high performing culture in HR

10. High Performance Human Resource (HP-HR) Practices: 20 years of experience NUMMI: New United Motor Manufacturing, Inc. GM plant built in Fremont CA, 1962 High absenteeism Poor quality Closed in 1982

11. High Performance Human Resource (HP-HR) Practices: 20 years of experience NUMMI: New United Motor Manufacturing, Inc. Reopened in 1983: joint Toyota-GM venture 85% of former workers HP-HR practices (teams, training, job flexibility, decentralized decision-making, …) Considered one of the most productive automobile plants in the U.S. (my Toyota) Is it HP-HR, new production methods, new management, shock of plant closing, ….?

14. Batt, Rosemary, Alexander J. S. Colvin and Jeffrey Keefe. “Employee Voice, Human Resource Practices, and Quit Rates: Evidence from the Telecommunications Industry.” Industrial and Labor Relations Review 55 (July 2002): 573-594. Grievance mechanism (good sign) vs. Grievance use (bad sign) Endogenous? Alternative HR practices: Reengineering vs. HP-HR

15. Batt, Rosemary, Alexander J. S. Colvin and Jeffrey Keefe. “Employee Voice, Human Resource Practices, and Quit Rates: Evidence from the Telecommunications Industry.” Industrial and Labor Relations Review 55 (July 2002): 573-594. VOICE: presence HP-HR Reengineering QUITS - - + VOICE: rate +

17. Verma, Anil and Tony Fang. “Workplace Innovation and Union Status: Synergy or Strife?” IRRA 55th Annual Proceedings . (2003):189-198. Table 2: HP-HR raises pace of both product and process innovations Unions do not alter pace of innovations

18. Rubinstein, Saul A. “The Impact of Co-Management on Quality Performance: The Case of the Saturn Corporation.” Industrial and Labor Relations Review 53 (January 2000): 197-218. Do unions enhance or limit HP-HR implementation? Because unions foster communication among workers, they may foster implementation of HP-HR programs

19. Rubinstein, Saul A. “The Impact of Co-Management on Quality Performance: The Case of the Saturn Corporation.” Industrial and Labor Relations Review 53 (January 2000): 197-218. Union Leadership Union Membership Off-line On-line Labor Management Committees (Decision Rings) Problem Solving Teams (Problem Resolution Circles) Partnering: (Operating and Middle Management) Self-Directed Work Teams

25. Rubinstein, Saul A. “The Impact of Co-Management on Quality Performance: The Case of the Saturn Corporation.” Industrial and Labor Relations Review 53 (January 2000): 197-218. Hypotheses 2-4 Table 4: Note small sample size! Balance is ratio of time spent managing production vs people. Measure reflects closeness to 0.5? Alignment, union communications are tied to improved quality, less so to initial quality level

26. Kleiner, Morris M., Jonathan S Leonard, and Adam M. Pilarski. “How Industrial Relations Affects Plant Performance: The Case of Commercial Aircraft Manufacturing.” Industrial and Labor Relations Review 55 (January 2002): 195-218. In defense of traditional HR…. Large airplane manufacturer Long-time traditional (adversarial and sometimes militant) relationship between union and firm Monthly data 1974-1991 follow the producton of a new line of commercial aircraft, redesigned in 1980 Inverse productivity measure: Actual relative to planned hours per plane

27. Kleiner, Morris M., Jonathan S Leonard, and Adam M. Pilarski. “How Industrial Relations Affects Plant Performance: The Case of Commercial Aircraft Manufacturing.” Industrial and Labor Relations Review 55 (January 2002): 195-218. Over the period (Figure 1) 3 strikes Work-to-rule slow down 6 union presidents 1-3 moderate 4 most militant, drives union into receivership 5 promised to work closely with management 6 promised to end Total Quality Management (TQM) 4 CEOs 1: traditional adversarial relationship with labor 2: Quality circles 3: TQM 4: Return to tight management, ended TQM