Dr.

Saqib Rehman Lecture 4 TQM MCOM II CFE Group of Colleges

EMPLOYEE INVLOLVEMENT
Employee involvement is one approach to improving quality and productivity. Its use is credited for contributing to
the success enjoyed by the Japanese in the world marketplace. Employee involvement is not a replacement for
management nor is it the final word in quality improvement. It is a means to better meet the organization‟s goals for
quality and productivity at all levels of an organization. Involving employees, empowering them, and bringing them
into the decision-making process provides the opportunity for continuous process improvement. The untapped ideas,
innovations, and creative thoughts of employees can make the difference between success and failure. Competition is
so fierce that it would be unwise not to use every available tool.

Employee involvement improves quality and increases productivity, because

• Employees make better decisions using their expert knowledge of the process.
• Employees are more likely to implement and support decisions they had a part in making.
• Employees are better able to spot and pinpoint areas for improvement.
• Employees are better able to take immediate corrective action.
• Employee involvement reduces labor/management friction by encouraging more effective communication and
cooperation.
• Employee involvement increases morale by creating a feeling of belonging to the organization.
• Employees are better able to accept change because they control the work environment.
• Employees have an increased commitment to unit goals because they are involved.

Question:-Discuss the Concept of Employee Involvement through Motivation.

a. Scott defines, “Motivation means a process of stimulating people to accomplish desired goals.”
b. Edwin B. Flippo defines, “Motivation is the process of attempting to influence others to do your will through
the possibility of reward.”
c. In simple words, motivation is the process of inducing people inner drives and action towards certain goals
and committing his energies to achieve these goals.

Motivation:
The process that accounts for individual‟s intensity, direction and persistence of effort toward attaining a goal.
Intensity:- Power or passion to attain goal.
Direction:- Selection of way or path to reach or attain the goal
Persistence:- Determination to achieve objective.

Motivation is „a decision-making process through which the individual chooses the desired outcomes and sets in
motion the behaviour appropriate to acquiring them. Knowledge of motivation helps us to understand the utilization
of employee involvement to achieve process improvement.

Theories of Motivation
One of the first and most popular motivational theories was developed by Abraham Maslow. He stated that motivation
could best be explained in terms of a hierarchy of needs and that there were five levels. These levels are survival,
security, social, esteem, and self-actualization. Once a given level is satisfied, it can no longer motivate a person.

Relating these needs to motivation, we know that Level 1 (survival) means food, clothing, and shelter, which is
usually provided by a job. In the workplace, Level 1 needs include proper lighting, heating/air conditioning,
ventilation, phone system, data/voice access, and computer information system.1 Level 2 (security) can mean a safe
place to work and job security, which are very important to employees. When the organization demonstrates an
interest in the personal well-being of employees, it is a motivating factor. A threat of losing one‟s job certainly does
not enhance motivation. Level 2 is not limited to job security. It also includes having privacy on the job such as being
able to lock one‟s office door or having lockable storage for personal items, as well as having a safe work
environment that may include ergonomic adjustable furniture. Because we are social animals, Level 3 (social) relates
to our need to belong. It has been said that cutting someone out of the group is devastating to that individual. Isolation
is an effective punishment. Conversely, giving an individual the opportunity to be part of the group by feeling
important and needed will motivate that person. If possible, employees should be provided with both formal social
areas such as a cafeteria and conference rooms and informal areas such as water coolers and bulletin boards. Being a
member of a team is a good way to bring employees into the group.
Dr. Saqib Rehman Lecture 4 TQM MCOM II CFE Group of Colleges
Level 4 (esteem) relates to pride and self-worth. Everyone, regardless of position or job assignment, wants to be
recognized as a person of value to the organization. Where possible, employees should be given offices or personal
spaces with aesthetics. Business cards, workspace size, and office protocols also provide employees with a certain
level of self-esteem within an organization. Seeking advice or input into business or production processes is a good
way of telling employees that they are of value. This activity requires giving employees control and freedom of their
jobs by providing trust. Level 5 (self-actualization) says that individuals must be given the opportunity to go as far as
their abilities will take them. Many organizations have a policy of promoting from within. It is true that some
employees do not want to move up the corporate ladder, which is understandable. However, those who do want to
move up must know that it is possible.

