SYSTEM FOR MEASUREMENT AND IMPROVEMENT OF PRODUCTIVITY SYMAPRO

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1 SYSTEM FOR MEASUREMENT AND IMPROVEMENT OF PRODUCTIVITY TRAINING AND PRODUCTIVITy. symapr GUIDE 11

2 What is the? The is a permanent, hlistic and inclusive learning system in rganizatins that is geared t achieving the rganizatin s bjectives as a whle, these bjectives being agreed by all the peple invlved. The aim is t imprve efficiency, quality and wrking cnditins in the rganizatin by invlving peratinal persnnel, middle management and senir management, and getting them all t make a cmmitment. Measurement and Imprvement f Human Resurces Perfrmance by Grup Objectives Indicatrs Effectiveness Pints Measuring Figures Feedback Prblems, Slutins, Agreements Prgress The is based n systematic measurements using grups f indicatrs that capture the rganizatin s bjectives. These indicatrs are agreed befrehand by the scial actrs. The measurement results frm each wrk grup r area are analysed, and this is used as the basis fr making cntinual imprvements. The success and impact f each imprvement prpsal is mnitred thrugh nging grup feedback. This in turn is used as the basis fr implementing prductivity incentives in recgnitin f peple s perfrmance. In this way the cnverts human resurces r persnnel management int a strategic functin in the rganizatin. It becmes a tl t mbilise peple s abilities t cntribute t bjectives and gals that have been previusly agreed. The system gives management feedback abut dysfunctinal situatins in different departments, and abut slutins which emerge frm wrkers initiatives. The is an apprach that allws varius ILO plicies t be built int rganizatins in a cnvergent way. TRAINING AND PRODUCTIVITy. symapr GUIDE 13

3 It is an instrument riented t decent wrk in rganizatins, and it invlves getting all the persnnel in an rganizatin invlved in prcesses t imprve prductivity and wrking cnditins. As an instrument it invlves the practical implementatin f ILO Recmmendatin 195 cncerning human resurces develpment, which prmtes the need t create permanent learning mechanisms in rganizatins. The is als a mechanism fr knwledge-based scial dialgue, and the ILO is prmting it as a vehicle t imprve cmmunicatin inside rganizatins by establishing cmmitments geared t bjectives that are shared by the scial actrs. What are the benefits f the? The helps t change the wrk culture in an rganizatin by fstering an atmsphere f cllabratin and cnfidence based n effective and cnstant cmmunicatin between senir management, middle management and peratinal staff, riented t achieving bjectives at department r area level. It helps t establish unifrm peratinal criteria amng all persnnel and brings everyne int line with the rganizatin s missin, visin and values. It facilitates peple s invlvement in prjects t prmte quality and technical and rganizatinal changes. It generates actin t prmte cntinuus imprvement, based n cmmitment and fllw-up by emplyees as well as managers. These benefits f the becme significant when they are crdinated with a management prject in the rganizatin. The is a tl that helps t transfrm management prgrammes, especially ISO quality management and/r management by bjectives, int an rganizatin and wrk culture. It utilises prjects and systems derived frm the rganizatin s strategy t frge links between peratinal staff and middle management. This linkage makes it pssible t invlve all staff in the interactive cnstructin f management systems. The amunts t a system f scial innvatin at wrk whereby the emplyees creative abilities are mbilised and the ambiguities inherent in the rganizatin can be managed. At the peratinal level, the cntributes t the administratin f the rganizatin s perfrmance. It makes it pssible check annual prgramming against the real results, identify prblems that emerge, and systematically generate prpsals fr imprvements, and thus it becmes a management system fr planning and budgets. The feedback meetings are prgrammed and include training capsules that are drawn up in functin f the skills that need t be develped and delivered at the meetings. This als cnstitutes a quality system, and, thanks t the indicatrs, it can be evaluated in terms f impact. 14 TRAINING AND PRODUCTIVITy. symapr GUIDE

4 What are its characteristics? The is an instrument fr rganizatinal learning based n infrmal training in which theretical knwledge is cmbined with practical knwledge, and technical knwledge with scial knwledge. Gd practices that are the prduct f experience are cmbined with theretical cncepts. It is integrated and hlistic because it invlves analysis and generates imprvement prpsals nt just in prductive prcesses but als in wrking cnditins, in the management f health and safety at wrk, and in attitudes twards cleaning fr example, rderliness and absenteeism. The respective indicatrs in each case are standardised in line with ne verriding criterin, which is effectiveness. It is hlistic because it is based n an analysis f the wrk prcess taken as a whle, with scial aims as well as prcess efficiency and quality bjectives. It means that an rganizatin s prductivity can be linked t a systematic review f the labur skills f its persnnel, and these peple actively participate in the prcess f identifying and vercming bstacles in the prductive prcesses. It is flexible because it can be adapted t any rganizatin that has bjectives, and it can be easily mdified t cater t new aims r gals. This makes it an instrument TRAINING AND PRODUCTIVITy. symapr GUIDE 15

