal Environment 9 ©2007 Parris, Wolfe & Associates Canada: Effects of Human Resource Discord on the Organizations Work Culture – contd Micro-Level Creates silos within business units and teams Weakens and dissolves inter-company support networks Lessens knowledge-sharing and team-learning behaviors Diminishes the workforces contributions of creativity, decision making, and risk taking behaviors

10 Effects of Discord in the Organizational Structure Internal Environment 10 ©2007 Parris, Wolfe & Associates Canada: Disgruntled Employees Mistreatment from co-worker/management Employee Trust/Loyalty Diminished Employee reveals proprietary information Impacts Corporate Intelligence Undermines risk management Organizations Work Culture: illustration where undermining and espionage is occurring Leaves Employees speak negatively about poor leadership and management Impacts Corporate Integrity New desirable talent avoids employment with company Workforce speaks negatively about experiences to others in industry Impacts Company Branding Company develops negative reputation Stays Strategy not implemented through employees actions Impact Strategic Planning Impedes process

11 Effects of Discord in the Organizational Structure Internal Environment 11 ©2007 Parris, Wolfe & Associates Canada: Effects of Human Resource Discord on Succession Planning As a result: 1.Decision makers may be shielded from identifying proactive and valuable resources/assets. 2.Improper promotions / demotions hinder succession planning strategies 3.Improper performance reviews hinder corporate & employee development If a discordant individual is conducting employee performance reviews, decision makers may receive biased information that impedes succession planning.

12 Effects of Discord in the Organizational Structure Internal Environment 12 ©2007 Parris, Wolfe & Associates Canada: Senior Management / Manager (Discordant Individual) Impacts Succession Planning Improper promotions / demotions hinder succession planning strategies Loss of talent access; innovative and creative thinkers leave from lack of opportunity Impacts Human Resources Improper performance reviews hinder: Corporate growth Teams confidence and esteem development Employee development Workforce motivation Impacts Strategic Planning DM shielded from identifying valuable employees. DM not able to assess organizations actual capacities Inaccurate Team Evaluations Poor Performance Reviews Discordant individual is conducting evaluations and reviews - impedes Succession Planning & impacts strategic planning Decision Maker (DM) Access to direct communication with

13 Operation Costs: Discord in the HR Structure

14 Effects of Discord in the Organizational Structure Internal Environment 14 ©2007 Parris, Wolfe & Associates Canada: When HR assets are inappropriately managed, the business incurs hidden operation cost. - a recent survey of 9,000 federal employees indicated that 42 percent of female and 15 percent of male employees reported being harassed within a two-year period, resulting in a cost of more than $180 million in lost time and productivity. Michael H. Harrison, Ph.D Harrison Psychological Associates (Orlando Business Journal March 2002)

15 Effects of Discord in the Organizational Structure Internal Environment 15 ©2007 Parris, Wolfe & Associates Canada: HR Discord between four employees in a six month period 1.Distracted Team/Employee Time$28,000 2.Opportunity cost of Distracted / Unproductive time$14, Impact of Diminished Decision Making$120,000 4.Terminated/Resigned employees$50, Employee Restructuring$8,000 6.Intellectual and Property theft/damage$ Diminished Motivation$11,200 8.Unproductive Work Time$1,792 9.Employee Health Costs$1,120 Total cost of only one conflict$234,512 1 Assumes one of the $40k employees resigned; conflict played typical role. 2 Illustration makes conservative assumption that this factor did not incur cost. The below Illustration of hidden operation cost are taken from an independent case study by Dr. Dan Dana: Cost of Conflict

16 Effects on Employee Health Mental and Physical

17 Effects of Discord in the Organizational Structure Internal Environment 17 ©2007 Parris, Wolfe & Associates Canada: Effects on Individual and Team Health: Mental and Physical The effects of mistreatment extend beyond direct targets to include witnesses; impacting the financial resources allocated for health benefits, insurance and sick leave. General Health Questionnaire (GHQ ) and Occupational Stress Indicator (OSI) instruments enable us to assess the mental and physical results of stress. GHQ results; scores of 4 and above are level which may imply need for screening for psychiatric treatment. Occupational Stress Indicator (OSI) scores measure physical symptoms of neurological stressors

18 Effects of Discord in the Organizational Structure Internal Environment 18 ©2007 Parris, Wolfe & Associates Canada: The findings show Currently bullied are well above the need for psychiatric treatment. n=553 UMIST - Destructive Conflict and Bullying at Work, Sponsored by the British Occupational Health Research Foundation (BOHRF); April 2000; By Helge Hoel & Cary L Cooper; Manchester School of Management. Bullying and Health Outcomes Occasionally Bullied (Rarely/monthly) Regularly Bullied (Weekly/Daily) Mental GHQ Score Physical OSI score Effects on Individual and Team Health: Mental and Physical – contd

19 Atonal Team Environment: Effects on your Workforce, Operation Cost, Productivity and Customer Service

20 Effects of Discord in the Organizational Structure Internal Environment 20 ©2007 Parris, Wolfe & Associates Canada: Research shows: One individual most often is NOT the only target. Entire workgroups report being mistreated and bullied. UMIST n= 5,288 UNISON n=761 UMIST - Destructive Conflict and Bullying at Work, Sponsored by the British Occupational Health Research Foundation (BOHRF); April 2000; By Helge Hoel & Cary L Cooper; Manchester School of Management. (2 nd numbers based on UNISON, 1997 study via UMIST study) When inappropriate work behavior is allowed to continue; The disruptive individual targets more employees resulting in decreased employee self-esteem, health, and productivity Effects on your Workforce

