THE HUMAN FACTOR PROBLEM AND POST-FORDISM

ANTONIOS KANIADAKIS
of Arts
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ABSTRACT
This thesis is about the Human Factor Problem ( H F P ) ,
that is, the need to manaqe/control/coordinate people, and
to incorporate them efficiently into particular settings
and environments provided by specific systems and models of
social and economic organization. Here the HFP is examined
in relation to the area oE work and more specifically, the
case of the automobile industry (AI). The HFP, in its
present form, c d n be identified throuqh some current issues
a d debates regarding recent developments in the systern of
o r g a n i z a t i o n of work . In other words, the attempt of post-
Fordist management to solve the HFP has generated'
discussion among scholars regarding the socio-econornic
implications of this attempt, in relation to workers, firms
and to society as a whole. These issues and debates refer
to workers' skills, democratization of the workplace and
empowerment of the workers, union-management relationship,
workplace surveillance, productivity and job satisfaction.
Data, drawn £rom various case studies on the ?I and from
relevant government reports and statistics, conclude that
the successful attempt for resolution of the HFP is
dependent upon various contingency factors, such as
workers' interpretation of the post-Fordist system, wages,
the degree of union involvement in the shop floor, the
degree of intensity of the tasks, the degree of autonomy
that workers experience, regional characteristics and other
particularities.
ACKNûüZE-S
There are a few i n d i v i d u a l s involved i n t h i s thes is ,
d i r e c t l y o r i n d i r e c t l y , which 1 would l i k e t o thank. These
i n d i v i d u a l s a r e : my f i r s t and second s u p e r v i s o r s D r . Elia
Zureik and D r . David Lyon, my professors D r . Annette
Burfoot, D r . Roberta Hamilton and D r . Bart Simon, and my
close f r i e n d s Nicolas V a z i n t a r i s , P e t e r Diavolitsis and
Yiota Taumpa. 1 would also like t o thank D r . Bob Pike who
helped me dur ing my f i r s t days i n Kingston.
Spec iâ l thanks t o my p r o f e s s o r s frorn the Unive r s i ty o f
Cre te Dr. Minas Samatas and D r .
i nva luab le suppor t .
Last, but not Least , 1 WOU
and e s p e c i a l l y rny mother Eirini
Maria Kousis f o r ~ h e i r
I d like to thank rny Eamily
Kaniadakis, who h a s mosc
p a t i e n t l y t o l e r a t e d my absence from Greece.
This thesis is ded ica ted to the memory of my f û t h e r
Konstant inos, whose s p i r i t has always been t h e g r e a t e s t
source of knowledge and d i g n i t y , and aLso t o my beloved
nephews Manos, Konstant inos, Giorgos, Konstant inos II, and
t o my sweet newborn niece Beba.
iii
2.1. TECHNOLOGY AND SOCIETY 8
2.2. TECHNOLOGY AND NORK 19
2.3. EVOLUTION OF WORK ORGANIZATION SYSTEMS 23
2.4. POST-FORDISM 3 1
3. THE H m FACTOR PROBLEM, CURREElT ISSUES AND SOCIETY 39
3.1. SKILLS 39
3.4. SURVEILLANCE AND PRIVACY 5 2
3-5 - PRODUCTIVITY 5 5
3.6. JOB SATISFACTION 5 7
3.7, THE HUMAN FACTOR PROBLEM AT THE LEVEL OF SOCIETY 6 I
4. THE HIIMAN FACTOR PROBLEM AND THE GLOBAL AUTO INDUSTRY 72
4.1. AUTOMOBILE INDUSTRY - THE MODEL INDUSTRY 73
4.2. HISTORY AND PROFILE OF THE GLOBAL AUTO INDUSTRY 76
4 -3 . SKILLS AND AUTO INDUSTRY 86
4.4. DEMOCRATIZATION & EMPOWERMENT IN THE AUTO INDUSTRY 96
4-5- UNION-MANAGEMENT RELATIONSHIP IN THE AUTO INDUSTRY 100
4 . 6 . SURVEILLANCE, PRIVACY AND THE AUTO INDUSTRY 106
4 . 7 . PRODUCTIVITY AND THE AUTO INDUSTRY 1 0 9
4 . 8 . JOB SATISFACTION AND AUTO INDUSTRY 112
4 .9 . CONCLUSIONS I l 6
5. CONCLUSIONS 119
BIBLIOGRAPRY 12 9
This t h e s i s is about the management of the human
factor in the context of the new technology in the
manufacturing sector. In particular 1 want to assess the
claims of post-Fordisrn,
organizztions (orqanized in a specific way, with certain
objectives), and product of t h e industrial revolution and
of the capitalist mode of production. T h e i r ultimate
organizational goal is to increase rheir profits and tu
maintain their existence. Technology is a very important
factor in the o p e r a t i o n of rnanufacturing industries, and
since the foundütions of capitalism technology has played a
significant role in the transformation and evolutlon of
rnanufacturing. Technology, for manufacturing industries, is
a t o o l that h e l p s t h e m achieve their goals. This is the
context in which technoloqy is viewed by t h i s kind of
economic organization.
