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Presented by:-
B. G.
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WPM
Worker’s participation is a systemwhere workers and managementshare important information witheach other and participate indecision taking.
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WPM encompasses thefollowing:-
•
It provides scope for employees indecision-making of the organi ation.
• !he participation may be at the shop level"departmental level or at the top level.
• !he participation incl#des the willingnessto share the responsibility of theorgani ation by the workers.
• It is cond#cted thro#gh the mechanism offor#ms which provide for association ofworkers representatives.
• It is done to improve self discipline $control among workers $ for the smoothr#nning of management.
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De nition of WPM
% system of comm#nication andcons#ltation" either formal orinformal" by which employees of anorgani ation are kept informedabo#t the a&airs of the #ndertakingand thro#gh which they e'presstheir opinion and contrib#te to themanagement decisions.
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Participation refers to the mentaland emotional involvement of a
person in a gro#p sit#ation whichenco#rages him to contrib#te togro#p goals and share the
responsibility of achievement.- (eith )avis
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Participation in *anagement gives theworker a sense of importance" prideand accomplishment+ it gives him thefreedom of opport#nity for self-e'pression+ a feeling of belongingnesswith the place of work and a sense of
workmanship and creativity.- Walpole
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Objective•
!o elevate worker’s stat#s in ind#stry.• !o promote democratic practice.• Increase prod#ctivity with oint
e&orts.• Promote cordial relations.• Prevent e'ploitation of worker’s.•
reate good comm#nication system.• !o b#ild the most dynamic /#man
0eso#rces.
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Importance of WPM•
*#t#al #nderstanding• /igher prod#ctivity• Ind#strial harmony• Ind#strial democracy• 1ess resistance to change• reativity $ Innovation
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Forms of participation•
ons#ltative participation• Informative participation•
%dministrative participation• %ssociative participation•
)ecision 2 )ecisiveparticipation•
3wnership participation
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1 !ons"ltative•
Involves a high degree of sharing of views ofthe members and giving them anopport#nity to e'press their feelings.
• *embers are cons#lted on matters s#ch as:- – Welfare amenities 4work" health5 – %doption of 6ew !echnology – !he problems emanating from it 7afety
meas#res.• 8inal decision always rests with the top-level
management" as employees’ views are onlyadvisory in nat#re.
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$ A %ministrative•
Involves a greater degree of sharing ofa#thority and responsibility of themanagement f#nctions.
• It ens#res greater share of workers’participation in discharge of managerialf#nctions.
• mployees take part in decisions" whichwere already taken by the management"there#pon employees have to select thebest from those decisions for the
p#rpose of implementation.
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• *embers are given little fora#tonomy in the e'ercise ofadministrative and s#pervisorypowers with regard to ;
– Welfare meas#res –
7#pervision of safety meas#re – 3peration of vocational training $
apprenticeship schemes –
Preparation of sched#les ofworking ho#rs" breaks" holidays – Payment of rewards for val#able
s#ggestions
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& Decision•
/ighest form of participation.• *a'im#m delegation of a#thorityand responsibility of managerialf#nction.
• )ecisions m#t#ally taken.• *atters concerned are
– conomic" – Prod#ction – Welfare – 8inancial and – %dministrative policies
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' A ssociative• 'tension of cons#ltative
participation• *anagement here is #nder the
moral obligation to accept andimplement the #nanimo#s4agreed5
decisions of the employees.• <nder this method the managers
and workers ointly take decisions.
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• ollective :-beca#se both the
employer and the employee act as agro#p rather than as individ#als.• Bargaining :-
beca#se the method of reaching anagreement involves proposals andco#nter proposals" o&ers and
co#nter o&ers and other negotiations.• It is a techni #e adopted by
two parties to reach an
#nderstanding acceptable to both.
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(oopholes in !ollective)argaining
• !he process of B cannot be calledWP* in its strongest sense as inreality+
–
B is based on the cr#de concept ofe'ercising power for the bene9t of oneparty.
–
WP*" on the other hand" brings both theparties together and developsappropriate m#t#al #nderstanding andbrings abo#t a mat#re responsiblerelationship.
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# Wor*s !ommittees•
<nder the Ind#strial )isp#tes %ct" =K@D" everyestablishment employing =LL or more workersis re #ired to constit#te a works committee
• It consists of e #al n#mber of representatives
from the employer and the employees.• !he main p#rpose of this committee is to
provide meas#res for sec#ring and preservingamity and good relations between theemployer and the employees.
