It is necessary for the reward system to support this system. Rather than traditional systems that provide increases in pay based on seniority or individual performance, an employee's advancement is dependent upon becoming proficient in the various skills associated with the work process. As the employee learns each new skill, he or she is compensated accordingly. High involvement systems commonly make use of group incentive systems to more closely tie compensation to organization and team performance.
Members of a self directed work team are involved on a routine basis in decision-making, goal-setting, scheduling, hiring, planning, peer review, and problem solving. They determine how they will work together and how they will rotate through the various jobs associated with the process. They have a part in developing performance measures for the group and in setting goals around these measures. They are intimately involved in the hiring process; new members cannot be brought in the team without approval.
Supervisors still exist in these organizations, but their role is quite different from that of the traditional supervisor. The supervisor's job is not to direct and control the subordinates, but to develop the team's self-directed capabilities. The supervisor also has the responsibility of managing the interactions between a number of teams.
The work team is capable of very high levels of performance because it maximizes employees' capabilities to contribute to organizational performance and fosters an extremely high level of employee commitment. The success of this type of organization is also attributable to the fact that it is extremely lean. Because of the self-managing design, supervisors can effectively handle very large spans of control, and therefore very few management layers are necessary.
To ensure the success of the self directed work team concept, the compensation system must be designed and developed to lead these teams toward their goals, as opposed to being treated as an "after thought." The Quorum Group can assist in the design of team compensation systems that work, and can assist in assessing the organization's readiness before embarking on this sophisticated approach to human resources.
For more information please contact John G. Brau, SPHR at: JohnB
The Quorum Group
John G. Brau, SPHR
P.O. Box 2121
Alvin, Texas 77512-2121
Tel.: 281-393-1100
Email: JohnB
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