Traditionally, a major problern of the manufacturing
industries was and remains what we will be r e f e r r i n g to as
the Human Factor ~ r o b i e m (HFP) . Bow can industrial fims
manage/coordinate/control the human factor, that is to Say,
t h e workers, and integrate them Fnto the production p r o c e s s
i n such a way t h a t t echnology w i l l a ch i eve t h e d e s i r a b l e
r e s u l t s . However, t h e HFF does n o t o n l y r e f e r t o t h e
o r g a n i z a t i o n o f work i n manufactur ing i n d u s t r i e s , b u t it
r a t h e r r e f e r s t o t h e t o t a l i t y o f s o c i a l and economic l i f e .
I t is a g e n e r a l problem of s o c i a l and economic o r g a n i z a t i o n
o f a l 1 k inds o f s o c i e t i e s throughout h i s t o r y .
A f t e r t h e i n d u s t r i a l r e v o l u t i o n and t h e r ise of
c a p i t a l i s m , t h e HFP a p p e a r s more i n t e n s e and more complex.
Thus, w e w i l l p rov ide a s o c i o - h i s t o r i c a l a n a l y s i s of t h e
development and e v o l u t i o n of manufactur ing i n d u s t r i e s ,
w i t h i n t h e above c o n t e x t , d a t i n g back t o t h e i n d u s t r i a l
r e v o l u t i o n , We can s e e what s t r a t e q i e s i n d u s t r i e s ' a p p l i e d
i n o r d e r t o s o l v e t h e problern of managing humans. I n o t h e r
words, w e wish t o f i n d o u t how t h e s e i n d u s t r i e s managed
workers i n o r d e r t o make t h e b e s t o u t o f technology. For
example, i n t h e d i f f e r e n t phases of t h e c a p i t a l i s t mode of
p roduc t ion , what methods of c o n t r o l were used t o manage
i n d u s t r i a l workers? How d i d w e proceed from Tay lo r ' s
" s c i e n t i f i c management" t o p o s t - F o r d i s t management
t e chn iques?
Our a n a l y s i s w i l l b e informed by t h e d i s c u s s i o n about
t h e s o - c a l l e d major s o c i o t e c h n i c a l " r evo lu t ions" caused by
t h e e x p l o s i o n i n t h e development o f new in fo rma t ion
t e c h n o l o g i e s and t h u s , w e will d i s c u s s t h e t r a n s i t i o n s t o
different, more technologically advanced, industrial
production paradiqms. We will see how new sophisticated
technology, together with the general "humanization" of
management, has changed the processes and strategies of
integrating and controllinq workers into the production
process.
