Presentation on theme: "Human Resources Management T 9 Flexibility and empowerment"— Presentation transcript:
1 Human Resources Management T 9 Flexibility and empowerment D. Borisova
2 Definition“The flexible working arrangements (FWAs) are different means, by which the organisation adapts itself to a change in the demands made upon it”
3 Need of flexibilityGrowth of advanced technology and cellular production systemsResponse to, and creation of, higher degree of “customized mass-production” in consumer demandShift from production to service economyGlobalization of the labor marketPolitical initiatives to sharpen competition and create efficiency:Compulsory competitive tendering in public sectorDe-nationalization s of the 1980’s-1990’s
4 Flexibility of what? Labor: Wider range of tasks, jobs or skills; Variability in the amount of labor force.Technology: access to know-how, new ideas or different types of machineryOrganizations: general ability to adaptSystems and processes: national economy, regions, industries, global economy
5 Flexibility for whom? FOR employers – OF employees FOR employees – in their interest
6 Historical development Up to 1950’s - scientific management (F. Taylor): fragmentation of work, workers do not participate in the decision makingUp to 1980’s – motivation and employee satisfaction through:job rotation – horizontaljob enlargement – vertical
7 Later Views of the Flexible Firm Charles Handy – the Shamrock OrganisationAtkinson’s Flexible Firm Core and peripheral workersAN ONION VIEW
8 The flexible firm (John Atkinson, 1984) Core group – primary personnel in the company, provide functional flexibilityFirst peripheral group – numerical flexibility in order to meet fluctuations in the demand of company productsSecond peripheral group – short-term, multi-tasking, job sharing, part time workSubcontracted and outsourced workAgency workers (leasing of personnel)Self employment
10 Types of Labor Flexibility Functional: skill variety & task diversity; multi-skilling – generally reserved for core workers on “permanent” time contractsNumeric: hiring and firing workers according to business needs – peripheral workers, sub-contracting and self-employmentTemporal: adjusting working hours and times to meet business demand – both core and peripheral workers; used in cyclic businesses
11 Types of Labor Flexibility contd. GEOGRAPHIC: home working, teleworking, telecommuting, hot-desking; distance-working, “location-independent” workingApprox. 2m teleworkers in the UK todayMobil Oil, Co-operative Bank, Royal MailATTITUDINAL: flexibility of approach to work; the encouragement of an attitude of adaptability and preparedness to learn new skills and/or change working practices rapidly in line with business need.The “learning organisation” conceptFord and the EDAP scheme
12 Ford Britain’s EDAP scheme Since 1988 Ford Britain’s Employee Development Assistance Programme (EDAP) has sponsored educationally oriented courses outside working time for employees at its 22 plants in the United Kingdom. Courses must not relate to job requirements. The most popular courses have been modern languages, technical skills (bricklaying, computers, automobile repair) and personal health and fitness.The programme is administered by joint management-union bodies, on which unions enjoy majority representation and can choose their own chairpersons. The fund is generated by a company contribution per employee/year. Employee interest has far outstripped expectation: 45 per cent of employees participate every year; 70 per cent have participated in total.Although EDAP was partially inspired by the 1982 Employee Development Training Program of the parent Ford Motor Company in the United States, it has spent less on educational facilities, favoured general education rather than remedial education or retraining, and placed fewer restrictions on the use of funds.Sources: Ford Motor Company (1996); Mortimer (1990); and unpublished company materials.Extract source:
13 Schemes for Flexible Working Shift workOvertimeWeekend workAnnual hours contractPart-time workJob sharing, job splittingFlexi-timeTemporary/casualFixed term contractsCompressed working weekHome-based workTele-workingOutsourcing, outtasking, sub-contractingWorking Saturday and /or SundayWorking one of a set of consecutive periods into which a 24 hour working day is dividedExtra time beyond employees’normal time,added on to a day or shiftAgreement to work number of hours annuallyHours of work defined as part-time by employer or legislationDividing up one job between two or more employeesSome working hours may be determined by employees,around fixed “core” timeWorkers employed on temporary basis for a number of hours, weeks or monthsWorkers employed for a fixed number of months or yearsWorkers whose normal workplace is home but who do not have permanent electronic links to a fixed workplaceWoekers who have permanent electronic links to a fixed workplaceWorkers whose working week totals a standard number of hours compressed into a redused number of shifts
14 Types of FWAs Working time Contractual Externalised Part-time work Weekend workOvertimeShift workCompressed working weekAnnualised hoursFlexi-timeJob Sharing /SplittingTemporary/casual workFixed-term employmentHome-based workTele-working
15 Bundles of FWAs Non-Standard Work Patterns Non-Standard Work Hours Work OutsourcedWork Away from the OfficePart-time WorkCompressed Work-weekAnnual ContractsFlexi-timeFixed-term ContractsJob SharingShift WorkWeekend WorkOvertimeTemporary WorkSubcontractingHome-based WorkTele-working
16 Economic reasons for flexibility Cut in exploitation, operational and fixed costsRise in efficiency and profitBetter distribution of resourcesUse of new opportunitiesStimulation of businessChances for additional income
17 Social reasons for flexibility Decrease of unemploymentBetter opportunities for realization of special minority groupsBetter combination of family responsibilities, work duties and free time
18 Advantages for employers Focus moved from job to tasks and specific assignmentsBetter use of working timeDecrease of absences and leavesBetter balance between offer and demand of labor force with certain rare or specific qualities
19 Advantages for employees Opportunities for training and developmentOpportunities for realization in new areasSatisfaction of personal and cultural interestsMore freedom and better use of spare timeAttention to family and to special groups
21 FWAs by Proportions Used (CRANET 2003) (continued)
22 Approximate proportion of workforce employed on shift work (% of organisations, 2003)
23 Approximate proportion of workforce employed on part time work (% of organisations , 2003)
24 Approximate proportion of workforce employed on flexi-time (% of organisations , 2003)
25 Approximate proportion of home based employment (% of organisations , 2003)
26 Main Findings about FWAs in the CRANET International HRM survey Traditional forms of FWAs are still dominant over new forms of flexibility.The use of temporary/casual work and fixed-term contracts has dropped over the 10-year period.Less than expected rise in some of the well-established forms of FWAs such as shift work and part-time work.Slight growth in new forms of FWAs. Annualized hours, job sharing, home-based work and tele-working are yet to become major features of working life.
