Midterm open systems-pj and jzc

Running Head: OPEN SYSTEMS AT TAMU HUMAN RESOURCES1

The Open Systems Structure at Texas A&M University’s Department of

Human Resources

Priscilla D. Johnson & Juan Zane Crawford

PhD Students in Educational LeadershipWhitlowe R. Green College of Education

Prairie View A&M University

Dr. Douglas Hermond

Organization Theory

March 13, 2010

OPEN SYSTEMS AT TAMU HUMAN RESOURCES

The Open Systems Structure at Texas A&M Department of Human

Resources

Harlold Geneen once said “Every company has two organizational structures: The

formal one is written on the charts; the other is the everyday relationships of the men and

women in the organization” (Quotes Daddy, 2010). The predominant organizational

model at Texas A&M University (TAMU) in the Human Resources (HR) department is

an open systems model. An open system model such as this is one has evaluations and

inputs from its environment regarding topics such as procedures, polices and

communications. Supporters of this of approach deem those external relationships just as

important as the internal ones. This factor fosters a relationship of inter-dependence

between the organization and its constituents. Within HR, organizational management

uses the concept of an open systems to construct the best organization possible. By

improving hierarchal relationships, employee learning, and identifying strengths and

weaknesses, business and service objectives can be enhanced.

The university began operating in 1876 and was marked the first public institution

of higher education in the state of Texas. As a research-flagship university, it employs

nearly 8,000 faculty and staff positions. The HR department serves as the hub and focal

point for all matters concerning current employees, prospective employees, and college

department managers.

The HR department recently undertook the mission of establishing goals that set

the bar higher for their customer expectations. These expectations are used as template to

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guide the quality of service within the HR department. In addition, the HR department is

“under” TAMU’s Division of Finance and serves its customers by the being reliable,

responsive, accountable, and open with communications.

The HR department is composed of five sub units; each subunit has assistant or

associate director, a manager, and operational employees.

1. Employee and Organizational Development

The Employee and Organizational Development (EOD) subunit serves its

customers by providing professional development workshops, technology

training, certificate programs, and new employee orientation.

2. Policy and Practice Review

HR’s Policy and Practice Review subunit coordinates the American’s with

Disabilities Act program, unemployment compensation, reduction in force,

and enforces HR policies and regulations.

3. Outreach (Recruitment)

The Outreach subunit is composed of Recruitment and Workforce Planning,

which conducts online employment services, hiring resources, and

background checks.

4. HR Operations

HR Operations department consists of Classification and Compensation,

Employee Relations, and Employee Assistance Program. The Classification

and Compensation unit creates and reclassifies positions, initiates and

completes market salary research, and provides compensation related

workshops. The Employee Assistance Program provides confidential

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counseling to faculty and staff, crisis intervention, and professional

development. Employee Relations consults employees on work-related

concerns, guides on the termination process, and provides discipline guidance.

5. Benefits

Lastly, the Benefits unit provides retirement services, leave administrations,

life insurance, and COBRA administration (continuing health benefits to

terminated employees at reduced rates).

These units react differently toward the organization and towards the environment

depending on their level of readiness. The EOD subunit can view procedures dictated by

the Benefits Unit as cumbersome and time consuming. HR Operations is more concerned

with attracting the right mix for the university rather than focusing on the end budget

result. Demographics

Demographics play a crucial role in both open and closed systems. If allowed, the

human factor can affect service outcomes, which can become unpredictable at best. As

you see in figure one, whites make up the majority of HR staff, while only two

employees are of other ethnicities. Of the total staff, you will see in, figure two, that

women make up the majority. In light of open systems, these facts have applicable effect

on the inputs, transformation process, outputs of products and services in comparison to

the diversity of customers.

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37 Employees 66%

9 Employees16%

8 Employees14%

2 Employees4%

Figure 1: Human Resources Demograph-ics

White not Hispanic

Black not Hispanic

Hispanic

Other Racial

43 Em-ployees

77%

13 Employees23%

Figure 2: Human Resources Gender

FemaleMale

The Bureaucratic Structure

As a service to employees, faculty, and staff, the HR department operates under a

rigorous umbrella of bureaucracy. Each subunit has a unit head, manager, and

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operational employees who complete specialized tasks. As Hoy and Miskel described,

Max Weber’s theory of rational bureaucracy (purposed to achieve a goal through division

of labor with a hierarchy of authority and responsibility) is the predominant center

accomplishing mission critical objectives (2008). As in Weber’s characteristics of

bureaucratic organizations, department employees on all levels experience impersonal

orientation among the group and specialized training in their unit (Hoy and Miskel,

2008). Regardless of the level, hierarchal positions are each motivated differently. Their

differences can often separate managers and employees, while division of labor separates

operational employees. This is a cause for concern for organizational growth and

employee development.

