Total Quality Management & HRM
TQM Focus on Quality Quality Problems are System Problems –defective materials –poor product design –management errors Employees blamed for Quality that is beyond their control
Control Chart Tool to diagnose problems Tells us when data not normally distributed Gives us a way to think about reducing variation
Focus on Customer Satisfaction Organizational culture fits customer satisfaction System oriented towards satisfaction Continuous improvement
Culture Difficult to Instill Cumulative perception of organization Based on consistent management action Perceptions by employees, vendors, customers
Deming’s Culture of Customer Satisfaction Constancy of purpose for improvement Cease dependence on mass inspection Don’t award contracts on price tag Institute training Leadership not Supervision Drive out Fear Eliminate Quotas
Elements of Culture Quality Information for Improvement, Not Judgement Authority = Responsibility Rewards for Results Equitable Compensation Employees have Ownership Cooperation not Competition Job Security
Implications for HRM Training: –train, train, train
Selection –downplays selection –emphasizes culture in selection
Performance Appraisal Above individual level Should be seen as problem solving
Labor Unions Encourage Union Involvement
Summary TQM believes in system not individuals System involves HRM Affects Compensation, Training, Selection, Performance Appraisal, & Labor