HUMAN RESOURCES STRATEGY IN OPERATIONS
MANAGEMENT
BY
MRS. S. L. ADEYEMI (PhD) AND L. BADMUS (PhD).
DEPARTMENT OF BUSINESS ADMINISTRATION,
UNIVERSITY OF ILORIN,
ILORIN, NIGERIA
Abstract:
The paper describes human resources strategies in operations management
especially where the nature
Introduction
The conduct of most activities undertaken by a firm especially those relevant to production,
require the availability of capable and skilled personnel. Human resources represent the most
valuable input to the production process and deserve the special attention of all levels of
management because of their unique role in the total system.
Human performance is crucial to an organization’s performance. An organization does not
function without people; it does not function well without competent, motivated people. How the
operations manager formulates a human resource strategy determines the talents available for
operations. Human resources are expensive. Dowling’s study (1973) showed that in many
organizations, a third of total cost is in wages and salaries and within the operations function,
these costs range from 8% to 80%. Because of the importance of personnel and their cost, early
consideration of human strategy options is necessary.
In most organizations, the human resources function is responsible for resolving three basic
problems related to human resources.
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a).
Recruitment of a sufficient number of people with adequate qualifications for the variety
of job descriptions to be filled.
b).
Effective utilization of existing personnel
c).
Holding and improving existing personnel through tangible and intangible rewards
The proper planning of the internal working environment and the utilization of human resources
must satisfy workers in the same way as the design of products and services must the needs of
potential customers.
In the past it was assumed that employee satisfaction was mainly related to wages or salaries and
other financial incentives. In contemporary business. It is widely understood that to attract and
maintain an effective work force requires the satisfaction of a wide range of human needs
relating to working conditions, proper motivation and opportunity for self advancement.
Drucker (1974) argues convincingly that in the design and operation of productive systems we
must consider the work to be performed and the working. The first relates to the tasks needed to
create a product or service and can be treated objectively, impersonally, and in a logical fashion.
The second aspect, working, relates directly to the people performing the tasks and by its very
nature is highly subjective and personal, defying rational analysis. Effective systems are not
possible only with the logical analysis of the tasks to be performed i.e. the work, but most clearly
satisfy the needs of those working. Working is described in terms of the following dimensions:
a.
The physiological dimension, which differentiate people from machines
b.
The psychological dimension, which covers the many and often conflicting attitudes
for, and needs from, work.
c.
The social dimension, which explains the need for bonds through work with others
and the community at large
d.
The economic dimension, which covers the need to earn a living with one’s wages
from work
e.
The power dimension, which explains one’s relationships to others in a work group
and the ability to decide how rewards and punishments will be distributed
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Thus, the proper utilization of human resources requires working conditions, structuring of jobs
and development of plans that contribute not only to the achievement of the organization’s
objectives but to the satisfaction of needs of those employed in it.
Objectives of the Human Resources Strategy
The objective of a human resource strategy is to manage labour and design jobs to human
resources:
a.
Are efficiently utilized within the constraints of other strategic operations m
management decisions;
b.
Have a reasonable quality of work life in an atmosphere of mutual commitment and
trust.
By reasonable quality of work of life, we mean a job that not only is reasonable safe and for
which the pay is equitable, but also that achieves an appropriate level of both physical and
psychological requirements. By mutual commitment, we mean reasonable, documented
employment policies that are honestly and equitably implemented to the satisfaction of both
management and employees. When management has genuine respect for its employees and their
contribution to the firm, establishing a reasonable quality of work life and mutual trust is not
particularly difficult.
Human Resources Strategy Constraints
Many decisions that are made about human resources are constrained by other strategic
decisions. First, the product mix may determine seasonality and stability of employment. Second,
technology, equipment and processes, may have implications for safety and job content. Third,
the location decision may have an impact on the ambient environment in which the employees
work. Finally, decisions requiring layout may dictate, in large part, job content.
The trade-offs between the technology available combined with location and layout decisions
and the proper capital investment decisions and quality of work life are pretty difficult.
Of all the strategy decisions, the human resources strategy is as a result of the other operative
design decisions.
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Dimensions of the Human Resources Strategy
Acknowledging the constraints imposed on human resources strategy, we need to look at three
distinct decision areas of human resources strategy and they are:
1.
