Mgt 420
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TOTAL QUALITY AND ETHICS AND QUALITY CULTURE ETHICS Ethics is the study of human behaviour within a moral context. Morality refers to the values that are subscribed to and fostered by society in general and by individuals within society. Ethics attempts to apply reason in determining rules of human behaviour that translate morality into everyday behaviour. Ethical behaviour is that which falls within the limits prescribed by widely accepted moral values. The concepts of trust, responsibility, and integrity are part of the value system of total quality. Ethical question are not always black and white; they often fall into a gray area between the two extremes of clearly right and clearly wrong. This gray area may be clouded by personal experience, self-interest, point of view and external pressure. TESTS OF ETHICAL BEHAVIOUR Morning-After Test How will you feel about this behaviour tomorrow morning? Front-Page Test How will you like to see this behaviour written up on the front page of your hometown newspaper? Mirror Test How will you feel about this behaviour when you look in the mirror? Role Reversal Test How would you feel about being on the receiving end of this behaviour? Commonsense Test What does everyday common sense say about this behaviour? THE FIVE P’S OF ETHICAL BEHAVIOUR
Purpose. Individual see themselves as ethical people who let their conscience be their guide and in all cases want to feel good about themselves. Pride. Individual apply internal guidelines and have sufficient self esteem to make decisions that may not be popular with others. Patience. Individuals believe right will prevail in the long run, and they are willing to wait them necessary. Persistence. Individuals are willing to stay with an ethical course of action once it has been chosen and see through to a positive conclusion. Perspective. Individuals take the time to reflect and are guided by their own internal barometers when making ethical decisions. FACTORS THAT INFLUENCE ETHICAL BEHAVIOUR: TRUST AND TOTAL QUALITY Trust is a critical element of ethics, which, in turn, makes ethics critical in total quality. Many of the fundamental elements of total quality depend on trust and ethical behaviour, including communication, interpersonal relations, conflict management, problem solving, teamwork, employee involvement and empowerment, and customer focus. Trust can be built by being loyal to those not present, keeping promises, and sincerely apologizing when necessary. VALUES AND TOTAL QUALITY Values are those core beliefs that guide our behaviour. Individuals and organizations apply their knowledge and skills most willingly to efforts in which their believe. Managers should work to establish an environment in which values that lead to ethical behaviour and values that lead to peak performance are the same. INTEGRITY AND TOTAL QUALITY Integrity requires honesty, but it is more than just honesty. Integrity is a combination of honesty and dependability. People with integrity can be counted on to do the right thing, do it correctly, and do it on time. RESPONSIBITY AND TOTAL QUALITY
Accepting responsibility is part of ethical behaviour. People who pass blame are not behaving ethically. In a total quality setting, people are responsible for their performance. When speaking of their organization, ethical people say ‘we’ instead of ‘they.’ MANAGER’S ROLE IN ETHICS Managers have three main responsibilities: (a) they are responsible for setting an example of ethical behaviour, (b) they are responsible for helping employees make ethical choices, and (c) they are responsible for helping employees follow through and exhibit ethical behaviour after the appropriate choice has been made. APPROACHES TO ETHICS: BEST-RATIO APPROACH The best- ratio approach is a pragmatic approach based on the beliefs that people are basically good, that in the right circumstances they will behave ethically, and that under certain conditions they can be driven to ethical behaviour. Therefore, managers should do everything possible to create conditions that promote ethical behaviour and try to maintain the best possible ratio of good choices to bad choices and ethical behaviour to unethical behaviour. When hard decisions must be made, managers should make the choice that will do the most good for the most people. This approach is sometimes called situational approach. BLACK –AND- WHITE APPROACH With the black- and- white approach, right is right, wrong is wrong, and conditions are irrelevant. The manager’s job is to make ethical decisions and carry them out. It is also to help employees behave ethically regardless of circumstances. When difficult decisions must be made, managers should make fair and impartial choices regardless of the outcome and do the right thing without concern of shortterm circumstances. FULL-POTENTIAL APPROACH With the full-potential approach, decisions made are based on how they will affect the ability of those involved to achieve their full potential. The underlying
philosophy is that people are responsible for realizing their full potential within the confines of morality. Choices that can achieve this goal without infringing on the rights of others are considered ethical. ORGANIZATIONAL’S ROLE IN ETHICS: CREATING AN ETHICAL ENVIRONMENT An organization creates an ethical environment by establishing policies and practices that ensure that all employees are treated ethically, and then by enforcing those policies. One effective way to create an ethical environment is to develop an ethics philosophy with specific guidelines for putting the philosophy into operation, to put it in writing, and to share it with all employees. Managers can play a key role in promoting ethical behaviour on the job by encouraging upper management to develop written ethics philosophies, credos, or guidelines and then by modelling the behaviour they encourage. SETTING AN EXAMPLE Organizations that take the ‘Do as I say, not as I do’ approach to ethics will not succeed. Managers must be able to trust their employers to conduct all external and internal dealings in an ethical manner. Companies that are not pay their bills on time, companies that are pollute, companies that are fail to live up to advertised quality standards or stand behind their guarantees, and companies that are not good neighbours in their communities fail to set a good ethical example. Such companies can expect employees to mimic their unethical behaviour. Finally, in addition to creating an ethical internal environment and handling external dealings in an ethical manner, organization must support managers who make ethically correct decisionsnot just when such decisions are profitable but in all cases.
