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The meaning of employee engagementfor the values and roles of
the HRMfunctionJ. Arrowsmitha & J. Parkeraa School of
Management, Massey University, Auckland, NewZealandPublished
online: 05 Mar 2013.
To cite this article: J. Arrowsmith & J. Parker (2013) The
meaning of employee engagementfor the values and roles of the HRM
function, The International Journal of Human ResourceManagement,
24:14, 2692-2712, DOI: 10.1080/09585192.2013.763842
To link to this article:
http://dx.doi.org/10.1080/09585192.2013.763842
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The meaning of employee engagement for the values and roles of
theHRM function
J. Arrowsmith* and J. Parker
School of Management, Massey University, Auckland, New
Zealand
Employee engagement has become a dominant part of the vocabulary
of humanresource management (HRM), yet there has been little
investigation of the implicationsof this for HRM in organisations.
This article analyses a case study of an initiative atNew Zealand
Post designed to improve the engagement and performance of
supervisorystaff. It makes two important contributions to the
development of the nascent literature.First, it suggests that
effective engagement initiatives require political astuteness
andcommitment on the part of HR. This is because they require a
clear business casefocused on performance, not merely engagement
itself, and an evidence-basedapproach to design and implementation.
This potential appears to be furthered by thecommonly observed
restructuring of HRM into a business partner role. Second,
apurposive approach to employee engagement involves HR
interrogating theemployment relationship to address fundamental
issues of employee voice, workdesign and management agency. This
can introduce complications, and resistance, intothe partnership
with management, but it also offers a means to reconcile
soft(employee-centred) HRM values to hard (performance) concerns
around specificchange management initiatives. Employee engagement
thus need not constituteunitarist subterfuge, but rather something
of a neo-pluralist turn in the values andactivities of HRM.
Keywords: business partner; employee engagement; human resource
management;neo-pluralism; pluralism; strategic HRM; unitarism
Introduction
Employee engagement (EE) is now a vital and everyday part of the
vocabulary of human
resource management (HRM), used to articulate its core goals and
activities to both the
workforce and to senior management. Yet, there is very little
empirical research into how
HR managers understand EE; how they develop and implement EE
strategies; and what
implications all of these might have for the HR function itself.
This paper makes a
contribution to the development of this nascent literature
through a case study of one such
initiative at New Zealand (NZ) Post. It does this in two ways
that are new. First, it explores
the potential implications of EE for HR values. It argues that
the meaningful pursuit of EE
involves an approach predicated on an understanding of the
problematic nature of the
employment relationship and an emphasis on the articulation of
worker voice. In this way,
HR is not simply following a unitarist agenda to win hearts and
minds in pursuit of
management goals around performance (though, of course, this
superficial approach might
well be the case in other contexts). Rather, the study suggests
that HR activities around EE
might involve a certain degree of advocacy for employees who can
challenge
assumptions and practices around work organisation and
management agency. The pursuit
q 2013 Taylor & Francis
*Corresponding author. Email: [email protected]
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of EE may thus combine elements of hard (performance-oriented)
and soft (employee-
oriented) HRM, which we interpret as a form of neo-pluralism.
Second, the case study is
used to explore the nature of EE in terms of HRM roles. Here, it
is argued that the
commonly observed restructuring of the HR function into a
business partner relationship
with management provides HR professionals with greater scope to
devise and implement
relevant EE strategies through the business. This is best served
by an evidence-based
approach in which EE is articulated to management as a means to
improve cost, revenue
and/or quality as well as an important goal in its own right. It
is also observed that though
significant change initiatives are likely to encounter
resistance at various levels, successful
outcomes further the credibility of HR as a strategic
partner.
The term employee engagement now routinely pervades the
discourse of HRM
across the English-speaking world, yet it was virtually unheard
of a decade or so ago. The
explosion of professional interest reflects HRs important but
largely intuitive notion that
organisational success depends on effective people management,
and by implication, HR
strategies and practices, and that staff perceptions are
valuable indicators of this.
Furthermore, EE data, which can be related to other measures
such as labour productivity,
appraisals, absence and retention, form part of the growing
portfolio of HR metrics. This
is linked to the utilisation of increasingly sophisticated HR
technologies to better market
functional relevance and internal credibility. From without the
organisation too, EE has
been vigorously promoted by local and international HR
consultancies, such as Gallup,
Towers Perrin, Deloitte, Mercer and Hewitt.
