Honeywell Automation and Controls Solutions Analysis its' Critical Thinking, Human Resource And Organizational Behavior.
Honeywell Automation and Controls SolutionsAnalysis its’ Critical Thinking, Human Resource And Organizational Behavior This assignment focuses on analyzing and evaluating Honeywell Automation and Controls Solution (ACS) pertaining to the following areas 1. MGT 331 – Organizational Behavior in regards to Frederick Herzberg’s Two Factor Theory 2. MGT 436 - Critical Thinking, it process 3. MGT 431 - Human Resources, the aspect associated with It will also include an articulation of how specific contented from the selected courses have been applied in the evaluation. Conclude with a summarization of the entire assignment and will include copies of all visual aids. First, this assignment will analysis the Organizational Behavior in regards to Frederick Herzberg’s two factor theory. Mgt 331- Organizational Behavior Analysis The Salt Lake Tribune described Frederick Herzberg’s work by stating, “his work focused on helping companies understand how to motivate workers and increase productivity. He is known for his Motivation-Hygiene Theory” (http://www.sltrib.com, (October 22, 2001). Herzberg believed that hygiene factors could satisfy lower-level needs, while the motivation factors can satisfy, or partially satisfy, higher-level needs. In analyzing Honeywell’s organizational behavior, the following aspects have been identified as the hygiene factors: 1. Working Conditions 2. Supervision 3. Job Security 4. Salary It is important to note that the hygiene factors are not required for motivation, but without, dissatisfaction will exist in the workplace. For example, a person who is assigned an office can be dissatisfied if that office is taken away and given a cubicle. On the other hand, the motivational factors result from internal generators within employees, such as recognizing an employee when a job is well done. Therefore, these two factors must be done simultaneously. In analyzing Honeywell’s organizational behavior, the following aspects have been identified as the motivational factors: 1. Recognition 2. Achievement 3. Advancement 4. Responsibility Management provides many incentives that help promote employee satisfaction, but poor decisions help deteriorate the effort that have been accomplished, especially in regards to employee satisfaction. Many decisions are based on the financial aspects of the business. While it is important that a business must make money to be successful, the company must understand that an efficient workforce will help drive both profit and growth. Evaluation This section will evaluate this topic in regards to the course work involved with MGT331-Organizational Behavior. Please note that Herzberg’s theory did not come from an experiment, but from a review he and his associates made that focused on employee satisfaction. Herzberg concluded from his review that there was a consistent relationship between different work behaviors and job dissatisfaction. While Honeywell has successfully incorporated some of Herzberg’s hygiene factors, they have not fully implemented them. “Hygiene factors are those factors that will not increase motivation as such but will certainly decrease it if standards are not right. Hygiene factors include working conditions, salary, job security and company policies“(http://managementlearning.com, October 21, 2001). Herzberg recognized that poor working conditions, interpersonal relationships, supervision, security, and money will create dissatisfaction and poor performance on the job. The first evaluation will look at the hygiene factors, which include working conditions, supervision, security and salaries. First, Honeywell goes to great lengths to make its employees content. For example, if an employee suffers from carpal tunnel, the appropriate ergonomic devices will be purchased for that employee. This is an appropriate practice that shows the company has a concern for the employees’ well being. In regards to supervision, many supervisors offer zero confidentiality for subordinates. They often talk about their subordinates by name to other subordinates and peers. Many supervisors also openly play favoritism. Friends are more likely to be retained rather than the best-qualified candidate. This practice is does not follow Herzberg’s theory and thus creates a negative view in terms of the overall employee satisfaction. When asked about job security, it has been identified that Honeywell employees have no real job security. The company has a history of firing an entire department in order to make funds available during shareholder meetings. This practice creates an additional hardship on those employees that are required to pick up the added workload. Until recently, Honeywell offered excellent cash bonus incentives to its’ employees. The company recently changed one of its bonus policies by taking the cash away from the staff and adding it to the management bonuses. This practice also affects the company’s ability to successfully meet the hygiene factors. The next step will identify the motivational factors associated with Herzberg’s theory. In Herzberg's view, until the hygiene factors are right, the motivating factors cannot work. He argues, for example, that creating even better working conditions will