• P#rpose is to promote good I0.• 0epresentatives of employees will be selected
by secret ballot.
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F"nctions of Wor*!ommittee
•
Works committee deals with matters of day-to-day f#nctioning at the shop Joor level.Works committees are concerned with:
– onditions of work s#ch as ventilation" lighting and
sanitation. – %menities s#ch as drinking water" canteens" dining
rooms" medical and health services. – d#cational and recreational activities. –
7afety meas#res" accident prevention mechanisms etc. – Promotion – 8estive holidays – Welfare
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(oopholes in Wor*s!ommittees
• 1ack of competence and interest onthe part of workers’ representatives.
• mployees consider it below theirdignity and stat#s to sit alongsidebl#e-collar workers.
• 1ack of feedback on performance ofWorks ommittee.
• <nd#e delay and problems inimplementation d#e to advisory nat#reof recommendations.
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$ +hop , Department!o"ncil
•
Government of India on the ?L th of3ctober =KD anno#nced a new schemein WP*.
• In every Ind#strial establishmentemploying LL or more workmen" theemployer shall constit#te a shopco#ncil.
•
7hop co#ncil represents eachdepartment or a shop in a #nit.• ach shop co#ncil consists of an e #al
n#mber of representatives from bothemployer and employees.
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• !he employers’ representatives will benominated by the management and m#stconsist of persons within theestablishment.
• !he workers’ representatives will be fromamong the workers of the department or
shop concerned.• !he total n#mber of employees may not
e'ceed =>.•
%ll decisions taken will be implementedwithin one month.• )#ration of 7hop co#ncil is two months.• 7hop co#ncil has to meet at least once in a
month.
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F"nctions of +hop!o"ncil
• %ssist management in achieving monthlyprod#ction targets.
• Improve prod#ction and eMciency" incl#dingelimination of wastage of man power.
• 7t#dy absenteeism in the shop or departmentand recommend steps to red#ce it.
• 7#ggest health" safety and welfare meas#resto be adopted for smooth f#nctioning of sta&.
• 1ook after physical conditions of working s#chas lighting" ventilation" noise and d#st.
• ns#re proper Jow of ade #ate two waycomm#nication between management andworkers.
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It f i d f t
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• It for a period of two years.• !he decisions will be binding on both parties
and will be implemented within one month.•
In =KDD the above scheme was e'tended tothe P7<s like commercial and service sectororgani ations employing =LL or morepersons.
• !he organi ations incl#de hotels" hospitals"railway and road transport" post andtelegraph oMces" state electricity boards.
•
Aoint co#ncils are bodies comprisingrepresentatives of employers and employees. !his method sees a very loose form ofparticipation" as these co#ncils are mostly
cons#ltative bodies.
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F"nctions of oint !o"ncil•
8i'ation of prod#ction norms• Work planning• %chieving prod#ction targets• !raining• 0eward policy•
reative s#ggestions• /ealth• 7ec#rity
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' )oar% .epresentation•
!his wo#ld be the highest form of ind#strialdemocracy.• !he workers’ representative on the Board
can play a #sef#l role in safeg#arding the
interests of workers.• !he worker can serve as a g#ide and a
control element.• !he worker can prevail top management
not to take meas#res that wo#ld be#npop#lar with the employees.
• !he worker can g#ide the Board memberson matters of investment in employeebene9t schemes like ho#sing" and so forth.
( h l f ) %
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(oopholes of )oar%.epresentation• 8oc#s of workers’ representatives is di&erent from
the foc#s of the remaining members of the Board• !he worker tends to become alienated from the
workers.• !he worker may be less e&ective with the other
members of the Board in dealing with employee
matters.• )#e to the di&erences in the c#lt#ral "ed#cationalbackgro#nds and behavio#r" theemployees’ representative may feel inferior tothe other members" and may feel s#&ocated.
/ence" his or her role as a director may not besatisfying for either the workers or themanagement.
• 7#ch representatives of workers’ on the Board"places them in a minority and the decisions of the
Board are arrived at on the basis of the ma orityvote.
f
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/ Wor*er0s Ownership Ofnterprise
• !his involves making the workers’shareholders of the company by ind#cingthem to b#y e #ity shares.
• In many cases" advances and 9nancialassistance in the form of easy repayment
options are e'tended to enable employeesto b#y e #ity shares.'amples of this method are available in theman#fact#ring as well as the service sector.
•
2%vantage : *akes the workers committedto the ob and to the organi ation.• Drawbac* : &ect on participation is limite
d beca#se ownership and management aretwo di&erent things.
