Post on 16-Apr-2017
“Harmony is a constant stream of evolution, a constantly changing vocabulary and syntax.”
Rogers Sessions
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Effects of Discord in the Organizational StructureInternal Environment
Effects of Discord in the Organizational Structure
Financial and Human Asset Costs
©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Harmony
Business Strategy
Internal EnvironmentProcess
With the business spheres in “harmony” corporate assets and resources are enabled to perform at optimum levels.
Harmonizing: Strategy, People, and Process
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3
Effects of Discord in the Organizational Structure
"Harmony" in an Organization
• When an organization has “harmony” there is:
Open and honest communication Strong work ethic combined with strong team spirit Respect for each other Healthy / productive conflict productive debates People work towards the same strategic goals
©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational Structure
Strategies are properly implemented because of strengthened interpersonal infrastructures; increasing overall productivity.
©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
• Cultural tone of an organization
• Human Resource Structure - an entity's people.
Effects of Discord in the Organizational Structure
5
Harmony
Business Strategy
Internal EnvironmentProcess
When analyzing the HR structure we look at;
• the social work environment in which people operate
• their integrity and ethical values, and
• if talent and capacities are correctly being used.
©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Impact of Human Resource Discord on:
• Organizational Work Culture
• Human Resource Succession Planning
• Operation Costs
• Effects on your Employee’s Health
• Effects on your Workforce
Effects of Discord in the Organizational Structure
6
Harmony
Business Strategy
Internal EnvironmentProcess
7 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
Effects of Human Resource Discord on the Organization’s Work Culture
Macro Level
Inhibits the owners/CEO’s positive work values and principals from being replicated throughout the company
Creates a distance between the main decision maker and the Organization’s workforce
Creates illusion of betrayal by senior management
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Effects of Discord in the Organizational StructureInternal Environment
Effects of Human Resource Discord on the Organization’s Work Culture – cont’d
Mezzo-Level
Erodes employees trust and loyalty towards senior level management
Dissolves level of confidence in senior management’s leadership capabilities
Creates an environment of undermining and espionage between workforce and management
9 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
Effects of Human Resource Discord on the Organization’s Work Culture – cont’d
Micro-Level
Creates silos within business units and teams
Weakens and dissolves inter-company support networks
• Lessens knowledge-sharing and team-learning behaviors
Diminishes the workforce’s contributions of creativity, decision making, and risk taking behaviors
10 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
Disgruntled Employees
• Mistreatment from co-worker/management
Employee Trust/Loyalty Diminished
• Employee reveals proprietary information
Impacts Corporate Intelligence
• Undermines risk management
Organization’s Work Culture: illustration where undermining and espionage is occurring
Leaves
• Employees speak negatively about poor leadership and management
Impacts Corporate Integrity
• New desirable talent avoids employment with company
• Workforce speaks negatively about experiences to others in industry
Impacts Company Branding
• Company develops negative reputation
Stays
• Strategy not implemented through employees actions
Impact Strategic Planning
• Impedes “process”
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Effects of Discord in the Organizational StructureInternal Environment
Effects of Human Resource Discord on Succession Planning
As a result:1. Decision makers may be shielded from identifying proactive and
valuable resources/assets.2. Improper promotions / demotions hinder succession planning
strategies3. Improper performance reviews hinder corporate & employee development
If a discordant individual is conducting employee performance reviews, decision makers may receive biased information that impedes succession planning.
12 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
Senior Management / Manager (Discordant Individual)
Impacts Succession Planning• Improper promotions /
demotions hinder succession planning strategies
• Loss of talent access; innovative and creative thinkers leave from lack of opportunity
Impacts Human Resources• Improper performance
reviews hinder:• Corporate growth• Team’s confidence and
esteem development• Employee development• Workforce motivation
Impacts Strategic Planning• “DM” shielded from
identifying valuable employees.
• “DM” not able to assess organizations actual capacities
Inaccurate Team Evaluations Poor Performance Reviews
Discordant individual is conducting evaluations and reviews - impedes Succession Planning & impacts strategic planning
Decision Maker (DM)
Access to direct communication with
Operation Costs:
Discord in the HR Structure
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Effects of Discord in the Organizational StructureInternal Environment
When HR assets are inappropriately managed, the business incurs hidden operation cost.
- a recent survey of 9,000 federal employees indicated that 42 percent of female and 15 percent of male employees reported being harassed within a two-year period, resulting in a cost of
more than $180 million in lost time and productivity.
