A Guide to Change - Knowledge Resources
A Guide to Change
Approaches to Workplace Innovation: Self Managed Teams
- Introduction
- Approaches to Workplace Innovation: Workplace Partnership
- Approaches to Workplace Innovation: Cross-functional business units
- Approaches to Workplace Innovation: Self Managed Teams
- The benefits of change for you and your company
- Understanding the pressures for change
What are self-managed teams?
The key elements in defining an organisation with a team approach are employees:- are multi-skilled and working on a common task
- have high levels of discretion for managing their day-to-day work
- allocate tasks between themselves
- plan and pace work according to the outlined requirements of the business
- recruit and train new team members
- actively seek improvements to the process
Although interest in self-managed teams appears to be of quite recent origin, it in fact has deep roots in European thinking on organisation and management, with developments arising ultimately out of the 'socio-technical' theories of the 1940s and 1950s.
Why should team principles be adopted by your organisation?
Explanations for the development of teamworking are ascribed to both the economic / political environment and internal pressures of organisations- Whilst the technology market continues to progress and influence work organisation, consumers are becoming more discerning about quality, variety and speed of delivery and the labour market is demanding improved working conditions.
- Likewise the saturation of existing markets has resulted in a changing market base, further influenced by the globalisation of the economy, opening up new markets to consumers and putting pressure on organisations to become more flexible and quality conscious in order to compete with imports.
- Within the organisation, structures and cultures are also changing to foster direct and open communication with clients, better internal communication and greater empowerment for employees through cross-functional working, working in teams and agreement with employees about quality and productivity. This internal change enables employees to utilise their innovative capacity and unfold their creativity to help the organisation to meet the new requirements, whilst at the same time satisfying their own needs for good and inspiring working conditions.
- Organisations with the flexibility and quality necessary for competitive success
- Individuals with a humane and fulfilling way of working
- Both individuals and organisations the capacity for long-term innovation and growth
What are the key considerations for adopting a team approach?
In order to capture the potential benefits of teamwroking it is clear that a full understanding is required both of the idea itself and its implications for the way in which organisations are managed. The key considerations are:
- Understand the environment
Organisations are operating in environments in which competition is global, growing in intensity and based on innovation and flexibility rather than cost. Technological change is accelerating and organisations are reliant on the effective management of people. - Understand the obstacles to change
A change of the magnitude implied by the creation of a team-based organisation cannot easily be effected. The possible obstacles to change need to be understood and addressed:- the management style of the organisation
- impediments in the organisational structure
- the uncertainty surrounding change
- resistance from those with vested interests in existing ways of working
- Change the organisation structure
Teamworking can not operate effectively in hierarchical and functionally specialised organisation structures. A number of elements of organisation redesign will have to be undertaken:- a reduction in hierarchy: certain hierarchical layers may no longer be necessary
- a reorganisation of the basis of production: teamworking may be effective only if teams operate on the basis of customers or products rather than functions
- reconstitute support systems: the responsibilities of those functions will be absorbed into teams or established on a more flexible basis
- Develop new roles and responsibilities
Within the new organisation structure, teamworking implies new roles and responsibilities for employees:- jobs based on team membership, multi-skilling and a product focus
- additional responsibilities in areas traditionally the domain of managers or supervisors
- the development of a team leader role which is one of 'coach' rather than 'policeman'
- Reform organisation systems and procedures
Even with the right organisation structure, teamworking will not be effective unless systems and procedures are developed which are consistent with it. The most important are:- payment and appraisal: these must encourage the development of a team-based outlook
- training and development: functional task-based training must give way to more general concerns with personal development and competences
- industrial relations: trade unions can provide positive support for teamworking but in order to facilitate that a co-operative industrial relations needs to be developed
- Develop a new culture and management style
The least tangible but perhaps the most important and difficult change to achieve is in culture and management style. This will involve:- the development of a culture based on learning and innovation
- the development of a high-trust management style
- the development of a new manager profile
Challenges and Responses
Many of the challenges enterprises experience arise from the process of building teams. Workloads increase, and there is a significant learning requirement on teams as they develop skills that enable them to work together and to collaborate and co-ordinate across highly inter-dependent work environments. Some of the main challenges and company responses include:
Developing Teams and Multi-skilling- Company 'D'
Changing from supervision by control to a greater reliance on self-control was initially a problem. Team members had to be taught communication skills and techniques. - Company 'D'
Thinking and working as a team were difficult at the start. People complained that they were doing more than the next person was. The factory manager believed only time would solve this problem.
- Finco
A number of people in Finco expressed concern about increased workloads, as layers of administration and supervision were stripped away. A pace of work that is too frantic was identified as an obstacle to change in the company, Fini. The issue of overwork and stress was highlighted in both theses companies, but no solution was suggested. - Westland Utrecht
Long term employees with particular specialisms found it particularly difficult to cope with the increased volume of work. associated with multi-skilling. The result was increased stress and ineffectiveness. The company re-examined and redistributed responsibilities to rebalance the workload.
- Company 'D'
Company 'L'
Reconciling training requirements with tight production schedules that demand over-time was a problem in these enterprises. Business pressures affected the amount of time that was available for training and team briefings. No responses or solutions are suggested.
- Raleigh Industries Ltd
Using large numbers of temporary staff generated tensions in working relationships within Raleigh, particularly when long-serving temporary staff were laid off. This was unsettling for the permanent workforce. The company recognised the problem but felt that it has a responsibility to manage the business in the best interests of the majority..Section Two: Changing to Compete Integrating Quality
Examples of teamworking
- LEGAL AND GENERAL
This case focuses on Legal & General's experience implementing self-managed teams. A highly consultative approach was taken to implementing organisational change, based on a national contract, which incorporates reciprocal pledges between the management and staff. Consultation with the trade union was carried out at each stage of the change process. Staff were extensively briefed and 'organisational sensing' was conducted to sound out staff opinions at critical stages of the transition process. This checked change progress and its effects on staff.
Self-managed teams were introduced in two separate areas: one in a call centre, and the other in the Personal Financial Review section. There were differences in the development of self-management between the two teams. Empowerment, flexibility and access to training was more developed in the Personal Financial Review section. The teams in the Call Centre felt inhibited by a computerised shift system, which was perceived as inflexible and controlling. The technology limited the self-managing dimension of work of the Call Centre teams. - LEGAL AND GENERAL
Teams have more collective devolved responsibility for running their normal operation than was previously common. Team coaches support the teams by helping team members to improve their skills and performance.
The coach's objectives are to create an environment that will encourage effective teamworking, to maintain a culture of honest and open feedback, to encourage teams to take responsibility for their own development and to work with other coaches and managers to build shared experience. Line management remain responsible for the overall performance and for all the normal management tasks, such as recruitment, disciplinary issues, dismissal, grievance, health and safety etc. - GLAXO WELLCOME
A study group concluded that any team in that environment uses five key skills: engineering, people, processes, business control and science. They also recognised that employees ideally move through increasing levels of responsibility, progressing through four stages from being under supervision up to being responsible for others as well as themselves. The company used the matrix of these factors to achieve flexible teams by means of extensive training, and introducing competencies for each job. Implementing the skills based matrix was subsequently supported by the introduction of skills based pay.
Key Learning Points
- The extent to which teams can take on additional responsibilities may be constrained by the nature of the work being performed. A blanket approach to introducing teams across an organisation may not be appropriate.
- Creating centralised support teams can provide an additional source of specialist help to self-managed teams.
- Teams progress through stages as they learn in time to take on increasing levels of responsibilities.
