Professional Documents
Culture Documents
CONFERENCE
High Performance
Workplaces –
because people
mean business
The DTI drives our ambition of
‘prosperity for all’ by working to create
the best environment for business
success in the UK. We help people
and companies become more
productive by promoting enterprise,
innovation and creativity.
We champion UK business at home
and abroad. We invest heavily in
world-class science and technology.
We protect the rights of working
people and consumers. And we
stand up for fair and open markets
in the UK, Europe and the world.
High Performance Workplaces –
because people mean business
High Performance
Workplaces -
because people
mean business
Contents
A. Executive summary............................................................................................................ 6
Annexes
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High Performance Workplaces –
because people mean business
Each workshop generated very positive and wide-ranging debate that the
facilitators report back to the Conference. It was clear that there was
considerable agreement on the benefits of good workplace practice - with
particular emphasis on the importance of high levels of employee
involvement, innovative work organisation and on training and the
development of skills. A clear link was seen between improved quality of
work and improved performance. The role and contribution of trade unions
was also a common theme - and more broadly recognition that all
stakeholders have a contribution to taking forward this agenda and need to
work in partnership. But there was also recognition of challenges - not only in
promoting a culture of change but also in concerns that the risk of badly
constructed and implemented policies over emphasising performance and
achievement could have a negative effect. On types of organisation there was
some discussion about how to encourage smaller firms to develop high
performance work practices and the benefits to the public sector of taking the
HPW approach.
It was clear from all sessions that those involved, from business, trade
unions, governments and the research community were focussed on the
same goals, but would welcome new ways to share best practice with each
other and to enhance cooperation. Good examples of work done at national
level had been identified in workshops, such as initiatives promoted by the
Hungarian government to promote family friendly working practices within
companies, or the creation of a training game in Belgium to encourage trade
unions to develop policies on skills and lifelong workers. But it was felt that
something was needed to pull this knowledge and experience together at a
pan-European level.
The European Commission undertook to look at taking this issue forward by
examining the idea of a web-based guide to high performance practices to
promote best practice between Member States. This could be collated
through the existing European research networks, and would act as a
practical guide to developing HPWs. This would be useful for European
policymakers, social partners and academics alike.
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High Performance Workplaces –
because people mean business
L A regulatory framework that allows flexibility for labour markets but also
guarantees good minimum standards of protection for workers
L Effective communication between government policy makers and formers,
trade unions and business representatives.
The conference began with opening
speeches by Bill Callaghan (Chairman,
Health and Safety Executive),
Gerry Sutcliffe (Minister, Department
of Trade and Industry) and
Vladimir Ŝpidla (Commissioner,
European Commission). All agreed
that HPWs are crucial to all Member
States within Europe, as they help
to drive forward innovation and
growth, as well as creating good
quality jobs where workers are well
trained and highly motivated.
Commissioner Spidla pointed out that HPWs were a crucial instrument in
overcoming the challenges of demography and an ageing population, as
these companies encourage innovation, competitiveness and enhanced
productivity. Gerry Sutcliffe stressed that HPWs were good employers as well
as successful businesses - by taking account of the diversity of workers,
ensuring adequate training provision and offering a good balance of work
with family commitments, HPWs were likely to retain staff for longer.
Speakers agreed that in a dynamic, knowledge-based economy, people no
longer expect to have one job or even one career for life. The expectation of
today’s employees is that firms will give them the opportunity to develop
skills that can be used in areas outside their day-to-day activities, and that
firms will offer flexibility so employees can balance work and family
commitments. Smarter working, as opposed to harder working, is what will
help to close the productivity gap, and there was a consensus that business,
unions and governments need to take a partnership approach to achieve this.
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High Performance Workplaces –
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D. High performance
workplaces in Europe
Dr Enrique Fernandez Macias (European Foundation, Dublin) then took the
floor to explain how workplace practices are changing across Europe. He
reiterated Dr Lawler’s point that the research on and debates surrounding
high performance practices have been around since the 1970s, but added that
in Europe the focus has been mostly on skills in the workplace rather than
systems of work organisation.
According to Dr Fernandez Macias, the core model of workplace organisation
in Europe traditionally incorporates a very high degree of employee
participation and involvement in the decision making process. This is also
embedded in the legislative framework of the European Union, with statutory
systems of employee representation. Recent initiatives such as the
Information and Consultation Directive (2002) have aimed to strengthen this
framework further and encourage direct involvement by workers. This has
been most successful when social partners and governments work together.