Michael H. Harrison, Ph.D
Harrison Psychological Associates (Orlando Business Journal March 2002)
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Effects of Discord in the Organizational StructureInternal Environment
HR Discord between four employees in a six month period
1. Distracted Team/Employee Time $28,000
2. Opportunity cost of Distracted / Unproductive time $14,000
3. Impact of Diminished Decision Making $120,000
4. Terminated/Resigned employees $50,4001
5. Employee Restructuring $8,000
6. Intellectual and Property theft/damage $0.002
7. Diminished Motivation $11,200
8. Unproductive Work Time $1,792
9. Employee Health Costs $1,120
Total cost of only one conflict $234,5121 Assumes one of the $40k employees resigned; conflict played typical role.2 Illustration makes conservative assumption that this factor did not incur cost.
The below Illustration of hidden operation cost are taken from an independent case study by Dr. Dan Dana: “Cost of Conflict”
Effects on Employee Health
Mental and Physical
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Effects of Discord in the Organizational StructureInternal Environment
Effects on Individual and Team Health: Mental and Physical
The effects of mistreatment extend beyond direct targets to include witnesses; impacting the financial resources allocated for health benefits, insurance and sick leave.
General Health Questionnaire (GHQ ) and Occupational Stress Indicator (OSI) instruments enable us to assess the mental and physical results of stress.
• GHQ results; scores of 4 and above are level which may imply need for screening for psychiatric treatment.
• Occupational Stress Indicator (OSI) scores measure physical symptoms of neurological stressors
18 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
The findings show “Currently” bullied are well above the need for psychiatric treatment.
• n=553• UMIST - Destructive Conflict and Bullying at Work, Sponsored by the British Occupational Health Research Foundation (BOHRF); April 2000; By Helge Hoel &
Cary L Cooper; Manchester School of Management.
5.6
44
3.7
39
2.8
34
0
5
10
15
20
25
30
35
40
45
CurrentlyBullied
Previously WitnessBullying
Mental (GHQ score) Physical (OSI score)
Bullying and Health Outcomes
Occasionally Bullied
(Rarely/monthly)
Regularly Bullied(Weekly/Daily)
Mental GHQ Score 5.45 6.68
Physical OSI score 43.26 46.34
Effects on Individual and Team Health: Mental and Physical – cont’d
Atonal Team Environment:
Effects on your Workforce, Operation Cost, Productivity and Customer Service
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Effects of Discord in the Organizational StructureInternal Environment
31.2%
11.2%
54.9%
14.8%
31.2%
0
10
20
30
40
50
60
Individual Individual andseveral other work-
colleagues
Everyone in workgroup
UMIST UNISON
Research shows: One individual most often is NOT
the only target. Entire workgroups report being
mistreated and bullied.
UMIST n= 5,288 UNISON n=761UMIST - Destructive Conflict and Bullying at Work, Sponsored by the British Occupational Health Research Foundation (BOHRF); April 2000; By Helge Hoel & Cary L Cooper; Manchester School of Management. (2nd numbers based on UNISON, 1997 study via UMIST study)
When inappropriate work behavior is allowed to continue; The disruptive individual targets more employees
resulting in decreased employee self-esteem, health, and productivity
Effects on your Workforce
21 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
Effects on your Operation Cost
Macro• Loss of competitive edge
• Loss current and future profitability
Mezzo• High turnover of employees
• Replacement costs
• New/post-employee training cost
Micro• Distracted time cost
• Higher rate of sick time & benefits usage
• Insurance premiums increase
22 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
Diminished Production and Productivity Levels• Lost production time results in lower productivity;
• Employees report they loose work time “due to rude workplace behaviour directed toward them.”1
• Organizations who manage people well, outperform those who don't by 30 to 40%.2
A Weakening of Customer Service Quality:• Customer service suffers when employees are harassed at work:
• Their loyalty diminishes • They view the company as not protecting them from the disruptive
employee, as a result, the other employees take frustrations out on clients.3
Effects on your Productivity and Customer Service
1. American Psychological Association; survey of 1,500 workers, 750 said they lost time from work: “due to rude workplace behaviour directed toward them.”2. Canada’s Safety Council3. Orlando Business Journal
Resolving Discord
in the
Organizational Structure
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Effects of Discord in the Organizational StructureInternal Environment
Discord in the Organizational Structure
Discord and negative dissonance in the work environment impacts not only the target but also:
• Organizational Work Culture
• Human Resource Succession Planning
• Operation Costs
• Employee Mental & Physical Health
• Team Environment
25 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
When an organization identifies and successfully addresses these issues inside of their workforce they:
• Increase communication, productivity, and production• Preserve a positive work culture
• Instill a sense of trust and accountability of senior management
• Create a work culture that incubates innovative and creative teams who share knowledge and are solution oriented
• Retain desirable talent and limit turn-over cost
Resolving Discord in the Organizational Structure – cont’d
26 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
Resolving Discord in the Organizational Structure – cont’d
When the three business spheres are “retuned” into harmony, resources are stimulated into performing at optimum levels.
