Presentation on theme: "Improving Productivity of"— Presentation transcript:
1 Improving Productivity of Chapter 16Improving Productivity ofOffice Employees
2 ProductivityIs the result obtainedfrom dividing outputby input.The more output an organization obtainsfrom constant levels of input, the better itsproductivity.
3 Factors That Have Contributed to the Productivity Dilemma in the U.S. 1. Constraining nature of government regulations,actions, and policies.2. Declining work ethic.3. Declining research and development expenditures.4. Declining capital investment.5. Increasing number of service workers.6. Changing characteristics of workforce.7. Constraining practices, policies, and attitudesof management.
4 Productivity Improvement Program Is an effective way for an organizationto increase its productivity.
5 Characteristics of Successful Productivity Improvement Programs1. Have top-management support.2. Have employee commitment.3. Have top-priority status.4. Have productivity goals.5. Have employee participation.6. Have an employee rewards feature.7. Have effective program leadership.8. Have an effective communication element.9. Have effective measurement techniques/devices.
6 Steps in Carrying Out a Productivity Improvement Program1. Carry out preliminary planning.2. Assess the current situation.3. Select areas/activities to be included.4. Develop alternative solutions.5. Design the solution.6. Develop an implementation plan and implementthe solution.7. Conduct a follow-up of the solution.
7 Step 1: Carry Out Preliminary Planning Identify program objectives.Determine program’s scope.Identify individuals to be involved.Consider input and direction provided by the taskforce.Keep employees abreast of program developmentalefforts.
8 Step 2: Assess the Current Situation Measure the present productivity performance.Identify and analyze the nature of variousdepartmental work processes and procedures.Evaluate ways in which employees perform theirassigned duties.
9 Step 3: Select Areas/Activities Select areas in greatest need of improvement(prioritize if not all areas can be included inthe program).
10 Step 4: Develop Alternative Solutions Consider various alternative solutions to helpingincrease productivity of areas to be included inprogram.Consider the potential impact of each of thealternative solutions.Calculate a cost-benefit ratio for each of thealternatives.
11 Step 5: Design the Solution Attain top management approval when/whereneeded.
12 Step 6: Develop an Implementation Plan and Implement the Solution Devote as much time to designing the imple-mentation plan and actual implementation ofeach solution as it needs.Involve unit managers and employees in areasthat affect them as one way of attaining theircommitment.Install the new equipment; train/retrain employees.Implement the solution on an orderly basis.
13 Step 7: Conduct a Follow-up of the Solution Determine how well the solution is working a fewmonths after its implementation by comparingactual performance against anticipatedperformance.Make changes when/where needed.
14 Measurable Office Tasks Have These Characteristics Measuring office productivity is a critical aspectof productivity improvement efforts.Measurable Office Tasks HaveThese Characteristics1. They can be isolated, which helps determinewhere they begin and end.2. The amount of effort and time consumed arefairly constant from one undertaking to thenext.3. The task is easily countable.
15 Types of Data Obtained from Measurement ProcessObtained by dividing the amountof time consumed in producingthe units by the total units ofoutput produced.QuantitativeQualitativeObtained by counting the amountof poor-quality work that has tobe redone.Obtained by pro-rating the cost oflabor, equipment, and overheadper work unit produced.Per-Unit Cost
16 Suggestions for Improving the Effectiveness of Productivity Measurement1. Determine the measurement objective.2. Consider the characteristics of the area/activitybeing measured and select the simplest,easiest-to-use technique that circumstances willallow.3. Train those who are responsible for measurementto use the various techniques properly.4. Use a sufficiently long measurement period tocompensate for any abnormal fluctuation in theworkload.
17 Areas in Which Productivity Can Often Be Improved(1 of 2)Often accomplished by provid-ing employees with new equip-ment that enables them to per-form their tasks faster and withless effort.OfficeTechnologyWork Processesand ProceduresAccomplished by providingemployees with efficient workprocesses and procedures.
18 Areas in Which Productivity Can Often Be Improved(2 of 2)Provide employees with aworking environment thatstimulates their desire tobecome more productive.WorkEnvironmentPersonnelHelp employees develop apositive attitude toward work.
19 A Variety of Techniques are Available Some are costly; others are inexpensive or free.Some involve making substantial changes inorganizational processes and procedures; othersare simply accomplished.
20 Employees want task variety, importance, Job DesignAffects the amount of satisfaction employees derivefrom their work and the level of productivity theyattain from their job functions.Employees want task variety, importance,and autonomy.
21 Types of Job Design(1 of 2)Allows employees toperiodically exchangetheir work assignmentswith others.Job RotationRemoves the repetitive, dulltasks from employees’ jobsas well as awkward workflow and communicationbarriers.Job Simplification
22 Types of Job Design(2 of 2)Allows employees toassume greater levelsof responsibility for andcontrol over their jobswhile increasing theirjob planning opportunities.Job Enrichment
23 FlextimeAllows employees to set their own starting times,usually within a 2- or 3-hour block of time.All employees have to be at work during acore time--perhaps from 11 a.m. to 2 p.m.
24 Job SharingAllows two people to share what was one full-timejob.Salaries and fringe benefits are pro-ratedaccording to the amount of each employee’swork contribution.
25 Job SecurityProvides employees with the assurance that evenwhen they increase their output, their jobs arenot in jeopardy.This is often a prerequisite to gettingemployees to increase their output.
26 Employee Participation Gives employees an opportunity to provideinput into the decision-making process.Employees want to be involved insituations that affect them.
27 Quality CirclesInvolve a voluntary group of 8-12 employees whomeet on a regular basis to identify, analyze, anddevelop solutions to a variety of their work-relatedproblems.Meetings are held on company time.
28 Quality of Work Life (QWL) Involves these aspects regarding an employee’sposition: working conditions, economic rewardsand benefits, interpersonal relations, and avariety of organizational contributions.Some of the QWL techniques used areflextime, MBO, job enrichment, jobsecurity, job rotation, TQM, andemployee participation.
29 Employee Assistance Programs Provide a variety of assistance to employees tohelp them deal with situations that impactnegatively on their productivity.Typically involves providing employeeswith counseling sessions.
30 CommunicationInvolves increasing the amount of communicationbetween management and employees.Feedback is a critical aspect of themanagerial process.
31 Burnout ReductionInvolves helping employees reduce burnout orstress that impacts negatively on theirproductivity.May involve some employee counseling.
32 IncentivesProvides employees with rewards for increasingtheir productivity.Some programs are group based; others areindividual based.
33 Mental and Emotional Stress Reduction Involves helping employees overcome the stressthat keeps them from maximizing theirproductivity.Stress may arise from unsatisfactoryinterpersonal relations, low self-esteem,tension, worry, job boredom, jobisolation, job insecurity, and unpleasantworking conditions.
34 Team BuildingIs designed to enable a team to identify, diagnose,and solve their own problems.Results in empowering employees toassume greater responsibility over theirjobs.
35 Problem SolvingOften involves helping employees learn to dealwith complex situations.May involve the use of a problem-solvingapproach.
36 Time ManagementInvolves helping employees make better useof their time and to manage their time moreeffectively.Being able to estimate accurately how longa given task will take to complete isuseful.
37 Alternative WorkweekInvolves giving employees an opportunity towork four days, perhaps extending the lengthof the workday.Often reduces absenteeism and tardiness.
38 Total Quality Management (TQM) Is a program designed to help an organizationimprove the quality of its products and/orservices.Is based on teamwork and empowerment.