Labour Planning: Labour planning in determining staffing policies that deal with (i)
employment stability and (ii) work schedules
2.
Job Design: Job design is specifying the tasks that constitute a job for an individual
or a group. A job consists of a variety of tasks; a task consists of a number of
elements; and an element consists of micro-motions. Job design will be examined
from the perspective of four components:
3.
i
Job specialization and environment
ii.
Psychological components
iii.
Ergonomics and work methods and
iv.
Motivation and incentive system
Labour Standard: Labour standards help us specify the labour required for given
levels of production once jobs have been defined.
We establish labour standards via:
i.
Historical data
ii.
Work sampling
iii.
Method time measurement and;
iv.
Stopwatch standards
The paper focuses on the first two dimensions of human resource strategy with less attention
paid to motivation and incentive system.
Labour Planning
Employment Stability Policies
The labour planning strategies consist of the following:
1. Chase Demand Exactly. Following demands exactly has the advantage of keeping direct
labour costs tied closely to production but incurs other costs. Here the firm maintains
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fluctuating work force following demand. According to Dervitsiotion (1981) the extra costs
that would be incurred include:
a. hiring and termination costs
b. Unemployment insurance costs and
c. Perhaps, a labour wage premium to entice personnel to accept unstable employment.
Such a policy tends to treat labour as a variable cost.
2. Hold Employment Constant. Holding employment constant has the advantage of
maintaining a trained work force and keeping the hiring termination and unemployment costs
to the barest minimum. The demerit is that employees may not be utilized fully when the
demand is low, and the firm finds meeting demand difficult when demand is high. Such a
policy tends to treat labour as a fixed cost.
Maintaining a stable work force may yield a wage rate lower than that paid by firms that do
not. This may provide a competitive advantage. However, managers who choose a strategy
resulting in fluctuating work force may also be choosing the most efficient option available
to them. Such a firm may have highly seasonal work and few options for managing demand.
Conceivably, however, the firm can find complementary labour demand in other products or
operations such as meeting the cans and latels or repairing and maintaining facilities for a
firm producing salmon canner.
Firms must make a decision as to employment stability. The above strategies and others can
be effective and efficient and provide a reasonable quality of work life.
Work Schedules
Although the standard work schedule in Nigeria’s five-eight hour days variations tend to exist. A
currently popular variation to a work schedule is called flextime. Flextime allows employees,
within limits, to determine their own schedules. A flextime policy might allow an employee
(with proper notification) to be at work at 8.00a. m. plus or minus two hours. This allows more
autonomy and independence on the part of the employees. Some firms have found flextime lowcost fringe benefit that enhances job satisfaction. The problem from production work requires
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full staffing for efficient operations. Having a waiter show up to serve lunch at 1:30 p.m. rather
than 11:30 a. m. is not much help either.
Some industries find that their process strategy has severely constrained their human resources
scheduling, option. Fir instance, proper manufacturing, petroleum refining, and power stations
must be staffed around the clock except for maintenance and repair shutdown. Firms in these
industries are severely constrained when implementing variable-time policies.
Another work schedule is a flextime workweek. This often manifests itself in, four 10-hour days.
This works in many operations functions, provided suppliers and customers can be
accommodated. Firms that have high process star-up times (say to get a boiler up to operating
temperature or a plastic molding machine running properly) find longer workdays options
particularly appealing.
Another option is to have shorter days rather than those longer days. This often moves
employees to part-time status. Such an option is particularly attractive in service industries,
where staffing for peal levels is necessary. Banks and restaurants are frequent practitioners of
this technique. Additionally, many firms are able to achieve labour costs by reducing fringe
benefits for part-time employees.
Job Classifications and Work Rules
Who can do what, when they can do it and under what conditions are determined by job
classifications and work rules. Part of an operations manage4r task is to manage the unexpected.
The work flexibility a firm has when staffing and establishing work schedules, the more efficient
it can, Building morale and meeting staffing requirement is easier if managers have fewer job
classifications and work rule constraints.
Job Design
Andrew and Mare (1980), contend that
“The effective utilization of a person as a productive component requires the careful design of
jobs in every phase of the production process. Such a design effort consists of specifying for
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each job the actual work, in terms of related tasks to be performed and responsibility for
planning and control of these tasks. To accomplish this, management must determine existing
constraints and appropriate criteria for performance.
