Strategies Flashcards
Leadership style
APDL
Refers to ways that managers communicate with their employees to inspire and motivate them to work together to achieve an organisation’s goals.
- Leadership styles should be adapted to the particular demands of the situation
- The particular requirements of the people involved and the particular challenges facing the organisation
Leadership style
Autocratic/Authoritarian
Dictates policies and procedures, decides what goals are to be achieved, and directs and controls all activities without any meaningful participation by the subordinates. Full control of the team, leaving low autonomy.
- One person leading
- Focuses on planning, organising and controlling
- Leader does not consult when making decisions and takes all responsibility
- Classical scientific approach to HR - Suits hierarchy structure
Leadership style
Autocratic/Authoritian
Explain/Analyse
- Often creates a more stressful work environment - Dampen employee morale
- Employees face strict punishment/penalties for operating outside company guidelines
- Doesn’t take full advantage of employee’s skills, creativity and experience
- Increase employee absenteeism and turnover (Separation)
Leadership style
Autocratic/Authoritarian
- Control - Dangerous work environments or situations requiring complicated tasks with no room for error, such as safety inspections
- Provides structure and dependence for inexperienced or unmotivated workers
- Quick decisions - Only need approval from one Person
HOWEVER
- Increased work burden as leader takes full responsibility for team decisions
- Increased work burden can lead to high stress and health problems
- Dampen morale, reduce a team’s creativity and productivity if team is made up of highly skilled and motivated workers
Leadership style
Democratic/Participative
Encourages collaboration by including employee/s within the decision making process. Focuses on leading, motivating and communicating.
- Input into decisions by staff
- Responsibilities shared
- Behaviouralist approach to HR
- Suits teams and flatter structures
Leadership style
Democratic/Participative
Explain/Analyse - When is it used?
- When managers recognise that employees may have different yet effective ideas
- When the knowledge and skill base of staff are valued as part of the culture within the organisation
- When managers are seeking to motivate staff and encourage a form of ownership over their work
- To encourage employees to become empowered
Leadership style
Delegative
Allows the employees to make decisions. However, not all decisions then become the responsibility of employees.
The process of effective delegate leadership involves a clear understanding between leaders and employees about who can make what decisions.
When is it used?
- When employees have the relevant knowledge and skills to make the decisions
- When managers trust the ability of employees to make the right decisions
- When managers are seeking to motivate staff and encourage a form of ownership over their work
Leadership style
Laissez Faire
A Non-authoritarian leadership style
Tries to give the least possible guidance to subordinates, and try to achieve control through less obvious means.
They believe that people excel when they are left alone to respond to their responsibilities and obligations their own ways
DESCRIBE
- Minimal intervention by managers
- Responsibilities equally shared
- High level of teamwork, interpersonal
- Effective if the leader monitors what’s being achieved and communicates this back to the team regularly
This type of leadership can also occur when managers don’t apply sufficient control
Leadership
- Directive
- Visionary
- Affiliative
Directive
- Emphasis on immediate compliance from employees
- Other labels: autocratic, dictatorial, coercive
- Ideal Situations: in a crisis, to kick start a turnaround or with problem employees
Visionary
- Emphasis on long-term vision and leadership
- Other labels: authoritative - Ideal Situations: When changes require a new vision, or when a clear direction is needed
Affiliative
- Emphasis on the creation of harmony/belonging within the organisation - Other labels: harmoniser
- Ideal Situations: To build buy-in or consensus or to get input from valuable employees
Leadership
- Bureaucratic
- Pacesetting
- Coaching
Bureaucratic
- Leaders work ‘By the book’
- Follow rules rigorously, and ensure that their staff follows procedures precisely
- Ideal Situations: Addressing serious safety risks or where large sums of money are involved
Pacesetting
- Leader expects and models excellence and self-direction
- Emphasis on accomplishment of tasks to high standards
- Ideal Situations: To get quick results from a highly standard and competent team
Coaching
- Emphasis on the professional growth of employees
- Other labels: Developmental
- Ideal Situations: To help an employee improve performance or to develop long-term strengths. Also used for succession planning
Leadership Style
CASESTUDY
Apple’s leadership style has changed significantly over time
In 1997, the company was 90 days away from bankruptcy, thus, Steve Jobs effectively employed an autocratic / dictatorial leadership style in order to provide firm direction for Apple
As Apple received and especially under Tim Cook’s leadership from 2011, a more participative / democratic leadership style has been created, fostering creativity and increased productivity.