The different political and economic systems and labour markets across
Europe mean that whilst it is possible to identify key underlying principles,
there are important differences between member states that make it hard to
pin down a typical European high performance model. Scandinavian
countries and the Netherlands come closest to the “classic” high performance
workplace system, as they feature a high degree of employee participation in
decision-making processes and a high level of productivity. Central European
countries usually have very highly skilled workers due to excellent
educational systems, and have strong formal employee representation
systems, but labour markets may not be sufficiently adaptable to help drive
forward innovation. Southern European countries often do not demonstrate
high performance work systems, and the focus in these member states has
often been on creating jobs rather than improving productivity or quality of
work. Data is only just emerging from the ten newest member states, but
there are promising signals that their low cost capital is combined with a
highly skilled workforce, which gives these countries significant competitive
advantage.
Despite an obviously disparate approach to labour market systems, skills
training and employee representation, Dr Fernandez Macias concluded that
the challenge for Europe still lies in creating more jobs. Creating employment
is most easily done by creating more low skilled jobs. However, this poses
risks both to the high performance model and to long-term growth: the only
way for European businesses to remain competitive against low cost rivals in
India and China is to show leadership and powerful innovation.
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because people mean business
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because people mean business
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because people mean business
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because people mean business
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because people mean business
Some employers are still reluctant to employ a woman with young children,
and “career women” often fear that they will be professionally disadvantaged
if they have children. Government intervention in an individual’s private life is
sometimes necessary: new legislation is underway in France to legislate
against discrimination based on domestic circumstances. There are also
ongoing measures to ensure that women are not disadvantaged in the
workplace by lack of training or skills, and that they receive proper support
during periods of maternity leave.
An appropriate level of
government intervention was
also considered important by
Dr Agnes Simonyi (Hungarian
Labour Ministry). Dr Simonyi
spoke about the problem of
assuring high performance and
quality in work in a country that
had until recently been used to
full employment through low
performance workplaces. The
Hungarian government is
committed not only to create more, but also better jobs and it has been
looking at ways to raise awareness of CSR practices in companies. It has also
encouraged the implementation of family friendly working policies in firms
via a national employer awards scheme which has proved very successful.
Organisations are more likely to receive the award - and a great deal of
positive publicity - if they can demonstrate that family friendly working has
led to an increase in productivity. Not all participants in this competition are
businesses: municipal offices, hospitals and even prisons take part as well!
Programs supported by the European Social Fund are also dedicated to create
more family friendly jobs in Hungary.
Jane Bird (Acas, UK) outlined the Acas Model Workplace, a series of
guidelines that Acas has drawn up based on its expertise of dispute
resolution in the workplace. The plain English guidelines and “health checks”
aim to prevent disputes by encouraging good health and safety procedures,
clarity of job design, fair pay and reward schemes that take account of
diversity. It has been designed for businesses of all sizes and sectors.
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because people mean business
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because people mean business
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High Performance Workplaces –
because people mean business
L Trade unions need to address the problem of change in the workplace, and
help workers to see the potentially positive benefits of change in boosting
not only the firm’s profitability but also workers’ own employability.
L Policy makers and policy formers should work to create a legislative
environment that supports flexibility and growth for firms and ensures a
high level of minimum standards, guaranteeing quality of working life for
employees. There is also a strong need for the promotion of research, skills
and the provision of advice and information on high performance working.
L The academic community needs to take a long-term view of high
performance workplaces in order to identify and help businesses, unions
and governments to manage potential risks associated with a high
performance culture.
The Chair concluded that best practice can most easily be shared through a
pragmatic partnership approach which seeks to improve economic
performance and maximise potential in the workplace. He hoped that the idea
of a website to share experience between Member States would be a
significant step forward in improving communication and partnerships
between all the main agents of change, and that high performance working
would come to represent the very principles of a civilised society and a
successful economy.
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because people mean business
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because people mean business
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because people mean business
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High Performance Workplaces –
because people mean business
Workshop 2:
Human resource practices for recruitment and retention
Facilitator: Professor Jaap Paauwe, Erasmus University
of Rotterdam (Netherlands)
Jaap Paauwe is Professor of Business and Organisation at the
Rotterdam School of Economics, Erasmus University,
Rotterdam. He has written and co-authored eleven books on
human resource management and published numerous papers
on HRM, industrial relations and organisational change.
Together with other Dutch universities, he initiated the Dutch
HRM Network. In 1997 and 2001 he was responsible for editing
a special issue on HRM and Performance for the International
Journal of Human Resource Management (UK), and he acts as a
reviewer and guest editor for this publication. He is a Research
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because people mean business
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because people mean business
Annex 2:
Further information and
useful resources
General
http://www.dti.gov.uk
http://www.businesslink.gov.uk
http://www.eurofound.eu.int
http://www.cipd.co.uk
http://www.bestcompanies.co.uk
http://www.ipa-involve.com
http://www.greatplacetowork.com
http://www.edwardlawler.com
Partnership working
http://www.ncpp.ie
http://www.acas.org.uk
http://www.lsc.gov.uk
http://www.ssda.org.uk