Division of labor and specialization

Subunits in the HR department primarily serve as a specialized service to

employees (faculty and staff), retirees, dependents, liaisons, departments, management,

potential employees, systems offices, and system members. Secondary areas of service

include students, former students, and citizens of Bryan-College Station. Each subunit

divides labor by service specialist. Labor is inordinately specialized and operational

employees seldom learn how to do the work of other areas. For instance, in the subunit

Classification & Compensation, there are two levels of specialization: Classification and

Compensation Analyst and Sr. Classification and Compensation Analyst. The senior

analysts create positions that are more complex. They are also given the more intricate

work; in turn, this position is paid a higher salary.

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Hierarchy of Authority

The Associate Vice President is the chief leader of the HR department, which

includes authority over all subunits. This person ensures that the mission, goals, and all

activities are completed. This is the highest paid position, which has the most

responsibility in this department. This position has the opportunity to execute successful

plans. Seeing these plans execute successfully, continuing employee momentum, and

adding value to the HR department serve as motivational elements for this position.

The Director positions maintain responsibility by establishing direction, goals,

and agendas. This position oversees associate or assistant directors and managers in their

respective subunits. This highly compensated position has the ability to implement and

reach goals, while providing effective oversight of subordinates. Being the informational

expert in their unit and having the ability to lead and direct a group of specialized

employees motivates this position.

The Executive Director plans, directs, evaluates, and reviews HR department’s

operations. This position provides leadership for HR programs established for TAMU

employees and students. This is another well-paid position, which also has status and is

capable of successfully completing their established goals. Their ability to direct, lead,

and see positive results is motivating to this position.

The Associate and Assistant Directors assist the Directors with establishing

direction, goals, and agendas. These positions serve on the department leadership teams

and oversee subunit managers. These positions are compensated on their ability to reach

established goals for their subunits, improving processes, and being proactive; all of

which are motivational tools.

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Managers oversee the day-to-day activities, transactions, and job performance in

their subunits. They are at the core for reaching established goals because they oversee

all specialized operational employees of HR. This level of management is the voice for

operational employees. This position is “sandwiched” between the pressure from

directors and needs from operational employees. Money is not considered the prime

motivation for this position, but rather their ability to carry out day-to-day activities

successfully and meet established goals.

Operational employees (specialized positions) carry out the day-to-day operations

of their subunit. These positions are responsible for being up to date on training in their

area, satisfying customers and management, and completing work effectively, but on

time. Currently this position is more intrinsically motivated. Completing their day-to-

day work, being innovative, and becoming more knowledgeable in their area motivates

this position. While these employees are paid below market value, they are held to the

same standards of their counterparts being paid at or above market value.

Career Orientation

In the HR department, very few employees are promoted or reclassified based on

their achievements. Instead, employees who have been with the organization for a long

period are usually the individuals to get the promotion. There are mediocre efforts

towards professional development. For instance, employees can set aside time during

work to watch free webinars covering their specialization. This department is not a

money-earning unit, but service oriented. Therefore, when budgets are limited; this has

an adverse impact on career orientation and professional development.

Rules and Regulations

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The TAMU Systems Policy & Regulations and the TAMU Rules and SAPs

govern HR. These guidelines order the operation and flexibility of all HR subunits.

Becoming oriented with these guidelines is an integral part of training for all staff.

Because so many technical facts and concepts have to be learned, the cognitive approach

to learning best suites this organization. For instance, new employees usually develop an

informal mentor relationship with a current counterpart. This mentor explains,

demonstrates, and guides the new employee on methods and strategies for incorporating

rules and regulations in their daily tasks. In addition, some employees have created

process maps and mnemonics to remember rules and regulations. According to Hoy and

Miskel, these are all valuable tools for organizations whose dominant learning approach

is cognitive (2008).

Impersonal orientation

The whole conjecture behind bureaucracies is that subordinates have less skill,

information, and knowledge than their managers do. This postulation alone is a

contributor to impersonal orientation among managers and their subordinates. This factor

has a negative effect on productivity, morale, and the ability to reach goals. For instance,

upper level management has weekly “leadership” meetings to discuss events and plans

for the HR department. This information is rarely shared with operational employees,

leaving them fearful and questionable about the status of their jobs and the department.

Strengths of HR

The strengths of the HR’s open system model reflect an organization poised to

develop a deeper commitment towards inclusion at every level. This involves interacting

with their external environment, to include political leaders, economic forecasters,

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societal and technological forces. Through channels such as marketing and

communication, websites, and social network ventures, HR exchanges feedback in order

to adjust processes to reach goals. They are most affective in the Policy and Practice

Review subunit. This is accomplished through a well-trained staff able to keep up-to-

date on every new development and issue in their area. This unit is very efficient when

working together as a team. In addition, managers are open to ideas and issues that affect

their unit. Throughout, HR upper level management is able to report information from

leadership and staff meetings. Instead of using monetarily rewards, they are able to us

flexible scheduling, comp time, administrative leave, and service awards to motivate

employees. The areas that can be further strengthened are Classification and

Compensation, data reporting, and recruitment. The HR department can strengthen

Classification and Compensation by creating a more structured pay system. Data

reporting should be utilized to received feedback from the external environment.