Ultimately, Apple’s effective participative leadership style strategy can be seen through 68% satisfied or very satisfied employee rating, and an 83% recommendation rating
Job design
The process of designing the content of a job and how it will interact with other jobs and employees, so as to better inform, motivate and retain employees.
- Job design is the kind, variety and number of tasks that a worker is expected to carry out in the course of performing their job.
Job design
General tasks
A greater variety of tasks to be performed by workers, where they are required to apply a greater range of skills in their job
Main objective of the provision of a wider variety of tasks is to improve worker satisfaction and productivity.
Job design
Specified tasks
Identifies one best way of doing a job and that worker skills should be matched to the job requirements.
Employees may be given more of a similar task to perform however are expected to complete the task in greater quantity and with greater responsibility
- Revolves around tightly defined roles to ensure that employees know exactly what their roles are and what they are expected to do.
Can lead to greater motivation, specialisation and therefore productivity, however may also lead to greater boredom in an employee’s job
Methods of job design -
- Job rotation - Employees switch, for a period of time, from one job to another
- Job enrichment - More control and independence
- Job enlargement - More tasks to do within same job
Job design
Implications
- Increased job satisfaction
- Team cohesion
- Increased staff retention and lower absenteesism
- Increased producivity for business operations
- Cuts costs - Improves competitiveness of business
HOWEVER
- Poor business performance
- Additonal costs
- Employee stress, anxiety, absenteesim and low retention rates
Job design
CASESTUDY
Specific Tasks
Apple utilises a specific job design strategy, particularly in Apple stores where different employees are designated specific roles (Customer service, laptop sales, Genius Bar, so as to increase the efficiency of the process but also the value the customer feels.)
‘Experts’ - Assess customer needs and provide a solution
‘Geniuses’ - Engage in the provision of technical support
- The colour of Apple retail staff shirts indicate their role
- Results in greater productivity of Apple employees
General Tasks
Asking customers questions - Developing and exhibiting strong interpersonal skills - Engaging with employees in an outgoing and friendly personality
Recruitment
The process of locating and attracting the right quantity and quality of staff to apply for employment vacancies or anticipated vacancies at the right cost.
- Recruitment matches business’s HR needs with appropriate staff
- Recruitment begins AFTER job design.
Stages include:
- Attract appropriate candidates
- Check background, qualification/s
- Verify experience
- Select employee from short list
Recruitment Implications
Poor Recruitment/Selection process leads to issues of:
- Increased costs
- Lower productivity
- Training costs
- Job dissatisfaction, lower performance, industrial labour turnover
- Increase in absenteeism
- Increase in accident or defect rates
- Claims of discrimination
Recruitment
Internal Recruitment
Involves filling job vacancies with people from within the business.
- Motivational for staff
- Development opportunity
- Builds commitment and loyalty
- Business only needs to hire at base level
- Employees know the culture and operations
- Recognises and rewards staff for effort and achievement
HOWEVER
- Can reinforce negative culture
- Can lead to rivalry for positions
- Need established framework for training and merit-based appraisal system
- Little value added, no new skills
Recruitment
External Recruitment
Involves filling job vacancies with people from outside the business.
- Wider applicant pool
- New ideas, perspectives and skills may produce better solutions to business issues
- Get specific skills needed, save on training
- Dilutes internal politics
- More diversity in employment (EEO)
- Builds organisational ‘brand’ through publicity
ADVERSLEY
- Risk of unknown staff
- Lost productivity in initial phases of orientation and induction phase
- New employee may not fit culture, and may not be accepted by internal rivals
- Takes a lot of effort and time
Recruitment
Specific skills
Highly specialised and required by businesses to address a skills shortage
- Programming
- Machinery
- Engineering
- Lack of supply of certain skills
- Required certain businesses to source/recruit employees overseas based on having specific skillsets
- Negative perception on Australian businesses who do this as it demonstrates that businesses are not willing to train existing/new employee to possess these specific skills
- Led to an increase in employee poaching
Recruitment
General skills
Includes flexibility and versatility, social confidence, positive attitudes, motivation and the ability to work as a team and/or independently.
- Many jobs require individuals to work independently and undertake many different tasks
- Generally more service oriented, making social and information skills increasingly important.
