TQM Chapter 5 - Employee Engagement

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Lesson Proper

Before we discuss in detail the topics on how to engage or involve employees in the
organization towards the achievement of organizational objectives, kindly watch the
following video to give you an overview about the third principle of TQM which is employee
engagement.

https://youtu.be/7Wi0eDWEpS0

Play Video

People are categorized into three (Ramasamy, 2010).  These are the top notch or self-
actualized (10%), the fence sitters (80%), and the difficult to improve (10%).  It is believed
that about 5 to 10 per cent of the employees are self-motivated and whatever be the
circumstances in the organization, they continue to do their best.  They never get
demotivated, even if there are demotivating factors in the organization.  The bottom 5 to 10
per cent are the difficult people who do not want to get motivated.  However, 80 to 90 per
cent of the people are fence sitters.  Their motivation level depends on management
strategies.  They join the top 10 per cent, if management is effective, otherwise they join the
bottom 10 per cent.  Essentially, they look at the treatment received both by the top 10 per
cent and the bottom 10 per cent.  If the top 10 per cent are recognized, rewarded and
treated well, then the middle 80 per cent are drawn to join them.  If the management does
not differentiate and treat everyone alike, then there is likelihood that the middle group
may join the bottom 10 per cent causing organizational problems.

 Let us now discuss why people need to be motivated.  The different theories of motivation
explain the different kind of employees and why they need to be motivated.

 Motivation Theory of Individual Employees

  Theory X

Sigmund Freud is the author of Theory X and is his theory, he characterizes employees as
follows:

 ·        Avoid work

·         No ambition

·         No initiative

·         Do not take responsibility

·         Needs security

 According to Freud, to make these employees work the management has to do the
following:
 ·         Reward

·         Coerce

·         Intimidate

·         Punish

 If this theory is applicable to any employee, then the organization cannot function with
such employees.  This theory assumes that the employees cannot be trusted and the
employees have to be supervised all the time.

Theory Y

Douglas McGregor is the author of Theory Y.  According to McGregor, people are are
described as follows:

 ·         Want to learn

·         Work is a natural activity

·         Have self-discipline

·         Develop themselves

This type of employees does not get motivated as much by any reward, but they seek
freedom to do difficult and challenging jobs, all by themselves.  If the manager can guide
the employees in identifying challenging jobs, the potentials of the employees will be
realized. If all employees are of this type, then there is no need for supervision.

 Theory Z

Abraham Maslow is the author of Theory Z.  According to Maslow, there are five (5) basic
human needs.  These are physiological needs, safety needs, love needs, esteem needs and
self-actualization needs.

 Self-actualization needs are the greatest motivators for human beings.  Maslow believes
that human beings are always dissatisfied and they would like to achieve more and more. 
That is the reason for achievements.

Physiological needs belong to the lowest level of needs.  These are the basic needs for any
human being.  Every human being wants to earn a living for himself and his family.  When
the physiological needs are satisfied, the safety need takes over.  At this stage, the human
beings look for job security.  After this, the need for love or belonging arises.  Every human
being wants to belong to a reputed organization.  When all the above three are satisfied,
then the human beings look for self esteem and self-respect.  He looks for recognition and
appreciation.  In the next stage, the human beings look for self-actualizing fulfillment.  They
would like to develop themselves as creative persons and want job satisfaction.  Thus, an
employee’s need rises to the higher level when he attains satisfaction at the current level.

To enlighten you more on Maslow’s hierarchy of needs, kindly watch the following video:

 
https://youtu.be/O-4ithG_07Q

Play Video

Herzberg’s Theory

Frederick Herzberg has divided the motivational aspects of human beings into the
following:

·         Hygiene Theory

·         Motivation

The hygiene theory is the minimum that every employee requires for being satisfied. 
Without them, the employee will get dissatisfied.

Hygiene Theory

The hygiene factors include:

·         The company

·         Its policies and its administration

·         The kind of supervision which people receive while on the job

·         Working conditions

·         Interpersonal relations

·         Salary

·         Security

Motivation

The motivation factors include:

·         Achievement

·         Recognition for achievement

·         Interest in the task

·         Responsibility for enlarged task

·         Growth and advancement to higher level tasks

Teamwork
Every organization may start initially with one person.  Personnel are added in the
organization to do more work.  Each person is recruited for a specific job.  As the
organization grows, a formal structure is evolved to enable better management and
communication.  Teams are formed to fulfill the objectives.  It is part of the regular
organizational structure of the organization.  The team will coordinate the day-to-day
activities of the team.  He is responsible for the output of his team while each member of
the team is responsible for the work assigned to him.  It is very clear that teams are made to
do more work, which individuals can’t.

Effective Communications

Effective communication is very important in the organization.  There are three ways of
communicating in the organization.  These are upward, downward and horizontal
communication.  Upward communication involves communicating with supervisors or
managers.  Downward communication involves communicating to subordinates or junior
employees while horizontal communication involves communicating with peers,
counterparts, customers and suppliers (both internal and external)

Training and Mentoring

An organization is affected by both internal and external factors in the environment.  Since
there is dynamism in the organization’s environment, there is a need for continuous
training.  There are employees who can adapt quickly to the changes in the environment but
there are employees who are slow to adjust to these changes.  It is therefore necessary to
implement training continuously so that the employees will be equipped with knowledge
and skills to do their job with confidence.

Training is considered as a formal activity of the organization.  After the training, it is not
expected that employees could master the knowledge and skills learned during the
training.  It is therefore necessary for mentoring the employees until such time that they
have mastered the knowledge and skills in doing the work independently.

