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    Human Resource Development and

    the Management of Change

    EMBA 642

    Management of ChangeThornhill et al Chapter 6

    - Robin Snell

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    Coverage - 1st half of Chapter 6 (pp. 154-170)

    A. Exemplary case: Human ResourceDevelopment (HRD) at Xerox DocumentCompany, UK.

    B. HRD as a vital but neglected lever of

    organisational change.C. The contribution of HRD to business

    strategy implementation and formulation

    D. The contribution of HRD to workrestructuring and job design

    E. The contribution of HRD to changes in other

    human resource management functions

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    Main Points of first half ofChapter 6

    HRD is at the heart of managing change,because any change process requirespeople to act +/or think differently

    Many companies mistakenly neglect theimportance of HRD as a vehicle ofstrategic change .

    HRD can contribute to all levels ofstrategic change

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    Coverage - 2nd half of Chapter 6 (pp. 170-184)

    Three visionary means of achievingeffective, continuous change management(F, G & H).

    F. Manager Development - the developmentof managers as developers of othersG. The Learning Organisation - is it a

    realistic strategic vision?

    H. The Strategic Human ResourceManagement Learning Cycle as a means ofsupporting organisational learning

    I. Are these visions feasible?

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    Aims of part two of Chapter 6

    To raise three CRITICAL QUESTIONSregarding the three visionary means1. Manager Development - what would

    motivate managers to see themselves asdevelopers of others?

    2. The Learning Organisation - what wouldmake this compatible with the way people,

    cultures and organisations operate?3. The Strategic HRM Learning Cycle - what

    would relax senior managers

    defensiveness, and allow this to happen?

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    A1. HRD at Xerox DocumentCompany (1)

    A UK subsidiary of Xerox Corporation, employing2300 staff.

    The company business strategy is to gain

    competitive advantage through customersatisfaction (supported by company-wideprogrammes). Teamworking supports this.

    Four programmes have built the company

    commitment to teamworking: Team Xerox Self Managed Work Groups Employee Motivation & Satisfaction survey

    X Team Initiative

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    A2. HRD at Xerox DocumentCompany (2)

    Decisions have been progressively devolvedto the level of the team

    The X teams programme is designed toenable the teams: to take more responsibility for day to day

    running of their work area

    to manage their own performance to manage continuous improvement

    Teams volunteer to try to become X teams

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    A3. HRD at Xerox DocumentCompany (3)

    Volunteering teams must find a sponsor (oftentheir line manager). 36 teams have registered.

    They must conduct a self-assessment against 4

    sets of criteria: customer assurance

    process management

    team motivation & satisfaction

    empowerment

    They must get the sponsor to approve their self-ratings, which are them validated by an assessor

    10 teams have had their ratings validated.

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    A4. HRD at Xerox DocumentCompany (4)

    Only if a team has received a validatedrating does it qualify as an X team.

    Ratings are on a 1-7 scale (7= world class)

    So far one team has got a 5 rating, sixteam have got a 4 rating.

    Teams must decide how to improve theirperformance (e.g. through re-engineering,skill development, etc) and then re-assessthemselves.

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    A5. HRD at Xerox DocumentCompany (5)

    The sponsors role is to: help with the self-assessment

    provide clear direction, goals, performance measures

    engage in coaching, facilitating & counselling

    The X team programme builds on the company'slong-established values, but has had a big impacton the knowledge, skills & attitudes (KSAs) of the

    workforce, because of: job redesign (job enrichment)

    emphasis on the interpersonal skills of managers

    empowerment

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    A6. HRD at Xerox Document

    Company (6) : multi-skilling approach

    Skill A Skill B Skill C Skill D Skill E Skill F

    Staff 1

    Staff 2

    Staff 3

    Staff 4

    Staff 5

    Staff 6

    Each X Team has a Learning Matrix for all its members

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    A7. HRD at Xerox DocumentCompany (7)

    The teambuilding programme has been supportedby many HRD initiatives. Team building days

    Each team audits the skill development of members,using the Learning Matrix.

    The HRD department has adopted a Skills Partnershipmission, with an office layout more like a retail shop.There is a full time team facilitator

    Training needs identified from the bottom up

    Training needs met through a mixture of formaltraining programmes and planned self-developmentand planned on-job developmental experiences

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    A8. HRD at Xerox DocumentCompany (8)

    A concerted effort to identify performancediscrepancies and Training needs through the X team itself

    the sponsor annual performance review, which has a set of

    competency dimensions

    leadership attributes (e.g.)

    decision making quick study

    Cultural dimensions (e.g.) open & honest communication

    organisation reflection & learning

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    A9. HRD at Xerox DocumentCompany (9)

    Training for Sponsors of an X Team:

    a detailed support pack gives guidance ofresponsibilities and self-assessment

    Own needs are identified by consultationwith the team facilitators and with the XTeam

    Needs met through mentors, shadowing,formal courses, etc., as appropriate.