- Assist with gaining employment and career progression
- Indicates to HR that the employee has a capacity and willingness to learn
HOWEVER
- May require employers to engage in further training and development to improve employee skills to the required standard
- Time and cost intensive
Recruitment CASESTUDY
Apple uses both internal and external recruitment strategies
- Apple use their website to attract a diverse range of candidates
- 99% of roles are advertised internally (Internal recruitment)
They offer an employee referral bonus for the successful placement of candidates
External - Targeted recruitment campaigns used
- Targeting females by advertising on ‘CareerMum’
- Mothers wanting to return to the workforce to consider working for Apple Retail.
- Tim Cook was internally recruited for the position of CEO in 2011
Training and development
- Current skills
- Future skills
The aim of training and development (T&D) is for long-term change to skills, knowledge, attitudes and behaviour
T&D programs have TWO focuses:
- Current skills needed by the business
- Future skills for business growth
Implicatons
- Conducting a skills audit and/or systematic evaluation of skills and employee capabilities
- Understanding supply/demand of certain skills within the industry
- Aligning with future direction and vision (What skills will be needed in the future)
Training and development
CASESTUDY
Apple provides comprehensive training and development
Training:
- Apple conducts 100 hours of training per employee annually
- 70% on-the-job training
- 20% mentoring (structured mentoring program)
Internal HR site provides comprehensive training programs that are available to all employees
‘Retail Fundamentals’ training program - 92% of all retail staff have completed
Vocational certifications: 13,500 employees enrolled in Supplier Employee Education program since 2008 - 6,000 employees gained vocational certifications since 2017
Development:
The cost of development per employee is $3,300 annually, involving:
- Talent and succession planning program
Train staff and develop them - Formal mentoring programs - Strong culture of internal promotions - 99% of job advertisements are promoted internally
Performance management
Refers to a process of measuring tasks performed by employee
- Management by objective (MBO)
- 360 degree (holistic evaluation, a quality measure)
- Self assessment - Competency based
Performance management
Develop & Administrative
Developmental (Employee Focus)
- Manages employees by providing feedback to assist them to improve their effectiveness in their roles, overcome weaknesses and prepare for promotion
- On-the-spot coaching and interaction to help employees achieve goals, quality improvements
Administrative (Organisational Focus)
- Manages HRM by collecting data which is used to assist and inform planning within HR in areas such as training and development, rewards, benefits, pay levels and more importantly, compliance.
Performance management
Why is it important?
- Identify opportunities for productivity improvement
- Assess legal compliance
- Justify staffing decisions
- Assess performance against organisational standards
- ]Provide feedback and recognition
- Identify training and development needs
- Can be of usefulness in regards to remuneration or promotion (i.e. eligibility for bonuses or promotion)
Performance management
Implications
Benefits for the business
- Assists with human resource planning
- Can plan to overcome gaps or weaknesses found in performance
- Identifies training and development or legal compliance needs
- Evaluation of rewards and benefits programs
- Helps identify, motivate and retain talented staff for leadership succession
Benefits for the individual
- Helps assess rewards and benefits linked to performance
- Creates opportunity for employee to provide feedback
- Initiative recognised and rewarded
- Fosters promotion on merit
- Employee focus is aligned with organisational strategy
Performance managment
CASESTUDY
In 2014, Apple launched the ‘Individual Development Plan’, a training database and list of all possible training opportunities in the companies HR intranet to track an employee’s training progress which is monitored by managers, thus increasing the efficiency and accessibility of training for employees.
- 360 degree feedback mechanism is used
Runs each 6 months ‘talent planning sessions’ focusing on performance management
Apple reviews salaries annually and use clear KPIs to measure and benchmark:
- Bonuses are linked to performance criteria (Apple Head Office) - Complex remuneration packages - Transparency in how to achieve these packages
Rewards
Refers to the stem total of the business’s remuneration to employees, both monetary and nonmonetary, for the purpose of culturing employee engagement and loyalty
- To reward and recognise the employees within the organisation
- To reflect the knowledge, experience and skill levels of their employees
- To retain their employees
Rewards
- How #1 Monetary Rewards:
- How #2 Non-Monetary Rewards:
Extrinsic
Monetary Rewards: Refers to those rewards that are financial in nature
- Share purchase plans
- Housing assistance
- Travel allowance
- Bonuse
- Product discounts
Intrinsic
Non-Monetary Rewards: Refers to rewards that have a non-financial value
- Flexible work arrangements
- Job sharing
- Flexible hours
- Work from home
- Training opportunities
- New Office
- Certificates or awards
Rewards (Monetary & Non-Monetary)
- Maintain a good relationship with staff over time - Improve corporate culture
- Motivates staff - Improve productivity/performance (Performance-based remittance system) - improves workers satisfaction - reduce staff turnover
- For non-monetary - Promotes self-actualisation, sense of belonging - improves workers satisfaction and corporate culture
HOWEVER
- What motivates employees to improve performance and/or remain at a workplace may differ Based on personal situation.