The measurement of engagement usually rests on employee attitude
surveys, and as
such is sometimes used as a novel, catchy label that covers
traditional concepts, such as
satisfaction and commitment (Bakker and Leiter 2010, p. 182).
Certainly, as Mike Emmott
(2010, p. 40) of the UK Chartered Institute of Personnel and
Development (CIPD)
observes, the recent upsurge of interest in employee engagement
. . . on the face of it
owes little to academic research or thinking. The common
practitioner understanding is
that EE involves employee enthusiasm for the organisation and
the job beyond what might
normally be expected. Engaged employees possess a high degree of
cognitive and
affective commitment, which manifests itself in desired
behavioural outcomes in short,
they go the extra mile in exercising discretionary effort
(Daniels 2011). It is also
recognised in the practical HR literature that EE is a
collective activity (focusing on work
groups not just individuals) and a two-way street (employees
must feel valued if they are
to add value). This is because EE is essentially a product not
just of personal traits but also
of context employee perceptions of the organisation, their
working conditions and the
quality of management (Craig and Silverstone 2010).
Understandably, much of the practitioner focus is on the drivers
of EE. According to
the CIPD, the key factors are job autonomy, support and
coaching, feedback, opportunities
to learn and develop, task variety and responsibility, which
contribute to a culture of trust
and respect (Daniels 2011). These dynamics basically concern job
quality and good
leadership (JRA 2007). The former relates to intrinsic
motivators, such as the work offering
a sense of achievement, as well as decent pay and benefits. The
latter depends on good line
management that is, supportive supervision, two-way
communication, effective
performance management that sets clear goals and recognises
contribution, and employee
coaching and development (MacLeod and Clarke 2009).
This conception of EE has attracted growing interest in recent
years from academic
psychologists concerned with employee motivation and well-being
(Jeung 2011). A
growing consensus has emerged, as in the practitioner
literature, that EE offers
something new in integrating satisfaction and commitment with
behaviour (Saks 2006;
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Robertson-Smith and Markwick 2009). For example, Nohria,
Groysberg and Lee (2008,
p. 80) see EE as the energy, effort, and initiative employees
bring to their jobs, which is
differentiated from, whilst related to, satisfaction (the extent
to which they feel that the
company meets their expectations at work and satisfies its
implicit and explicit
contracts) and commitment (the extent to which employees engage
in corporate
citizenship). In short, an employee may feel well satisfied in
his or her job and be well
disposed to the organisation, without necessarily translating
this into levels of effort and
performance that surpass typical expectations.
In contrast to this attention from psychologists, and
notwithstanding the active concern
of HR professionals, there remains very little interest or
research on EE from HR and
employee relations scholars (Robinson, Perryman and Hayday
2004). This is not to say
that the themes of EE are unexplored within analyses of, say,
the psychological contract
(Guest and Conway 2004), high-performance or high-commitment
work systems
(Wood 1999; Appelbaum, Bailey, Berg and Kalleberg 2000), but an
explicit focus on EE is
rare. For example, of a recent clutch of authoritative
collections in the field (Storey 2007;
Blyton, Bacon, Fiorito and Heery 2008; Boxall, Purcell and
Wright 2008; Storey, Ulrich,
Welbourne and Wright 2009; Wilkinson, Bacon, Redman and Snell
2010), only the latter
addresses EE specifically and the others make no reference to
the term at all. There is,
therefore, an absence of research concerning important issues,
such as (1) HR
understanding of EE, (2) the formulation and implementation of
EE strategies by HR and
(3) how these are received and with what effects by actors, such
as senior and local line
management and trade unions, as well as employees, within
organisations. Given the
widespread utilisation of EE concepts and discourse by HR, this
is a major research gap.
This paper explores these issues by examining an HR initiative
at NZ Post. The explicit
objective of the HR project was to improve the engagement and
leadership ability of the
organisations supervisors, and thereby (hopefully) the
engagement and performance of
the workforce. The case study examines how the HR function
defined its approach to EE,
which drew on practitioner and academic literatures, and
developed and implemented its
strategy. The results have two sets of implications that are
likely to be of wider relevance.