not improve motivation and performance beyond a certain level. The team has identified the motivational factors, which include the subjects associated with achievement, responsibility and recognition. At Honeywell, employees identified as giving extra effort toward the company will be recognized. Honeywell offers two certificates that employees can earn, these are known as a Spot award and a Key Contributor award. The Spot award is given to the employee that goes above and beyond duty. For example, an employee may go above and beyond the call of duty to assist a supervisor with an important task. The supervisor can nominate the ...
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not improve motivation and performance beyond a certain level. The team has identified the motivational factors, which include the subjects associated with achievement, responsibility and recognition. At Honeywell, employees identified as giving extra effort toward the company will be recognized. Honeywell offers two certificates that employees can earn, these are known as a Spot award and a Key Contributor award. The Spot award is given to the employee that goes above and beyond duty. For example, an employee may go above and beyond the call of duty to assist a supervisor with an important task. The supervisor can nominate the employee for this award, which will consist of a certificate and a $100.00. If an employee is identified as saving the company money, the employee can be awarded a Key Contributor award. For example, if a project has a problem with meeting a schedule and an employee finds a way to save the project, he/she can be nominated for a Key Contributor award. This award is a certificate that is accompanied by a cash incentive that ranges form $250 to $500. When it comes to achievement, Honeywell employees are awarded with bonuses, for which they are very grateful. One achievement an employee can earn is completing a project within the allotted time for that particular project. Another aspect identified is associated with Advancement. Employees at Honeywell are also first in line for advancements. Honeywell would rather promote from within the company than hire an outsider to fill an open position. The employees of Honeywell do look forward to being promoted and advancing within the company. Responsibility is given to the workforce. For example, employees also share an equal load of responsibility within the company. Each employee is responsible for his or her own time spent on a project. The projects are divided into teams of (5-10) depending on the project, and then the duties are divided equally. Each team has a certain amount of time to complete the project, and then must move to the next one. The employees at Honeywell are satisfied with the current stream of work, and the work conditions under which they operate. In the final evaluation, it has been identified that Honeywell must modify their organizational behavior, so these factors can be successfully met. It has been identified Honeywell is not achieving the desired results associated with Herzberg’s dual effect theory. From the employee point of view, the company rates higher in the job dissatisfaction side of the scale. The hygiene factors that most affect the job dissatisfaction are quality of supervision, salary, relationships, and security. There are too many levels of managers, which have been expressed by Honeywell employees. This factor affects the employee by creating a feeling of being micro-managed. The next hygiene factor that needs to be adjusted is salary. The company claims they offer a premium pay scale in comparison to other Engineering companies. If this is true, how do they explain the high turnover rate? The company stripped the time and a half pay to all non-exempt workers last summer. This makes employees feel they are no longer required to give the company any extra effort, because they are not compensated for their time. Another factor is the relationship with subordinates and peers. The company does not understand how to bring everyone together. For example, when employees are assigned to a team, they are locked-in until the employee performs under par or leaves the company. Many employees that have been there for a while do not have many opportunities to work with other coworkers because of this close knit mode of doing work. The last driving force that affects the hygiene factor of the company is job security. If the company feels it will miss projected profits, they will reduce the employee workforce to compensate the loss in revenue. This affects the employees by making them feel vulnerable to losing their job at any given moment. In regard to job security, another example is the September 11th attack on America. This has affected Honeywell’s Aerospace SBU in regard to lost revenue. One way the company will counter this is by reducing head counts throughout the company. This becomes a domino effect that will trickle down through each unit associated with Honeywell. In conclusion, Team Phoenix found that Honeywell did not achieve its desired result. In fact, the Team realized that the problem is not the company. Honeywell will do anything to take care of its employees. However, the problem seems to be in how the company is being managed. The end result is a happier workforce who becomes motivated in improving company performance. To help change this observation there are several practices that must be practiced. First, supervisors must understand that confidentiality must be followed. Second, management must understand that layoffs will affect the remaining employees. Third, Human Resources must be involved with identifying the valued