Comparative study of high-involvement and non-involvement management
A comparative study between the positive and negative aspects of both high-involvement and non-involvement management styles. Pointing out how one strategy may be used over the other based on a company’s management needs. Determining which management style plans works in the short term and which works best in the long term. Non-involvement management primarily works best in the short term. This management style does not spend money on extensive training of employees which increases capital in the short term on the company’s balance ...view middle of the document...
This frees up middle and upper management to work on innovative strategies to keep ahead of competitors. This management strategy is achieved in a five step process; selective hiring, extensive training, decision power, information sharing and incentive compensation.
In a non-involvement structure the decision making authority is handled by upper management and implemented by middle management. Lower management and associates are not empowered to make decisions on daily operations. Upper management has to ask questions for example, whether workers want to participate in management decision making or if management wants to allow lower level managers to carry out daily management level decisions like approving vacation time, in order to decide the level of non-involvement strategy to use.
Determining which management style to use is based on how management plans their short term or long term strategies. Costs can be reduced in the short term by using non-involvement management which does not invest in their people capital. Success for a company can be achieved in the long term by using high-involvement management which invests in the employees from management to associates. It is a matter of purpose and goals.
High-involvement management is effective when the following combinations are used; selective hiring, extensive training, decision power, information sharing and incentive compensation. Selective hiring is a product of taking samples of large amounts of applications and reviewing them with specific selective requirements. “Large pools of applicants are built through advertising, word of mouth, and internal recommendations. Applicants are evaluated rigorously using multiple interviews, tests, and other selection tools. Applications are selected of skills and fit with culture and mission.” (Hitt, Miller, & Colella, 2011, p. 27). “In 1993, for example, Southwest Airlines received about 98,000 job applications, interviewed 16,000 job applications, and hired 2,700.” (Pfeeffer & Veiga, 1999, p. 40) Any company that plans on success will want to put forth the effort to hire the right people for the right positions.
Extensive training for new hires is required or they cannot be expected to perform jobs to the expected levels. Asking a new hire to perform without a scope or direction could lead to issues, so in a high-involvement structure proper training is expected. “New associates and managers are thoroughly trained for job skills through dedicated training exercises as well as on-the-job training. They also participate in structured discussions of culture and mission. Existing associates and managers are expected or required to enhance their skills each year through in-house or outside training and development. Often, existing associates and managers are rotated into different jobs for the purpose of acquiring additional skills.” (Hitt, Miller, & Colella, 2011, p. 27). Socialization into the culture of...