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Managing People with OzTeam

Our participative/supportive managing process provides for people throughout the enterprise to participate in decisions which affect their work, to the extent to which they are equipped and ready to do so.

Then managers at all levels support their staff in the achievement of the agreed objectives and plants.

When this process is applied throughout the enterprise, and it involves the operating staff in the analysis and improvement of their work, substantial improvements in cost effectiveness can result.

The following public statements describe the benefits being derived by clients worldwide, from our participative/supportive improvement approach when fully implemented throughout the organisation.

B.H.P.

Mr Gordon George,the finance manager with Australian Iron and Steel, spoke to a gathering of Canberra's top public service executives about the participative program in the laboratories and officers of BHP, highlighting;

  • cost reductions in excess of 30%

  • staff participation

  • improved supervision

EXTRACT

“The program introduced employee participation, particularly in relation to methods and working conditions.

People at all levels have self-expression and assistance in putting their suggestions forward.

The program permits delegation of responsibility for productivity, and motivation improvement, to front-line supervisors and operating staff. The senior management role is supportive and their involvement essential.

Reversing the ideas flow.

My studies in the United States reveal that it takes two years to push an idea from the top of a large organisation to routine acceptance at the workplace – some ideas never make it.

It therefore seems to me to make sense if we can have ideas starting at the workplace and flowing up through the organisation.

This is one of the most important aspects of our participation process, that operating staff are encouraged to develop their own ideas for improvement.

Client – consultant relationship

In the case of BHP there was no doubt that the program and system belonged to the client from the start. The function of the consultant is to make the client self-sufficient and capable of continuing the program without further consulting assistance.

The consultant had a training and guiding function and we had no problem in clearly understanding our separate roles.”

STANDARD TELEPHONES AND CABLES LTD

Mr Frank Whitehouse, director of industrial engineering, STC Ltd, spoke to a luncheon gathering of 70 senior executives about our approach to participation in improvement, stating;

  • productivity increases of 42 per cent in the office

  • reduction of costs of quality by 35%

  • improved communications at all levels

  • supervisory development.

EXTRACT

“This is a supervisory development programme with high participation on the part of first-line supervisors and operating staff. I believe this will ensure permanent improvement and avoid the problems we have had previously.

The program has been so popular with the line and staff people that we have continued this year, and we now have some nine improvement teams working on major cost areas of the company and we have made substantial cost savings in the productivity area and in the cost of quality area.

I believe the overall programme concept is a powerful tool for change and provides a major breakthrough.”

A.M.P.SOCIETY

Mr Alan King, manager – Administration of the AMP Society, addressed a group of senior executives from Sydney's leading insurance companies, about our programme of participative improvement at AMP. He stated that the society had achieved;

  • greater motivation of staff

  • improved management skills

  • productivity improvement of 20% (to be further increased to 43%)

  • an increase in awards to staff for suggestions rising from $6772 per annum to $40,965 per annum in two years.

EXTRACT

“I cannot stress to strongly that in my view the staff relations side is paramount. This, and the technique of handling people within the program, is what we in AMP bought from the consultants, having been unable to find anyone else who could point us in this direction as well as they did.”

LONDON TRANSPORT AUTHORITY.

The London transport authority reported in The Financial Times of London about our participative improvement program.

  • The savings of between one third and one half of typed documents.

  • Productivity improvements in excess of 20%

  • *strong trade union support

EXTRACT

“London transport O Isand M Department established from a pilot study that clerical productivity could be increased by an average of one third. When the program was fully implemented, office effectiveness has improved by as much as two thirds.

These results would not be possible without the blessing of the trades union. But George Graves, Line Secretary of the Transport Salaried Staff Association believes that the rationalisation program is 'equitable and democratic'.

It offers his members more job satisfaction, cutting out repetitive work, and, through increased productivity, leads to higher gradings. 'No redundancies' is part of the deal.”

LEVER BROTHERS,U.K.

A letter was sent from the UK to all Lever Brothers companies worldwide endorsing the participation program, and announcing productivity gains of 35% at Port sunlight.

Extract.

“Implementing the savings identified has not presented any difficulty, being mainly absorbed by normal wastage, and further potential saving still exist. The supervisory control of clerical resources has been greatly improved and board support for the scheme justified.”

NATIONALE NEDERLANDEN NV

One of Europe's largest insurance companies published their results in the journal International Management.

The results of the program.

  • 73% increase in premium income and investment revenue over three years with no increase in staff numbers.

  • Better service to customers.

  • Reduced delays and idle time

  • Improvement of middle management skills.

Extract from “International Management” article.

“Senior managers also feel that the exercise has helped to create an atmosphere in which people feel their potential is being fully utilised. This is reflected, they say, in lower labour turnover and absenteeism. “Employees are also now more organisation minded. They appreciate better how procedures in their departments affect other departments and how their own departments in turn are affected by others. The company also believes that middle managers have improved as a result of the exercise. They now see more clearly the need to distinguish between their managerial responsibilities and routine clerical tasks with which managers tend to get themselves involved.”

