Employee Relations - Productivity & Quality Management

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    Chapter 11

    Productivity &Quality Management

    2/13/2012 Prof. Rushen Chahal

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    Productivity Increase

    More output

    __________ OR

    Same input

    Same output

    __________

    Less input

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    Total Factor Productivity

    Output

    ___________________

    w1 labour + w2 capital

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    Productivity Management

    Process

    A) Create awareness B) Know techniques

    C)Measure performance

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    A) CreateAwareness

    Company level

    -part of corporate culture &management philosophy

    - Reinforced by reminders - In-company competition

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    B) Know Techniques People-related

    -better relations betweenmanagement and workers

    Technology-related

    - automation - new production methods

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    C) Measure Performance Set up measurement system

    - collect data before & afterimplementation

    If improvement does not meet

    target: - find causes and take corrective

    action2/13/2012 Prof. Rushen Chahal

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    Factors Inhibiting

    Productivity Growth

    A)Low productivity ofSMEs B)Lack of participation by top

    management

    C) Uncertain about benefit

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    A) Low Productivity of SMEs

    Outmoded equipment

    Inefficient management

    Lack technical know-how

    Low skill

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    B) Lack Participation by Top

    Management

    Top managers not active

    Middle managers notcommitted

    Fail to get participation fromworkers

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    C) Uncertain AboutBenefit

    Workers not sure about benefits

    of higher productivity Some fear higher productivity

    may lead to retrenchment

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    Strategy for

    Productivity Movement

    Continuous publicity

    Integrated approach: national &company levels

    Raise management productivity Raise SME productivity

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    Productivity Campaign

    1982-2000

    A)Awareness (1981 - 85)

    B)Action (1986 - 88)

    C) Ownership (1989 - 00)

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    A)Awareness 19811985 1982 Togetherwe work better

    1983 Come on Singapore:

    - Togetherwe work better

    1984 Come on Singapore

    -Lets do a little bit more 1985 Come on Singapore

    -Lets all be the bestwe can

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    B)Action 19861988 1986 Nows the time:

    - We must be the bestwe can

    1987 Be the best that we can be:

    - Could you sign yourwork

    with pride? 1988 Train up

    - Be the best you can be

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    National Quality Strategy

    Objectives

    A) Position Singapore as location

    for high value-added investment B) Develop local enterprises to

    world-class standards

    C) Gain access to international

    markets

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    A) Singapore as location for

    high value-added investment

    Reputation for high quality

    Awareness of importance ofquality

    Manpower skills in quality

    In line with international standards

    National recognition for quality

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    B) Develop capabilities of

    local enterprises to worldstandards

    Attain ISO standards Enhance R&D to support quality

    International standards ingovernment contracts

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    C)Access International Markets Know international standardisation

    Incorporate quality issues into tradepolicy and negotiation

    Secure overseas recognition ofSingapore quality

    Disseminate information on foreignquality and laws

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    SQA: 7 Criteria Leadership & quality culture

    Use of information & analysis

    Strategic planning

    HR development & management

    Management of process quality Quality & operational results

    Customer focus & satisfaction

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    SPRING (Standards, Productivity&

    Innovation Board

    4 Strategic thrusts

    Pro-business environment

    Industry development

    Enterprise capabilities

    Market access and opportunities

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    (ProAct 21): 3 Outcomes People for jobs, jobs for people

    Business for the future, a futurefor business

    Innovation in place, a place forinnovation

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    ProAct 21: 7 Ps Purpose

    People

    Products &

    Processes

    Practices

    Partnership

    Platform

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    8 Strategies

    Mental revolution, paradigmshift

    Learn, unlearn & relearn Revitalise business, use new

    technology

    Manage for business excellence

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    8 Strategies (cont) Team and twin

    Catalyse higher performance

    Standards for competitiveness

    Harness knowledge, createadvantage

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    NTUC: IMPACT

    Objectives

    Integrated Management of

    Productivity Activities: - Enhance employability of

    workers

    - Better job and higher pay forworkers

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