To date, little is known about the financial condition
of the firms with EI programs. Although the popular
literature suggests that EI has been implemented
in firms in distress and has been effective in
restoring financial health, there is little evidence
to support this assertion. Cooke (1989a) suggests
that competitive market forces provide the impetus
to initiate EI programs, but there are few indicators
that these frans are in financial distress.
In terms of the types of programs in operation,
quality circles seem to be the most prevalent.
From Conference Board data, Freedman (1985) reports
that 56 percent of the unionized firms had "quality-circle
discussion groups," and Eaton and Voos (1989)
report that 71 percent of unionized and 48 percent
of nonunion firms have quality circles, according
to the GAO.
Despite the interest in more complex types of
programs, such as gain sharing and ESOPs, in the
popular literature, it appears that they are considerably
less prevalent. Cooke, in two separate studies,
reports that less than 1 percent (1988) and 7
percent (1986) of his sample involve gain sharing,
while Voos (1987) places the number in her study
at 13 percent. In research among local unions,
Eaton (1990) reports that 81 percent of gain sharing
programs lacks a formal method of sharing in financial
gains produced by cooperative efforts.
The literature indicates that E1 programs improve
both social-psychological factors, such as communications
and job satisfaction (Driscoll, 1980; Kochan et
al., 1984; Lawler and Mohrman, 1987), as well
as productive and economic ones, such as productivity
and quality (Katz et al., 1983; Voos, 1987), as
reported by management. Neither the magnitude
of these effects nor their longevity is clear.
For example, Griffin (1988) reports that, although
the quality circle program he studied initially
resulted in enhanced job satisfaction, organizational
commitment, performance, and reduced intention
to quit, these improvements dropped back to their
previous level after 18 months. Similarly, Cooke
(1989b) suggests that improvements in quality
are also subject to a leveling off process.
There are also indications that more intensive
programs, measured by the frequency of meetings
or percentage of employees involved, have a greater
impact (Cooke, 1990). Voos (1989) indicates that,
as involvement in the program is increased, the
program becomes more effective. Similarly, Drago
(1988) finds that survival rates for quality circles
increased as opportunities for participation in
managerial decision making increased.
The relationship between E1 programs and unions
remains unclear, in part because of a lack of
research. The labor movement has expressed varying
degrees of concern about the negative effects
of El on local unions and their members which
range from moderate concerns about the independence
of the grievance procedure and the union's ability
to maintain its identity to more serious concerns
about weakening the union's bargaining power and
outright union busting (Wells, 1987). There is.
however, little evidence that El programs have
a strong negative impact on local unions. A recent
study by Eaton (1990) illustrates that, although
unions have expressed these concerns, few have
instituted safeguards.
In terms of the effect of union involvement on
EI, Kochan et al. (1984) report that union involvement
in quality circles enhances the circle's performance.
Kochan et al. (1986) state that greater union
participation results in more extensive innovations.
Research by Verma (1989) suggests that union participation
in EI programs reduces the possibility that the
union will be adversely affected by EI. This has
recently been recognized by the labor movement
with what has been called the "union-empowerment"
model for EI (Banks and Metzger, 1989).
Although the literature is beginning to show
some theoretical and methodological sophistication,
the major drawback is the data on which the research
is based. Most studies use small samples drawn
almost exclusively from large manufacturing firms
in the private sector. Little is known about EI
in the service sector, in small firms (Sorensen,
1985), or in the public sector (Sulzner, 1982),
where the majority of Americans work. An enhanced
understanding of the operation and impact of EI
programs, requires more varied data from a wide
spectrum of workplaces.
There has been no attempt to structure current
research to determine if there are conflicting
views about individual programs. Consequently,
we are left with invalidated, one-sided evaluations
of EI. Particularly because it is often in the
respondents' interests to respond in certain ways,
this kind of data is inadequate.
For management, the most important impact of EI
appears to be on social-psychological factors,
such as morale and the relationship between union
officers and plant managers, or on workplace issues,
such as safety and health and quality. But EI
programs have a much smaller impact on macroeconomic
factors, such as profitability and labor costs.
Recalling the relatively low intensity of our
sample and the prevalence of "quality circle"
structures, this seems reasonable.
What is striking, however, is that management
and labor have completely different views on the
impact of their EI program on worker morale, worker/supervisor
relations, productivity, and quality, with no
significant correlation between labor and management
responses. This divergence on perhaps the most
frequently discussed outcomes of EI raises serious
questions of conventional understandings of labor-management
cooperation.
Management indicated that these programs have
a positive impact on a variety of factors in the
workplace. The greatest impact is in terms of
social-psychological issues, such as worker morale
and the relationship between plant managers and
union officers, and production-centered issues,
such as quality. The least impact was among more
basic economic issues: job security, labor costs,
and profitability. Given the limited structure
and the low intensity of most of the programs,
this makes a great deal of sense, and we have
little evidence of the large scale economic changes
suggested by some of the popular literature.
