employee involvement

...ces can lead to improved efficiency. Workers can suggest improved work practices because they have a more intimate knowledge of the job than managers or external consultants. Moreover, open discussion allows employees to modify their own work processes to fit more effectively with others as they become aware of the 'bigger picture.' Ichniowski et al point to the need to change work culture from 'rate-busting' - discouraging high levels of performance - to one that values greater efficiency. This process can be encouraged by specifically rewarding high performance through collective bonuses. Theories in the second group may emphasize innovative work practices which can also lead to improvements in organizational structure that are independent of motivational effects. Ichniowski et al give the following as examples: * Cross-training and flexible job assignment may reduce the costs of absenteeism. * Delegating decision-making to self-directed teams can reduce the number of supervisors or middle managers and improve communication. * Training in problem-solving, statistical process control, and computer skils may enhance the benefits of information technology. * Involving workers and unions in decision-making can reduce grievances and other sources of conflict. It is clear that such changes associated with employee involvement are complex and make it 'difficult to isolate any single causal mechanism that produces their effects on economic performance.' Nevertheless Ichniowski et al conclude that the companies which adopt such practices 'should enjoy higher productivity ...

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