employees for rewarding. Once these have been successfully accomplished, the company will become more compliant in regards to Herzberg’s theory. At this moment, it has been identified that friends or family, receive the largest pay increases and improved job security. Employee skills and seniority do not enter the decision process. The company must understand that decisions must be made so that future growth and prosperity can help the business proper. Next, this assignment will discuss the implementation of the Critical Thinking Techniques. Mgt 436 – Critical Thinking Analysis Honeywell’s management must take drastic measures in order to save the company from falling victim to the new millennium’s troubled economy. Making some changes to its infrastructure is necessary to overcome the losses that it has already incurred. These changes must be implemented immediately and without prejudice. Honeywell will also create an evaluation system, so decisions can be monitored monthly. This will enable the company to determine whether the changes are successful. Honeywell will track the progress of its long and short-term plans, and evaluate if any further changes are necessary. By using the Cause and Effect technique coupled with the Fishbone diagram, the decisions that have been identified will provide management with the necessary information to make the most feasible decision. The decisions that are recommended will benefit both the company and its employees, who have dedicated their undivided attention to the projects at hand. Implementing the decisions made from the cause and effect technique will be influenced by both negative and positive factors. The team put in charge of implementation must locate qualified managers who will be accepted by the employees and the upper management of Honeywell. The shake up within the company will influence production by affecting the output of work. Since Honeywell’s current drive is to cut costs and increase profits, increasing funds in the R&D department can be viewed as another negative influence. By increasing funds, resistance from upper management and the shareholders will take place. Spending more money will affect the profits by decreasing the final amount. This will be a temporary stage, and it must be communicated to those who are concerned. It has been determined that once the product is brought up to date, the bottom line profit will increase with increased sales. How are great ideas within a company processed for action or terminated? There are several channels that ideas must pass through before they are put into action or stopped. Honeywell’s leaders must develop and implement business initiatives to speed growth and profitability. Under its new direction, management understands that well-designed systems will give them the power to: · Retain their best employees, · Give employees a reason to maintain good performance, · Deal with poor performers and, · Attract the type of employee that is needed The new systems at Honeywell, will be most effective if their consequences follow achievements (or not) of performance goals. These new initiatives should be objective, valued by both employees and managers, and trusted to be fair. The process of developing possible outcomes leads management into the area of independent, ethical problem solving. Questions to ask when designing an outcome According to an article from, Alverno College, Teaching for Outcomes, the following questions should be asked when designing an outcome: · Does the outcome encompass development? · Is it multidimensional? · Is it something in which the staff can use for personal career progression, company progression? · Could it be applied to a variety of different situations? In order to determine whether or not the projected outcomes are indeed accurate and reflective of Honeywell goals, the following assessment tools must be utilized: Assessment · Detailed feedback is essential for the improvement of the staff’s knowledge and abilities. · A variety of assessment tools should be used. · Context can lead to changes in management practices and to the development of new assessment methods. Evaluation This section will evaluate this topic in regards to the course work involved with Mgt 436 – Critical Thinking. Evaluations are a management learning tool and should include a range of techniques to address specific questions. When addressing these questions decision-makers must design the evaluation to address real issues, create a participatory process, incorporate flexibility, and build capacity into the final product. Design evaluation to address real issues: The primary purpose is to identify problems and opportunities in the company’s real communities, and to provide staff and stakeholders with reliable information from which to address problems and build on strengths and opportunities. Create a participatory process: The best evaluations value multiple perspectives and involve a representation of people who care about the success of the company. Effective evaluations also prepare organizations to use evaluation as an ongoing function of management and leadership. Allow for flexibility: Flexibility in the way projects are designed, implemented, and modified. Evaluation plans should take an emergent approach, adapting and adjusting to the needs of an evolving and complex project. Build capacity: Evaluation should be concerned not only with specific outcomes, but also with the skills, knowledge, and perspectives acquired by the individuals