QUALITY CULTURE A quality culture is an organizational value system that results in an environment that is conducive to the establishment and continual improvement of quality, It consists of values, tradition, procedures, and expectations that promote quality. LAWS OF ORGANIZATIONAL CHANGE: Understand the History Behind the Current Culture. Organizational cultures don’t just happen. Somebody wrote the policy that now inhibits competitiveness. Somebody started the tradition that is now such a barrier. Times and circumstances change. Policies, traditions, and other aspects of the existing culture that now seem questionable may have been put in place for good reason another time and under different circumstances. Don’t Tamper with Systems –Improve Them .Tampering occurs when changes are made without understanding why a given system work the way it does and without fully comprehending what need to be changed, and why. To improve something, you must first understand what is wrong with it, why, and how to go about changing it for the better. Be Prepared to Listen and Observe. It is important to pay attention to both people and systems. Try to hear what is being said and observe what is not being said. Employees who are heard are more likely to participate in changes than those who are not. Involve Everyone Affected by Change in Making It. The most effective way to ensure that employees will go along with changes is to involve them in planning and implementing the changes. Give them opportunities to express their concerns and fears. Getting problems into the open from the outset will allow them to be dealt with forthrightly and overcome. Shoving them aside or ignoring them will guarantee that even little problems become big ones. STRATEGIES FOR HANDLING AND OVERCOMING RESISTANCE TO CHANGE: Involve Potential Resisters
At some point in the process, those affected by changed (potential resisters) will have to take ownership of the change or it will fail. By involving them from the outset in planning for the change, organizations can ensure that potential resisters understand it and have adequate opportunities to express their views and concern about it. This type of involvement will help potential resisters develop a sense of ownership in the change that can, in turn, convert them to advocates. Avoid Surprises Predictability is important to people. This is one of the reasons they resist change. Change is predictable: it brings with it the spectre of the unknown. For this reasons, it is better to bring potential resisters into the process from the outlet. Surprising potential resisters will turn them into committed resisters. Move Slowly at First To gain the support of potential resisters, it is necessary to let them evaluate the proposed change, express their concerns, weigh the expected benefits, and find ways to alleviate problems. This can take time. However, if advocates are perceived as rushing the change through, potential resisters will become distrustful. Start Small and Be Flexible Change will be more readily accepted if advocates start small and are flexible enough to revise strategies that are not working as planned. This approach offer several benefits. Create a Positive Environment The environment in which change takes place is determined by reward and recognition systems and examples set by managers. A reward and recognition system that does not reward risk taking or that punishes employees for ideas that don’t work will undermine change. Sincere attempts to make improvement should be recognized and rewarded even when they fail. Managers should do their share of the work associated with change. This approach will create a positive environment that is conducive to change. Incorporate the Change
Change will be more readily if it can be incorporated into the existing organizational culture. An example might be using an established equipment maintenance schedule to make major new equipment adaptations. Provide a Quid Pro Quo This strategy could also be called require something, give something. For example, change will require intense extra effort on the part of selected employees for a given period of time, offer these employees some paid time off either before or immediately after the change is implemented. Using a quid pro quo can show employees that they are valued. Respond Quickly and Positively When potential resisters raise questions or express concerns, advocates should respond quickly and positively. A quick response can often eliminate the concern before it becomes a problem, and it will show employees that their concerned are consider important. It is also important to respond positively. Work with Established Leaders In any organization, some people are regarded as leaders. The support of leaders is critical. Other employees will take cues from them. The best way to get their support is to involve them in planning for the change from the outset. Treat People with Dignity and Respect This strategy is fundamental to all aspects of total quality. It requires behaviour that acknowledges the human resource as the organization’s most valuable asset. Without this strategy, the others won’t matter. Be Constructive Change is not made simply for the sake of change. It is made for the sake of continual improvement. Consequently, it should be broached constructively from the perspective of how it will bring about improvements. ESTABLISHING A QUALITY CULTURE: Put the Planned Changes in Writing