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    B1. HRD Defined

    HRD is the set of processes that aredirected towards equipping employeeswith the KSAs that are necessary to

    achieve corporate objectives. Needs can be met by a mixture of top-down

    initiatives and self-development

    HRD and recruitment & selection are notcompeting alternatives They go hand in hand

    Choose and train the best

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    B2. HRD is the Linchpin of HRM

    If training and development is not a highpriority, if it is not seen as vital to theimplementation of business strategy, then

    the company is unlikely to have anycommitment at all to human resourcemanagement. (see diagram on p. 161)

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    B3. HRD is often Neglected !

    Consider whether Hong Kong has similarproblems to the UK: historical under-investment in HRD both by

    government and by companies themselves government-led vocational training is present-

    oriented rather than future-oriented

    business strategists at Board of Director level think only of short-term finance and accountinglogic

    lack understanding of or concern for HRD

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    B4. The Relevance of HRD tothe Management of Change

    HRD is a key component of wider HRMstrategies designed to: create new working practices

    build motivation and commitment

    build a flexible, empowered workforce

    Neglect of HRD leads to: decline in a companys ability to innovate

    decline in a companys ability to respond tochange

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    C1. Contributions of HRD to BusinessStrategy Implementation & Formulation (1)

    This is called first-order strategic integration

    Strategic HRD (SHRD) involves alligning HRDactivities with the company's vision, mission,

    and strategic goals, so that enhancing the KSAsof employees at all levels grows both theindividual and the organisation.

    SHRD can ensure that employees possess thenecessary KSAs to manage new demands arisingfrom changes in the competitive environment

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    C2. Contributions of HRD to BusinessStrategy Implementation & Formulation (2)

    How SHRD can help implement businessstrategy:

    1. Identifying what do our people need to be

    good at? (and then helping to provide theseKSAs)2. Fostering a learning climate that prepares

    people to cope with uncertainty and mindset-shift

    (PTO)

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    C2. Contributions of HRD to BusinessStrategy Implementation & Formulation (3)

    How SHRD can help implement businessstrategy:

    3. Through running training programmes (e.g.

    superior quality service) to support awider change programme

    4. Supporting the development of change

    agents and transformational leaders (PTO)

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    C3. Contributions of HRD to BusinessStrategy Implementation & Formulation (4)

    How SHRD can help implement businessstrategy:

    5. By adjusting training to the companys

    business life-cycle induction & career development when co. isgrowing

    outplacement & job enlargement training

    when the company is downsizing6. By remedying top managers KSA

    discrepancies: leadership, vision,communication, team building, etc

    (PTO)

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    C3. Contributions of HRD to BusinessStrategy Implementation & Formulation (5)

    How SHRD can help implement businessstrategy:

    7. By forewarning top management of

    likely KSA discrepancies that wouldblock an envisaged business strategy(e.g. shift to emphasise quality) and by

    meeting these needs in advance8. Enabling employees to become moreinnovative and drive business strategy fromthe bottom-up

    D1 C t ib ti s f HRD t W k

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    D1. Contributions of HRD to WorkRestructuring and Job Design (1)

    How SHRD can help with second-order strategicintegration

    Enables the implementation of cost reductionstrategies by helping remaining employees learn to

    do more with less Enables rapid adjustment to changes in market

    conditions, and the implementation of customerresponsiveness strategies, requiring multi-skilling,

    lean production, autonomous working groups,empowerment, delayering, matrix structures,project based teams, etc etc.

    employees will need to be prepared for and helped

    to adjust to job enrichment and teamworking

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    D2. Contributions of HRD to WorkRestructuring and Job Design (2)

    All this restructuring and job redesign, entailingjob enlargement and job enrichment, will giverise to training & development needs:

    Technically-oriented KSAs, (quality, inventorymanagement, maintenance, etc.)

    Conceptually-oriented KSA (problem-solving,risk assessment).

    Behavioural KSAs for teamworking and managingothers: leadership, giving & receiving feedback,appraisal etc.

    See egs on the table on p. 168 of Thornhill et al

    E The Contribution of HRD to Changes in

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    E. The Contribution of HRD to Changes inOther Human Resource Management

    Functions

    This is called third-order strategic integration

    HRD is nearly always a necessary vehicle forenabling changes in other HRM functions.

    e.g. training performance appraisers and appraisesin the use of a new appraisal system

    e.g. career management and HRD go hand in hand

    e.g. HRD is an integral component of skill basedreward management systems

    e.g. HRD is one key ingredient in a corporateculture change programme, and a major training

    programme is often a key symbol of such change

    C f 1 h lf f Ch 6 ( 154

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    Coverage of 1st half of Chapter 6 (pp. 154-170): HRD and the Management of Change

    Exemplary case: Human ResourceDevelopment (HRD) at Xerox DocumentCompany, UK.