It is important to note that as employees move up the hierarchy, they will immediately revert back to the previous
level if they feel threatened. For example, if an employee is satisfied in Level 3, a rumor of downsizing may cause an
immediate return to Level 2.

Herzberg’s Two-Factor Theory

Frederick Herzberg extended the general work of Maslow by using empirical research to develop his theory on
employee motivation. He found that people were motivated by recognition, responsibility, achievement, advancement,
and the work itself. These factors were labeled motivators. In addition, his research showed that bad feelings were
associated with low salary, minimal fringe benefits, poor working conditions, ill-defined organizational policies, and
mediocre technical supervision. These job-related factors were labeled dissatisfiers or hygiene factors, which implies
they are preventable. It is important to realize that dissatisfiers are often extrinsic in nature and motivators are
intrinsic. The presence of the extrinsic conditions does not necessarily motivate employees; however, their absence
results in dissatisfaction among employees. Absence of motivating factors does not make employees dissatisfied, but
when there are motivating factors present, they do provide strong levels of motivation that result in good job
performance for the individual and the organization. In general, dissatisfiers must be taken care of before motivators
can be actuated. Herzberg‟s dissatisfiers are roughly equivalent to Maslow‟s lower levels, and the motivators are
similar to the upper levels.

Employee Wants
While management thinks that good pay is the number one want of the employee, survey results show that this factor
is usually in the middle of the ranking. Table 4-1 shows employee wants and manager perceptions of employee wants.
Employee wants tend to follow the theories of Maslow and Herzberg. It is interesting to note that the managers‟
perceptions are much different. By involving employees through the use of teams in meaningful work and by
providing the proper reward and recognition, managers can reap the advantages of greater quality and productivity
along with employee satisfaction. This chapter describes how managers can develop employee motivation and how
they can involve their employees through empowerment. If managers are to effectively motivate employees, they
must align their actions closer to the motivators.

Achieving a Motivated Work Force

The building of a motivated work force is for the most part an indirect process. Managers at all levels cannot cause an
employee to become motivated; they must create the environment for individuals to motivate themselves. Concepts to
achieve a motivated work force are as follows:
1. Know thyself: Manager must understand their own motivations, strengths and weaknesses.
2. Know your employees: As the manager learns more about the employee, he can assist the employees in
directing their efforts toward satisfying their goals and well-being.
3. Establish a +ve attitude: A positive action oriented attitude permeates the work unit. Asking employees for
their opinions concerning job related problems in an effective way build a cooperative atmosphere
4. Share goals: A motivated workforce needs well defined goals that address both individual and organizational
needs.
5. Monitor progress: Managers should periodically review performance.
6. Develop interesting work: Managers should consider altering the employees‟ assignments by means of job
rotation, job enlargement and job enrichment.
7. Communicate effectively: Effective communication provides employees with knowledge about their work
unit and the organization rather than grapevine information.
8. Celebrate success: Recognizing employee achievements in the most powerful tool in the manager‟s toolbox.
Dr. Saqib Rehman Lecture 4 TQM MCOM II CFE Group of Colleges
Question:-What are employee surveys and how they are conducted?
An initial step a manger should take in initiating employee‟s empowerment is to survey their employees to determine
their current level of perceived empowerment. Surveys help managers to assess the current status of employee
relations, identify trends, measure the effectiveness of program implementation, identify need improvements, and
increase communication effectiveness. Following are the steps to handle employee surveys.
1. Administer survey (confidential and by 3rd party)
2. Compile and analyze (report is circulated in firm)
3. Determine areas for improvement
Contents of Employee Surveys
 Quality Council creates Survey team
 Develop instrument (questionnaire). Constructs to be used are
1. Personality Characteristics (anxiety, self esteem in the organization, and ability to participate in the
organization)
2. Management Styles (consideration of subordinates, initiating structure, commitment to quality)
3. Job attitudes (job satisfaction, social support at work and coworker‟s commitment in quality)
4. The work (task variety, autonomy and importance)

Question:- Discuss the concept of employee empowerment?