First, effective EE initiatives can involve a significant degree
of workplace transformation,
which implies that they are most likely to succeed when
Brockbank and Ulrichs (2009)
three conditions for strategic HRM (SHRM) are met, namely
business knowledge, change-
management capability, and well-designed and delivered HR
basics. In contrast to the
expectations of some of the literature (see below), this may be
facilitated by a business
partner role where HR has a collaborative relationship with
management.
Second, and more fundamentally, in problematising EE even,
indeed especially, in
lower-skill work HR may be driven to critically examine the
employment relationship,
thus refocusing beyond immediate functional concerns to address
wider issues of work
design and management agency. Hence, it is argued that the
pursuit of EE may represent
something of a neo-pluralist turn by HR because, taken
seriously, it involves seeking and
utilising employee perspectives to effect change in the
management and organisation of
their work. This involves much more than simply offering
technical services to
management in pursuit of a unitarist agenda, even if the process
is largely predicated
(or internally marketed) around mutual gains.
In the next section (HRM and employee engagement), we briefly
review literature to
locate the potential relevance and implications of EE in the
concept and practice of HRM.
Section three (Methods and context) outlines the research
methods and contextualises the
case. This is followed by the results, a discussion section
which sets out key issues for
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future research, and conclusions, which draw out the wider
implications for HR and its
relationship with management.
HRM and employee engagement
As noted above, EE is of growing interest to academic
psychologists, largely stimulated by
debate over how it should be defined and differentiated from
conventional measures. The
term was fairly unknown until Kahn (1990) used it specifically
to describe workers who
were highly absorbed in the performance of their work. It gained
traction when Maslach
and Leiter (1997) referred to engagement as the polar opposite
of burnout, a term which
also, incidentally, crossed over from the popular to academic
psychological literature. The
influential Utrecht team also define and operationalise
engagement in this way (Schaufeli,
Salanova, Gonzalez-Roma and Bakker 2002; Schaufeli and Bakker
2010). Others see it as
the converse of alienation or apathy and detachment from work
(e.g. May, Gilson and
Harter 2004). Common to these approaches, however, is the
importance of job demands
and job resources, not just personal characteristics, in shaping
attitudes and behaviours at
work. Still, the novelty of engagement, and conflation with a
range of well-established
constructs, such as organisational commitment, job satisfaction,
involvement, work flow,
and extra role and organisational citizenship behaviours, means
that it remains an
ambiguous and contentious concept. As Macey and Schneider
explain
The notion of employee engagement is a relatively new one . . .
engagement is a concept witha sparse and diverse theoretical and
empirically demonstrated nomological net therelationships among
potential antecedents and consequences of engagement as well as
thecomponents of engagement have not been rigorously
conceptualized, much less studied.(2008, pp. 34)
Of course, such conceptual concerns do not readily trouble HR.
The fundamental appeal of
EE for HR managers is its behavioural as well as attitudinal
focus on performance. What
distinguishes engagement from concepts such as satisfaction and
commitment is its
grounding in performance outcomes, and it is a (people-centred)
concern with business
performance that largely distinguishes HRM from its previous
incarnation as personnel
management (Guest 1989). Whereas personnel management was
largely seen as a support
function providing administrative, employee welfare and conflict
resolution services to
management, HRM is keen to market its value-added and strategic
contribution in pursuit
of goals such as employee commitment, flexibility and quality.
EE offers both a concept
and a set of metrics for HR to utilise to this end.
We might infer that the implications of this will vary according
to HR values and
structure, as well as of course organisational context and
business strategy. In terms of
values, this can be informed by the long-standing distinctions
between soft and hard
HRM, and unitarist and pluralist approaches. Simply put, a hard
approach to HRM
serving an unitarist agenda might be expected to adopt a very
different take on EE than
one in which employee concerns are viewed as a legitimate
priority in their own right.
Structure refers to the positioning of the function within the
organisation. Most relevant
here is the increasing reorganisation of HRM into business
partner arrangements and
what this means for its role and focus. These two sets of issues
are now briefly considered
in turn.