How To Involve Employees
Managers are charged with the responsibility
of "motivating" their people. Most often
managers find it extremely difficult. It's a lot
easier, of course, to recruit and hire motivated
people right from the start.
That's what we want to try and do, but we all
know, realistically, that it's not always possible
to do this. And if you're "inheriting"
a situation, the task may be even more difficult.
An individual who is motivated is looking for
something to change in his/her life. There is
a sense of dissatisfaction with the direction
in which he is going.
Getting an employee to the point where he is dissatisfied
with their current performance can take a little
time. Comfort zones create complacency. We become
vulnerable to accepting the status quo as the
now and future standard of achievement. Through
nudging and coaching, the manager can help an
employee raise their level of expectations. (Tucker,
McCarthy, & Benton 2002)
The evolving level of dissatisfaction can be converted
into real, productive change. Helping employees
realize they can do more provides one of the greatest
challenges and, at the same time, one of the greatest
rewards for a manager.
It's going to be pretty exasperating if you use
the same techniques to "motivate" everybody.
The old adage that everyone marches to the tune
of a different drummer is a pretty good guideline
to follow. To address this reality, a manager
should have a variety of methods in his bag. If
one doesn't work, you can try a different approach.
(Tucker, McCarthy, & Benton 2002)
Let's look at a variety of motivational options
that should be considered in building high-performance
organizations.
• Remember that people do things for their
reasons. Try to understand where the person is
coming from. Our experiences have a tremendous
impact on our motives for behaving the way we
do.
• Discuss roles and goals. Help individuals
set goals and then help them understand that certain
roles have to be played if those goals are to
be achieved. Being an effective team member, for
example, requires an employee to think of the
team and not just him.
• Change seems to work best when it's incrementally
introduced.
• Help employees understand that perceptions
lock us into certain behaviors. Discuss with them
how these perceptions can cause us to underachieve.
• Give an individual a reputation to live
up to.
• Continually work on an employee's self-image.
An individual can only achieve what he thinks
he is capable of achieving. We will always be
true to our self-image. Encourage your people
to think higher of them.
• Inspect what you expect.
• Praise performance you want repeated.
• Treat each employee the way he would like
to be treated -- based on his interpersonal style.
• Engage in career path planning. Employees
need to know the organization has a memory and
looks favorably upon solid performance.
• Enrich an individual's job as much as
possible. Give employees more autonomy, task variety
and the opportunity to use more of their skills,
• Share as much information with employees
as you can. Information can be very motivating.
• Manage effort. Effort is the key to high
performance. That performance should then be rewarded
with outcomes that are pleasing to the employee.
• Provide feedback on a regular and timely
basis.
• Help individuals become the "person
they're in the process of becoming." If you're
managing a salesperson, for example, treat the
individual like a top performer and you've increased
the chances of them getting there.
• Help your people "fail toward success."
Many individuals are afraid to try anything because
of fear of failure. Failure is an attitude and
it should be seen as a stepping-stone to success
and not a stumbling block.
• Don't over manage competent employees.
Don't under manage learners.
• Try to coach instead of "just telling."
• You have to unfreeze the old habits --
introduce the new habits -- and refreeze with
positive reinforcement. (Tucker, McCarthy, &
Benton 2002)
Change doesn't come without some discomfort. We
have to get used to doing things that may not
seem comfortable. There are new expectations.
We have to "live" at a higher standard.
But as the change becomes the standard, we start
to adjust. Your employees once again start to
become comfortable -- at a higher level. As this
scenario unfolds over time, the job of the manager
once again shifts to the creation of dissatisfaction
-- the avoidance of complacency in his employees.
Whether the situation calls for organizational
change or individual change, you must take your
employees up the motivational stair steps -- one
step at a time!
• Flexibility. When flexibility is high,
employees feel free to innovate; to do their personal
best without being tied up in red tape. Some strategies
to try:
Real or perceived red tape irritates workers and
slows or shuts them down. Explain why specific
rules and procedures are in place. People can
feel they are experiencing red tape when a rule
or procedure is not clear. Rules and procedures
may not need changing, just clarifying. Be open
to tough, challenging questions about those. Encourage
employees to explore alternative ways of doing
things to get faster, better results. Implement
and reward good ideas; explain why when an idea
can't be utilized. Look for and get rid of duplicative
or add-on procedures that cause employees to waste
time and energy.
• Responsibility. When the responsibility
factor is high, employees feel ownership of their
work outcomes, both positive and negative. They
feel they can make decisions appropriate to their
level of authority without checking everything
with their boss. Some strategies to try: Develop
people sufficiently so you can delegate authority
to the lowest possible level. Protect people from
the negative outcomes of appropriate risk-taking.