who are involved with the project. · everyone involved in project evaluation spends time thinking about and discussing how personal assumptions and beliefs affect his or her philosophy of evaluation; and · everyone (particularly those in leadership positions, such as project directors, evaluators, and board members) reflects on the values and politics embedded in the press, and honestly examines how these influence what is focused on and what is missed; who is heard and not heard; how interpretations are made; what conclusions are drawn; and how they are presented. (Mid South Delta Initiative, 1999) “It is believed that "good evaluation" is nothing more than "good thinking." Effective evaluation then, is an ongoing process which helps decision-makers better understand the direction of the company and how it is being influenced by both internal and external factors”(Alverno College, 2001). Thinking of evaluation tools in this way allows management the opportunity to collect and analyze important data for decision making throughout the life of the project at hand. Simply stated, decisions and evaluations should be “conducted to improve the way a project, system, or business runs” (Mid South Delta Initiative, 1999.) In order for the company to survive, steps must be taken to ensure a continued success in the future of the business. The cause and effect problem solving technique has identified to the team what needs to be implemented to ensure the business is headed in the right direction. The decisions implemented will enhance the company’s performance in areas of profits, market share, technological advances, and employee moral. The first step is to insert new managers who will redefine the way Honeywell operates. Since this segment of the business relies heavily on offering project services, mangers with project management experience will assist this task. It has been identified that the market share is being reduced by competition offering more advanced products/services. The plan to reallocate more funding to research and development (R&D) will enable the product line to become more up to date with today’s technology. With Honeywell’s strong name recognition, this plan will assist in regaining and maintaining the market share in the industrial and automation segment of the market. Employee morale is low, but reevaluating salary increases and bonus allocations will be the first step in increasing employee moral. With the new direction the company is taking, this will communicate to the employees that Honeywell is committed in making the company grow. The company understands that it must remain focused on improving the profit margins, but with these ideas in place, the outcome of the decisions will help the company become a profitable organization there are several indicators used to measure the success of the plan. First, the announcements of new/upgraded products will increase. With funding being increased in R&D, upgrades and new product lines will be on the rise. Second, the project loss ratio will decrease once the product line shows improvement. To identify if this is working, the sales team will track jobs that are awarded and lost. If the project is lost, they will communicate with the clients to discuss reasons behind the decision and lessons learned meetings will take place to define what is failing. Third, the percentage rate of employee turnover will decrease. With new management in place, innovative ideas will come into effect. Salary increases will be put into effect, and bonuses will be distributed to the employees. The new management team will convey a message of better regards to the employees, who are the heart of the organization. To understand if the employees are satisfied, a comment/suggestion survey will be placed on the company’s Intranet. The tracking will be performed on a quarterly basis. This will communicate to management if the employees are satisfied in the workplace. If this is not the case, the business will understand what course of action it must take to change these feelings. The next item to discuss is the probability of failure that could occur with the decisions made from the cause and effect technique. In conclusion, “While weakness of will explains a good deal of improper conduct, a much greater problem arises from the failure to perceive the ethical implications of conduct” (Josephson Institute, 2001). Honeywell has the capability to overcome these immediate problems. As a multimillion-dollar company, it has faced similar situations and it has quickly adapted to the changes in the market. However, the present mode of operation has enabled the company to be caught by surprise, and it has not regained its grip in the market. Its poor management decision to minimize funding in research and development to increase profits has caused the company to loose more in the long run. Competitors understood the importance of staying in the cutting edge of technology, and have funded their budgets to maximize R&D spending. This process has enabled them to gain Honeywell’s share of the market. Honeywell’s ethical competency will also have a major impact on the plan’s success. “Noticing the ethical issues and being committed to act ethically will not always be enough. In complex situations, reasoning and problem-solving skills will also be necessary” (Josephson Institute, 2001.) As management incorporates the ethical methodologies of evaluation, creativity, and prediction visions and goals will materialize. Knowing