WORKERS PARTICIPATION IN MANAGEMENT

ABSTRACT

For the growth and development of organization, the role of wpm is very important. Many
countries like England, USA, SWEDEN, and GERMANY etc. have researched a lot in this field and
support the significance of wpm. In India also the concept is growing wide. This paper shows the steps of
direction of growth of wpm in India. The stages are presented in two parts before independence and after
independence. In my paper I am considering three researches and conclude the positive approach towards
wpm. The research shows that the wpm is necessary for increasing productivity in organization.

1. INTRODUCTION

Workers' participation in management is a theme commonly discussed within the realms of

industrial relations. Literally, it means a participative arrangement of workers and management in running
a firm. Participation in what terms however remains an area of inquiry. Although on a different note but
within the ambit of industrial relations itself, collective bargaining forms an essential tool for rule making
in a firm (Flanders, 1964). Collective bargaining is a term synonymous with trade unions and their
activities. Workers in any industrial organization find a medium to voice their concerns through forming
unions. Along with collective bargaining, workers' participation in management forms an essential
component of cooperation in a firm and as Aryee (1988) puts it that participation can be perceived in as
involvement in decision making or involvement so as to influence decisional outcome. Either way the
task of participation is to eke out a say of the workers in the decision making process. Nonetheless, as
Sarma (1990) points out that the concept of workers' participation in management is shrouded with much
ambiguity connoting different meaning to different persons. Of course, this would be varying and would
be different for different firms. The crucial point of enquiry however is being the effect it has on the
industrial relations climate in a particular firm.

Workers participation in management means sharing the decision making power by lower level
workers of the organization. The concept is originated from the word “democracy”. It is the process of
management of the people, for the people and by the people. It gives a sense of belongings among the
workers towards the organization. “Coming together is a beginning”, “Keeping together is a progress”
and “Working together is a success.”

The concept of worker participation represents a popular theme in the analysis of the world of
work among scholars in the fields of Industrial Sociology, Industrial Relations as well as Management. It
refers to any arrangement which is designed to involve low cadre employees (workers) in the important
decision making within the workplace. This implies that rather than saddling only a group within the
enterprise (for instance, Management) with the responsibility of making decisions, all those who are to be
affected by these decisions (including the workers) would be involved in its formulation and
implementation.

Workers' Participation in Management John Leitch has defined Industrial Democracy as "the
organization of any factory or other business institution into a little democratic state with a representative
government which shall have both the legislative and executive phases". In the same manner as political
democracy has converted subjects into citizens, with right of self-determination and self-government,
industrial democracy converts the workers from the mere subjects obeying the orders of the employers,
into citizens of the industrial world

A right to self-determination and self-government, that is, representative participation in making

rules and enforcing them. This is known as Workers' Participation in Management, workers' participation
in management means giving scope for workers to influence the managerial decision-making process at
different levels by various forms in the organisation. The principal forms of workers' participation are
information sharing, joint consultation, suggestion schemes, etc.

Worker participation implies arrangements designed to involve workers in the enterprises

decision making process. This allows for workers' involvement in the initiation, formulation and
implementation of decisions within the enterprise. The concept can also be understood in terms of a new
approach to industry and society in which people want to be interested with the taking of decisions which
have direct bearing on them.

Mc Gregor (1960) contends that worker participation consists basically in creating opportunity
under suitable conditions for people to influence decisions which affect them. It is a special case of
delegation in which the subordinate gain greater control, greater freedom of choice with respect to
bridging the communication gap between the management and the workers. This serves to create a sense
of belonging among the workers as well as a conducive environment in which both the workers would
voluntarily contribute to healthy industrial relations.

According to the International Institute for Labor studies "Workers Participation in Management
is the participation resulting from practices which increase the scope for employee's share of influence in
decision-making at different tiers of organizational hierarchy with concomitant assumption of
responsibility".
 WPM “Workers participation may, broadly be taken to cover all terms of association of workers
and their representatives with the decision making process, ranging from exchange of information,
consultations, decisions and negotiations to more institutionalized forms such as the presence of workers’
members on management or supervisory boards or even management by workers themselves as practiced
in Yugoslavia ” By International Labour organization (ILO)

In the words of Davis "It is a mental and emotional involvement of a person in a group situation
which encourages him to contribute to goals and share responsibilities in them".