In production and operations, job design follows the planning and designing of product, process
and equipment. Job design specifies the content of each job and determines the distribution of
work within the organization.
Although the two basic approaches to job design were developed separately, they are not
mutually exclusive. The first, the micro approach scientifically examines each details of the job
so that wasted effort is eliminated and output rate is enhanced. The second, more recent,
approach to job design is behavioral. In it, physiological and socio-psychological considerations
encourage job enlargements and job conditions; it too can result in improved output.
According to Kayewski and Ritzman (1993), job design specifies job content, the employee
skills and training needed to perform that job, and the degree of specialization appropriate for the
job. Job design is an important part of a firm’s operation strategy because it defines the amount
of flexibility needed in the work force. They contend that successful job design:
a.
Improves efficiency through analysis of the job’s work elements;
b.
Improves productivity through consideration of technical and human
factors
c.
Increases the quality of the firm’s products or services and
d.
Increases worker satisfaction
Hiexer and Render (1993) credited job design’s importance as a management variable to Adam
Smith. Smith (1876) suggested that a division of labour also known as specialization would
assist in reducing labour costs in several ways:
1.
Development of dexterity and faster learning by the employees because of repetition
2.
Less loss of time because the employee would not to be changing jobs or tasks
3.
Development of specialized tasks and the reduction of investment because each
employee has only a few tasks needed for a particular task.
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Traditional Engineering Dimensions of Job Design
Taylor (1911) invented traditional job design more than 100 years ago. This approach known as
scientific management is based on the philosophy that breaking it into components and studying
the work content of each component to improve work methods can improve any operation.
Taylor believed that managers should study job scientifically, using careful analysis,
experimentation, and tasks such as flow diagrams and process harts to find the most economic
way to perform a task.
Taylor stressed the need for managers to train worker in the new method in order to improve
efficiency. He believes that management must accept the responsibility for coordinating work so
that poor planning and timing do not restrict output. Taylor also believed that scientific
management would work only if the economic benefits of increased output were shared by both
management and workers-that is, workers received greater pay for increased productivity.
Taylor’s methods dealt with the engineering aspects of design’s ways to best reach, grasp and
move ,object, the number of repetition to be performed before a rest was needed; and the best
physical position for the worker.
Many Managers have applied Taylor’s concepts to increase productivity in both manufacturing
and service industries. These applications often led to job specialization and vertical
organizations. New approaches to job design being used by some organizations today involved
team building and developing cross-functional linkages. These approaches consider the
behavioral aspect of a worker’s job performance, such as the effects of safety, noise, ventilation,
illumination and monotony.
Often managers responsible for many subordinates and equipment feel overwhelmed by details.
Couldn’t we be more efficient if we improved our jobs? But how can we improve that when we
hardly know what the job? One answer to the managers’ dilemma is offered by the scientific
management approach. It urges managers to:
1. Identify the general operations problems area and the jobs that seem to be contributing to or
causing the problem
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2. Carefully analyze and document how the work is currently being performed (Established
industrial engineering techniques are available to assist in analysis and documentation,)
3. Analyze the content of individual jobs and job elements
4. Develop and implement new work methods
Often jobs can be broken, separated into elements. If the elements are assigned to different
workers, each worker can perform fewer elements, but he can perform them faster and perhaps
under more specialized conditions (with special tools or work benches; for example). This basic
concept, specialization of labour, has been very effective in increasing ioperating efficiency in
manufacturing; but it has been less effective in the service industries (Heizer and Remder, 1993).
Everet and Ronald (1986) suggest that to assist the manager or staff analyst to study a job in
which a problem has been identified, certain techniques can be. One of these techniques is the
operations chart which is used to analyze the job into elementary motions of the right and left
hands – reaching, carrying, lifting, pushing and releasing, for example.
In some instances, a time scale is placed in the middle of the operation chart so that it is clear
how much time each takes to perform the associated motion. Operation charts are appropriate for
routine, repetitive, short cycle task performed on how to moderate production volumes.
Activity charts divide operations into the major task segment performed by the machine arid
separate them by a vertical time scale. In this way, the analyst can easily complete the
percentages of productive and idle time and concentrate on method of reducing idle time for the
worker and/or machine.