Changes should be listed without annotation or explanation. For example, if the assessment reveals that customer input is not part of the product development, cycle, the change list would contain an entry such as the following. The product development cycle should be changed so that it includes the collection and use of customer input. Develop a Plan for Making the Changes The plan for effecting change is developed according to the who-what-when-wherehow model. The plan should contain all five elements, and each element should be dealt with comprehensively. However, the plan should be brief. Be comprehensive and through, but keep it as brief as possible. Identify Key People and Make Them Advocates Key people are those who can facilitate and those who can inhibit implementation of the change. These people should be identified, brought together, and given the plan. Allow advocates and inhibitors opportunities to state their cases. Records all concerns and deal with them. Take a Heart and Minds Approach It is important to take the time to deal with the inevitable emotional response that occurs in the early stages of implementation. Open communication is the best strategy. Advocates should allow opponents to voice their concern objections in open forums. When the majority of employees accept the change, critical mass will set in and peer pressure will begin to work on the side of the advocates. Apply Courtship Strategies Courtship is a phase in a relationship that moves slowly but deliberately toward a desired end. During the courtship, the partner hoping to move the relationship forward listen carefully to the other partner and patiently responds to any concerns expressed. This partner is on his or her best behaviour. If advocates think of their relationship with potential resisters as a courtship, they will be better able to bring them along and eventually win them over. Support
This final strategy is critical. It means that the material, moral, and emotional support needed by people undergoing change should be provided. It will go more smoothly if you have someone to help you get started, someone waiting at the other end to encourage progress, and a safety net underneath in case you fall. Support is essential. MAINTAINING A QUALITY CULTURE: Maintain an awareness of quality as a key cultural issue. This is accomplished through the regular dissemination to all personnel of quality goals and the corresponding results relating to these goals. Make sure that there is plenty of evidence of management’s leadership. Managers should provide leadership in strategic planning for quality, serve on quality councils, and be actively involved in the implementation of quality initiatives. Empower employees and encourage self-development and self-initiative. Managers should make sure that jobs are designed for as much self-control as possible, continually seek and use employee input, and encourage self-directed teamwork. Keep employees involved. This means making employees fully empowered members of the quality council, maintaining a system that makes it easy, convenient, and nonthreating for them to recommend improvements, and involving employees in areas such as product or process design review. Recognize or reward the behaviour that tend to nurture and maintain the quality culture. Recognition involves various forms of public acknowledgment. Rewards are tangible benefits such as salary increases, bonuses, incentives, and promotions.
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Purpose. Individual see themselves as ethical people who let their conscience be their guide and in all cases want to feel good about themselves. Pride. Individual apply internal guidelines and have sufficient self esteem to make decisions that may not be popular with others. Patience. Individuals believe right will prevail in the long run, and they are willing to wait them necessary. Persistence. Individuals are willing to stay with an ethical course of action once it has been chosen and see through to a positive conclusion. Perspective. Individuals take the time to reflect and are guided by their own internal barometers when making ethical decisions. FACTORS THAT INFLUENCE ETHICAL BEHAVIOUR: TRUST AND TOTAL QUALITY Trust is a critical element of ethics, which, in turn, makes ethics critical in total quality. Many of the fundamental elements of total quality depend on trust and ethical behaviour, including communication, interpersonal relations, conflict management, problem solving, teamwork, employee involvement and empowerment, and customer focus. Trust can be built by being loyal to those not present, keeping promises, and sincerely apologizing when necessary. VALUES AND TOTAL QUALITY Values are those core beliefs that guide our behaviour. Individuals and organizations apply their knowledge and skills most willingly to efforts in which their believe. Managers should work to establish an environment in which values that lead to ethical behaviour and values that lead to peak performance are the same. INTEGRITY AND TOTAL QUALITY Integrity requires honesty, but it is more than just honesty. Integrity is a combination of honesty and dependability. People with integrity can be counted on to do the right thing, do it correctly, and do it on time. RESPONSIBITY AND TOTAL QUALITY
Accepting responsibility is part of ethical behaviour. People who pass blame are not behaving ethically. In a total quality setting, people are responsible for their performance. When speaking of their organization, ethical people say ‘we’ instead of ‘they.’ MANAGER’S ROLE IN ETHICS Managers have three main responsibilities: (a) they are responsible for setting an example of ethical behaviour, (b) they are responsible for helping employees make ethical choices, and (c) they are responsible for helping employees follow through and exhibit ethical behaviour after the appropriate choice has been made. APPROACHES TO ETHICS: BEST-RATIO APPROACH The best- ratio approach is a pragmatic approach based on the beliefs that people are basically good, that in the right circumstances they will behave ethically, and that under certain conditions they can be driven to ethical behaviour. Therefore, managers should do everything possible to create conditions that promote ethical behaviour and try to maintain the best possible ratio of good choices to bad choices and ethical behaviour to unethical behaviour. When hard decisions must be made, managers should make the choice that will do the most good for the most people. This approach is sometimes called situational approach. BLACK –AND- WHITE APPROACH With the black- and- white approach, right is right, wrong is wrong, and conditions are irrelevant. The manager’s job is to make ethical decisions and carry them out. It is also to help employees behave ethically regardless of circumstances. When difficult decisions must be made, managers should make fair and impartial choices regardless of the outcome and do the right thing without concern of shortterm circumstances. FULL-POTENTIAL APPROACH With the full-potential approach, decisions made are based on how they will affect the ability of those involved to achieve their full potential. The underlying
philosophy is that people are responsible for realizing their full potential within the confines of morality. Choices that can achieve this goal without infringing on the rights of others are considered ethical. ORGANIZATIONAL’S ROLE IN ETHICS: CREATING AN ETHICAL ENVIRONMENT An organization creates an ethical environment by establishing policies and practices that ensure that all employees are treated ethically, and then by enforcing those policies. One effective way to create an ethical environment is to develop an ethics philosophy with specific guidelines for putting the philosophy into operation, to put it in writing, and to share it with all employees. Managers can play a key role in promoting ethical behaviour on the job by encouraging upper management to develop written ethics philosophies, credos, or guidelines and then by modelling the behaviour they encourage. SETTING AN EXAMPLE Organizations that take the ‘Do as I say, not as I do’ approach to ethics will not succeed. Managers must be able to trust their employers to conduct all external and internal dealings in an ethical manner. Companies that are not pay their bills on time, companies that are pollute, companies that are fail to live up to advertised quality standards or stand behind their guarantees, and companies that are not good neighbours in their communities fail to set a good ethical example. Such companies can expect employees to mimic their unethical behaviour. Finally, in addition to creating an ethical internal environment and handling external dealings in an ethical manner, organization must support managers who make ethically correct decisionsnot just when such decisions are profitable but in all cases.
QUALITY CULTURE A quality culture is an organizational value system that results in an environment that is conducive to the establishment and continual improvement of quality, It consists of values, tradition, procedures, and expectations that promote quality. LAWS OF ORGANIZATIONAL CHANGE: Understand the History Behind the Current Culture. Organizational cultures don’t just happen. Somebody wrote the policy that now inhibits competitiveness. Somebody started the tradition that is now such a barrier. Times and circumstances change. Policies, traditions, and other aspects of the existing culture that now seem questionable may have been put in place for good reason another time and under different circumstances. Don’t Tamper with Systems –Improve Them .Tampering occurs when changes are made without understanding why a given system work the way it does and without fully comprehending what need to be changed, and why. To improve something, you must first understand what is wrong with it, why, and how to go about changing it for the better. Be Prepared to Listen and Observe. It is important to pay attention to both people and systems. Try to hear what is being said and observe what is not being said. Employees who are heard are more likely to participate in changes than those who are not. Involve Everyone Affected by Change in Making It. The most effective way to ensure that employees will go along with changes is to involve them in planning and implementing the changes. Give them opportunities to express their concerns and fears. Getting problems into the open from the outset will allow them to be dealt with forthrightly and overcome. Shoving them aside or ignoring them will guarantee that even little problems become big ones. STRATEGIES FOR HANDLING AND OVERCOMING RESISTANCE TO CHANGE: Involve Potential Resisters
At some point in the process, those affected by changed (potential resisters) will have to take ownership of the change or it will fail. By involving them from the outset in planning for the change, organizations can ensure that potential resisters understand it and have adequate opportunities to express their views and concern about it. This type of involvement will help potential resisters develop a sense of ownership in the change that can, in turn, convert them to advocates. Avoid Surprises Predictability is important to people. This is one of the reasons they resist change. Change is predictable: it brings with it the spectre of the unknown. For this reasons, it is better to bring potential resisters into the process from the outlet. Surprising potential resisters will turn them into committed resisters. Move Slowly at First To gain the support of potential resisters, it is necessary to let them evaluate the proposed change, express their concerns, weigh the expected benefits, and find ways to alleviate problems. This can take time. However, if advocates are perceived as rushing the change through, potential resisters will become distrustful. Start Small and Be Flexible Change will be more readily accepted if advocates start small and are flexible enough to revise strategies that are not working as planned. This approach offer several benefits. Create a Positive Environment The environment in which change takes place is determined by reward and recognition systems and examples set by managers. A reward and recognition system that does not reward risk taking or that punishes employees for ideas that don’t work will undermine change. Sincere attempts to make improvement should be recognized and rewarded even when they fail. Managers should do their share of the work associated with change. This approach will create a positive environment that is conducive to change. Incorporate the Change
