Work sys designs
o job design
o work measurements
o worker compensation
specifies the work activities of an individual or a group in support of an organization’s objectives
Job Design
specifies work activities of an individual or group.
Jobs are designed by answering questions like:
o What is the job’s description?
o What is the purpose of the job?
o Where is the job done?
o Who does the job?
o What background, training, or skills are required to do the job?
Job Design Factors
- Technical feasibility: The job must be physically and mentally doable
- Economic feasibility: Cost of performing the job is less than the value it adds
- Behavioral feasibility: Degree to which the job is intrinsically satisfying to the employee
Machine Versus People
Should the job or some part of it be automated?
- Using machines versus people is both a tangible economic decision in job design and a decision based on intangibles, such as customer acceptance
Level of labor specialization
• Level of labor specialization can:
o reduce the employee’s scope of expertise (higher levels of
specialization)
o increase the employee’s scope of expertise (lower levels of specialization)
• Work satisfaction helps define level of specialization.
• Specialization can result in employee boredom.
Eliminating employee boredom
- Enlargement: (horizontal expansion) The job designer adds other related tasks to the job so the worker produces a portion of the final product that he or she can recognize.
o Job enlargement is used to instill worker pride in the final product and give the employee some task variety. - Enrichment: (verticle expansion) adds worker responsibility for work planning and/or inspection
o This procedure instills pride in the output and has the worker perform tasks usually done at a higher level in the organization. - Rotation: Workers shift to different jobs to increase understanding of the total process
o Job rotation provides more flexibility for the company, as its workers have upgraded skills.
Team approaches to job design
Problem-solving teams
o Small groups trained in problem-solving techniques used to
identify, analyze, and propose solutions to workplace problems
• Special-purpose teams
o Highly focused, short-term teams with a focused agenda (often
cross-functional)
• Self-directed (SD) or self-managed (SM) teams
o Team members work through consensus to plan, manage, and
control their assigned work flow
o SD (goal defined by team); SM (goal defined by others)
Method analysis
Process concerned with the detailed process for doing a particular job
Method analysis steps
- Identify the operation to be analyzed.
- Gather all relevant information about the operation, including tools, materials, and procedures
- Talk with employees who use the operation or have used similar operations. They may have suggestions for improving it.
- Chart the operation, whether you are analyzing an existing operation or a new operation.
- Evaluate each step in the existing operation or proposed new operation. Does the step add value? Does it only add cost?
- Revise the existing or new operation as needed.
- Put the revised or new operation into effect, then follow up on the changes or new operation. Do your changes to the existing operation improve it? Does your new operation add to the company’s overall operations?
Work measurement
Determines how long it should take to do a job.
Standard time: The length of time it should take a qualified worker using appropriate process and tools to complete a specific job, allowing time for personal fatigue and unavoidable delays
Why should a company set the standard time for a job?
- Companies use standard times to develop product costs, to evaluate different materials and/or alternative manufacturing techniques, to measure individual worker proficiency, and to plan a production schedule
Worker Compensation
Companies need to develop compensation systems that reinforce the behaviors needed to meet the company’s objectives.
- Compensation systems are typically based either on time spent working or on output generated
Time-based comp sys
are normally used when measuring output per employee is not applicable—say, for managers, administrative support staff, and some direct laborers.
- The advantage of the time-based system is its simplicity. For the company, wages are easily calculated. For the employees, the pay is steady, and they know what they will get in their regular paycheck.
Output based (incentive) sys
or piece-rate systems, or commission systems can be linked to Frederick Taylor’s theory that humans are economically motivated.
- these systems reward workers for their output.
- The more the worker produces, the more the worker earns
- The assumption is that some workers are motivated by money and produce more when pay is linked to performance.
Grp incentive plans
Group incentive plans are designed to reward employees when the company achieves certain performance objectives. two types: profit and gain sharing
Incentive Plan trends
Regardless of the type of incentive system used, individual or group, there are disadvantages associated with both
- Individual incentive systems have been shown to undermine teamwork and give employees a short-term focus
Some evidence suggests that group incentive systems suffer from the “free-rider” problem
- The free-rider is the person who does not do his or her fair share but is still rewarded by the work of the group
Overall, companies using group incentive systems tend to outperform companies that do not use such systems.