DEFINITIONS:
1. WORKERS’ PARTICIPATION:
According to Keith Davis, “ Participation refers to the mental and emotional involvement of a person in a group
situation which encourages him to contribute to  group goals and share the responsibility of achievement.

”According to Walpole, “ Participation in Management gives the worker a sense of importance, pride and
accomplishment; it gives him the freedom of opportunity for  self-expression; a feeling of belongingness with the
place of work and a sense of workmanship and creativity.

”According to ILO, “Workers’ participation, may broadly be taken to cover all terms
of association of workers and their representatives with the decision-making process, ranging from
exchange of information, consultations, decisions and negotiations, to more institutionalized  forms such as the
presence of workers’ member on management or supervisory boards or even management by workers
themselves” (as
 practiced in Yugoslavia).

International Institute of Labour Studies says, “WPM is the participation resulting  from the practices
which increase the scope for employees’ share of influence in decision-making at different tiers of
organizational hierarchy with concomitant (related ) assumption of responsibility.”
 2. TRADE UNION:
 Any association or combination of workmen or employers, whether temporary or  permanent, formed
with the objective of (a) the regulation of relations between workmen and employers, or between
workmen and workmen or between employers and employers; or (b) the imposing of restrictive
conditions on the conduct of any trade or business; or (c) the representation of either workmen or
employers in trade disputes; or (d) the promotion or organization or financing of strikes or lock-outs.
3. COLLECTIVE BARGAINING:
 An agreement between employer and workmen or trade union relating to the terms and conditions of
employment of any workmen, or to the privileges, rights and duties of the employer, workmen or trade union, or
the manner of settlement of any dispute.
2. ORIGIN AND GROWTH OF WORKERS PARTICIPATION

The origin and concept of Workers Participation in Management can be traced back to the
writings of Fabian socialists headed by Sydney web that highlighted the economic and social disorders of
industrially developing countries and stressed the need for unity and cooperation among partners of
production. The concept received further impetus from the origin and growth of political democracy in
many parts of the world. It came to be believed that political democracy could not survive unless
economic and industrial democracies were also achieved. Many writers advocated that just as people
should have the right to choose their governments, the workers too should have the right to influence the
managerial decisions, if not the right to choose the management. Many writers in the field of management
emphasized the human side of enterprise and came to be collectively designated as the behaviouralists.

Firstly, the demand of continuous production during the two world wars prompted the managers
to introduce such strategies as would ensure uninterrupted industrial activity. Secondly, the differentiation
between Management and Entrepreneurs accelerated the pace of professionalization in Industrial
Management.

It was during the days of the world war that the concept found its first practical application. Faced by the
twin problems of maintaining industrial peace and improving productivity, the Governments in many
belligerent countries persuaded management's to establish joint committees for expeditiously resolving
these problems through consultation. In the United Kingdom following the recommendations of the
Whitley committee a well-knit three-tier consultative system came into being. It consisted of works
committees at the plant level, district councils at the district level and the joint industrial councils at the
industry level. However, with the cessation of hostilities in 1918 and the onset of economic depression in
1921 the idea of joint consultation received a setback. The interest of the working class now shifted
toward nationalization and centralized planning because these were considered to be the most appropriate
remedies for economic stagnation and unemployment.

Today, the idea of workers participation has become institutionalized in several countries of the
world. The schemes, however, widely vary from one country to another in respect of range of subjects
handled by participation machinery, in the degree of authority exercised with regard to these subjects, and
in the methods of selection of workers representatives. Thus, we have workers self-management in
Yugoslavia, co-determination in federal republic of Germany and mere consultation in India.
INTERNATIONAL LABOUR ORGANIZATION:
Workers‟ participation, may broadly be taken to cover all terms of association of workers and
their representatives with the decision-making process, ranging from exchange of information, consultations,
decisions and negotiations, to more institutionalized forms such as the presence of workers‟ member on
management or supervisory boards or even management by workers themselves The main implications of
workers‟ participation in management.
 Workers have ideas which can be useful.
 Workers may work more intelligently if they are informed about the reasons for and then
intention of decisions that are taken in a participative atmosphere.
3. RATIONALE OF THE STUDY

3.1 To recognize the importance of participative management to resolve industrial disputes and increasing
production simultaneously.