PRIVATE PATIENTS PLAN

This UK hospital service Organisation published its results of a participation programme in the journal Business Administration.

Benefits included –

  • 60 per cent increase in productivity

  • Reduction in duplication of effort

  • Involvement of supervisors and staff in improving their own work.

Extract from the journal article

“.......they prefer working in a situation where there are performance standards and goals to aim for. They are now more highly motivated.

There are constant examples of this in the efforts of supervisors to ensure that their departments reach their targets. When their workload slumps, they pressure management will try to take on work from other sections to meet their performance goals.”

NORTH WESTERN ELECTRICITY BOARD,U.K.

The board wrote up its results in the Journal of the Institute of Directors, highlighting –

  • reduction in staff turnover from 43% to 25 per cent

  • productivity gains of 49 per cent

  • staff involvement and support

Extract from the 'Director.'

“One of the attractions of the consultant's method of working is that they systematically worked themselves out of a job. Not only has this the advantage that consulting costs are circumscribed, but also the program becomes wholly the client's own baby.

Indeed the emphasis in this process is to involve staff from the outset – at every level – so that staff understand the program, identify with it, and want it to succeed. It is their program.

As an indication of the overall acceptance of the new working conditions, the manager for the Manchester area, Mr Kennett Whittle pointed to his area's recruitment figures. Previously as many as 43% of clerical staff had to be replaced each year; this figure had dropped to 31 per cent in the first year and then to 25% in the second year after the program.

This program was written up in the Journal Office Methods and Machines, showing –

  • Productivity gains from 25 British firms employing five and a half thousand staff of 31%

  • High levels of staff acceptance

  • Union officials support for the program

Extract from the journal.

There is no question of having an outside organisation supplying a set of recommendations and then leaving. The employees who run the improvement program stay with the company, and ensure the perpetuation of the savings.

UNITED NATIONS.

The Sydney morning Herald features the introduction of a participatory of improvement programme to the United Nations headquarters in New York, against strong competition from all leading international consulting companies.

Extract from the article.

Sydney management consultants, have won a seven-month contract to improve staff efficiency at United Nations headquarters, New York. They gained the contract against competition from European and US companies.

The UK Journal, The Banker on wrote an article about our participation programs with such clients as –

  • Barclays bank, Manufacturers Hanover trust, Yorkshire Bank, Hambros, Hill Samuel, and some 15 other banking organisations in Europe.

  • Mentioning productivity improvements of 20-25% and staff participation

Extracts from 'The Banker.'

“The more participative approach can provide several benefits important to the long-term health of any organisation as labour-intensive as a bank. Apart from the productivity improvements of 20-25%, increased job interest results from the opportunity to exercise management initiative and judgement, and experience a first taste of management disciplines for staff, who are after all, the future source of the bank's management.”

NRMA INSURANCE LTD.

NRMA has on four separate occasions reported to groups of senior executives, in Sydney and Melbourne, upon their results from a participative improvement program, mentioning –

  • The involvement of all staff

  • The excellent response from middle management and departmental supervisors

  • Productivity gains exceeding 30%.

Extract from the report.

“One of the most striking things that has happened in our company has been the change in attitude of the supervisors and staff to their jobs.

We present them with the challenge of rethinking their jobs, of determining their own targets for labour effectiveness, and of reporting on these targets in quantitative terms.”

Improving Results and Job Satisfaction Through Participation

List of Clients

A growing number of public and private bodies, in Australia and New Zealand, have introduced the Participation in Improvement programs. They include:-

  • A. M. P. Society ++

  • Alcoa of Australia Limited

  • Ansett Transport Industries

  • A. P. D. Snack Foods Pty. Ltd.

  • Associated Securities Limited

  • Australian Eagle Insurance Co Ltd.

  • Australian Iron and Steel Pty Ltd. ++

  • Bank of New Zealand Ltd.

  • Boans Limited

  • Bradmill Industries Ltd. ++

  • Broken Hill Proprietary Co. Ltd. ++

  • Ciba-Geigy Australia Ltd.

  • Colonial Mutual Life Assurance Society Ltd ++

  • Commercial Banking Co. of Sydney Ltd. ++

  • Data Bank Systems Ltd. (New Zealand)

  • Department of Supply – Canberra

  • Email Ltd.

  • Government Insurance Office (NSW)

  • Greater Pacific General Insurance Ltd.

  • John Lysaght (Australia) Ltd.

  • Motor Registration Branch (Victoria)

  • Mount Newman Mining Co. (WA)

  • Mutual Life & Citizens Assurance Co. Ltd.

  • National Bank of New Zealand

  • National Mutual Life Association of Australasia Ltd ++

  • N. R. M. A. Insurance ++

  • Nationwide Food Services Ltd.

  • Nestle Co. (Australia) Ltd.