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3 Q "alit4 !ircles5 Q !6•
It consists of seven to ten people from the same workarea who meet reg#larly to de9ne" analy e" and solve#ality and related problems in their area.
• !hese circles re #ire a lot of time and commitment onthe part of members for reg#lar meetings" analysis"brainstorming etc
• *ost E s have a de9nite life cycle ; one to threeyears. 8ew circles s#rvive beyond this limit eitherbeca#se they loose steam or they face
simple problems.• E s can be an e'cellent bridge between participative
and non-participative approaches.• E s are said to provide #ick " concrete" and
impressive res#lts when correctly implemented
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A %vantages of Q !• mployees become involved in
decision-making" ac #irecomm#nication and analytical skillsand improve eMciency of the workplace.
• 3rgani ation gets to en oy higher
savings-to-cost ratios.• hances of E members to get
promotions are enhanced
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7 8ai9en• It is also called as N ontin#o#s
ImprovementH• It is a policy of constantly introd#cing
small incremental changes in a b#siness inorder to improve #ality and2or eMciency.
• !his approach ass#mes that employeesare the best people to identify room forimprovement" since they see the
processes in action all the time.• % 9rm that #ses this approach therefore
has to have a c#lt#re that enco#rages andrewards employees for their contrib#tionto the process.
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Feat"res of 8ai9en• Improvements are based on many" small changes
rather than the radical changes that might arisefrom 0esearch and )evelopment• %s the ideas come from the workers themselves"
they are less likely to be radically di&erent" andtherefore easier to implement
•
7mall improvements are less likely to re #ire ma orcapital investment than ma or process changes• !he ideas come from the talents of the e'isting
workforce" as opposed to #sing 0$)" cons#ltantsor e #ipment ; any of which co#ld be very
e'pensive• %ll employees sho#ld contin#ally be seeking ways
to improve their own performance• It helps enco#rage workers to take ownership for
their work" and can help reinforce team working"thereby improving worker motivation
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Decisions a ecting WPM !hree gro#ps of managerial decisions a&ect theworkers of any ind#strial establishment and
hence the workers m#st have a say in it• conomic )ecisions ; conomic )ecisions like
methods of man#fact#ring" a#tomation"sh#tdown" lay-o&s" mergers.
• Personnel )ecisions ; Personnel )ecisions likerecr#itment and selection" promotions"demotions" transfers" grievance settlement"work distrib#tion.
• 7ocial )ecisions ; 7ocial )ecisions like ho#rs ofwork" welfare meas#res" #estions a&ectingwork r#les and cond#ct of individ#al worker’ssafety" health" sanitation and noise control.
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Pre-re;"isites fors"ccessf"l participation:-
• 7trong $ )emocratic #nion.• *#t#ally agreed ob ectives which
sho#ld be clearly de9ned $complementary.
• 8eeling of participation at all levels.•
8avo#rable attit#de of all.• !raining of participants is essential.• Prompt action $ feedback.
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• 8ree Jow of comm#nication andinformation.
•
Participation of o#tside trade #nion leadersto be avoided• 7trong and e&ective trade #nionism.• Workers’ ed#cation and training.• 1ack of positive attit#de.• !rade #nions and government needs to
work in this area.•
!r#st between both the parties.• mployees cannot spend all their time in
participation to the e'cl#sion of all otherwork
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<ow can WPM be moree ective===
•
mployer sho#ld adopt a progressive o#tlook. !hey sho#ld consider the ind#stry as a ointendeavo#r in which workers have an e #alsay. Workers sho#ld be provided andenlightened abo#t the bene9ts of theirparticipation in the management.
• mployers and workers sho#ld agree on theob ectives of the ind#stry. !hey sho#ldrecogni e and respect the rights of each other.
•
Workers and their representatives sho#ld beprovided ed#cation and training in thephilosophy and process of participativemanagement. Workers sho#ld be made awareof the bene9ts of participative management.
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• !here sho#ld be e&ective comm#nicationbetween workers and management ande&ective cons#ltation of workers by themanagement in decisions that have animpact on them.
• Participation sho#ld be a contin#o#sprocess. !o begin with" participation sho#ld
start at the operating level of management.• % m#t#al co-operation and commitment toparticipation m#st be developed by bothmanagement and labor.
*odern scholars are of the mind that the oldadage Na worker is a worker" a manager is amanager+ never the twain shall meetHsho#ld be replaced by Nmanagers andworkers are partners in the progress ofb#sinessH
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