Carcom College Essay Example
Carcom College Essay Example

Carcom College Essay Example

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  • Pages: 10 (2616 words)
  • Published: April 22, 2017
  • Type: Essay
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'Carcom' is an automotive safety component supplier that operates in two locations in Northern Ireland and has approximately 700 employees. The company was initially owned by an American company, but it became Japanese-owned after a collaboration with a Japanese partner in the late 1980s. Eventually, the Japanese partner acquired full ownership of 'Carcom'.

The quality initiative started in 1988-89 with a five-year plan influenced by the Kaizen philosophy, which was learned from the Japanese partner. Senior management took the lead in response to growing customer demand and operational factors. The accomplishment of ISO 9001 registration in 1990 unified various departments' processes that were previously done separately. Currently, the company's attention is on Kaizen, emphasizing improvement, customer satisfaction, a systems approach, and participation.

A variety of quality management tools and techniques are utilized in the company. The overall direction is overseen by a T

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QM steering committee, with an additional steering committee dedicated to supervising the implementation of Quality Improvement Teams (QITs), complemented by a full-time coordinator. Shop floor operators are organized into teams based on natural workgroups, which primarily address product issues and environmental concerns relating to working conditions. On the other hand, Kaizen teams concentrate on enhancing processes like die changes, and problem-solving workgroups are established in response to specific customer complaints like warranty claims. Senior executives emphasize the adoption of a long-term approach, which contrasts with earlier initiatives from the 1980s that were fragmented and haphazard. These previous endeavors included quality circles that experienced frequent personnel turnover, resulting in a decline in initiative. In contrast, the company is now investing time to ensure proper process implementation and promoting change through a central focus on quality.

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is to achieve cultural change, but it is acknowledged that only incremental progress can be made. Management needs to have a supportive attitude for this process. Therefore, QIT members are provided with extensive training and are encouraged to address problems that can lead to early success and enhance teamwork. Instead of pressuring teams to immediately resolve major issues, the focus is on building momentum gradually.

The TQM Initiative has already had a significant impact, although it is still in its early stages. The management structure has been streamlined by removing one layer. Improvements have been made to the shop floor layout, resulting in reductions in scrap rates, stock, work-in-progress, and inspection times. The number of inspectors has also decreased, as they are now considered analysts. Employees have generally responded positively to these changes. The company has made considerable efforts to directly relate "quality" to employees' work. This is accomplished by using measures that are displayed next to workstations and are maintained by the staff themselves.

The unions were assured that there would be no job losses due to Kaizen, although they still express concerns about this issue. They also raise the matter of payment for changes in job roles, particularly regarding SpC.

The company has implemented an open information policy to promote trust in the workplace. Additionally, business-related issues are given more importance at meetings of the joint works committee. The management also believes that the quality initiative has resulted in reducing union influence, even though this was not an initial objective.

The human resource function has transitioned from a welfare-oriented role to a more strategic one in recent years. This shift has been facilitated by an MD who

is recognized as someone who values people and acknowledges the inseparability of people and quality. Furthermore, a personnel director and a new industrial relations manager have been appointed, which has expanded the responsibilities of human resources and elevated its status.

The appointment of a training manager is particularly noteworthy since there was previously minimal off-the-job training conducted under the previous regime. Despite the company's recent trading losses, training budgets have actually increased in terms of both volume and monetary terms.

Recruitment and selection processes have become more advanced in order for the company to identify individuals who are team players. The Managing Director (MD) explicitly emphasized the strong connection between human resources and quality, stating that HR cannot be separated from Total Quality Management (TQM), and that the Quality Improvement Program (QIP) will not be effective without HR. Moreover, the function is also seen as crucial in incorporating the human element into the strategic planning process for quality. It addresses issues such as absenteeism and provides support to line management in improving employee attitudes and organizational culture. Additionally, the function has invested significant time and resources in developing training programs for quality. It has also advised mentors of the Quality Improvement Team (QIT) and provided guidance to managers on effective communication with staff.

Quality principles are also being developed in relation to the human resource function, with specific targets being set (for example, for absenteeism) as well as more general aims (for example, on training).
Questions:
(a) Analyze the links between TQM and HRM with reference both to this case study and more generally.
(b) What does the case study demonstrate about the contribution a personnel/HRM function can make to

the development of TQM in an organization?
(c) How might the principles of TQM be applied to a personnel function?
(d) What general implications does TQM have for industrial relations?
Question # 01 Analyze the links between TQM and HRM with reference both to this case study and more generally.
Answer. Total Quality Management (TQM) is now widely recognised as one of the major innovations in management practice over the last decade. For the most part, however, the principal contributions to the analysis of TQM and its operation have come from people in the Operations Management area (for example, Oakland, 1989, Dale & Plunkett, 1990, Dale, 1994).