3.2 To know the mutual cooperation of employees in achieving industrial peace, greater efficiency and
productivity in the interest of the enterprise, the workers, the consumers and the nation. To know how
trade unions cooperating with the empowered employees in managerial decision making.

3.3 To investigate the implications of workers participation to worker and their organization.

3.4 To identify the importance of participative management to improve quality of managerial decisions
and team work.

3.5 To determine factors which aid or hinder the observed level of participation.

4. OBJECTIVES OF WORKERS PARTICIPATION:

 To achieve industrial peace and harmony.

 To build the most dynamic Human Resources by develop internal motivation in the workers.
 To boost the morale of employees and satisfy the workers‟ social and esteem needs.
 To raise the levels of the employee production, productivity and product quality.
 To satisfy workers by making them feel, that they have their voice in the management.
 To give workers a better understanding of their role in the working of industry. To develop better
mutual understanding so that the workers do not resist a change for the betterment of the concern
(e.g., introduction of work study, etc.)
 To minimize the number of grievances and therefore, industrial disputes.
 To make managing of the subordinates easy.
5. SCOPE OF THE STUDY

Scope of the study is confined to, what are the various facets and incentives of the organization, which
are motivating the employees to stay with the organization. To find out what aspects are satisfied and
dissatisfied by the employees of the organization and the difference in the satisfaction level of executives
of Non-executives.

FORMS OF PARTICIPATION:
Different forms of participation are discussed below:
 
Participation through Collective Bargaining:

Collective bargaining results in collective agreements which lay down certain rules and conditions of service
in an establishment. Such agreements are normally binding on the parties. Theoretically, collective
bargaining is based on the principle of balance of power, but, in actual  practice, each party tries to outbid
the other and get maximum advantage by using, if necessary, threats and counter threats like; strikes,
lockouts and other direct actions.
 
Participation through Staff and Works Councils:
These are exclusive bodies of employees, assigned with different functions in the management of an
enterprise. In West Germany, the works councils have various decision-making functions. In some
countries, their role is limited only to receiving information about the enterprise. In Yugoslavia, these councils
have wider decision-making powers in an enterprise like; appointment, promotion, salary fixation and also major
investment decisions.

Participation through Suggestion Schemes:

 Participation of workers can take  place through suggestion scheme. Under this method workers are
invited and encouraged to offer suggestions for improving the working of the enterprise. A suggestion
box is installed and any worker can write his suggestions and drop them in the box. Periodically all the
suggestions are scrutinized by the suggestion committee or suggestion screening committee. The committee is
constituted by equal representation from the management and the workers. The committee screens various
suggestions received from the workers. Good suggestions are accepted for implementation and suitable
awards are given to the concerned
workers. Suggestion schemes encourage workers‟ interest in the functioning of an
enterprise.
 
Work directors:
 Under this method, one or two representatives of workers are nominated or elected to the Board of
Directors. This is the full-fledged and highest
form of workers‟ participation in management. The basic idea behind this method
is that the representation of workers at the top-level would usher Industrial Democracy, congenial
employee-employer relations and safeguard the workers‟ interests. The Government of India introduced
this scheme in several public sector enterprises such as Hindustan Antibiotics, Hindustan Organic
Chemicals Ltd etc. However the scheme of appointment of such a director from among the employees
failed miserably and the scheme was subsequently dropped Participation through Joint Management
Councils and Committees: Setup as early as 1958, these councils consist of equal number of
representatives of the employers and employees, not exceeding 12 at the plant level. The plant should
employ at least 500 workers. The council discusses various matters relating to the working of the
industry. This council is entrusted with the responsibility of administering welfare measures, supervision
of safety and health schemes, scheduling of working hours, rewards for suggestions etc., wages, bonus,
and personal problems of the workers are outside the scope of Joint management councils.
 
Mainly these bodies are consultative and advisory, with decision-making being left to the top anagement.
This system of participation is prevalent in many countries, including Britain  and  India. As they are
consultative and advisory, neither the managements nor the workers take them seriously.
 
Board Representation:
The role of a worker representative in the board of directors is essentially one of negotiating the worker‟s
interest with the other members of the board. At times, this may result in tension and friction inside the  board room.
The effectiveness of workers‟ representative at the board depend upon his ability to participate in
decision-making, his knowledge of the company affairs, his educational background, his level of
understanding and also on the number of worker representatives in the Board.
 