this, Honeywell’s growth will depend on the willingness of management to accept and implement these changes. Looking back on the critical thinking experience, the team has gained a wealth of knowledge. Instead of examining a problem at the surface level, we have learned to peer deeper into the situation. If one only addresses the symptoms of a problem, the true issue never becomes resolved. Analyzing the Honeywell situation gave the team a deeper insight on how to frame the problem, make a decision, and evaluate the decision that was made. The team has realized that the critical thinking process can also be used outside of our professional lives. Critical thinking is a training that can be used in everything from politics to family decisions. The great thing about the process is the more one uses it, the better one becomes. Next this assignment will discuss the aspects associated with Human Resources. Mgt. 431 Human Resources Analyze This section of the assignment will analyze and evaluate the aspects associated with Human Resources (HR) at Honeywell Automation and Controls Solutions (ACS). According to Dessler (2000), “human resource management refers to the practices and policies you need to carry out the people or personnel aspects of your management job” (p.2). With this known, this section will focus primarily on the staffing and hiring practices within the organization. Analysis In analyzing the company’s staffing practices, it has been identified that the company is committed to staffing the organization with the best talent available. This relentless focus of hiring top caliber individuals help ensures their success in the global marketplace. To remain competitive, the company understands that it is crucial that their employees be continuously developed. The philosophy behind achieving this goal is to give and receive feedback in regards to performance. This feedback will enable the company to improve performance and develop skills to help promote success in the employee’s current role and responsibilities. To accomplish this task, the Integrated Performance Management and Development (IPMD) Process has been implemented. This system is a comprehensive process that facilitates aligning objectives, continued assessment of performance in terms of behaviors and results, identification of development actions, and candid feedback. The IPMD Process is a critical feeder to the Management Resource Review Process, in that it serves as the baseline assessment of the talent within Honeywell. This leads into another HR process known as the Management Resource Review (MRR). The purpose of MRR is to enable management to understand how to leverage the talent of the workforce. Leaders assess their organizational capability and align talent with business strategies. This process also focuses on the development of individual results, behavior and potential as well as building our organizations. The process consists of two components, known as the career profile (CP) and the continuous improvement summary (CIS). Both of these components assist with encouraging the employee to identify career and learning plans for the year. As identified in the MGT330 class, a SWOT analysis can be applied to this process. By using a SWOT analysis on the staffing process, a leader can understand the employees’ strengths, weaknesses, opportunities, and threats. Evaluation The shift in business towards a more diverse workforce has been occurring since companies have been targeting globalization. According to the NADM (2002), “ in the U.S. an increase of 15 million new entrants in the workforce over the 1996-2006 period will drastically reflect this significant change of demographic composition bringing new challenges for human resource managers and policy makers” (http:www.nadm.org/hr.htm). With this known, the company has identified the need to focus on globalization. Reference Alverno College, 2001, Teaching for Outcomes. Retrieved from the World Wide Web: http://www.unl.ac.uk/newcurriculum/pdfs/capability_bg.pdf. Center of Excellence for Sustainable Development “Measuring Progress - What Are Indicators?” February 13,2002. Dr. Hossein Arsham, FOR, FRSS, FWIF, 1994, Applied Management Science: Making Good Strategic Decisions. Retrieved from the World Wide Web: http://ubmail.ubalt.edu/~harsham/opre640/opre640.htm Dressler, G. (2001). Management: Leading people and organizations in the 21st century (2nd ed.) [University of Phoenix Special Edition Series]. Upper Saddle River, NJ: Prentice Hall. Internet article. Retrieved October 22, 2001 from the World Wide Web: http://www.sltrib.com/2000/jan/01212000/utah/19424.htm Internet article. Retrieved October 22, 2001 from the World Wide Web:http://www.accel-team.com/human_relations/hrels_05_herzberg.html Internet article. Retrieved October 21, 2001 from the World Wide Web:http://managementlearning.com JOSEPHSON INSTITUTE OF ETHICS, RESOURCES: MAKING ETHICAL DECISIONS, The Making of an Ethical Decision, revised 6/5/01. Retrieved from the World Wide Web:http://www.josephsoninstitute.org/MED/MED-making.htm McCall, Morgan W. Jr., & Kaplan, Robert E. (1990) Whatever it Takes (2nd Edition). Englewood Cliffs, NJ: Prentice Hall. Mid South Delta Initiative, 1999, W.K. Kellogg Foundation’s Framework For Evaluation. Retrieved from the World Wide Web: http://www.msdi.org/tools/framework.html. Schermerhorn, Jr.J.R., Hunt,J.G.and Osborn, R.N. (2000). Organizational Behavior (7th ed.) [University of Phoenix Special Edition Series]. New York; Wiley