There has been a focus on the “hard” production aspects of Total Quality Management (TQM) rather than its "softer" Human Resource Management (HRM) characteristics. This has resulted in less attention being given to people-management issues such as supervisory styles, compensation systems, teamwork, industrial relations, and their implications for different managerial functions. Additionally, many of the problems that have arisen are related to HR issues such as management style, attitudes, and culture.

A possible explanation for the limitations of TQM is that it has primarily focused on measurable aspects such as costs and production/operation performance, neglecting the "soft" aspects. This lack of attention to human resource policies and failure to align them with TQM has hampered integration. Despite their importance, these critical "soft" issues have been relatively unexplored compared to the utilization of quality management tools and techniques. However, some HR writers have recognized the potential for TQM to play a strategic role within the function. Until recently, the personnel profession has been slow to acknowledge the implications of TQM.

This may have been because they

perceived it as a modified version of quality circles, which they had a negative experience with, or more likely because it was viewed as primarily quality control/assurance and therefore deemed the responsibility of operations managers (Wilkinson, Marchington, Ackers & Goodman). In recent years, there has been a change in focus towards human resource issues within the quality domain and an increased interest from personnel specialists. The former is influenced by two factors: a shift from quality assurance to TQM, resulting in a greater emphasis on matters like employee involvement.

Furthermore, there is increasing evidence indicating that TQM faces significant challenges in areas referred to as "soft," including culture, involvement, and communication. Cruise O'Brien and Voss argue that quality relies on the active participation and dedication of employees as a whole. While managers in various organizations have implemented new and creative human resource strategies, these initiatives are not consistently linked to quality improvement. This separation between human resources and quality, despite being superficial, could greatly impede the successful implementation of quality across the entire company.

This presents the personnel function with a potential opportunity, despite their limited involvement in the beginning of TQM. The shift in focus to human resource issues may not have been initiated by personnel professionals but rather by others who have acknowledged the need for their participation, though it may have been delayed. As a result, some authors have started to recognize the possibilities TQM can provide for the personnel function. Giles and Williams state that "Quality has a significant personnel aspect."

The text highlights the strategic importance of policies and processes that personnel managers traditionally oversee. It emphasizes that quality management is like a

ready-made strategy that requires input from personnel. For instance, when ISO 9001 registration was achieved in 1990, it brought together previously isolated processes from different departments. Currently, the company is placing emphasis on Kaizen, which prioritizes improvement, customer satisfaction, system focus, and participation. To achieve these goals, various quality management tools and techniques are utilized. Overall direction is provided by a TQM steering committee, while another steering committee oversees the implementation of the Quality Improvement Teams (QITs). Additionally, there is a full-time coordinator involved in the process.

There are different teams in the organization, including shopfloor operators, Kaizen teams, and problem-solving workgroups. The shopfloor operators focus on product problems and environmental issues, while the Kaizen teams focus on process improvements. Problem-solving workgroups are established in response to specific customer concerns. The managing director explicitly made the connection between human resources and quality. Despite trading losses, the company has increased its training budgets. The company is also making efforts to recruit and select teamworkers through sophisticated methods. The case study demonstrates that the personnel/HRM function is integral to the development of TQM in the organization. Without HR, the QIP will not be effective.

The case studies showcase the impact of the personnel/HRM function on the development of Total Quality Management (TQM) in various organizations across different sectors, employer sizes, and regions worldwide. These organizations were specifically selected to provide a range of experiences, not just those recognized as role models in the quality field. Data from each organization was obtained through diverse research methods, such as gathering documentary information from published and internal reports, and conducting interviews with staff members from different departments. This included Chief Executives/General Managers,

line managers, personnel practitioners, and, where applicable, trade union representatives.