Participation through Workers Ownership of Enterprise:
Social self-management in Yugoslavia is an example of complete control of management by workers
through an elected board and workers council. Even in such a system, there exist two distinct managerial
and operative functions with different sets of  persons to perform them. Though workers have the option
to influence all the decisions taken at the top level, in actual practice, the board and the top management
team assume a fairly independent role in taking major policy decisions for the enterprises, especially in
economic matters.

Specific of Purpose of Workers' Participation

1. It helps in managing resistance to change which is inevitable. For the growth and
development of industry, changes have to be welcomed, otherwise the organization will
stagnate and be left behind. If the need for change is jointly felt by all partners of
production its acceptance can be high. Workers' participation in change strategy can
facilitate acceptable solutions with a view to secure effective and smooth
implementations of decisions.

2. Workers' participation can encourage communication at all levels. Since both partners
of production are involved in the decision-making there will be fewer changes of
distortion and/ or failure in communicating the decision.

3. Joint decision- making ensures the there will be minimum industrial conflict an
economic growth can be free form distracting strife.

4. Workers' participation at the plant level can be seen as the first step to establishing
democratic values in society at large.
FEATURES OF WORKERS‟ PARTICIPATION IN MANAGEMENT:
1.Workers participate in management not as individuals but collectively as a group
through their representatives, and participation means mental and emotional involvement
rather than mere physical presence.
2.Workers‟ participation in management may be formal or informal. In both the cases it is a
system of communication and consultation whereby employees express their opinions
and contribute to managerial decisions.
Functions of Shop Councils:
1.Assist management in achieving monthly production targets.
2.Improve production and efficiency, including elimination of wastage of man  power.
3.Study absenteeism in the shop or department and recommend steps to reduce it.
4.Suggest health, safety and welfare measures to be adopted for smooth functioning of staff.
5.Look after physical conditions of working such as lighting, ventilation, noise and dust. Ensure proper
flow of adequate two way communication between management and workers.
 
Financial participation:
This method involves less consultations or even joint decisions. Performance of the organization is linked to the
performance of the employee. The logic behind this is that if an employee has a financial stake in the
organization, he/she is likely to be more positively motivated and involved. Some schemes of financial
participation:
1.Profit-linked pay
2.Profit sharing and Employees‟ Stock Option schemes.
3.Pension-fund participation.
 
Quality Circles and Total Quality Management:
 
Quality circles and other similar group activities were rapidly introduced in a large number of enterprises
in some Western European countries (e.g., the United Kingdom and France) at the start of the 1980s and in
the United States a little earlier. They built upon “Quality of Working Life” (QWL) or “Humanization of Work”
programmes that began in the early 1970s. Their spread was considerably later in some other Western
countries (e.g., Germany) and still seems to be very limited in countries where  joint project groups are
the predominant means of dealing with work organization, such as Sweden. Quality circles were the most
visible and easily transplantable feature of Japanese human resource management. Q u a l i t y c i r c l e s  
 are generally expected to produce two types of effect: one is the enhancement of quality and
productivity and the other is the fostering of a sense of participation in work-related decisions among
workers, leading to increased job satisfaction and better industrial relations.
 
IMPORTANCE OF WORKER‟S PARTICIPATION IN MANAGEMENT:
 
Higher Productivity:
The increased productivity is possible only when there exists fullest co-operation between labour and
management. It has been found that  poor labour management relations do not encourage the workers to
contribute anything more than the minimum desirable to retain their jobs. Thus participation of workers in
management is essential to increase industrial productivity.
 
Greater Commitment:
An important prerequisite for forging greater individual commitment is the individual‟s involvement and
opportunity to express himself. Participation allows individuals to express themselves at the work place
rather than being absorbed into a complex system of rules, procedures and systems. If an individual
knows that he can express his opinion and ideas, a personal sense of gratification and involvement takes
place within him. I am sure you will agree that  participation increases the level of commitment and the
employees start relating to the organization.
 
Reduced Industrial Unrest:
Industrial conflict is a struggle between two organized groups, which are motivated by the belief that their
respective interests are endangered by the self-interested behaviour of the other. Participation cuts at the
very root of industrial conflict. It tries to remove or at least minimize the diverse and conflicting interests between
the parties, by substituting it with cooperation, homogeneity and common interests. Both sides are
integrated and decision arrived at are mutual rather than individual.
 