21 Effects of Discord in the Organizational Structure Internal Environment 21 ©2007 Parris, Wolfe & Associates Canada: Effects on your Operation Cost Macro Loss of competitive edge Loss current and future profitability Mezzo High turnover of employees Replacement costs New/post-employee training cost Micro Distracted time cost Higher rate of sick time & benefits usage Insurance premiums increase

22 Effects of Discord in the Organizational Structure Internal Environment 22 ©2007 Parris, Wolfe & Associates Canada: Diminished Production and Productivity Levels Lost production time results in lower productivity; Employees report they loose work time due to rude workplace behaviour directed toward them. 1 Organizations who manage people well, outperform those who don't by 30 to 40%. 2 A Weakening of Customer Service Quality: Customer service suffers when employees are harassed at work: Their loyalty diminishes They view the company as not protecting them from the disruptive employee, as a result, the other employees take frustrations out on clients. 3 Effects on your Productivity and Customer Service 1. American Psychological Association; survey of 1,500 workers, 750 said they lost time from work: due to rude workplace behaviour directed toward them. 2. Canadas Safety Council 3. Orlando Business Journal

23 Resolving Discord in the Organizational Structure

24 Effects of Discord in the Organizational Structure Internal Environment 24 ©2007 Parris, Wolfe & Associates Canada: Discord in the Organizational Structure Discord and negative dissonance in the work environment impacts not only the target but also: Organizational Work Culture Human Resource Succession Planning Operation Costs Employee Mental & Physical Health Team Environment

25 Effects of Discord in the Organizational Structure Internal Environment 25 ©2007 Parris, Wolfe & Associates Canada: When an organization identifies and successfully addresses these issues inside of their workforce they: Increase communication, productivity, and production Preserve a positive work culture Instill a sense of trust and accountability of senior management Create a work culture that incubates innovative and creative teams who share knowledge and are solution oriented Retain desirable talent and limit turn-over cost Resolving Discord in the Organizational Structure – contd

26 Effects of Discord in the Organizational Structure Internal Environment 26 ©2007 Parris, Wolfe & Associates Canada: Resolving Discord in the Organizational Structure – contd When the three business spheres are retuned into harmony, resources are stimulated into performing at optimum levels. Harmony Business Strategy Internal Environment Process

27 Our mission is to encourage organizations to strengthen their interpersonal infrastructures Parris, Wolfe & Associates consultants each have specific areas of expertise, and years of experience to back up their knowledge. We work directly with senior management and production staff to facilitate team building, and resolve intra-office discord and dissonant Human Resource issues prevalent in a company To learn about our services please visit or call us directly. Parris, Wolfe & Associates Thank you for your time Tamara Parris & John Wolfe

28 Effects of Discord in the Organizational Structure Internal Environment 28 ©2007 Parris, Wolfe & Associates Canada: Sources Report on Abusive Workplaces; by Gary Namie, Ph.D.; October, The Workplace Bullying & Trauma Institute (WBTI) 2.UMIST - Destructive Conflict and Bullying at Work, Sponsored by the British Occupational Health Research Foundation (BOHRF); By Helge Hoel & Cary L Cooper; Manchester School of Management; April Harrison Psychological Associates; Workplace bullying's high cost: $180M in lost time, productivity; Orlando Business Journal - March 15, 2002 by Liz Urbanski Farrell; March UNISON (1997) Bullying at work: Bullying survey report. London; by UNISON.; Bullying at work: Epidemiological findings in private and public organisations. European Joumal of Work and Organizational Psychology, 5, 185–201.; by Einarsen, S. Skogstad, A.; The incidence of workplace bullying. Journal of Community and Applied Social Psychology, 7, 249–255.; by Rayner, C.; Bullying in the Workplace. by Canadas Safety Council; September 2000; council.org/info/OSH/bullies.html 8.Proudfoot Productivity Report, An international study of company-level productivity. by Proudfoot Consulting; Dana Measure of Financial Cost of Conflict; by Dr. Dan Dana 1999, FASTOH project, Queensland University of Technology, Australian Maritime Safety Authority; 1996

29 Effects of Discord in the Organizational Structure Internal Environment Appendix

30 Effects of Discord in the Organizational Structure Internal Environment 30 ©2007 Parris, Wolfe & Associates Canada: Appendix 1 GHQ-12 Items Able to concentrate Lost much sleep Playing useful part Capable of making decisions Under stress Could not overcome difficulties Enjoy normal activities Face up to problems Feeling unhappy and depressed Losing confidence Thinking of self as worthless Feeling reasonably happy The General Health Questionnaire (GHQ) screens for non-psychotic disorders and is available in the following versions: GHQ-60: the fully detailed 60-item questionnaire, GHQ-30: a short form without items relating to physical illness, GHQ-28: a 28 item scaled version – assesses somatic symptoms, anxiety and insomnia, social dysfunction and severe depression, GHQ-12: a quick, reliable and sensitive short form – ideal for research studies created by Dr. David Goldberg & used world wide

31 Effects of Discord in the Organizational Structure Internal Environment 31 ©2007 Parris, Wolfe & Associates Canada: Key elements of OSI scores (Occupational Stress Indicators) Sources of Pressure at Work Sources of Job Satisfaction Mental and Physical Health Factors intrinsic to the job Managerial role Relationships with others Career and achievement Organisational structure Home/work interface Achievement, value & growth Job itself Organisational design Organisational processes Personal relationships Mental ill health Physical ill health Australian Maritime Safety Authority, 1996


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