HRM values
The term unitarism, as originally used by Fox (1974, p. 135),
refers to employer
strategies of trade union avoidance based on and justified by an
ideology of a unity of
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interests between employers and employees (with one source of
authority and leadership
but one focus of loyalty). The contemporary notion of
managerialism refers more
broadly to the assertion of managerial rights, goals and
prerogatives without the need for
meaningful employee involvement (Clarke and Newman 1997). In
contrast to these
conceptions, a pluralist management approach sees the
organisation as a coalition of
interest groups over which management presides in an
authoritative but not authoritarian
manner, recognising employee rights (Fox 1974, p. 10).
For academics, it was almost axiomatic that unitarism was one of
the defining features
of HRM as it emerged in the 1980s when a seismic shift was
taking place between labour
and capital (Mueller and Carter 2005, p. 369). As Janssens and
Steyaert put it
HRM is impregnated by a unitarist approach to managing the
employment relationship. HRMseems to take for granted that
employees well-being and organizational goals can always bealigned
and that managers, employees, and HR professionals will all work
collaborativelytowards a common goal of efficiency and high
performance levels. (2009, p. 145)
A similar charge is often levelled at the academic study of HRM
too. According to
Delbridge and Keenoy, mainstream HRM research is heavily
dominated by a
managerialist agenda geared towards best practice
prescription:
the fundamental shift involved the replacement of a pluralist
framing of the issues inwhich the employment relationship is
understood to involve and articulate differentialinterests with a
unitary framing of the issues in which all members of an
organisationare assumed to have mutual interests. (2010, p.
802)
In contrast, a more critical approach to HRM and the management
of labour focuses on
the structured antagonism inherent in the employment
relationship (Edwards 1986). This
acknowledges that whilst there is a mutual dependency between
employer and workers,
employment is also characterised by conflicting goals and
interests and is fundamentally
based on unequal power relations. Unlike in the unitarist or
managerialist view, both
motivation and control, and cooperation and conflict, are normal
features of employment
in the critical or pluralist approach.
As it happens, this idea is certainly not foreign to HR
practitioners, who continually
contend with the organisational paradoxes and contradictions of
managing commitment
and insecurity, empowerment and control (Legge 2007, pp.
115116). Empirical
research also shows that HR managers are well aware of the
realities of different interests
and contests in the organisation, not just between management
and labour but also
between different levels and functions of management. To take
one example, Vickers and
Fox (2010, p. 899) note how HR practice is a highly political
management process that is
not always wholly congruent with the immediate objectives and
values of the business.
Related to the distinction between managerialism and pluralism
is the idea of hard or
soft HRM (Truss, Gratton, Hope-Hailey, McGovern and Stiles
1997). The centrality of
the employee in engagement suggests that it might naturally be
informed by the latter, and
its themes of employee commitment and mutual gains can be traced
back to the human
relations school in the 1930s (Godard and Delaney 2000).
However, at another level, EE
may be seen as a conflation of hard and soft HRM, emphasising
both the human and the
resource dimensions. First, in terms of outcomes, HR initiatives
are focused on
performance and on demonstrating the HR contribution to the
business. There is,
therefore, some resemblance to Legges (1995, p. 35)
characterisation of utilitarian
instrumentalism in terms of goals. Yet, in terms of process, EE
necessitates a focus on
employee commitment and capabilities, drawing on a developmental
humanism that
emphasises the importance of respect, trust and voice at work.
EE thus may be seen as an
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instance of what Watson (2004, p. 455) refers to as hardsoft
HRM, in which employee
concerns are to a certain extent recognised and addressed to
further broader and longer-
term corporate goals.
From this, we can hypothesise that EE may be perceived by HR in
two ways. In the
unitarist vision, it is largely unproblematic, involving the
identification and resolution of
obstacles to the natural order of harmony in the workplace. This
might involve careful
attention to recruitment and selection and interventions around
reward schemes,
management training and the like. For those of a more pluralist
disposition, the pursuit of
EE is much more complex and dynamic, and the outcome uncertain.
It involves a
commitment to better understanding and managing the employment
relationship within
specific contexts, with a premium on analysis and action around
employee concerns
(Purcell 2012).