Improved Decisions:
I am sure that you will agree that communication is never a one way process, Also note that it is seldom,
if ever, possible for managers to have knowledge of all alternatives and all consequences related to the
decisions which they must make. Because of the existence of barriers to the upward flow of information
in most enterprises, much valuable information possessed by subordinates never reaches their managers.
Participation tends to break down the  barriers, and makes the information available to managers. To the
extent such information alters the decisions, the quality of decisions is improved.
 
Human Resource Development:
Participation provides education to workers in the management of industry. It fosters initiative and
creativity among them. It develops a sense of responsibility. Informal leaders get an opportunity to
reinforce their position and status by playing an active role in decision-making and by inducing the members of the
group to abide by them.
 
Reduced Resistance to Change:
Last but not the least, it should be noted that changes are arbitrarily introduced from above without explanation.
Subordinates tend to feel insecure and take counter measures aimed at sabotage of changes. But when
they have participated in the decision making process, they have had an opportunity to be heard. They know
what to expect and why. Their resistance to change is reduced.
 
ESSENTIAL CONDITIONS FOR EFFECTIVE WPM:
 
There must be effective system of communication and free flow of information throughout the organization.
Both labour‟s representatives and management‟s representatives must be able to understand each other and
express themselves without any inhibitions. The whole idea after all is to be able to speak out one’s mind and listen to
the counterpart‟s point of view.
 
 The overall climate in the organization should be favorable to workers‟  participation. There should be
an attitude of mutual co-operation, confidence, and respect for each other. Management, in
particular, should be genuinely receptive to the labour‟s ideas so that the latter can perceive that
their ideas are useful. 
 The workers‟ representatives should have the ability such as intelligence and knowledge, to
participate. It is not appropriate to ask workers to participate in technical aspects of the
machinery; but they can participate successfully in  problems relating to their work. The
contributions made by the workers should be worthwhile and should benefit the workers in the long run.
It should be in the interest of the management as well.
 There must be sufficient time to participate  before action is required; because  participation in
emergent situations is hardly advisable. Participation should be real . The issues related to
increase in production and productivity, evaluation of costs, development of personnel, and
expansion of markets should also be brought under the jurisdiction of the participating bodies.
 Decisions taking  by different participatory forums must be sincerely carried out in the stipulated
time.
 Participation must work as complementary body to help collective bargaining, which creates conditions

of work and also creates legal relations.

WORKER’S PARTICIPATION IN MANAGEMENT IN INDIA

EVOLUTION OF PARTICIPATIVE MANAGEMENT IN INDIA:

Gandhiji recommended such a radical step, when, in 1946, he advised certain employers, who
were faced with a strike of the workers, to withdraw, leaving the factory and management altogether in the
hands of the workers themselves. In  between these two limits, workers' participation may take the form of
joint committees for such functions as safety measures, social and cultural activities,  production and
productivity personnel counselling, and control of working conditions, auditing, profit sharing, recruitment and
dismissals, and management of the enterprise. Earlier in 1937, Gandhiji had pleaded for a milder form of
workers'  participation, when he said , "It is vital to the well-being of the industry that the workmen
should be regarded as equals with shareholders and that they have, there-  fore, every right to possess an
accurate knowledge of the transactions of the mills. If labourers are co-equal owners, their organizations
should have the same access to the transactions of the mills as the shareholders." 

The beginning towards WPM was made with the  Industrial Disputes Act, 1947 , which made
Works Committees mandatory in industrial establishments employing 100 or more workers. The joint
management councils were established in 1950 which increased the labour participation in management.
Since July 1975 the two-tier participation called shop councils at shop level and Joint councils were
introduced.
Workers‟ participation in Management Bill  was introduced in Parliament in 1990. The Industrial Policy
Resolution adopted by the government in 1956 stated that there should be some joint consultation to
ensure industrial peace, and improve employer-employee relations. A study team was appointed in 1962 to report
on the working of  joint councils and committees. During the emergency of 1975-77, the interest in these
schemes was revived by the then Prime Minister by including Workers‟ participation in industry in the
government’s 20-point program.
 
 The government started persuading large enterprises to set up joint consultative committees and
councils at different levels. The Janata Government who came to power in 1977 carried on this
initiative. It was again emphasized by the Congress government who came back in 1979. This
 continued in a “non- statutory vein” till the late 1980s, and the response from the employers and
employees stayed Luke-warm. Then, the 42nd Amendment to the Constitution was made.