  • Perpetual Trustee Ltd. ++

  • The Perpetual Executors and Trustees Association of Australia Limited

  • P & O Lines of Australia Pty Ltd. ++

  • QANTAS Airways

  • Roche Products Pty. Ltd. ++

  • Standard Telephones & Cables Pty. Ltd. ++

  • State Advances Corporation (New Zealand)

  • South British United Insurance Group

  • T & G Mutual Life Society Ltd.

  • Tubemakers of Australia Ltd.

  • Department of Veteran Affairs (Canberra)

  • W. A. Government Railways

  • Waltons Limited

British Clients

The use of the participation in improvement program expanded rapidly in Britain.

In some cases the programs were introduced on the recommendations of previous clients in Australia. For example, Qantas recommended the program to B. O. A. C. In the majority of instances, however, recommendations were from one British client to another.

Clients include:

  • Alcan Industries Ltd.

  • Baker Perkins Ltd. ++

  • Bostik Ltd.

  • British American Tobacco Co Ltd. (Wiggins, Teape Ltd.)

  • British Titan Products Co. Ltd.

  • British United Shoe Machinery Co. Ltd.

  • Brooke Bond Oxo Ltd.

  • Brookhirst Igranic Ltd.

  • Cadbury Schweppes Ltd.

  • Crittall-Hope Ltd. ++

  • C. Davidson & Sons Ltd.

  • Dickinson-Robinson Group Ltd. (Adhesive Tapes Ltd.)

  • Gallaher Ltd.

  • Granada TV Rental

  • Guest, Keen & Nettlefords (Screws & Fasteners) Ltd.

  • Imperial Tobacco Group Ltd.

  • W.D. & H.O. Wills

  • John Player & Sons ++

  • Ogdens Branch

  • Player & Willis (Ireland) Ltd.

  • I. P. C. Magazines Ltd.

  • Laporte Industries Ltd.

  • Littlewoods Mail Order Stores Ltd. ++

  • Massey-Ferguson Holdings Ltd. (Perkins Engines Group Ltd.)

  • Molins Ltd.

  • Nashua Copycat Ltd.

  • Pitney-Bowes Ltd.

  • Stone-Platt Industries Ltd. (Platt International Ltd., Accrington)

  • Readicutt International Ltd.

  • Reckitt & Colman Ltd.

  • Rolls Royce Ltd. (Bristol Engine Division)

  • Rose Forgrove Ltd.

  • Rowntree-Mackintosh Ltd. (Rowntree & Co. Ltd.)

  • I. T. & T. Corporation (Standard Telephone & Cables Ltd.)

  • Trust House Forte Ltd. (Joseph Terry & Sons Ltd.)

  • Unilever Ltd.

  • Lever Bros. Ltd.

  • Elida Gibbs Ltd.

  • Westland Aircraft Ltd. (Westland Helicopters Ltd.)

  • Williams & Woods Ltd. (Willwood Group) – Ireland

  • Department of the Environment (Ministry of Transport)

  • Department of Trade & Industry (Board of Trade)

  • Ministry of Defence

  • Agricultural, Horticultural & Forestry Industry Training Board

  • National Inspection Council for Electrical Installation Contracting

  • British Overseas Airways Corporation ++

  • London Transport Executive

  • North-Western Electricity Board

  • South-Eastern Electricity Board

  • The Post Office – Telecommunications Dept.

  • Barclays Bank Ltd.

  • Chelsea Building Society

  • Lloyds & BOLSA International Ltd. (Bank of London & South America Ltd.)

  • The Chartered Bank

  • Clydesdale Bank Ltd.

  • Hambros Bank Ltd.

  • Hill Samuel Registrars Ltd.

  • Manufacturers Hanover Trust

  • National & Grindlays Bank Ltd.

  • The Royal Bank of Scotland Ltd.

  • United Dominions Trust

  • Yorkshire Bank

  • Canada Life Assurance Co.

  • Clerical, Medical & General Life Assurance Ltd.

  • Crusader Insurance Co. Ltd.

  • Lloyds of London

  • National Mutual Life Association of Australasia Ltd.

  • Pearl Assurance Co. Ltd.

  • Scottish Amicable Life Assurance Society

  • Sun Alliance & London Assurance Group

  • Sun Life Assurance Co. of Canada

Continental Europe

In Belgium, France, Holland, Ireland, Switzerland and Germany, an increasing number of organisations have introduced participation in improvement programmes.

In Holland, for example, clients include

  • Albert Heijn N. V. (Supermarket Chain)

  • Algemene Bank N. V.

  • Algemene Nederlandse Wielrijders Bond (Royal Dutch Touring Club)

  • Amsterdam-Rotterdam Bank N. V.

  • De Nederlandsche Bank N. V.

  • ENKA N. V. (Industrial Group)

  • Fokker Aircraft Co. ++

  • Kas Associatie N. V. (Bankers)

  • Nationale Nederlanden N. V. (Insurance Company)

  • Nederlandsche Middenstandsbank N. V..

Introduced Participation in Improvement Programmes – Pakistan, Phillipines

In Pakistan

Pakistan International Airlines (recommended by Qantas) ++

In Phillipines

San Miguel ++

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