POM's Final Presentation

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    THE LEGAL LIMITATIONS

    TO SELF-DIRECTED WORK

    TEAMS IN PRODUCTIONPLANNING AND CONTROL

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    GROUP MEMBERS

    Jawairia Arshad

    Faryal Gilani

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    PURPOSE

    The purposes of this article are:

    To examine the legal limitations of usingemployee teams in production planning andcontrol.

    To provide a set of guidelines productionmanagers can use in implementing employeeteams.

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    BACKGROUND

    Dumond concluded that the use of employeeteams is a key component to TQM success. All

    successful companies in his study reportedusing functional employee teams.

    Tatikonda and Tatikonda further concluded:

    Flat organizations, empowerment, cross-disciplinary and cross departmental efforts areessential for TQM success

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    BACKGROUND

    Teams can range from a quality circle on oneend to a self-directed work group on the otherhand.

    Quality circle:

    Small group of people

    Meet frequently

    Uncovering and solving problems

    Concerning quality, process capability, andprocess control

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    EMPLOYEE TEAMS AND CASE LAW

    Whether an employee participation programwould violate the NLRA would depend on:

    Would the team be considered a labororganization under Section 2(5) of the Act

    If so, does the employer dominate that labororganization according to Section 8(a)(2)

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    IS THE TEAM A LABOR

    ORGANIZATION?

    According to NLRB, there are four criteria:

    1. Employees participation

    2. The organization purports to representothers

    3. Purpose of the organization4. Concerns of the organization

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    EMPLOYEES PARTICIPATION

    Under NLRA:

    Supervisors are excluded from being an

    employee [Section 2(11)] It is possible that all members of a team are

    treated as supervisors

    If this is the case, section 2(5) will not even

    apply Managerial employees are also excluded

    from being employees [Section 2(11)]

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    THE ORGANIZATION PURPORTS

    TO REPRESENT OTHERS

    A TQM team is considered a labororganization if it represents other

    employees.

    If all of a companys employees are

    organized into teams, the team will notconstitute a labor organization under theAct.

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    PURPOSE OF THE ORGANIZATION

    The purpose of the organization is to deal withemployers.

    In NLRB dealing with means if a group ofemployees discusses things with the employer,then the dealing with requirement is likely to besatisfied.

    Oneexception:If the team has the authority toresolve employment-related problems on its own,the dealing with element is likely to be absent.

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    PURPOSE OF THE ORGANIZATION

    Is the team able to take action withinformation provided to management, or is

    the team required to ask permission to takethe action?

    If the former is true, the team is not to be alabor organization.

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    CONCERNS OF THE

    ORGANIZATION

    If the team deals with matters other thanworking conditions that are:

    Wages Grievances

    hours of employment etc.

    Then, it is not a labor organization.

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    DID THE EMPLOYER DOMINATE,

    INTERFERE WITH, OR SUPPORT THE

    TEAM?

    YES- violation of the section 8(a)(2) of the Act.

    NO- no violation of section 8(a)(2) of the Act.

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    OBSERVATIONS AND

    CONCLUSIONS

    Firstly,

    If the purpose of using teams is to solveproblems, then it is legal

    If the purpose is to dissuade formation of aunion, then it is illegal.

    Secondly,

    Empowerment means empowerment that is:

    The team has the responsibility to make the

    changes by its own actions.Management must not hold veto power over

    those actions, but team may keep managementinformed.

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    OBSERVATIONS AND

    CONCLUSIONS

    Finally, limit the scope of the team'sresponsibility to accepting the current

    working conditions.

    Managers must be aware that the law is

    constantly evolving because the Board orCourt will not interpret or apply the sameway every time.

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    QUESTIONS