Elements of Participation
The term “participation” has different meanings for different purposes in different situations. McGregor is
of the view that participation is one of the most misunderstood idea that has emerged from the field of
human relations. Keith Davis has defined the term “participation” as the mental and emotional
involvement of a person in a group situation which encourages him to contribute to group goals and share
responsibilities in them. This definition envisages three important elements in participation. Firstly, it
means mental and emotional involvement rather than mere physical activity; secondly, participation must
motivate a person to contribute to a specific situation to invest his own resources, such as initiative,
knowledge, creativity and ingenuity in the objectives of the organisation; and thirdly, it encourages
people to share responsibility for a decision or activity. Sharing of responsibility commits people to
ensure the success of the decision or activity.

Forms of Participation

Different forms of participation are discussed below:

Collective Bargaining: Collective bargaining results in collective agreements which lay down
certain rules and conditions of service in an establishment. Such agreements are normally binding on
the parties. Theoretically, collective bargaining is based on the principle of balance of power, but, in
actual practice, each party tries to outbid the other and get maximum advantage by using, if
necessary, threats and counterthreats like; strikes, lockouts and other direct actions. Joint
consultation, on the other hand, is a particular technique which is intended to achieve a greater
degree of harmony and cooperation by emphasising matters of common interest. Workers prefer to
use the instrument of collective bargaining rather than ask for a share in management. Workers’
participation in the U.S.A has been ensured almost exclusively by means of collective agreements
and their application and interpretation rather than by way of labour representation in management.

Works Councils: These are exclusive bodies of employees, assigned with different functions in the
management of an enterprise. In West Germany, the works councils have various decision-making
functions. In some countries, their role is limited only to  receiving information about the enterprise.
In Yugoslavia, these councils have wider decision-making powers in an enterprise like; appointment,
promotion, salary fixation and also major investment decisions.

Joint Management Councils and Committees: Mainly these bodies are consultative and advisory,
with decision-making being left to the top management. This system of participation is prevalent in
 many countries, including Britain and India. As they are consultative and advisory, neither the
managements nor the workers take them seriously.

Board Representation: The role of a worker representative in the board of directors is essentially
one of negotiating the worker’s interest with the other members of the board. At times, this may
result in tension and friction inside the board room. The effectiveness of workers’ representative at
the board depend upon his ability to participate in decision-making, his knowledge of the company
affairs, his educational background, his level of understanding and also on the number of worker
representatives in the Board.

Workers Ownership of Enterprise: Social self-management in Yugoslavia is an example of

complete control of management by workers through an elected board and workers council. Even in
such a system, there exist two distinct managerial and operative functions with different sets of
persons to perform them. Though workers have the option to influence all the decisions taken at the
top level, in actual practice, the board and the top management team assume a fairly independent
role in taking major policy decisions for the enterprises, especially in economic matters.
Levels of Participation

Workers’ participation is possible at all levels of management; the only difference is that of
degree and nature of application. For instance, it may be vigorous at lower level and faint at top
level. Broadly speaking there is following five levels of participation:

1. Information participation: It ensures that employees are able to receive information and
express their views pertaining to the matters of general economic importance.

2. Consultative participation: Here works are consulted on the matters of employee welfare
such as work, safety and health. However, final decision always rests at the option of
management and employees’ views are only of advisory nature.

3. Associative participation: It is extension of consultative participation as management here is

under moral obligation to accept and implement the unanimous decisions of employees.

4. Administrative participation: It ensure greater share of works in discharge of managerial

functions. Here, decision already taken by the management come to employees, preferably with
alternatives for administration and employees have to select the best from those for
implementation.

5. Decisive participation: Highest level of participation where decisions are jointly taken on the
matters relation to production, welfare etc. is called decisive participation.

6. RESEARCH METHODOLOGY AND DESIGN

The study adopted the case study approach for the purpose of conducting an empirical investigation to the
issue of Worker Participation in Management Decision Making in BHEL work environment. The study
was conducted and data were collected both through the primary and secondary source

Primary sources of data were derived from the questionnaire and in-depth interview from employees of
all departments in BHEL like HR, Finance, Production, and Sales & Marketing. The questionnaire was in
three sections - the first contained questions on respondent‟s personal data, the second on the level of
worker participation while the third is on worker participation structures.