Change will be more readily if it can be incorporated into the existing organizational culture. An example might be using an established equipment maintenance schedule to make major new equipment adaptations. Provide a Quid Pro Quo This strategy could also be called require something, give something. For example, change will require intense extra effort on the part of selected employees for a given period of time, offer these employees some paid time off either before or immediately after the change is implemented. Using a quid pro quo can show employees that they are valued. Respond Quickly and Positively When potential resisters raise questions or express concerns, advocates should respond quickly and positively. A quick response can often eliminate the concern before it becomes a problem, and it will show employees that their concerned are consider important. It is also important to respond positively. Work with Established Leaders In any organization, some people are regarded as leaders. The support of leaders is critical. Other employees will take cues from them. The best way to get their support is to involve them in planning for the change from the outset. Treat People with Dignity and Respect This strategy is fundamental to all aspects of total quality. It requires behaviour that acknowledges the human resource as the organization’s most valuable asset. Without this strategy, the others won’t matter. Be Constructive Change is not made simply for the sake of change. It is made for the sake of continual improvement. Consequently, it should be broached constructively from the perspective of how it will bring about improvements. ESTABLISHING A QUALITY CULTURE: Put the Planned Changes in Writing
Changes should be listed without annotation or explanation. For example, if the assessment reveals that customer input is not part of the product development, cycle, the change list would contain an entry such as the following. The product development cycle should be changed so that it includes the collection and use of customer input. Develop a Plan for Making the Changes The plan for effecting change is developed according to the who-what-when-wherehow model. The plan should contain all five elements, and each element should be dealt with comprehensively. However, the plan should be brief. Be comprehensive and through, but keep it as brief as possible. Identify Key People and Make Them Advocates Key people are those who can facilitate and those who can inhibit implementation of the change. These people should be identified, brought together, and given the plan. Allow advocates and inhibitors opportunities to state their cases. Records all concerns and deal with them. Take a Heart and Minds Approach It is important to take the time to deal with the inevitable emotional response that occurs in the early stages of implementation. Open communication is the best strategy. Advocates should allow opponents to voice their concern objections in open forums. When the majority of employees accept the change, critical mass will set in and peer pressure will begin to work on the side of the advocates. Apply Courtship Strategies Courtship is a phase in a relationship that moves slowly but deliberately toward a desired end. During the courtship, the partner hoping to move the relationship forward listen carefully to the other partner and patiently responds to any concerns expressed. This partner is on his or her best behaviour. If advocates think of their relationship with potential resisters as a courtship, they will be better able to bring them along and eventually win them over. Support
This final strategy is critical. It means that the material, moral, and emotional support needed by people undergoing change should be provided. It will go more smoothly if you have someone to help you get started, someone waiting at the other end to encourage progress, and a safety net underneath in case you fall. Support is essential. MAINTAINING A QUALITY CULTURE: Maintain an awareness of quality as a key cultural issue. This is accomplished through the regular dissemination to all personnel of quality goals and the corresponding results relating to these goals. Make sure that there is plenty of evidence of management’s leadership. Managers should provide leadership in strategic planning for quality, serve on quality councils, and be actively involved in the implementation of quality initiatives. Empower employees and encourage self-development and self-initiative. Managers should make sure that jobs are designed for as much self-control as possible, continually seek and use employee input, and encourage self-directed teamwork. Keep employees involved. This means making employees fully empowered members of the quality council, maintaining a system that makes it easy, convenient, and nonthreating for them to recommend improvements, and involving employees in areas such as product or process design review. Recognize or reward the behaviour that tend to nurture and maintain the quality culture. Recognition involves various forms of public acknowledgment. Rewards are tangible benefits such as salary increases, bonuses, incentives, and promotions.
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