Coach people to plan, to manage their time well,
and to see their fellow employees as team members
and resources for help. Then, give them room to
act and hold them accountable for their work outcomes.
• Standards. When the standards factor is
high, employees feel that the goals they have
to meet are both challenging and realistic. They
know how well they are performing at times in
addition to, not just at, their performance appraisal.
Some strategies to try: Set goals and objectives
with employees so they understand the rationale
and the resources they have. Tell employees which
job activities they should focus the most time
and energy on and which are less critical. Ensure
that performance standards are clear and are fairly
applied to all employees. Don't demand high performance
from some and accept mediocre performance from
others. Give frequent constructive feedback, positive
and negative, about where employees stand versus
their performance targets.
• Rewards. When the rewards factor is high,
employees feel that the rewards available in the
workplace are linked to performance rather than
to subjective and/or political issues. Some strategies
to try: Make sure rewards, both verbal and tangible,
are linked to an employee's specific performance
results. Make sure the amount of recognition and
encouragement exceeds the amount of criticism
and negative feedback given. Reward team performance,
but remember to highlight individual contributions
to the team's success. People need personal feedback
about how they are doing to be motivated to do
better. Use rewards as a teaching tool to help
employees learn what the standards look like when
they are delivered well.
• Clarity. When the clarity factor is high,
employees understand the big picture about the
company's goals and strategies and understand
how their own function, department and job fit
into the scheme of things. Some strategies to
try: Spend time communicating the "whys"
to employees so they will understand the business
reasons for their department's objectives. Communicate
changes in strategy or work priorities. Make sure
the structures of teams and jobs support the priorities.
Invite questions about how things are organized
and how things could be improved. Make sure lines
of authority are clear.
• Team Commitment: When the team commitment
factor is high, employees feel everyone is pulling
together and pulling in the same direction. Some
strategies to try:
Speak positively and enthusiastically of the organization
and of your group as part of a winning team.
Recognize employees who are good team players.
Create symbols of team spirit that generate energy,
excitement and pride in the performance of the
team.
Managing these factors doesn't require that supervisors
relinquish their personal power. It requires that
they think about better ways to use that power
to influence the context (the environment) in
which the work is assigned and accomplished. That
process is not an instant one. It takes almost
as long to create a motivating work climate as
it took to create a de-motivating one. Supervisors
who want to take the first steps in influencing
the environment will need to:
• Assess the condition of each of the six
factors, one at a time, and objectively. The clarity
factor is a good place to begin. When people understand
the big picture from the same perspective as the
top leadership of the organization, they can better
understand the whys behind the company's business
decisions, and rationales for their own roles,
goals and performance standards. They are able
to manage themselves and their decision-making
better, without close supervision. Spend time
sharing information and checking for understanding.
Get clarity for themselves, from their own supervisor.
• When people begin to understand how their
jobs fit into the big picture, assess the standards
factor. Describe the levels of performance they
need to deliver in order for their jobs to make
the needed contribution to the business. Set objective
business and development goals with employees
that will help them reach their targets. Give
frequent, data-focused feedback so that employees
always know where they stand versus those targets.
Be a resource for their success.
• In order of priority, the responsibility
factor would come next in an assessment of the
workplace. The level of trust supervisors have
in the ability of their people to make the right
decisions and to use alternative ways of getting
the job done is key.
If experienced adult workers feel they can't exercise
reasonable judgments about their job tasks without
a supervisory watchdog, they might as well sit
still and wait for the next discrete item on the
supervisor's "To Do" list. That's wasteful
of both time and talent. And, if supervisors feel
that it would be high risk to let employees exercise
more judgment, that's a coaching job that needs
to be undertaken. Train and develop people, make
their accountabilities clear, give positive or
negative feedback as needed. Make employees the
owners of their jobs and supervisors will just
need to coach from the sidelines.
Flexibility, rewards and team commitment tend
to get better when the other three factors start
to improve. Employees then have enough understanding
of the "big picture" to:
Know what's red tape and what isn't.
Find personal satisfaction in seeing his/her accomplishments
recognized, and moving the department's goals
forward.
Feel that they are part of a winning team.
But, where will the supervisor's sense of personal
accomplishment, his/her feeling that s/he has
reached a personal best come from? Those terms
will need to be re-defined in the supervisor's
(and sometimes in the company's) work objectives
and in his/her mind. They will need to:
Accept that his/her success is ultimately measured
by the employees' results, not just his/her own.
Spend more time coaching and developing employees
that they can deliver those results and more.
Set long-term goals for making the work environment'
an easier place in which to be successful.
Supervisors' transition from a "me"
management' style to a "we" management
style will be a good change for everyone, and
for the business.