Recognition and Reward

In a TQM environment, it is important to recognize achievement of employee, customers


and suppliers. Every employee or supplier is to meet the requirements to satisfy his
customers.  Meeting customer requirements is not enough for recognition.  Exceeding
customer requirements or satisfying customers, whether internal or external, can be
considered to be an achievement.  Such achievements, if they are recognized and
appreciated, should enable the achievers to perform with more interest, enthusiasm and by
putting in more efforts.  If achievement is not recognized then they may drop from the
normal level of performance.  Recognition has to aim at transforming each employee as a
performer and an achiever, as this is important step towards achieving the goals
and objectives of the organization. 

Awards should be given to the real achievers but it should not be a routine affair.  The
selection of the awardees should be given due consideration, so that the few who have
performed a top notch job are awarded.  Awards should cut across the entire organization
and the awardees should be accepted by others.

There is no harm in awarding individual for his meritorious service.  But it may cause hurdles
in practicing teamwork in some cases.  Hence, the organization should as a far as possible,
reward the teams.  The organization should give emphasis on recognizing the teams as
against the individuals, so that there is a good harmony in the organization.

Feedback and Performance Appraisal

Feedback

For continual improvement in the organization, it is better to know the result of an action. 
Actions are taken not only by management, but also by junior employees in organization. 
Therefore, both the management and the employees should look forward to getting a
feedback on the action taken, the employees from the management and vice versa, in the
interest of improving quality continuously.  Such feedback should be analyzed by the
concerned individuals, which would be a good input for the next decision to be taken. 

In TQM, the management should seek feedback as well as the employee should receive a
feedback on the quality of his output.  When a feedback is given, it should be the most
appropriate.  Feedback should never be accumulated forever.  The feedback should be
given at the appropriate time.  The feedback session could be short and brief so that it will
be taken seriously.

Each feedback session is a corrective action of the system, therefore, the effect of feedback
has to be monitored, studied and analyzed.  If the feedback is given in an appropriate
manner and if it is right then definitely the employee will be motivated to correct himself. 
As a result of feedback if the employee is not improving the performance, then the
management has to find out the reasons, so as to give again the feedback of the
employee’s behavior and workmanship.

Feedback should be given continuously.  Some employees who are doing extremely well
also need feedback.  The feedback will be never ending for any of the supervisory persons,
since the system will try to drift away from the set goals often and the management will be
required to correct the system through the feedback mechanism.  Thus, feedback is a
continuous mechanism.     

Performance Appraisal

Performance appraisal is to be used for the development of employees.  The performance


of each employee should be reviewed and the reports submitted to the management
should be used for the following purposes:

 ·        Promotion

·         Granting of additional increments

·         Training the employees

·         Reallocation of duties

The performance appraisal is a formal activity carried out by the supervisor for each
employee.  Innovative techniques can be used for motivating the employees, based on
performance appraisal.  It must be ensured that the performance appraisal in no way
demotivates the employees.  The most important requirement for carrying out performance
appraisal is giving awards and continuing it successfully.
Empowerment

Empowerment of employees is one of the latest management techniques deployed to result


in continuous improvement in the organizations.  Empowerment means involvement of all
the employees for improvement of processes on continual basis.  Empowerment is “an
organizational state, where people are aligned with business direction and understand their
performance boundaries, thus enabling them to take responsibility and ownership while
seeking improvements, identifying the best course of action and initiating steps to satisfy
customer requirements”.  Empowerment means transfer of responsibility of satisfying
customers to employees.  It means that the employees own the process of satisfying the
customers.  They conduct themselves as if they are the owners of the process who know
that they cannot get profit if the customers, both internal and external, are not satisfied. 
The initiative for improvements have to be taken by employees themselves and they should
not wait for the management to initiate.  For this purpose, they have to identify the best
course of action. 

Such delegation of authority to employees cuts across the organization.  The empowered
teams should conduct themselves with delegated authority and responsibility. 

 Empowerment of employees is not without bounds or limitations.  It should be structured


and planned to achieve the corporate goal in the TQM way.  Empowerment should be done
in a team and not the individuals.  Even when an individual is empowered, it is done so in
his capacity as the coordinator of the team.  It is not personal to the individual.  The team
has to achieve the objectives set forth by the management. 

 Let us now proceed to the steps in empowering self-managed teams.  The following are the
steps in empowering teams:

 1.    Agree on what they will produce or carry out.

2.    Decide how to organize the team.

3.    Decide on the responsibility within the team.

4.    Decide on flow of work.

5.    Audit the process.

6.    Decide on improvements and restart.

 Finally, the following are the actions that the management will take to practice
empowerment:

1.    Accept that teamwork is more beneficial than hierarchical management

2.    Invest time and money on the team building and training before empowerment

3.    Formulate a clear-cut, unambiguous vision and mission statement and the system for
quality.

4.    Be prepared to spend more time at the initial stages and later on to listen to the
problems of the team members
5.    Prepare to wait patiently for the success of the empowered teams

6.    Prepare to equip the teams with facts and trust them

7.    Provide support and tools wherever required for problem solving

8.    Reward worthy teams

9.    Provide communications infrastructure and Information Technology infrastructure for


the teams to carry on the tasks, without difficulty.

The topics presented earlier are the principles in involving employees to work with the
management in contributing to the attainment of organizational goals
and objectives towards it’s the fulfillment of the vision.

The next chapter will discuss the third principle of TQM.

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