    HRD as a vital but neglected lever oforganisational change.

    The contribution of HRD to business strategyimplementation and formulation

    The contribution of HRD to workrestructuring and job design

    The contribution of HRD to changes in otherhuman resource management functions

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    Task: Answer the First 3 Questionsin the Dales Pickles & Preserve Case

    The case is on pp. 180-184 of theThornhill et al textbook

    The questions are on p. 184

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    We Now Cover the 2nd half of Chapter 6 (pp.170-184): HRD & the Mgt of Change (2)

    The THEME IS: The role of managers inchange management

    The development of managers (manager

    development The learning organisation: is it a realistic

    strategic vision?

    The role of strategic Human ResourceManagement in supporting organisationallearning

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    F1a. The role of ManagerDevelopment in Org. Change

    Manager development refersto the learning and growth

    of managers based on ananalysis of their learningneeds.

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    F1b. The role of ManagerDevelopment in Org. Change

    Manager development is animportant factor in organisationalchange, because

    The quality of an organisationsmanagers has a big impact onorganisational performance

    Managers have a key role indeveloping their own staff (and forthat, they themselves must undergodevelopment)

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    F2. Two Key Development Needsof Managers

    1. Managing ongoing organisational change

    2. Competence as a developer of staff:

    acceptance of the developmental manager role ability to listen to & empathise with subordinates

    counselling skills

    staff appraisal skills

    coaching and mentoring skills

    facilitating experience sharing among staff

    being a positive role model of learning and growth

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    F3. Blockages to theDevelopmental Manager Role

    But managers may not see staffdevelopment as part of their role,possibly because of: preoccupation instead with short-

    term profits

    lack of collaboration with HR

    specialists lack of motivation, possibly because

    of lack of incentives

    their own lack of necessary education

    F4a Possible Catalysts for

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    F4a. Possible Catalysts forDeveloping the Developmental

    Manager Role -1 Managers may have no alternative butto take on this role, as organisations

    must change to keep up with changingmarket conditions Organisations are required, under

    pressure, to innovate and take risks Managers are often required by

    culture change programmes to take ona developmental role.

    F4b Possible Catalysts for

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    F4b. Possible Catalysts forDeveloping the Developmental

    Manager Role -2 Managers who have undergone

    development themselves may be inspired

    one to adopt a developmental role Closer partnership between HRD

    specialists and line managers (less

    training based, more learning oriented) It seems to be an emerging trend, atleast in the West

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    G1. The Learning Organisation

    A learning organisation facilitatesthe learning of all its members whilecontinually transforming itself

    It must constantly adapt to achanging environment

    A very seductive idea

    Has been heralded as the only meansto sustained competitive advantage

    G2 S f t f th

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    G2a Some features of theLearning Organisation - 1

    The LO derives behaviouralimplications from both successesand failures

    Learning is valued as a necessaryongoing process

    Learning to learn is seen asimportant

    Learning from outside and outside,at all levels of the organisation.

    G2b S f t f th

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    G2b Some features of theLearning Organisation - 2

    Learning from outside andoutside, across specialistboundaries

    Learning is continuous, ongoing

    Unlearning, and knowledge

    management Learning is a means to enable

    organisational transformation

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    G3a. The Learning Organisation

    and Double-Loop Learning Some theorists argue thatlearning organisations are able

    to engage in double-loop learningon a collective basis.

    So lets look at the concept of

    double-loop learning...

    G3b Si l L d D bl

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    G3b. Single Loop and Double-Loop Learning (1)

    Single-loop learning = detecting errors inorganisational processes (e.g. studentsfalling asleep in lectures) and correcting

    them (waking them up) Double-loop learning = building new

    conceptions of what organisational

    processes should be (e.g. co-operativelearning) by challenging existing values,procedures, knowledge and cultural values

    (e.g. constructive controversy).

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    G3c. Single Loop and Double-Loop Learning (2)

    ACTIONS OUTCOMES

    EVALUATE

    OUTCOMES

    RETHINK

    ACTIONS

    Single Loop

    GOALS

    Rethink assumptionsBehind the goals

    Double Loop

    G4 N C diti f th

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    G4. Necessary Conditions for theLearning Organisation

    Employees who are committed to managing their own continuous

    development

    who are capable of managing this

    Mechanisms that support mutual learning

    that capture and share learning

    A culture that supports experimentation & risk taking

    independent thinking, constructive conflict, pluralism

    authority based on expertise rather than position

    G5 Barriers to the learning

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    G5. Barriers to the learningOrganisation

    Bureaucracy Command & control mentality

    Monolithic authority (not pluralistic)

    The blame culture

    The genuine difficulty and stress of living

    and working gladly through transformations single-loop learning is easier to handle perhaps we humans can only handle a mild

    version of the learning organisation!