Empowerment:
Empowerment is an environment in which people have the ability, the confidence, and the commitment to take the
responsibility and ownership to improve the process and initiate the necessary step to satisfy customer requirements
within well-defined boundaries in order to achieve organizational values and goals. Empowerment is the opposite of
helplessness or dependency. An empowered person does not feel incapable of doing the things that he considers
important for the well-being of his organization. There are no constraints that he perceives to be externally imposed.
In other words, being empowered implies that the person acts from a state of autonomy, doing what he knows is the
right thing to do under a given set of circumstances.
1. Everyone must understand the need for change
2. The system needs to change to the new paradigm
3. The organization must enable its employees
The following general principles may be used to empower the employees.
 Tell people what their responsibilities are.
 Give them authority equal to the responsibility assigned to them.
 Set standards of excellence.
 Provide them with training that will enable them to maintain standards.
 Give them knowledge and information.
 Provide them with feedback on their performance.
 Trust them and create trust worthiness in the organization.
 Allow them to fail but guide them and counsel them when needed.
 Treat them with dignity and respect.

Question:-Discuss the characteristics TEAMS and Teamwork

 A team can be defined as a group of people working together to achieve common objectives or goals.*
 Team work is the cumulative actions of the team during which each member of the team subordinates his
individual interests and opinions to fulfill the objectives or goals of the group.
 TQM is based on the involvement of everyone in making improvements. So working in teams is an
inseparable part of the TQM environment. Nowadays teamwork is adopted universally as the organizational
mechanism for involving people in quality improvements.

Process Improvement Team

The members of process improvement teams represent each operation of the process. A team of about six to ten
members will come from the work unit and depending on the location of the sub process , an external or internal
supplier and customer woul be included in the team.

Cross-Functional Teams
Dr. Saqib Rehman Lecture 4 TQM MCOM II CFE Group of Colleges
Cross-functional teams are not unique to total quality – they are commonly used in new product development, for
example – but are increasingly becoming a mainstay of quality programs. These teams are similar in many ways to the
departmental teams just discussed: they receive training in problem solving, identify and solve problems, and either
implement or recommended solutions. The differences are that members of cross-functional teams come from several
departments or functions, deal with problems that involve a variety of functions, and typically dissolve after the
problem is solved. For example, a cross-functional team in a brokerage might deal with problems in handling
questions from clients. The issues raised would not be limited to stocks, bonds, or mutual funds, so people from all of
these areas would be involved. Cross-functional teams make a great deal f sense in an organization devoted to process
improvement, because most processes do not respect functional boundaries. If a process is to be comprehensively
addressed, the team addressing it cannot be limited, by either membership or charter, to only one function. To be
effective, cross-functional teams should include people from several departments: those who are feeling the effects of
the problems, those who may be causing it, those who can provide remedies, and those who an furnish data.

Natural Work Teams

Natural work teams are organized to perform a complete unit of work, such as assembling a motorcycle, creating
circuit plans for a television set, or performing a market research study from beginning to end. Te “unit of work” need
not be the final product, but some intermediate component. Natural work teams replace rather than complement the
traditional organizational of work. What is different in this work design structure is that work tasks are not narrowly
defined as they would be on an assembly line, for instance. Team members share responsibility for completing the job
and are usually cross-trained to perform all work tasks and often rotate among them.

Self-Managed Teams
Self-managed teams (SMTs), also known as self-directed teams or autonomous work groups, are natural work teams
with broad responsibilities, including the responsibility to manage themselves. SMTs are empowered to take
corrective action and resolve day-to-day problems; they also have direct access to information that allows them to
plan, control, and improve their operations. Although self-managed teams have been used for decades, (the SMT
concept was developed in Britain and Sweden in the 1950s, and one of the early companies to adopt it was Volvo, the
Swedish auto manufacturer), their popularity has increased in recent years, due in part to their use in TQ. In the
absence of a supervisor, SMTs often handle budgeting, scheduling, setting goals, and ordering supplies. Some teams
even evaluate one another‟s performance and hire replacements for departing team members. SMTs have resulted in
improved quality and customer service, greater flexibility, reduced costs, faster response, simpler job classifications,
increased employee commitment to the organization, and the ability to attract and retain the best people.