Flow process charts analyze interstation activities, attempts to portray the flow to the overall
productive process. To capture this flow, process into one of five standard categories operations;
transportation; storage; inspection, or delay. Flow process charts are appropriate for visualizing
the sequential; stages of conversion process. They help reveal unnecessary product movement or
duplication of effort whose elimination would improve efficiency. Flow process charts provide a
broader level of analysis that the preceding methods, many job are examined, but none in depth.
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The five categories of product movement are:
Operation; the work performed manufacturing the product usually
assigned to a single workstation
Transportation; any movement of the product, or of its parts, among
various locations in the production process
Storage; intervals during which the product or any of part of it, waits or is
at rest. Often a T inside the triangle is used to design temporary storage,
when the product is stored for a short time before the conversion process
has been completed and a P inside the triangle is used to indicate
permanent storage, when the completed ,product waits in a storage facility
more than a day or two.
Inspection; all activities performed to verify that the product meets
mechanical, dimensional and operational requirements.
Delay; temporary storage before or after a productive operation. When the
temporary storage symbol is used, this category is often, omitted.
These three traditional techniques, operations charts, activity charts and flow process charts,
facilitate interjob analysis (at the individual job station) and interjob (between job stations). After
systematically studying existing job content, engineers and technicians can often find means of
improving ,jobs that have been ,looked by foremen and managers. To realize idle time, they inlay
recommend eliminating unnecessary elements or modifying the sequence of elements.
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Job Specialization
A job with a high degree of repetition; greater efficiency and high quality. Consider the tasks
required in a fast-food restaurant where the employees take the order, prepare and package the
meal and accept payment. This job design becomes inefficient as the volume of orders increases
because the employees start bumping into each other. Alternately, the tasks could be divided into
two jobs; one an order taker who also keeps the French-fryer going, draw drinks, packages the
meal and accepts the payment; the other a burger maker who does all the grill work.
Specialization results in benefits such as:

Less training time needed per employee because the methods and procedure are limited

Faster work pace, leading to more output in less time; and

Lower wage paid because education and skill requirements are lower
However, the arguments against job specialization suggest that narrowly defined jobs lead to:

Poor employee morale, high turnover, and lower quality because of the monotony and
boredom of repetitive works

The need for more management attention because the total activity is broken down into a
large number of jobs and a large number of employees, all of whom have to be
coordinated to produce the entire product or service and

Less flexibility to handle changes or employees absence
The degree of specialization should relate directly to the competitive priorities of the firm. A
high degree of specialization tends to support the competitive priorities of a product-focused
firm; low costs, consumer quality and little variety. A low degree of specialization tends to
support the competitive priorities of a process-focused firm; customization, high performance
design and flexibility. However, some firms that compete on the basis of low costs and
consistent quality such as Motorola. AT & T etc. are exploring organizational models based on
less specialization.
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Behavioral Dimension of job Design
In the past, industrialized societies have used economic criteria as their primary guides in
designing job. Traditional job design emphasizes specialization, task repetition and reduction of
skill requirements to minimize the impact of the individual worker on the production process.
Jobs have been designed to minimize immediate costs and maximize immediate productivity, it
is agreed that economic criteria are still paramount. However, we must not forget, that behavioral
implications in job design can and do influence performance. To ignore these concepts is to
bypass the opportunity to add further economic benefits to those we obtain through traditional
approach.
i).
Job Rotation: Where considerable aspects of a job cannot be eliminated either by
redesigning or automating it, job rotation, provides an excellent way to approach such a job.
Job rotation is a system whereby workers exchange jobs periodically, thus getting more diversity
in task assignment. This approach is most effective when the jobs require an equal level of skills.
Because workers learn many aspects of the job, job rotation increases the skills of the work
force, giving management the flexibility to replace absent workers or to move workers’
workstations as necessary. In addition, rotating jobs can give each worker a better appreciation
for the production problems of others and the value of passing only good quality to the next
person.
Just as employees can move in and out of a shift that is undesirable they can be rotated in and out
of jobs that are undesirable. Even there is no change in job content; rotating employees among
different jobs can reduce boredom and monotony by exposing the employee to a broader
perspective of the entire production process.
2).
