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Unit 7: Employee Involvement




             able to produce the same or similar products at almost the same or lower costs. Thus  Notes
             customers today have a wide range of products to choose from. These products not only
             meet their specifications closely, but also their budgets. Competition has extended far
             beyond the manufacturing or private sector. Today, the service, government and non-profit
             sectors also face stiff competition.
             The need to grow and succeed in an increasingly competitive market has seen the
             implementation of various quality initiatives in different organisations. Problem-solving
             and process improvements are two vital aspects of the quality initiatives, and proactive
             actions are being taken to prevent problems. Total Quality Management (TQM) is a
             continuous process that strives to increase customer satisfaction, lower costs, and minimise
             defects and variations in every aspect and every process of the business.
             TQM involves a number of catchwords like Just-in-Time, quality circles, employee
             involvement, continuous process improvement, empowerment, Kaizen, self-directed work
             groups and world-class quality. Basically, the philosophy of TQM is to involve every
             employee in the organisation along with its suppliers and distributors to improve product
             quality and enhance customer satisfaction.
             One of the important concepts of TQM is employee involvement. This is a relatively new
             method, which is a contrast to conventional management practices, wherein management
             takes all decisions and workers just follow them to accomplish their jobs. This top-down
             management style is slow and inflexible with little room for competition. Survival in
             today’s time-starved, customer driven market requires rapid response times from
             manufacturers and other businesses to the ever-changing customer needs.
             This article focuses on the importance of employee involvement in any TQM initiative.
             Employee involvement is a system wherein employees are encouraged to use their
             expertise and knowledge to suggest methods for improvements in their work areas.
             These suggestions could pertain to improvements in the job, the product, the work
             atmosphere or the company as a whole. Many companies have ventured into a participative
             style of management by involving employees in the problem solving and decision making
             processes.
             When Ford faced continuous threat of competition from Japanese car manufacturers,
             it ventured to study how the Japanese were excelling in their performance efficiency.
             It established a task force to study the Japanese manufacturing process.
             Results showed that the key to Japanese performance and efficiency was their empowered
             workforce and the teamwork involved. Employees were given the responsibility and
             authority to stop a process if the quality failed to meet the standards specified.
             Some of the most successful companies are those that have achieved a close relationship
             between workers and the managers. The policies in these companies fostered teamwork,
             participation, continuous learning and flexibility. However, the change from conventional
             management practices to the new style was not achieved overnight. Learning and
             implementing participative management requires a lot of effort and time. Implementation
             of employee involvement systems requires many changes in the existing company
             practices.
             The five obstacles that arise when companies try to shift from a traditional management
             style to a participative one are listed below:
                 Resistance to change

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