- If only use monetary incentives, results in a transactional relationship rather than an intrinsic value relationship therefore minimal motivating factor
Monetary
CASESTUDY
Salary: (Well above Award)
- Level 1 - $43,000 - Apple retail
- Level 2 - $50,000
- Level 3 - $75,000
- Genius Bar $85,000
- Senior management earns $130,000 - $230,000
Programs: Health and life insurance - Tuition assistance
Benefits: Employee stock purchase plan
15% discount on share price (up to $15,000 per year) - 9 weeks paid parental leave - resulted in 100% return rate (industry average is 81%) - improved staff turnover rate
Discounts: - $250 off iPads - $500 off Macs - 25% off iPhones
Non-Monetary
CASESTUDY
Employee of the month - staff recognition - improves workers satisfaction
Seek opportunity to increase work challenges - employees are provided with more responsibility - employees feel more valued - improves workers satisfaction
Flexible Work Policies - job sharing arrangements, work from home and flexible work hours
Personal and family counselling
Rewards
Individual pay
Customised for each employee’s contribution, individual contract.
- Motivates employees
- Individual recognition for work
- Greater sense of control over their wages
- Improves workers satisfaction
HOWEVER
- May drive aggressive sales approach tor receive higher wages
- Takes away the collaborative nature of work - negatively impacting corporate culture
Rewards
Group pay
Based on team performances, collective bargaining
- Improved accountability for performance within business departments
- May encourage changes in collective behaviour
- Improving corporate culture and productivity
- Improves communication and collaboration
HOWEVER
- Potential for disputes between high and low performing employees thus increasing level and number of workplace disputes
- Not all employees apply the same effort, different goals, conflict within group
Rewards
Performance Based pay
Refers to the process of linking part of an employees income to their performance
- Motivates the employee to increase their productivity and value to the business in exchange for higher wages, thus benefitting the business
- Aligns the objectives of the business with the objectives of the employee - Can be effective in revealing the effectiveness of employees
HOW?
- Through the use of commissions
- Through the use of KPIs
- Employees are motivated to improve their productivity
- Creates shared goals between the employer and employees thus improved corporate culture
HOWEVER
- Performance based pay may be ineffective if the employee is not motivated by finance
- External factors may be highly influential - COVID-19, lockdowns
Rewards CASESTUDY
Individual, Group pay and Performance pay
Individual Pay
- Senior executive receive rewards based on their annual performance in achieving/exceeding KPIs. - Vary depending on title/position and roles/responsibilities
Group Pay & Performance Based Pay
In the R&D Department of Apple’s iOS 15, the research division received performance-based pay in order to incentivise productivity, especially considering that the release of the iOS was mission critical
IOS 15 was released prior to competing software release from Google’s Android, which assisted Apple with maintaining their global market share
Global
Costs
Particularly in Australia, high domestic HR costs have resulted in businesses looking at countries such as China and India where there is both a higher skilled but also cheaper labour force to fulfil professions including basic accounting, legal work, call centre operations and IT
- Access to a cheaper workforce can provide economies of scale
Costs include:
- Hiring staff from other countries
- Settling family - Accommodation costs
- Hiring and training host country staff as opposed to relocating home business employees
Global
Skills
Skills shortages (Industries like IT, & Health) have led the Australian government to try and provide relief to businesses in the form of temporary work visas (457 work visas) to supply skilled human resources.
Businesses need to take into consideration:
- Skill levels of employees in host countries
- How skills translate to other countries
Costs
Labour supply
Global outsourcing can supply at a lower cost workforce
Businesses need to take into consideration:
- Supply of experienced and qualified employees
- Willingness of staff to relocate
Global Implications
Costs, skills and supply.