Job Enlargement: The horizontal expansion of a job that is increasing the range of tasks
at the same level is called job enlargement. The employee competes a large proportion of the
total work required for the product or service. Typically, this approach requires that workers
have various skills and training programmes and wage increase often accompany it. Besides
reducing boredom, job enlargement has the potential to increase employee satisfaction because
the worker feels a greater sense of responsibility, pride and accomplishment.
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We can think in terms of jobs being composed of tasks each of which is performed by a worker.
With each task is associated a set of stimuli, auditing, visual and /or tactile. As the worker
performs the tasks, he receives various stimuli, cues. The number and kinds of stimuli depend on
the nature of the tasks. A job consisting of many varied tasks provides varied stimuli; a job with
routine, repetitive tasks usually provides few stimuli.
Proponents of job enlargement argue that we have simplified and routinized jobs to the point
where they are so specialized that workers perceive them to be monotonous: workers are bored
and dissatisfied. Michael (1975) contends that as a result of boredom and dissatisfaction, many
workers may disengage from the organizations that are characterized with high level of tardiness,
absenteeism and turnover. If managers would enlarge job by adding tasks, additional stimuli
would reduce the ill-effects of too simplified, too specialized jobs. Figure 1 illustrates the
assumptions behind job enlargement.
Figure 1: Assumptions behind Job Enlargement
Stimuli
Simplified low
skill level
Perception
Affective Response
Monotony
Boredom Job
Behavioral response
Tardiness
absenteeism
dissatisfaction
job turnover
Source: Everet, E and Roonald, J. E. (1986), Production and Operations Management:
Concepts, Modes and Behaviour, 3rd ed. P 327
The conceptualization of an enlarged job offers the employees four opportunities:
1. Variety, the opportunity to use a variety of skills
2. Autonomy, the opportunity to exercise control (over how and when the work is completed;
3. Task identity, the opportunity to be responsible for an entire piece or a programme of work
and
4. Feedback, the opportunity to receive on-line information
Thus, job enlargement is the procedure of redesigning job or modifying work so that employees
can feel more involved in and responsible for what they do.
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The nature and content of a job may be changed through enlargement in two ways. First, more
tasks of a similar nature and skill level can be added. If as job consists of tightening one bolt for
example, it could be redesigned to consist of tightening four different nuts on different bolts. The
job would then be enlarged horizontally. Second, other tasks of a different nature but similar skill
level may be added. Instead of tightening one nut on one bolt, the worker could assemble two
pieces of metal and a piece of plastic, tighten a nut and bolt to hold the assembly together, and
walk to a storage area to get more nuts and bolts. The job would then be enlarged vertically. Job
rotation, mentioned earlier, is a variation of job enlargement, where the job per se is not
enlarged, but rather the employee is allowed to move from one specialized job to another.
3).
Job Enrichment: The most comprehensive approach to job design, is job enrichment,
which entails a verticals expansion of job duties. That is, workers have greater control and
responsibility for an entire process, not just a specific skill or operation. This approach supports
the development of employee empowerment and self-managed team, whereby employees make
basic decisions about their jobs.
Job enrichment presumes that many jobs are so highly specializes that operative workers can no
longer visualize how their works contribute to the organization goals. The worker tightening a
nut on a bolt all day long loses sight of the fact that because that nut helps hold a wheel on a new
car, the safety of family might well depend on how diligently he does his job.
Job enrichment not only provides satisfaction, however, it cam also make the organization more
efficiency. Many managers feel that goals of job enrichment and increased efficiency are not
only compatible, they are comforting and necessary partners. They argue that it is impossible to
sustain productivity without the conscious satisfactions that the job environment helps create.
The conditions needed to be established for effective job environment include:
i.
Management must supply information on goals and performance that previously was
not available to the workers
ii.
A proper organizational climate does not imply excessive of individual behavior in
the organization
These two conditions can be met by recreating traditional management theory:
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1.
Every employee must be viewed as a manager. Each must get involved in the
management activities of planning, organizing and controlling his own job. This is the
basic goal of job enrichment
2.