Secondary source from company records, bulletins and other official documents. The adoption of these
tools helped to collect both quantitative and qualitative data.

7. CONFINES OF THE STUDY

7.1 The study is related to only BHEL RC. Puram, Hyderabad.

7.2 The sample size was 100 employees including executives and supervisors.

7.3 The results are based on information provided by respondents.

8. FINDINGS AND DISCUSSION

8.1 The BHEL employees are satisfied with the functioning of the management in Participatory
machineries and are initiative in organizational interest which is effective and efficient in functioning.
8.2 Majority of the employees agreed that management have a positive attitude towards staff and they are
treated with respect at their work places and the participation is confined to only workers.

8.3 The organization conducts sufficient number of training programmes and each and every one
employee is very proud to work for BHEL.

8.4 Majority of the employee‟s converse that workers participation in management improves
understanding between managers and workers and the method which is mostly used in WPM is joint
management councils.

8.5 The employees have the opinion that workers needs trade unions to protect their interest and are
satisfied with the various legislation implemented by the company and they view is that interpersonal
relationship among employees is seen in respectable manner and agreed that the cooperation of trade
unions is necessary to empowered employees for their participation in managerial decision making. And
the change is that, management has brought to their personal development through participation is
recognition.

8.6 Most of the employee‟s consent that committee members share the information with their colleagues
after the meetings and that workers desire to participate in decision making in organizations.

8.7 The employees feel that conflict of interests between labor and management leads to failure of
workers participation in management and they did not agree that WPM weakens the trade unions.

8.8 Majority of the employees says that workers participation in management improves understanding
between managers and workers and the method which is mostly used in WPM is joint management
councils and communicated that decisions taken at the committee meetings are implemented and has the
positive opinion about the councils working and performance.

8.9 Maximum of the employees feel that WPM provides better understanding to employers and
employees about their role and process of attainment of organization goals and the organization has been
considering the pre-requisites of successful workers participation.

8.10 Majority of the employees feel that shop council and plant council benefit the organization to great
extent and agreed that plant council plays an important role in operational areas, economical areas and
welfare areas of the organization.

9. SUGGESTIONS
9.1 From the analysis it is clear that Workers Participation in Management is positive in BHEL,
Ramachandrapuram unit, Hyderabad. Some of the employees responded that management cooperation is
poor so it should be improved by free flow of communication and information with the workers
Management should evolve a system of sharing the fruits of participation.

9.2 WPM schemes are not successful in organization so it should be improved by making aware of those
schemes for all the employees in the organization. Management should develop a favorable attitude of
workers towards the schemes of participative management.

9.3 Most of the employees agree that conflict of interests between labor and management leads to failure
of WPM so management should take the proper steps to reduce the conflicts between the labor as well as
top level. Serious attention has to be given to the removal of hurdles.

9.4 A quantity of the employees responded that participation management in peaceful settlement of
industrial disputes is poor. The management should try to reduce the industrial conflicts between the
employees and employers. There should be trust between the two parties.

9.5 The management should focus on Workers Participation in Management Schemes. It should be
properly done which would adversely affect all the activities of the organization. Effort should be made to
stir up the workers at the enterprise level to understand the schemes.

10. CONCLUSION AND RECOMMENDATIONS

Workers Participation in Management has assumed great importance these days because it reduces
industrial unrest and helps in dispelling employees‟ misunderstanding about the outlook of management
in industry. The organization is giving utmost importance to the workers‟ Participation in Management.
The organization has been seen to practice sound participative mechanism. There exist a healthy sign of
team spirit and co-operation among the employees in the organization. The employees seem to understand
and co-operate with each other in the organization. Workers Participation in Management may reduce
alienation or increase personal fulfillment of workers. It also influences efficiency in various direct and
indirect ways. Careful measurement and calculation are required to assess the net effect of participation
upon efficiency and economic factor.

Workers Participation in Management is respectable at BHEL. And employees believed that they will
definitely get benefit hence, participation is confined to all the members in the organization and considers
them at different levels of decision making. Employees acquiesce that committee members share the
information with their colleagues after the meetings, the workers participation in management improves
understanding between managers and workers and informed that joint management councils is the
method of WPM which is used mostly in the organization.

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15. www.google.com

16. www.msn.com