Characteristics of Successful Teams

1. Sponsor : In order to have effective liason with the quality council, there should be a sponsor. The sponsor is a
person from the quality council, he is to provide support to the organization.
2. Team Charter : A team charter is a document that defines the team‟s mission, boundaries, the background of the
problem, the team‟s authority and duties, and resources. It also identifies the members and their assigned roles –
leader, recorder, time keeper and facilitator.
3. Team Composition : The size of the team should not exceed ten members except in the case of natural work teams
or self-directed teams. Teams should be diversed by having members with different skills, perspective and potential.
Wherever needed, the internal and external customers and suppliers should be included as a team member.
4. Training : The team members should be trained in the problem-solving techniques, team dynamics and
communication skills.
5. Ground Rules : The team should have separate rules of operation and conduct. Ground rules should be discussed
with the members, whenever needed it should be reviewed and revised.
6. Clear Objectives: The objective of the team should be stated clearly. Without the clear objective, the team
functions is not to be effective.
7. Accountability: The team performance is accountable. Periodic status report of the team should be given to the
quality council. The team should review its performance to determine possible team process weaknesses and make
improvements.
8. Well-defined Decision Procedures: The decision should be made clearly at the right time by the team.
9. Resources: The adequate information should be given to the team wherever needed. The team cannot be expected
to perform successfully without the necessary tools.
10. Trust : Management must trust the team to perform the task effectively. There must also be trust among the
members and a belief in each other.
Dr. Saqib Rehman Lecture 4 TQM MCOM II CFE Group of Colleges
11. Effective Problem-Solving : Problem-solving methods are used to make the effective decision.
12. Open Communication : Open communication should be encouraged i.e., everyone feels free to speak in the team
whatever they are thinking, without any interruptions.
13. Appropriate Leadership: Leadership is important in all the team. Leader is a person who leads the team,
motivates the team and guides the team in a proper direction.
14. Balanced Participation : Everyone in a team should be involved in the team‟s activities by voicing their opinions,
lending their knowledge and encouraging other members to take part.
15. Cohesiveness: Members should be comfortable working with each other and act as a single unit, not as individuals
or subgroups.

Team Member Roles

1. The team leader
2. The facilitator
3. The team recorder
4. Timekeeper
5. The team member

Effective Team Meetings

 Meeting should be regularly scheduled; have a fixed time limit and start on time
 An agenda should be developed, either at the end of the previous meeting or prior to the beginning of the next
meeting
 Agendas usually list: opening focus, previous meeting feedback, agenda review, agenda items, summary, and
action items
 Periodically, the meetings should be evaluated by the participants

Question:-What are the Stages of Team Development:- Tuckman?

1. Farming stage : When a team is created, it consist of group of individuals and team work does not exist at this
stage. Team‟s purpose, members‟ roles, acceptance of roles, authority and process of functioning are learnt in the
formation process.
2. Storming stage : Initial agreements and role allocations are challenged and re-established at this stage of team
development. At this stage, hostilities and personal needs often emerge which may be resolved.
3. Norming stage : During norming stage of team development, formal and informal relationships get established
among team members. Openness and cooperation have been observed as signs of team‟s behaviour.
4. Performing stage : At this stage, the team starts operating in successful manner. Trust, openness, healthy conflict
and decisiveness of a group‟s performance can be reached at this stage.
5. Adjourning: is a stage that is reserved for temporary teams. The team needs to evaluate its performance and
determined lessons learned. This information can be transferred by members when they participate on future teams.
They also need to be a celebration to recognize the team‟s contribution to the organization.

Common Barriers to Team Progress

Evidence shows that the barriers given below are due primarily to the system rather than to the team.
• Insufficient training. Teams cannot be expected to perform unless they are trained in problem-solving techniques,
group dynamics, and communication skills.
• Incompatible rewards and compensation. In general, organizations make little effort to reward team performance.
Because of a strong focus on individual rewards it is difficult for individuals to buy into the team concept. Similarly,
performance appraisals do not accept input from peers or team members.
• First-line supervisor resistance. Supervisors are reluctant to give up power, confident that they can do the work
better and faster, are concerned about job security, and are ultimately held responsible.
• Lack of planning. A lack of common direction or alignment on the use of collaborative efforts, internal competition,
redundancy, and fragmented work processes all prevent team progress.
• Lack of management support. Management must provide the resources and “buy into” the quality council/ sponsor
system.
• Access to information systems. Teams need access to organizational information such as business performance,
competitive performance, financial data, and so forth.
• Lack of union support. Organizations need union support for the team to be successful.
Dr. Saqib Rehman Lecture 4 TQM MCOM II CFE Group of Colleges
• Project scope too large. The team and organization are not clear on what is reasonable, or management is abdicating
its responsibility to guide the team.
• Project objectives are not significant. Management has not defined what role the team will play in the organization.
• No clear measures of success. The team is not clear about its charter and goals.
• No time to do improvement work. Values and beliefs of the organization are not compatible with the team‟s work.
Individual departmental politics interfere with the team‟s progress. Management has not given the team proper
resources.
• Team is too large. The organization lacks methods for involving people in ways other than team membership.
• Trapped in groupthink. Team members all have a mind-set that no actions are taken until everyone agrees with every
decision.