The organization should strive to make work like play, to make the job fun. If a
worker’s job can be designed so that it offers the rewards that game does- visible and
meaningful goals, immediate feedback, group cohesiveness and people are there
because they want to be their workers would enjoy them
Limitations to ob Enlargement and Job Enrichment
In spite of enormous benefit associated with job enlargement and enrichment in the workplace,
they have a lot of limitations. These limitations include:
a. Higher capital cost
Job enlargement and enrichment require facilities that cost more than conventional
layout. This extra expenditure must be generated through savings (greater efficiency or
through higher prices).
b. Many Individuals Prefer Simple Jobs
Some studies indicate that employees, majority in some cases, opt for the less complex
jobs. In a discussion about improving the quality of work life, it seems appropriate that
we must not forget the importance of individual differences. These differences provide
latitude for the resourceful operations manager when designing jobs.
c. Higher Wage Rates are required
People often receive wages for their highest skills, not their lowest, so enlarged and
enriched jobs may well require average wage than jobs that are not.
d. Smaller Labour Pool Exists
Because enlarged and enriched jobs require more skill and acceptance of more
responsibility, the job requirements have increased. Depending upon the availability of
labour, this may be a constraint.
e. Increased Accident Rates May Occur
Enlarged and enriched jobs may contribute a higher accident rate. This indirectly
increases wages, insurance costs and workmen compensation.
f. Current technology may not lend itself to job enlargement and enrichment
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These six points provide the constraints on job enlargement and job enrichment. The practices
increase costs. Therefore, for the firm to have competitive advantages, its savings must be
greater than its costs. It is not always obvious that such is the case. There is no guarantee that
productivity or quality will improve with the situation of job enrichment or job enlargement. The
strategic decision is not an easy one.
Psychological Components of Job Design
Effective human resources strategies also require consideration of the psychological components
of job. Psychological components of job design focus on how to improve the quality of work life,
job satisfaction, and motivation by designing job that meet some minimum psychological
requirements. Some of these psychological parameters of good job design can be identified as
follows:
i.
Hawthrone Studies: The publication of the Hawthrone finding in 1939 demonstrated
conclusive that there is a dynamic social system at the workplace. Ironically, these
studies were initiated to determine the impact of lighting on productivity. Instead they
found the social system and distinct role played by employees to be more important
than the intensity of the lighting. They also found that individual differences may be
dominant in what an employee expects from the job and what the employee thinks his
contribution to the job should be. The Hawthrone studies introduced p psychology to
the workplace.
ii.
Maslow’s Hierarchy of Needs: Maslow’s need theory (fig. 2) suggests that welldesigned jobs should allow employees to address physiological and psychological
needs. Furthe4r, Maslow’s need theory suggests that once employees have satisfied
lower-level needs, they seek to satisfy those needs at the next higher level. Ideally
then, job should contain ingredients that allow people to satisfy needs at all levels.
Job design has the potential of providing both satisfaction and motivation as the
employee seeks to satisfy higher level needs.
iii.
Herzberg’s Two-Factor Theory (or Motivation/Hygiene Factors): Frederick
Herzberg’s, in his dual-factor theory, suggests that job can contain hygiene elements
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(there are dissatisfactions if not fulfilled) and motivation (there cam motivate people
about their job.) the dual-factor theory is shown in fig. 3
If we make assumption that virtually any job in the Western world can and should
provide for Maslow’s lower needs and Herxberg’s higher level and elements, then good
job design will also include Maslow’s higher level and Herzberg’s motivators. Engelstead
(1979) these psychological components of job design when he offers the following six
guidelines:
1. The need for the content of a job to be reasonably demanding for the individual in
terms other than sheer endurance and yet provide some variety (not necessarily
novelty)
2. The need for an opportunity to learn on the job and to go on learning
3. The need for some minimal area of decision making that the individual can call
his own
4. The need for some minimal degree of social support and recognitioin at the
workplace
5. The need to be able to relate what individuals do and when thsy produce to their
social life
6. The need to feel that the job leads to some sort of desirable future
The idea is to use the psychological components of job design not only to improve the quality of
work life and job satisfaction but also to motivate employees. Employees should be as
committed as management to meeting organizational objectives. World-class firms build
environment that motivate employees to contribute, and motivation often, include employee
involvement. Employee involvement includes participation fostered by supervisory action,
teams, committees, and job design.