Therefore, with the coming of post-Fordism, alongside
the information technology revolution, we are experiencing
the realignment of hman management- Post-Fordism appears
to have a solution to the problem posed by the human
factor. More specifically, che post-Fordist proyram
promises to address issues such as skilling/de-skilling;
productivity, workplace democratization, surveillance/
relations. The post-Fordist paradigrn claims to produce
positive outcomes regarding the above issues. In other
words, the introduction of new technology and new
management techniques appears to contribute to the
upskilling of workers, increases in productivity, the
democratization of the workplace through the introduction
of new organizational models of production process (team-
work, self-management etc.), an increase in job
satisfaction, protection of the worker's privacy and the
encouragement of cooperation with unions. Al1 these claims
appear very appealing to both corporations and workers. If
we consider these claims together with the actual practices
that manufacturing industries follow, such as re-training
of the workers, transfer of workers to different positions,
introduction of team-work, re-organization of production
process etc., we will be able to evaluate the attempts
being made to solve the HEP, as well as the different level
at which management is now exercised, Therefore, the
assessment of the attempt of post-Fordist manâgement CO
solve the HEP can be achieved through close examination of
the current issues and debates that rise from that attempt.
The investigation of the issues above can give an answer to
whether or not post-Fordist management is successful, and
also point to the implications resulting from management's
attempt to solve the HFP for workers, firms and for society
as a whole.
fact calls for their more efficient integration and control
within the framework of the whole production process.
Unlike technology, which is relatively controllable, the
human factor is seen as needing special treatment in order
to becorne amenable to control. In this sense, we may argue
that manufacturing industries require a particular type of
worker, with s p e c i f i c c h a r a c t e r i s t t c s and q u a l i t i e s , which
management s t r a t e g i e s t r y t o c r e a t e . Th i s type of r e q u i r e d
worker seems t o change whi le t h e p r o d u c t i o n paradigms and
t h e management s t r a t e g i e s a l s o change throughout h i s t o r y ,
b u t t h e a c t u a l g o a l remains t h e same: t o f i n d ways for t h e
most e f f i c i e n t i n t e g r a t i o n of t h e worker i n accordance with
t h e l e v e l s of technology t h a t c h a r a c t e r i z e t h e va r ious
i n d u s t r i a l p roduc t ion systerns.
A basic element of t h e no t ion of management is t h a t of
power. Power, however, has t o be e x e r c i s e d i n a way t h a t i s
l e g i t i m a t e , t h a t is CO Say, t o a c h i e v e desirable levels o f
a u t h o r i t y . The whole d i s c o u r s e t h a t has been developed
about t h e new methods o f management (empowerment o f t h e
workers, more autonomy, end of b o r i n g and r e p e t i t i v e t a s k s ,
e t c . ) , that is t o Say, t h e whole p o s t - F o r d i s t program a s i t
is presented above, p rovides such a promise f o r
Legi t imat ion . O f course, w e must n o t i g n o r e the
c o n t r i b u t i o n of t h e union movernents i n the i n d u s t r i a l
t r a n s f o r m a t i o n and t h e humanization o f management.
T h i s t h e s i s w i l l examine how manufac tur ing i n d u s t r i e s ,
i n l i g h t of t h e t e c h n o l o g i c a l development and t h e coming of
post-E'ordism, have t r i e d t o solve t h e problem o f managing
t h e human f a c t o r and t r a n s f o m i n g it i n t o p r o f i t a b l e human
capital f o r t h e c o r p o r a t i o n . 1s management s u c c e s s f u l 7
Whether it i s o r no t , t h e s u r e t h i n g is t h a t p o s t - F o r d i s t
practices moved t h e t a s k o f managing workers a t a
d i f f e r e n t , more i n d i r e c t ( n o n - a u t h o r i t a r i a n } level . We w i l l
c o n s i d e r , i n p a r t i c u l a r , t h e c a s e of t h e auto i n d u s t r y
(AI)
For t h e purposes of this r e s e a r c h p r o j e c t we w i l l draw
v a r i o u s examples from t h e Canadian case and from o t h e r
developed wes te rn c o u n t r i e s .
Our d a t a will be based on secondary s o u r c e s and
a l ready e x i s t i n g d a t a , such a s case studies, government
r e p o r t s and s t a L i s t i c a l measures trom v a r i o u s c o u n t r i e s ,
most ly Erom North h e r i c a and Europe.
T h i s t h e s i s c o n s i s t s o f t h r e e major and one conc lud ing
c h a p t e r s . The f irst c h a p t e r d e a l s wi th the n a t u r e of
technology and i t s r e l a t i o n t o s o c i e t y and work. Tt a l s o
i n c l…