We conducted interviews with approximately ten individuals in each organization, most of whom were not personnel practitioners. In the following section, we utilize research findings from three cases to exemplify the issues concerning TQM and the management of human resources. These cases are sourced from the manufacturing sector, which is fitting as it is commonly regarded as the most tried and tested area for implementing TQM initiatives and typically considered the primary focus for HRM. Consequently, manufacturing serves as an ideal foundation for analyzing the interconnectedness between TQM and HRM. Our chosen three cases reflect diverse existing HRM patterns within manufacturing—specifically within the automotive components supplier industry, electronics sector, and chemical industry.

The development of Total Quality Management (TQM) has varying starting points and contexts. The Managing Director (MD) became convinced of the need for TQM after visiting several suppliers. Initially, HR aspects were identified as crucial to TQM development. Over the years, TQM experienced short-lived initiatives, such as quality circles, implemented by different managers. In order to demonstrate commitment, the MD conducted one-on-one interviews with all staff, which ranged from half an hour to over two hours. It was during this stage that the MD designated the HR Director as the advocate for TQM.

The decision to assign responsibility for implementing Total Quality Management (TQM) to the Human Resources (HR) function was made for three main reasons. Firstly, since the company emphasized communication, it was logical to place this responsibility within HR. Secondly, it was important to view TQM as a broader issue beyond just quality assurance, so assigning the responsibility to the Quality Department

would send the wrong message. Lastly, due to conflicts and tensions between departments, it was crucial to have a neutral body, which in this case was HR, steer the efforts of TQM.

On the topic of applying TQM principles to the personnel function, there are various approaches that can be taken. These range from managers directly communicating with employees or seeking their opinions through problem-solving groups, to high-level meetings between directors and trade union representatives on Works Councils or Company Boards.

The subject matter of the content can range from ordinary to strategic, encompassing social and sports topics as well as high-level financial and commercial information. Employee involvement is classified into three categories in all case organizations: education, communication, and customer care. Job responsibilities are modified within the same skill level and hierarchy, as observed at Photochem. Problem-solving and seeking employee opinions are practiced at Electron.

The success of these initiatives depends largely on the climate, motives, and abilities of managers, as well as their priority within the organization. Previous initiatives included quality circles, which experienced significant personnel changes and a decline in momentum after champions left. In contrast, the company now prioritizes getting processes right and using quality as a central focus for change. The aim is cultural change, but incremental progress is recognized as the achievable goal. Management must maintain a supportive attitude and provide extensive training to Quality Improvement Team (QIT) members. The focus is on tackling problems that yield early success and build teamwork, rather than pressuring teams to immediately address major issues. QIT members are encouraged to prioritize building expertise and working together. Overall, these Total Quality Management (TQM) initiatives have implications

for industrial relations.

Industrial Relations TQM necessitates extensive organizational changes, a reevaluation of production/operations methods, and working practices, which in turn, affects industrial relations. According to the literature, motivating and training workers is all that is required to persuade them to assume responsibility for quality assurance and improvement while readjusting traditional job roles. However, these issues involve questions regarding job control, working practices, and possibly compensation, especially in the manufacturing sector. For instance, at Photochem, the decision was made to collaborate with stewards when introducing change rather than disregarding or bypassing them. Industrial relations considerations may also be significant in cases where TQM is linked to a program of job cuts and increased workload.

Furthermore, TQM may worry trade unions because it could marginalize them as a communication channel. At the same time, it could strengthen commitment to objectives that may be perceived as ‘managerial’. This raises questions about the role of the Personnel Department. Merely acknowledging the significance of HR issues is not enough. In her influential work, Legged noted that non-specialists recognize the importance of effectively utilizing human resources in theory. However, lacking the expertise to develop a systematic perspective on personnel strategies and actions, they tend to underestimate the role of the human resource variable in decision making on issues not directly related to personnel management.

Consequently, the contribution of personnel is essential for a comprehensive understanding of HR issues. Giles and Williams suggest that TQM presents an opportunity for the Personnel Function due to its implications for human resources. However, it could also result in a decrease in the function's importance as these issues may be regarded as too significant to be handled

by Personnel. Nonetheless, Personnel individuals have valuable input in quality management. They oversee crucial aspects such as selection, appraisal, training, and reward systems, which are critical for achieving strategic change. With conflicts and tensions existing between different departments like at Electron, Personnel also benefits from being perceived as a neutral function. This allows them to drive change forward in a less divisive manner with fewer political disputes. In all three case studies, the Personnel Function played a central role in the development and implementation of TQM.

At Electron and Photochem, the Personnel Function took on the primary responsibility for driving TQM, while at Carcom, it played a more facilitating role.

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