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Figure 2 Maslow’s Hierarchy of Needs
Self
Actualization
Self-fulfillment
Ego
Self-respect
Social
Group interaction Job status
Safety, physical safety, job security
Physiological, Food shelter
Figure 3 Herzberg’s Two-Factor
Job Satisfiers
1. Challenging work
Self-actualization
2. Achievements
Ego
3. Growth in the job
4. Responsibility
5. Advancement
6. Recognition
Job Dissatisfies
1. interpersonal relations
Social
2. Quality of supervision
Safety
3.
Company
policies
Admin;
4. Working conditions
5. job Security
6. Salary
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and Physiological
Ergonomics and Work Methods
Taylor and his contemporaries examined the role of management and employees in the
workplace and were concerned with:
1.
Matching employees to the task (individual differences)
2.
Work methods (improving task performance)
3.
Work standards (so both employees and employer would know what was to be
done and what constituted a fixed day’s work)
With the foundation provided by Taylor and his contemporaries, we have developed a body of
knowledge about people’s capabilities and limitations.
The operations manager is interested in building a good interface between human and machine.
Studies of this interface are known as ergonomics in America, the term human factors are often
substituted for the word ergonomics.
Edwin (1976) contends that because male and female adults come in limited configuration, the
design of the workplace must depend on biomechanics and anthropometrics data. Biochemist
and anthropometrics data provide the basic strength and measurement data needed to design
tools and workplace.
The Work Environment
The physical environment in which employees work affects their performance. Safety and
quality of work life illumination, noise and vibration, temperature, humidity and quality are work
environment factors under the control of the organization and the operations manager. Tile
manager must approach them as controllable.
Illumination is necessary, but the proper level depends upon the work being performed.
However, other factors include reflective ability, content of the work surface with surroundings,
glare and shadows.
Noise of some form is usually present in work area, and many employees seem to adjust well.
However, high levels of sound will impair hearing. Therefore, most managers make substantial
effort to reduce noise and vibration through good machine design.
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Temperature and humidity parameters have been well established. Managers with activities
outside the established comfort zone should expect some adverse effective on performance.
Motivation and Incentive
The Maslow’s need structure and Herzberg’s dual factor theory provide insights into the
psychological factors that may contribute to job satisfaction and motivation. In addition to these
psychological factors, there are monetary factors. Money often serves as a psychological as well
as financial motivator. Monetary rewards take the form of bonuses, gain sharing and incentive
systems.
Bonuses, typically in cash or stock options, are often used at executive levels to reward
management. Gain sharing technique rewards employees for improvement made in an
organization’s performance. The most popular of these is the Scanlon plan, where any reduction
in the cost of labour is shared between management and labour. These systems are often based
on the employee or crew achieving production above a predetermined standard. The standard can
be based on a standard time per task or number of pieces made, standard time systems are
sometimes called measured day-work, where employees are paid based on the amount of
standard time accomplished. A piece rare system assigns a standard time for each piece, and the
employee is paid based on the number of pieces made. Both systems typically guarantee the
employee at least a base rate for the shift.
Labour Standards
Labour plans require knowledge of the human resource required. Therefore, labour standards are
established. Labour standard are the amount of time required to perform a job or part of a job.
Every firm has labour standards, although they may vary from those established via informal
methods to those established by professionals. Only when accurate labour standards exist can
management know what its labour requirements are, what its costs should be and what
constitutes a fair day’s work.
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Conclusion
How well a firm manages its resources strategy ultimately determines its success. The
production/operations management activity has a large role to play in achieving human resources
objectives. The first objective is to achieve efficient use of human resources within the
operations function; this is often a major goal of a firm because operations is usually the function
with the highest labour cost, and labour is often the large part of the total cost of the product. The
second objective is the design of jobs that are effective, safe and provide a reasonable quality of
work life for the employee in an atmosphere of mutual respect.
Further, the fundamental function in production and operations management is organizing work.
This required the manager to design jobs, establish job standards, and perform work
measurement. In practice, methods analysis (job design) is followed by work measurement
(establishing the job standard through measurement).
The traditional engineering approaches to job design have emphasized the use of operational
charts, activity charts, flow process charts and principles of motion economy. Considerations
must also be given to worker psychology and environmental conditions as these affect job
design. Such behavioral concepts as job rotation, enlargement and enrichment and redesign of
job characteristics can enhance productivity and satisfaction. If managers use both traditional
modeling and contemporary behavioral concepts in designing jobs, the result may be more
effective and efficient.
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