Organization Development and Change

Employee Involvement

Thomas G. Cummings
Christopher G.
Worley
 Learning Objectives
• To understand the principle characteristics of employee
involvement interventions
• To understand the three predominant applications of
employee involvement
 Employee Involvement
• Employee involvement seeks to increase members’ input into
decisions that affect organization performance and employee
well-being.
• Employee involvement (EI) is the broad term for diverse
approaches to gain greater participation in relevant workplace
decisions.
 Employee Involvement
• Power
– Extent to which influence and authority are pushed down
into the organization
• Information
– Extent to which relevant information is shared with members
• Knowledge and Skills
– Extent to which members have relevant skills and knowledge
and opportunities to gain them
• Rewards
– Extent to which opportunities for internal and external
rewards are tied to effectiveness
 EI and Productivity
Improved
Communication
and Coordination

Employee Improved
Improved Productivity
Involvement
Motivation
Intervention
Improved
Capabilities
Secondary Effects of EI on Productivity
Employee
Attraction and
Well-being and Productivity
Retention
Satisfaction

Employee
Involvement Productivity

Intervention
 Employee Involvement Applications
Knowledge
Application Power Information /Skill Rewards

Parallel Low Moderate Moderate Low

Structures
High
Involvement High High High High
Organizations

Total Quality High High High High

Management
 Parallel Structure Application
Stages
• Define the parallel structure’s purpose and scope
• Form a steering committee
• Communicate with organization members
• Form employee problem-solving groups
• Address the problems and issues
• Implement and evaluate the changes
 TQM Application Stages
• Gain long-term senior management commitment
• Train members in quality methods
• Start quality improvement projects
• Measure progress
• Rewarding accomplishment
 Deming’s Seven Deadly Sins
• Lack of constancy of purpose
• Emphasizing short-term profits and immediate dividends
• Evaluation of performance, merit rating, or annual review
• Mobility of top management
• Running a company only on visible figures
• Excessive medical costs
• Excessive costs of warranty