Recruitment can then provide workshops for prospective employees in the areas of

resume writing and interviewing skills. Customers become an integral factor here

because by improving customer service through feedback from surveys, HR is given a

more direct feel for how it affects its environment and ways it can transform to produce

better services.

Weaknesses of HR

The TAMU HR department is not without its faults. The areas requiring the most

attention come from the fact that the university is missing the boat on several key

opportunities. First, more attention needs to be given to recruiting a more diverse group

of faculty, staff, and students. This can be accomplished by a more thorough scanning of

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their environment, researching the application pool, and evaluating hiring practices of

successfully diverse flagship universities. In today’s racially diverse climate, it is biased

to favor one ethnicity over another. Next, the overall budget requires better management.

HR receives funds from the university, which receives some funds from the state. Hoy

and Miskel mentioned that open systems are dependent on their environment (2008). In

this case, the environment is the funding source, which is currently limited and is in the

process of being slashed. Finally, there needs to be a more formal recognition program.

Identifying the need for and developing a formal recognition program is a concern

echoed through the different units within the HR department. In addition to being under

staffed, the Recruitment, Benefits, and HR Operations subunits need to better train both

new and current employees and have better professional development opportunities. The

lack of adequate compensation causes stress, and leaves employees with a lack of

motivation and initiative. Employees have low morale, as they do not feel appreciated.

This lack of motivation has drastically decreased productivity. Employees have little

initiative because they feel they will not be recognized in any form.

This System can be Improved

The TAMU HR department is an advantaged unit. According to Hoy and Miskel,

if they make the most their assets, the organization can be improved (2008).

Management can target specific area assets to foster better working relationships among

units. First, they can develop training designed to teach employees how to work better

among subunits. This will shift the mindset that everyone comes to the table with the

same interpersonal skill set. Studies have shown this to be an inadequate assumption. By

developing training plans tailored to identify gaps between each unit and the overall

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university, they would be able to identify crossing train opportunities and identify

deficient competencies. Next, a deeper examination of the current pay scale and budgets

must be accomplished. This will identify areas that can be monetarily streamlined. The

savings can go towards bringing current salaries up to current economic baselines. They

cannot continue paying Presidents hundreds of thousands of dollars while operational

employees are barley given cost of living increases. Next, management can receive help

from the environment. Management does not fully utilize the environment to tap into

motivation or recognition tools. They can better use the environment to foster an ideal

level of commitment to employees at every level in these two areas. Finally,

communication must be improved, not just between units but also, between different

campuses. They should share good news and bad news, goals and strategies. They can

meet with different campuses and partner together to create goals and problem solve.

Problems faced in the HR department at one campus might have already been solved at

another campus. Without communication, this will never be known. For use as criticism

of open system model: within open systems, there is a strong tendency to assume by

analogy, which can create misconceptions. Assumptions tend to be more theoretical and

often merely reliable outdated ideas, disguised in new vocabulary. Service oriented goals

simply cannot be met with this mentality.

In conclusion, as an open system, HR’s critical missions are constantly under

scrutiny and development by its internal and external environment. To say the least, this

is not a red flag or cause for alarm, instead HR can utilize their external constituents to

improve their processes so that service expectation can always be met. We know this is a

required action and is vital to creating organizational equilibrium (Hoy and Miskel,

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2008). At the end of the day, success is measured by their ability to meet the needs of

customers. These needs are met by constant oversight and evaluation by upper

management. In order for this process to improve, employees (on all levels) not only need

recognition and professional development, but open communication from upper level

management. In addition, the dominant cognitive approach to learning is beneficial to

include in technical training for current and new employees. HR has weaknesses,

including a strong bureaucratic atmosphere, which has hindered growth. By maximizing

their strengths and assets, they have the potential to make needed improvements. These

are requirements for all open systems and will ultimately be the key to this organization’s

survival in such a dynamic, changing environment.

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References

Hoy, W. & Miskel, C. (2008). Educational Administration: Theory, research, and practice

(8th ed.). New York, NY: McGraw-Hill.

Quotes Daddy (2010). Structure Quotes. Quotes Daddy. Retrieved March 9, 2010 from http://www.quotesdaddy.com/tag/Structure/2

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http://www.quotesdaddy.com/tag/Structure/2

Midterm open systems-pj and jzc

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