Harmony
Business Strategy
Internal EnvironmentProcess
“Our mission is to encourage organizations to strengthen their interpersonal infrastructures”
Parris, Wolfe & Associates’ consultants each have specific areas of expertise, and years of experience to back up their knowledge.
We work directly with senior management and production staff to facilitate team building, and resolve intra-office discord and dissonant
Human Resource issues prevalent in a company
To learn about our services please visit www.businessaccountability.com
or call us directly.
Parris, Wolfe & Associates416-548-4237
Thank you for your timeTamara Parris & John Wolfe
28 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
Sources1. 2003 Report on Abusive Workplaces; by Gary Namie, Ph.D.; October, 2003. The Workplace Bullying &
Trauma Institute (WBTI)
2. UMIST - Destructive Conflict and Bullying at Work, Sponsored by the British Occupational Health Research Foundation (BOHRF); By Helge Hoel & Cary L Cooper; Manchester School of Management; April 2000.
3. Harrison Psychological Associates; Workplace bullying's high cost: $180M in lost time, productivity; Orlando Business Journal - March 15, 2002 by Liz Urbanski Farrell; March 2002 http://orlando.bizjournals.com/orlando/stories/2002/03/18/focus1.html?t=printable
4. UNISON (1997) Bullying at work: Bullying survey report. London; by UNISON.; 1997
5. Bullying at work: Epidemiological findings in private and public organisations. European Joumal of Work and Organizational Psychology, 5, 185–201.; by Einarsen, S. Skogstad, A.; 1996
6. The incidence of workplace bullying. Journal of Community and Applied Social Psychology, 7, 249–255.; by Rayner, C.; 1997
7. Bullying in the Workplace. by Canada’s Safety Council; September 2000; http://www.safety-council.org/info/OSH/bullies.html
8. Proudfoot Productivity Report, An international study of company-level productivity. by Proudfoot Consulting; 2006
9. Dana Measure of Financial Cost of Conflict; by Dr. Dan Dana 1999, 2006
10. FASTOH project, Queensland University of Technology, Australian Maritime Safety Authority; 1996
Effects of Discord in the Organizational StructureInternal Environment
Appendix
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Effects of Discord in the Organizational StructureInternal Environment
Appendix 1
GHQ-12 Items• Able to concentrate • Lost much sleep• Playing useful part• Capable of making decisions• Under stress• Could not overcome difficulties• Enjoy normal activities• Face up to problems• Feeling unhappy and depressed• Losing confidence• Thinking of self as worthless• Feeling reasonably happy
The General Health Questionnaire (GHQ) screens for non-psychotic disorders and is available in the following versions: GHQ-60: the fully detailed 60-item questionnaire, GHQ-30: a short form without items relating to physical illness, GHQ-28: a 28 item scaled version – assesses somatic symptoms, anxiety and insomnia, social dysfunction and severe depression, GHQ-12: a quick, reliable and sensitive short form – ideal for research studies•created by Dr. David Goldberg & used world wide
31 ©2007 Parris, Wolfe & AssociatesParris.research@gmail.comCanada: 416-548-4237
Effects of Discord in the Organizational StructureInternal Environment
Key elements of OSI scores(Occupational Stress Indicators)
Sources of Pressureat Work
Sources of JobSatisfaction
Mental and Physical Health
• Factors intrinsic to the job • Managerial role• Relationships with others• Career and achievement• Organisational structure• Home/work interface
• Achievement, value & growth
• Job itself • Organisational design• Organisational processes• Personal relationships
• Mental ill health• Physical ill health
Australian Maritime Safety Authority, 1996