A global business will have to balance the opportunity of reducing costs by accessing cheaper labour with the skills required by the business
- Training may need to be provided
* E.g. In India, very well educated university graduates who can deliver services at a much lower rate than Australia or US counterparts
Call centre staff - who speak English but may need training on products, corporate culture of the organisation that they are representing
Global - Advantages
- Skills
- Access to low cost labour
- Expertise - Scale
- cultural diversity/perspective
HOWEVER
- Employee morale
- Language issues
- Cultural diversity issues
- Expertise may not be aT the same level
- May require training
Global
Costs, skills and Labour supply CASESTUDY
Apple being a transnational corporation has access to a global workforce, therefore has the ability and reason to seek and hire a highly diversified and skilled workforce.
Its organisational structure means that there is centralised decision making in its US Headquarters and regional headquarters (Europe, Australia and Asia Pacific)
Apple’s 154,000 employees world-wide is a combination of locally skilled workers, and international professionals
Cost: Access low cost labour in China through outsourcing to Foxconn and Pegatron
- Assembly Line Workers earn $9 per hour
- 80% cheaper than US manufacturing costs
Supply: Foxconn and Pegatron supply 500,000 workers to manufacturer Apple products
‘Skills: Workers in partnership with Harvard and Yale Business Schools through:
- Internships, scholarships and cadetships
- Access to high quality, young innovative staff
- Development of training facilities in regional areas
- $500m R&D hub in China - R&D hubs in France, Java (Indonesia), India, Sweden and UK
Workplace disputes
Disagreement over an issue or a group of issues between an employer and its employees, which may result in employees ceasing work.
Reasons for disputes
- Remuneration - Wages, Allowances, Entitlements and Superannuation
- Employment conditions - Working hours, Leave, Benefits and other general employment conditions.
- Job security - Retrenchment of employees, downsizing, restructuring, use of contractors, outsourcing, re-classification of the workforce.
- Health and safety - Physical working conditions.
- Managerial policy - Discrimination, Union issues, Employer approaches to the union.
- Political or Social protests
Workplace disputes
CASESTUDY
QANTAS
Qantas vs. Long-haul pilots
- Australian and International Pilots’ Association (AIPA)
- Wanted job security, 24% wage increase over 3 years (8% per year) and a cap on outsourcing pilots
Qantas vs. Baggage handlers and catering staff
- Transport Workers’ Union (TWU)
- Wanted job security and limit the number of outsourcing plans which were to make 2,800 jobs redundant
- Also wanted a 12% wage increase over 3 years (4% per year)
Qantas vs. Engineers
- Australian Licensed Aircraft Engineers Association (ALAEA) -
- Wanted job security by not outsourcing their jobs overseas
Types of Industrial action
- Strikes
- Lockouts
- Pickets
- Strikes
Refer to situations in which workers withdraw their labour
- Lockouts
Employers close the entrance to a workplace and refuse admission to the workers
- Pickets
Protests that take place outside the workplace, generally associated with a strike. Unionists stop the delivery of goods and try to stop the entry of non-union labour into the workplace.
Workplace disputes - How?
The legal framework has created an environment which has reduced the amount of disputes significantly due to legislative (Workplace Gender Equality Act 2012) and economic changes which affected industrial relations in Australia
There are now a range of workplace dispute resolution strategies available for businesses
Resolution processes
Negotiation
Refers to formal or informal discussion/s between those in dispute to try to reach a compromise
- Both parties engage in negotiations in order to reach a compromise
- No legal expenses - Cost effective
- Time effectiveness - Increase productivity
- Both parties provide input
HOWEVER
- Requires ‘buy in’ thus Both parties have to agree and may take significant time to do if parties don’t agree
Resolution processes
Negotiation CASESTUDY
QANTAS has been in separate negotiations with the AIPA and ALAEA for more than 2 years since 2010
Regarding job security and remuneration in the formation of a renewed enterprise agreement
- A negative implication of this process has been the significant time constraints, taking over 2 years and proving ineffective at resolving the disputes
- In addition, following the grounding of the fleet, the FWA mandated QANTAS workers to cease protected industrial action in the interests of economic/social costs, and allotted a 21-day negotiation period
- Ultimately, these negotiations failed, resulting in the FWA appoint FWC representatives to conciliate the disputes
Resolution processes
Mediation
Refers to the confidential discussion of issues in a non-threatening environment, in the presence of a neutral, objective third party
- Why - An effective method of resolving disputes to prevent escalation to more expensive methods
- How - Use of a neutral/objective third party - Mediator
- Removal of bias
- The presence of a third party may lead to a more reasonable negotiation
- Cost effective when compared to other dispute resolution methods - (Arbitration)
HOWEVER
- More expensive than negotiation
- More time consuming than negotiation
Resolution processes
Mediation CASESTUDY
In response to both disputes with engineers and long-haul pilots
Mediation processes was undertaken to discourage further industrial action
However, it did not assist in resolving the bargaining disputes over job security and remuneration
Consequently, these disputes were escalated to conciliation by the FWC
Resolutions
Grievance procedures
Refers to formal procedures, generally written into an award or agreement, that state agreed processes to resolve disputes in the workplace.
