1. Chapter 161 Quality and People Management Chapter 16 Achieving Quality Through Continual Improvement Claude W. Burrill / Johannes Ledolter Published by John Wiley & Sons, Inc., 1999 Prepared by Dr. Tomi Wahlström, University of Southern Colorado

2. Chapter 162 Theories of Human Behavior Scientific Management –Introduced by Frederick W. Taylor –Mechanistic view assuming that people are motivated solely by monetary rewards and responding positively to authority –Dominated motivational theory for decades –Under Taylorism, quality was based primarily on inspection

3. Chapter 163 Theories of Human Behavior Hierarchy of Needs (Founded by Abraham Maslow in 1954) –Physiological needs –Safety needs –Social needs –Ego needs –Self realization needs

4. Chapter 164 Theories of Human Behavior Management Beliefs and Worker Motivation –Douglas McGregor published his Theory X and Theory Y sets of management beliefs in 1960 Theory X; people are lazy, dislike and avoid work TheoryY; people are intelligent, creative, want to work –People tend to do what is expected from them

5. Chapter 165 Theories of Human Behavior Behaviorism –Inspired by Pavlovs work on dogs, B. F. Skinner studied factors in the environment that contribute to human behavior –Emphasis on operant behavior (behavior that is voluntary, learned, and a function of its consequences) One learns to make certain responses because of the consequences those responses will bring about

6. Chapter 166 Theories of Human Behavior Expectancy Theory (formulated by V. H. Vroom) provides a link between behavior and reward –The course of action taken by people in achieving a goal depends on: Their assessment of the perceived outcome or consequences of an action The worth of that outcome to them Their expectation of their ability to perform at a desired level

7. Chapter 167 Theories of Human Behavior Eastern Cultures –Lot to be learned about human behavior Implications for quality –There are lessons to be learned from all management theories –Taylor focused on work processes –Maslow and Vroom focused on worker motivation –McGregor focused on managements assumptions –Ishikawa focused on power given to workers

8. Chapter 168 Managing People People management is a process and should be studied like any other processes –There must be effective methods and procedures to: Structure jobs Hire and assign employees Train, educate, and grow employees Motivate and retire employees Evaluate and reward employee performance

9. Chapter 169 Structuring Jobs Task variety –Jobs cannot be dull and must be varied with different activities Job content –Change occurred from command style to participative style Job authority –Workers require certain authority or power (authority, process power, people power)

10. Chapter 1610 Employee Recruitment People are one of the most important resources for organizations (40-60% of costs) No personnel process is more important than the employee selection process If you hire the wrong people, you may never be able to recover

11. Chapter 1611 Quality Training In 1986, US spend $6 billion on training and development (inadequate to keep America competitive) Serious quality effort in an organization requires a large, effective effort to educate and train people in quality concepts and practices

12. Chapter 1612 Motivating Workers Control work, not workers Explain the purpose Job design (dont treat people like robots) Two-way communication Career development Stable employment

13. Chapter 1613 Self-Directed Work Teams Highly trained group of employees who are fully responsible for producing a set of work products Usually consists of 6 to 18 people who work together as a team, not for somebody

14. Chapter 1614 Self-Directed Work Teams Introduction of work teams –Major change in structure function, and responsibilities, the distribution of power, and the reward system Foundation for work teams –Requires a champion among upper management who is committed and has respect of the organization

15. Chapter 1615 Self-Directed Work teams Work teams and power –Work teams must have power which they derive from the authority granted to them Benefits of work teams –Commitment and ownership –Increased pride in their products –New skills and problem solving abilities

16. Chapter 1616 Rewarding Employees Job-Related rewards –Directly related to work, working, and the workplace –Come in the form of safety and comfort on the job, job pride and satisfaction, etc. General rewards –Employee compensation receives most attention, but is not all there is

17. Chapter 1617 Rewarding Employees Reward schemes –In an attempt to improve quality and productivity, organizations have experimented with various reward schemes Employee retirement –Interest varies based on age of employee Rewards and quality –Link not easily quantified

18. Chapter 1618 Questions?

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