5 that, frm the human perspective, facilitates cnstant changes in rganizatins by making the staff part f the prcess that generates change. It is permanent because invlvement and cntinuus imprvement never cme t an end but are rganized in cycles, which means that prcesses can be evaluated and innvatins intrduced when necessary. It is inclusive because all staff participate, frm thse at the bttm f the hierarchy right up t the general manager, and because peple s cntributins t imprvement are recgnised. It is based n the cnvictin that details are an essential part f any system t imprve prductivity, and n imprvements that are made t the wrk prcesses f each and every persn in the rganizatin. Perfrmance evaluatin criteria are defined and shared, and they frm the basis fr recgnitin which is cnferred thrugh varius kinds f incentives. What are the advantages f the prpsal? The measurement system has varius advantages r virtues. First, it makes it pssible t integrate int a single system bjectives that at a given time may cnflict with each ther. Fr example, the bjective f quantity per hur may cnflict with the bjective f prduct quality. Bth bjectives are imprtant fr the enterprise but there may be a pint at which greater quantity has a negative impact n quality, r vice versa, where better quality reduces quantity. Secnd, the system makes it pssible t add tgether indicatrs f different kinds t yield ne single rating fr prductivity, expressed as effectiveness. Managing several different indictrs makes fr cmplexity, but in this system diversity can be reduced t a single figure, which makes fr easy cmmunicatin within the IMPROVE COMMUNICATION p r bl E m s f l w MANAGEMENT SUPERVISORS WORKERS IMPROVE PRODUCTIVITY s lu t i n s f l w 16 TRAINING AND PRODUCTIVITy. symapr GUIDE

6 rganizatin. The fact that there is just ne number makes it easy t understand if a given peratin is ging well r badly, s it helps t mtivate staff and thus cntributes t a learning envirnment. Third, the system develps in a bttm up way. It starts frm the grund flr, s t speak, f the rganizatin, in ther wrds frm the peratinal persnnel. These are the peple wh best understand the critical factrs in day t day peratins and knw what the mst suitable indicatrs t measure thse factrs are. T the extent that the peple at the bttm level help develp the system they will apprpriate it as their wn, which means they will enter int a genuine critical dialgue with management abut what path t take. This prcess imprves cmmunicatin between the different levels f the rganizatin. Furth, thrugh the feedback meetings, the measurement system enables peple t cnnect in a natural way with training events. Prblems that cme t light during the prcess shuld be regarded as bligatry pints f reference t be used t develp training prgrammes based n principles f alternatin between thery and practice and that make a direct cntributin t imprving prductivity and wrking cnditins. The system helps t generate an atmsphere f mtivatin and stimulus with regard t learning, thus paving the way fr skilled wrk enhancement in the rganizatin. What kind f rganizatin can it be applied t? The functins fr any kind f rganizatin and at all levels. It has been implanted in large rganizatins and als in micr and small nes, and it has been implemented in the prductin area, in administratin and in management. As lng as there is a will t establish bjectives and fllw them up systematically, the can be implanted and serve as a measurement and imprvement instrument. Where did start and wh is applying it? The was riginally develped in the 1980s by prfessr Pritchard f the University f Texas. It was called PrMes. In the 1990s it spread t ther industrialised cuntries and by 2004 it was being applied in mre than eleven f them. It arrived in Mexic in 1995 via a cnventin between the University f Tilburg in Hlland and the ILO Office in Mexic. The system was adapted and implanted n a trial basis in an enterprise in the sugar sectr. It was well accepted and subsequently implemented in ther enterprises in the same sectr, and by 2005 it was in use in 16 such enterprises. It als spread t the Dminican Republic, where the INFOTEP included it in its prgramme f cnsultancy services fr enterprises. It is in use in sugar sectr enterprises in Cuba and Central America TRAINING AND PRODUCTIVITy. symapr GUIDE 17

7 (Guatemala). In Mexic, apart frm the sugar sectr, it has been applied in advisry services fr SMEs, maquiladra exprt enterprises and service branches (turism). In Chile, the fresh fruit sectr started t use in 2007 as a integrated training tl fr temprally wrkers in the preparatin, cultivatin, harvest and packing prcesses; it is supprted by the sectral training bdy and scial prgrammes f the gvernment. Hw t fllw the Guide? This Guide is made up f three cmpnents that we cnsider essential fr implanting the in an rganizatin. The first cmpnent is the measuring system. In the, prductivity is defined and measured as effectiveness. It is the efficient attainment f bjectives set by the members f the rganizatin fr a defined perid. When there are a number f different bjectives at the same time, measuring with a single indicatr is particularly cmplex, but the makes it simple. The perfrmance gal in a department is set by the members f the grup themselves, and perfrmance by this criterin is fllwed up using measurements frm suitable indicatrs that are cnstructed jintly by peratinal staff and middle and senir management. These measurements als make it pssible t evaluate the impacts f imprvements that are prpsed and implemented, and these in turn are based n individual and cllective learning and n the management f skills. The secnd cmpnent is the very heart f the : it is feedback. Measuring is necessary but nt sufficient t bring abut imprvement. There als has t be reflectin based n the results f the measurements, and this generates imprvement prpsals that are then applied in practice. This requires the ability t infer the cntent f infrmal and frmal learning grunded in an analysis f the measurements the indicatrs prduce. This calls fr a new kind f leadership n the part f middle and senir management, as they have t manage the innvatin and caching that leads t change. Measuring is systematic, and this is what differentiates the frm ther techniques t manage imprvement, it is always geared t initiatives aimed at bjectives. The third cmpnent is the management f the itself. Guided by experience, the utstanding aspects that successful implementatin f the depend n have been systematised. Varius implementatin stages have been defined: these include planning the start, cnslidatin and expansin, maturity, and renewal. Each f these stages has its critical pints, and all require cmpetent leadership t make changes in hw the system is managed. Different actrs in the rganizatin have t change their leadership rles in functin f the evlutin f the succeeding stages f the, and this is nt easy as the degree t which different peple are invlved and cmmitted depends n the rganizatin s culture and n persnal interests, and these are asymmetrical. 18 TRAINING AND PRODUCTIVITy. symapr GUIDE