Bullying, harassment, pay dispute, a safety issue or personality clash
- Most complaints occur in areas of allocation of tasks, discipline, promotion and termination
- Management attempts to handle grievances in such a way that they do not escalate and become more serious formal grievances
Resolutions
Grievance procedures
How?
Treat the employee and the complaint as being important
- Listen carefully and get all the facts
- Explain to the employee the reasons for decisions
- Complaints (or other union matters) bought to management should be treated with particular concern
- Formal grievance procedures may be set out as a provision in an award or enterprise agreement
Include the procedures that an employer and their employees or representatives have agreed to follow, to deal with or resolve workplace issues
Resultions
Grievance procedures - Discuss
- Transparent and clear process to handle disputes
- Step by step process
- Quickly/fairly settle the grievance
HOWEVER
- Time consuming
- Excessive documents need to be submitted
- Costly: Investigation into the grievances
Resultions
Grievance procedures CASESTUDY
In the first instance, the parties in the dispute must try to resolve the dispute at the workplace level
Discussions with team members or supervisors - If the matter is not resolved the party may lead to the FWC
Resolution
Involvement of courts and tribunals
- Courts - Common law hears complaints such as breach of employment contract
- Tribunals - Less formal than courts; Australian Industrial Relations Commission (AIRC)/Fair Work Commission (FWC) hears disputes
Why/How
When a dispute has not been resolved through negotiations it may be referred to the Fair Work Commission (FWC) who will appoint a conciliator (conciliation) to hear both sides of the dispute
If this fails: Arbitration takes place where a third party makes a legally binding decision
- Arbitration: decision is made by the third party and is final
HOWEVER
- More expensive and time consuming
Resolution
Involvment of courts and tribunals CASESTUDY
QANTAS was unable to resolve the disputes in the negotiation and mediation process
- Lead to grounding the fleet impacting the economy
Federal Government was involved - A FWC Committee was appointed to oversee the conciliation and arbitration process
Outcomes: QANTAS vs Long-haul pilots
- Pilots received a 10.5% wage increase over 3 years
However, QANTAS could make necessary organisational changes including redundancies and offshoring
QANTAS vs Aircraft Engineers
- Engineers being given a 9% wage increase over 3 years
However, QANTAS was able to offshore the maintenance of A380 aircraft in order to reduce costs
Resolution
Involvement of courts and tribunals CASESTUDY
Result on QANTAS
Significant negative implications on their branding, operations and profitability, the final resolution allowed QANTAS to maintain appropriate management of their HRM, allowing them to sustain a competitive advantage
Key points
- Industrial action cost the company $194m - $70m from the grounding
- $56m through lost customer loyalty and forward bookings; and $68m from the union actions in the lead-up to the grounding)
- Cost the Australian economy $250m per day
- 80,000 passengers affected
- 600 flights cancelled
- Aircraft grounded
QANTAS said no executives or board members would be paid during the lockout period - Negative implications included approx. $194m losses due to the strikes
Workplace disputes
Explain / Analyse
Why / How
- Conflict may provide benefits and in many cases improve workplace practices and foster innovation.
- Conflicts may also be costly to stakeholders, both directly and indirectly
- The level of industrial conflict in an industry or organisation is another indicator of the effectiveness of employment relations/HR
High levels of disputation naturally indicate ineffective employment relations
According to ABS
- In 1987, there were 1519 - In 2007, there were 135
This decline coincided with a range of institutional, legislative and economic changes which affected industrial relations in Australia (Link to influences)
Workplace disputes - Discuss
- Can improve workplace practice (once the dispute has been resolved)
- Improved corporate culture - productivity
- Fosters innovation - to improve the workplace corporate culture
- Resolution provides greater certainty thus improved productivity
HOWEVER
- Disruptive and will impact productivity thus profits
- Decreased worker satisfaction (depending on length of Dispute) - negatively impacting productivity
- Industrial action like strikes may occur
- Absenteeism may occur (employee unable/unwilling to face the dispute at work) - toxic corporate culture