Question:-How employees should be recognized and given rewards?

RECOGNITION
Recognition is a process whereby management shows acknowledgement of an employee‟s outstanding
performance. Recognition is a form of employee positive motivation. Recognition of employees is highly essential as
people find themselves in a accepted and winning role. To sustain employee‟s interest and to propel them towards
continuous improvement, it is essential to recognize the people. This acknowledgement may be of financial,
psychological or both in nature.
Ways to recognize people
Send letters to improve team members when they establish a team thanking them for their involvement.
1. Develop a behind the scenes awards specifically for those whose actions are not usually in the lime light,
make sure such awards are in the lime light.
2. Create best ideas of the year booklet and include everyone‟s picture name and description of their best
ideas.
3. Feature the quality team of the month and put their picture in a prominent place.
4. Honor peers who have helped you by recognizing them at your staff meetings.
5. Let people attend meetings, committees etc; in your place when you are not available.
6. Involve teams with external customers and suppliers, sending them on appropriate visits to solve problems
and look for opportunities.
7. Invite a team for coffee or lunch at any time, not necessarily when you need them for something.
8. Create a visibility wall to display information, posters, and pictures, thanking individual employees and
their teams, and describing their contributions.
9. When you are discussing an individual or group ideas with other people, peers, or higher management make
sure that you give them credit.

WHY SHOULD ONE RECOGNISE PEOPLE

1. Improve employees morale
2. Show the company‟s appreciation for better performance
3. Create satisfied workplace
4. Create highly motivated workplace.
5. Reinforce behavioral patterns.
6. Stimulate creative efforts.

REWARDS
Reward is a tangible one, such as increased salaries, commissions, cash bonus, gain sharing, etc; to promote desirable
behavior. Rewards can be Intrinsic or Extrinsic.
Dr. Saqib Rehman Lecture 4 TQM MCOM II CFE Group of Colleges

What are Performance Appraisals?

The purpose of performance appraisals is to let employees know how they are doing, and provide a basis for
promotions, salary increases, counseling, and other purposes related to an employee‟s future. There should be a good
relationship between the employee and the appraiser. Employees should be made aware of the appraisal process, what
is evaluated, and how often. Employees should be told how they are doing on a continuous basis, not just at appraisal
time. The appraisal should point out strengths and weaknesses as well as how performance can be improved.
Common appraisal formats are shown in Table 4-4.
Performance appraisals may be for the team or individuals. Regardless of the system, a key factor in a successful
performance appraisal is employee involvement. An employee should always be given the opportunity to comment on
the evaluation, to include protesting, if desired. Performance must be based on standards that are developed and
agreed upon by the appraisor and employee. Standards normally contain an ideal level and an acceptable level.
Standards should change when the situation changes, such as when equipment changes or new production techniques
are developed.
Performance appraisals should be viewed as a positive way to get employees involved. Many supervisors look at
appraisals as one of the unpleasant duties they must perform. Yet, if employees have been adequately interviewed as a
part of the hiring process, properly trained, given help when needed, and counseled, then their performance will be a
reflection on how well those tasks were performed. Performance appraisals also can be a pleasant duty for supervisors
and can reveal how effective the employee is in contributing to the success of the organization. Every effort should be
made to avoid errors in performance evaluations. Culture, ethics, education level, and predetermined opinions can
affect evaluations. It would be unfair indeed to render a poor rating based on bias or anything except how the
employee has performed based on established standards. An unfair evaluation could cost the organization a valuable
employee.