HRM A – G. Grote ETHZ, WS 06/07 HRM A: Work process design Overview

HRM A – G. Grote ETHZ, WS 06/07 Design of complete tasks individual tasks: –horizontal (job enlargement), i.e. adding tasks with the same qualification profile Usually neither improvement of sequential (= complete cycles of goal setting - planning - executing - controlling - correcting) nor hierarchical completeness (= different levels of task complexity) –vertical (job enrichment), i.e. adding tasks with more complex qualification profiles Opportunity for improving both sequential and hierarchical completeness –job rotation, i.e. changes between tasks with same or different qualification profiles Opportunity for improving sequential and hierarchical completeness depending on tasks collective tasks: –self-regulating teams, i.e. assignment of a complete task to a group Opportunity for improving both sequential and hierarchical completeness

HRM A – G. Grote ETHZ, WS 06/07 Work in self-regulating (="semi- autonomous") teams Team: –several people, –working together for some time, –in order to reach common goals, –having a group identity. "semi-autonomous": The team can decide or participate in decision-making on several of the following issues: –production goals (amount and quality) –task spectrum –production methods –work schedule –representation of group in the organization –internal management of the group –group membership –internal distribution of tasks –individual work methods

HRM A – G. Grote ETHZ, WS 06/07 Example: Reorganizating production of medicinal instruments

HRM A – G. Grote ETHZ, WS 06/07 Advantages of teams developing ideas discovering and compensating individual errors furthering systems view supporting shared task orientation offering reciprocal support alleviating individual work load

HRM A – G. Grote ETHZ, WS 06/07 Disadvantages of teams friction conformity levelling of individual performance diffusion of responsibility devaluation of other groups

HRM A – G. Grote ETHZ, WS 06/07 Prerequsites for good team work Adequate common task –Complexity higher than individual competencies –Clear performance criteria –Collective decision competence Shared goal orientation –Positive goal coupling –Goal transparancy and feedback Adequate group composition –Different perspectives on the task –Shared language Development of group rules –Adequate group size –Support for team development (form, storm, norm, perform) –Explicit handling of conflicts between individual and collective autonomy

HRM A – G. Grote ETHZ, WS 06/07 And gon´t forget individual job design... …Empowerment better predicts company performance than technology-based management practices (Patterson et al., 2004)

HRM A – G. Grote ETHZ, WS 06/07 Fundamentals of organizational design (Kieser & Kubicek, 1983) Specialization: Distribution of labor, resulting in different kinds of work tasks Coordination: Management of dependencies among subtasks, resources, and people Configuration: Structure of line of command Delegation of decision authority: Distribution of decision authority regarding actions and decision rules Formalization: Determination of rules and procedures for work processes

HRM A – G. Grote ETHZ, WS 06/07 Changes in organizational design: Examples Functional specialization vs. integration Line vs. group production Centralization vs. decentralization Increase in formalization (e.g. management systems)...

HRM A – G. Grote ETHZ, WS 06/07 Phases of organizational change Unfreeze - Move - Freeze Current level of equilibrium Driving forces New level of equilibrium Restraining forces

HRM A – G. Grote ETHZ, WS 06/07 Organizational change through the lens of the learning organization

HRM A – G. Grote ETHZ, WS 06/07 Change strategies Expert versus process consulting Personal versus structural approach: Planned change (e.g. BPR) versus organization development

HRM A – G. Grote ETHZ, WS 06/07 Kotter (1996) to manage change: to tell people what to do to lead change: to show people how to be

HRM A – G. Grote ETHZ, WS 06/07 Resistance against change Causes: Uncertainty regarding novel things Sense of loss of control Sticking to old norms/privileges One-sided perception of old/new situation Strategies dealing with resistance: rational= Informing about advantages of new situation normative/= Developing new compatible values and norms ("speaking re-educative differently rather than arguing well as chief instrument for cultural change") coercion = sanctioning change through exercising power Requirements for constructive handling of resistance: Participation Trust/openness Qualification for change Avoiding strain/threat

HRM A – G. Grote ETHZ, WS 06/07 "Opportunities for individuals and groups to follow their interests by influencing the choice of alternatives in a given situation" Degree of influence: Information = no influence Consultation = opportunity for expressing opinions versus = due consideration of all opinions Veto Common decision Effects of participation: Control, motivation, competence development; Common decision as link between change motivation and changed behavior Attention! Fit between chosen form of participation and general principles of operation in the organization is crucial Participation

HRM A – G. Grote ETHZ, WS 06/07 Degree of participation in decision-making: The decision tree by Vroom & Yetton (1973) 1.Is there a quality requirement: Is one solution better than another? 2.Do you yourself have enough information to make a good decision? 3.Is the problem well-defined? Has it been reduced already to choosing among a set of alternatives? 4.Is it important for implementation that the decision and its effects are accepted by your team? 5.Would your team accept the decision if you made it alone? 6.Does your team share the organizational goals which are to be reached through the decision? 7.Will the chosen solution lead to conflicts among your team?

HRM A – G. Grote ETHZ, WS 06/ Autocratic decision Group decision no yes 5 no yes 2 4 no Autocratic decision no 3 4 yes 5 no 6 yes 5 no Group decision yes no 7 yes no Individual decision after consultation with group Individual decision after consulation with each group member no Autocratic decision after Obtaining information From individual group members yes no 4 yes 5 Individual decision after Consultation with group Group decision Individual decision after Consultation with group yes no 6 yes no