Managing
Human Resources
Bohlander  Snell  Sherman
Chapter 17
Creating
High-Performance
Work Systems
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-1
Learning Objectives
Discuss the underlying principles of highperformance work systems.
Identify the components that make up a highperformance work system.
Describe how the components fit together and
support strategy.
Recommend processes for implementing highperformance work systems.
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-2
Learning Objectives, cont.
Discuss the outcomes for both employees and the
organization.
Explain how the principles of high-performance
work systems apply to small and medium-sized, as
well as large, organizations.
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-3
High-Performance Work
System (HPWS)
A specific combination of HR practices,
work structures, and processes that
maximizes employee knowledge, skill,
commitment, and flexibility
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-4
Presentation Slide 17-1
Developing High-Performance
Work Systems
Principles
of High
Involvement
Linkages to
Strategy
System Design
• Work-flow
• HRM practices
• Support technology
OUTCOMES
•Organizational
•Employee
The
Implementation
Process
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-5
Presentations Slide 17-2
Four Principles of High-Performance Systems
Shared Information
Knowledge
Development
PerformanceReward Linkage
Egalitarianism
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-6
Anatomy of High-Performance Work Systems
Workflow
Shared
Knowledge Perf-Reward Egalitarian
Information Development
Linkage
Environment
• Self managed teams
• Empowerment
Staffing
• Selective recruiting
• Team decision
Training
• Broad skills
• Cross-training
• Problem-solving
• Team training
Compensation
• Incentives
• Gainsharing
• Profit sharing
• Skill-based pay
Leadership
• Few layers
• Coach/facilitate
Technologies
• HRIS
• Communications
Managing
Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-7
Cross-Training
Training of employees in jobs
in areas closely related to their own
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-8
Company
Values
Workflow
Design
Competitive
Challenges
Presentation Slide 17-3
Achieving Strategic Fit
Strategy
VERTICAL
FIT
Achieving Strategic Fit
• Vertical
• Horizontal
Workflow
Design
HR
Practices
HORIZONTAL
FIT
Technologies
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
Leadership
17-9
Horizontal Fit
Situation in which all the internal elements
of the work system complement and
reinforce one another
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-10
Vertical Fit
Situation in which the work system supports
the organization’s goals and strategies
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-11
Presentation Slide 17-4
Implementing High Performance Work Systems
Build a
case for
change
Communicate
Involve
union
Navigate
Navigate
Navigate
Navigate
transition
transition
transition
transition
Evaluation
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-12
Critical Steps
for Success
Build Case for Change
Establish Communications
Plan
Involve Union
Cultivate Mutual Gain
Critical
Success
Factors
Establish Formal
Commitment
Foster Constituent Support
Adhere to Procedures
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-13
Process Audit
Determining whether the high-performance
work system has been implemented
as designed
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-14
Competencies for Competitive Advantage
Combining
Core Competencies
through People to
Create
Competitive Advantage
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-15
Some additional acetates from the author follow….
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-16
Structures, HR, and Management
Anatomy of High-Performance Systems
Principles of
High Performance
Knowledge
DevelShared
EgalInformation opment Linkage itarianism
Work Design
Staffing
Training/Development
Rewards
Leadership
Technologies
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-17
Ensuring Fit
Organizational
Values
Competitive
Challenges
Employee
Concerns
Strategy
Vertical Fit
Supporting
Technology
Workflow
Design
Horizontal Fit
Leadership
Practices
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
HRM
Practices
17-18
Underlying
Principles
of High
Performance
Work Systems
Shared
Information
Egalitarian
Environment
Knowledge
Development
Perf.-Reward
Linkage
Managing Human Resources, 12e, by Bohlander/Snell/Sherman © 2001 South-Western/Thomson Learning
17-19