MBA 8452 Systems and Operations Management MBA 8452 Systems and Operations Management Job Design

2 Objective  Be able to explain the relevant issues in job design  Be able to discuss the work methods  Be able to compare work sampling to time study

Process Analysis and Design Operations Strategy Process Analysis Development of a Process Analysis ManufacturingServices Worker Interactions Pay Incentive Plans Job Design Work Measurement Assembly Line Balancing

4 What is Job Design? Job design is the function of specifying the work activities of an individual or group in an organizational setting. The objective of job design is to develop jobs that meet the requirements of the organization and its technology and that satisfy the jobholder’s personal and individual requirements.

5 Behavioral Considerations in Job Design  Degree of Specialization  Job Enrichment (vs. Enlargement)

6 Sociotechnical Systems Process Technology Needs Worker/ Group Needs Skill Variety Feedback Task Identity Task Autonomy

7 Physical Considerations  Attitude isn’t everything Can a worker perform physically?  Work Physiology Sets work-rest cycles based on energy expenditure

8 Work Methods Workers Interacting with Other Workers A Production Process Worker at a Fixed Workplace Worker Interacting with Equipment Ultimate Job Design

9 Trends in Job Design 1. Quality control as part of the worker's job 2. Cross-training workers to perform multiskilled jobs 3. Employee involvement and team approaches to designing and organizing work 4. "Informating" ordinary workers through telecommunication networks and computers 5. Extensive use of temporary workers 6. Automation of heavy manual work 7. Organizational commitment to providing meaningful and rewarding jobs for all employees

10 Work Measurement: Why do We Need to Set Work Standards? 1. To schedule work and allocate capacity 2. To provide an objective basis for motivating the workforce and measuring their performance 3. To bid for new contracts and to evaluate performance on existing ones 4. To provide benchmarks for improvement

11 Time Study: The Search for Measurable Job Elements  Short in duration--but long enough to time  Separate worker actions from machine actions  Define any delays by the operator or equipment into separate elements

12 Work Sampling  Use inference to make statements about work activity based on a sample of the activity.  Output of Work Sampling: Ratio Delay Performance Measurement Time Standards

13 Advantage of Work Sampling over Time Study  Several work sampling studies may be conducted simultaneously by one observer.  The study may be temporarily delayed at any time.  The observer need not be a trained analyst unless determining a time standard.  No timing devices are required.  Work of a long cycle time may be studied with a fewer observer hours.  Minimizes effects of short-period variations and influence by the operator or worker.

14 Basic Compensation Systems  Hourly Pay  Straight Salary  Piece Rate  Commissions

15 Financial Incentive Plans  Individual and Small-Group Plans Output measures Quality measures Pay for knowledge  Organization-wide Plans Profit sharing Gainsharing Bonus based on controllable costs or units of output May be part of participative management

16 Scanlon Plan: Basic Elements  The ratio Standard for judging business performance  The bonus Depends on reduction in costs below the preset ratio  The production committee  The screening committee