    H1 O i i l L i Th h

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    H1. Organisational Learning Througha Strategic HRM Learning Cycle

    Aim of Strategic HRM Learning Cycle: to develop an organisation that is capable of

    implementing strategy and learning byinstitutionalising an organisational learningprocess

    4 key groups at Unit level: senior management team (SMT)

    employee task force (best employees) (ETF) process consultants (profilers) teams led by general managers (GM), reporting to

    SMT

    H2 The Functions of the

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    H2. The Functions of theSHRM Learning Cycle

    The SHRM cycle identifies the managementpractices and capabilities/incapabilities

    from top to bottom of the org., that arehelping or hindering the achievement ofbusiness strategy goals

    It assesses the impact of these internalstrengths and weaknesses on businessstakeholders and on staff co-ordination,commitment and competences

    It identifies HR-related remedies

    H3 I O d t W k th

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    H3. In Order to Work,theSHRM Learning Cycle Requires...

    Deep examination of the organisationsmanagement philosophy, values and

    practice Selecting and developing managers who

    possess the competencies to manage

    change and promote a learning culture

    H4 SHRMSMT t b i

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    H4. SHRMlearning cycle

    Profilers Brief the SMT SMT sets up ETF

    Deeper diagnosis, e.gassessment of impact of badmgt on business prospects

    Vision of org, redesignfor better strategyimplementation

    Data collection by ETFand profilers about co.sgood & bad mgt practices

    Data fed back to SMTwith GM teams observing

    Implementation planning

    Review of implementationplans by GM and ETF, GMsfeed back to their SMT boss

    SMT sets businessstrategy

    Follow-up, monitoring by profilers

    ETF = employee task force

    H5 T i l M t & HR P bl

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    H5. Typical Management & HR ProblemsIdentified through the SHRM cycle

    Poor teamwork in the top managementteam

    Poor communication upwards & downwards

    Unclear or conflicting strategic priorities

    Inappropriate management style

    Poor co-ordination betweenfunctions/divisions

    Deficient career development

    Lack of management competence

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    H6. Positive Outcomes of theSHRM Learning Cycle Process

    (one case study)

    Managers accepted the diagnosis (evenwhen there were implied criticisms oftheir own behaviour/output)

    SMT were committed to SHRM

    Better co-ordination between thefunctions

    Better performance of the SMT

    H7 Disappointments When Trying to

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    H7. Disappointments When Trying toConduct the SHRM Learning Cycle

    When SHRM learning cycle was tried among variousunits in one case study company, researchers found:

    Failure to involve the ETC (employee task force) inthe process

    Failure to repeat the cycle after the first timeround it.

    Less commitment to the cycle at lower levels

    Lack of upward appraisal

    Little done about promotion criteria

    Little interest shown in job satisfaction

    Key managerial deficiencies were not addressed

    H8a Why the Barriers to the SHRM

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    H8a. Why the Barriers to the SHRMlearning cycle remain (1)

    Senior mgt are uncomfortablediscussing difficult issues (e.g.their own deficiencies) with

    subordinates. They may not want open, fact based

    conversation. They may not know how to receive

    feedback without loss of self esteem They may not know how to admit toweaknesses without feelingincompetent

    H8b Why the Barriers to the SHRM

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    H8b. Why the Barriers to the SHRMlearning cycle remain (2)

    Senior mgt may want to preserve managerialprerogatives and hierarchical designs they may not really want employee involvement

    They may want to preserve existing relationships,careers, self-esteem

    They may see the SHRM learning cycle as time-consuming

    If senior mgt. dont listen, employees becomecynical, learn to stay silent next time around!

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    I1. Are these Visions Possible?

    Are the blockagesjust the limitations

    of company culturethat eventually canbe removed or arethey human naturetype limitations?

    I2 W C b k t th th CRITICAL

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    I2. We Come back to the three CRITICALQUESTIONS regarding the three visionary

    means1. Manager Development - what would

    motivate managers to see themselves asdevelopers of others?

    2. The Learning Organisation - what wouldmake this compatible with the way people,cultures and organisations operate?

    3. The Strategic HRM Cycle - what wouldrelax senior managers defensiveness, andallow this to happen?

    Task: Answer the 4th Question in

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    Task: Answer the 4th Question inthe Dales Pickles & Preserve Case

    The case is on pp. 180-184 of thetextbook

    The question is the last one on p. 184