27 Main Findings about FWAs in the CRANET International HRM survey (continued) Significant region and country variations in use of certain types of FWAs:Non-standard work patterns are widely used in most regions, although less popular in Asian companies;Non-standard work hours and work away from the office are more common amongst English-speaking, Northern and Central European regions;Work outsourced is most common in Mediterranean and Asian companies, while work away from the office is yet to take hold there.
28 Main Findings about FWAs in the CRANET International HRM survey (continued) The restrictive state regulations in some countries for certain forms of FWAs explain the high use of other forms of flexibility there:Annual hours contracts in France;Part time work and fixed-term contracts in Netherlands;Shift work in Spain and Turkey.When combined in bundles, FWAs have better results on organisational effectiveness and performance.There is ample room for an increase in FWAs in future.
29 Empowerment: Definition Broadly empowerment is about ‘allowing them (the workers) to retain sufficient autonomy over work performance and/or involvement in broader workplace/decision making co-operation and draw upon their latent skills, but not so much as to forfeit managerial control’.Adapted source: Marchington et. al., 1993 and Wilkinson, 1998, cited in Hales, 2000.
30 Essence Delegation of responsibilities to employees Employee participation in decision-makingNot redistribution of power, but enhancement of employee contribution to the organizationEmphasizes on quality, flexibility and productivityCould be both individually and team-basedFrom employee suggestion schemes to self-managed teams
31 What is it about? Power Information Rewards Knowledge To make decisions influencing performanceInformationAbout organisational performanceRewardsBased on organisational performanceKnowledgeEnabling workers to understand their contributionSchneider & Bowen cited in Redman & Wilkinson pp347-8
32 Empowerment, changing a dominant philosophy …? ‘ENRICHMENT’ APPROACH‘CLASSICAL’ APPROACHWork study traditionScientific managementDe-skilling and alienationPrescribed methodsMeasured performanceRewards for achievementWork psychology traditionHuman relations schoolHerzberg, MaslowSelect, train, motivate and lead well“Willing” performance“..passive compliance..”Hales C, 2000.“..active co-operation..”
33 How to empower? Participation and motivation of workforce Task involvement and attitudinal changeFocus on quality and productivityTQM, quality circlesTeam working, autonomous work groupsBetter communicationWorkforce attitude surveys360° or upward appraisal“The managerial equivalent of Viagra”
34 Why empowerment?Workers are closer to work situation and may be able to suggest improvements that management is unable to seeEmpowerment increases satisfaction, reduces labor turnover and enhances commitmentReduces the need for complex control systemBetter quality of products and services
35 Applied empowermentIt could be argued that there are a number of application processes, but here is an example:1. Diagnosis: identify the conditions existing in the organisation that lead to feeling of powerlessness on the part of the organisational members.2. Implementation: via participative management, establishing goal setting programmes, implementing merit-based pay systems and job enrichment through redesign3. Action: a two-step elementremove conditions creating ‘powerlessness’.increase ‘self-efficacy’.4. Increase the perception of successful performance5. Increase task orientated job activity
36 5 Main types of empowerment Information sharingUpward problem solvingTask autonomy – restructuring of work units into cells taking some operational decisionsAttitudinal shaping – employees are trained to ‘feel’ empowered and more confident in their interaction with customersSelf-management in relation to a set of work tasks
37 Forms of empowerment in UK, 1998 Participation in teamwork 65%Team briefings %Staff attitude surveys 45%Problem-solving groups 45%Quality circles 45%Regular meetings of entire workforce %
38 HRM empowerment initiatives Open management styleOpen-doors daysFlexi-timeRemoval of clockingPayment system based on skill acquisition and individual performanceTwo-way communicationSuggestion schemes, etc.
39 Do not forget! Next lecture N10: “Equal opportunities and diversity” will be heldon 10th of December, Wednesday, from 18:30, for both groups A31 and A32