HRM role
One of the most remarkable developments in HRM practice in
recent years is the
separation of advisory and strategy roles from its operational
and administrative
dimensions (CIPD 2003). This largely involved the development of
business partner
arrangements that may take the form of internal consultancies
(Wright 2008). Though the
effects of this have not been fully researched, two alternative
outcomes for EE might be
anticipated. First, the new structures marginalise
employee-focused activities as HR
becomes fragmented and dedicated to a business-driven agenda of
competitive advantage
(van Buren, Greenwood and Sheehan 2011). In this view, the
business facing facets of
HRM discursively swamp other concerns, notably about employee
well-being and HRs
role in and responsibility for securing it (Keegan and Francis
2010, p. 874). Alternatively,
employee focus or advocacy may be complemented by the increased
status and influence
introduced by business partnership, even if its discourse may
not find a ready audience
with management (Ulrich and Brockbank 2005). In this scenario,
HR has to be more
sophisticated and politically astute in how they address
employee concerns, or more
precisely, how they reconcile this to the competitiveness
agenda. Roche and Teague
(2013, p. 1354) recently found that even in recession HR
managers were at ease blending
a business partner role with a more traditional employee
advocacy role. However, it
remains unclear how far and under what conditions the
restructuring of the HR function
along business partner lines serves to restrict or permit the
pursuit of EE-related
initiatives.
There is thus a clear need for research into the politics of EE
in organisations. The
research questions for this study are specifically concerned
with how the HR function
conceives of EE, and how its strategies and policies are
developed and implemented in
practice. It is also concerned with the implications of this for
our understanding of HR
values and structure in practice.
Methods and context
The research is based on a case study of a HR change initiative
at NZ Post. Case studies are
well established as an important tool for exploratory research,
contributing insights or
hypotheses to an emerging research agenda (Hartley 1994).
Similarly, in summarising and
looking forward from a recent edited collection of EE research,
Bakker and Leiter (2010,
p. 193) note that management intervention studies hold the
greatest potential for theory,
research and practice. This is because a focus on
interrelationships and processes can
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provide a conceptual richness that cross-sectional surveys
cannot deliver. With this in
mind, this research investigates the dynamics of developing,
implementing and evaluating
a particular HR initiative focusing on EE and performance (the
management intervention)
in a case study setting the delivery business of NZ Post, and in
particular, its most
important pilot implementation site.
The research was conducted between 2009 and 2011 and was mainly
based on 12 face-
to-face interviews and a review of relevant documentation. The
interviews included HR
and line managers who were involved in the design and roll out
of the programme (two
with the relevant Head Office HR manager, one with a regional HR
manager and two with
branch managers at the case study site). Interviews were also
conducted with six team
leaders (TLs) at the pilot site, and we were also able to
informally talk to employees on two
workplace visits. The management interviews lasted between one
hour and two and half
hours, and the employee interviews lasted for around 45 minutes
each on average. All but
the first two (gatekeeper) interviews were recorded and
professionally transcribed. In
addition, managers responded to supplementary queries by email
and telephone. The
documentary data included a post-implementation review of the
initiative prepared by the
group HR and business managers; work organisation templates;
role descriptions;
implementation and accreditation guideline documents; and
research evidence from
internal surveys and interviews of TLs and shop floor staff.
The generation and analysis of the data involved a process of
triangulation in which
each of the constituent elements spoke to each other. For
example, the initial informal
interviews with senior management led to the provision of
documentation that helped
refine the research agenda and in particular the development of
the management interview
schedules. These two sets of data also helped form the basis for
subsequent interviews with
employees from which we could compare the two sets of accounts.
Remote contact with
managers also helped to clarify details arising from the
interviews and documentation.
Because the research used a relatively small set of respondents
and was based on semi-
structured interview schedules, it was possible to manually code
and analyse the interview
notes and transcripts, and to reconcile these with the other
data sources.
In case study research, which makes claims for analytical rather
than statistical
generalisation, it is important to clearly establish the context
for the research problem
under consideration (Yin 2009). As in most developed nations,
the NZ postal service is one
of the countrys oldest, largest and most familiar institutions.
It dates back to the 1840s,
and was run as a government department until becoming a
state-owned enterprise (SOE)
in 1987. The State-Owned Enterprises Act 1986 obliges SOEs to
act both commercially,
as a successful business . . . as profitable and efficient as
comparable businesses that are
not owned by the Crown, and as a good employer, with personnel
policies and practices
necessary for the fair and proper treatment of employees in all
aspects of their
employment. NZ Post is currently one of NZs largest commercial
organisations, with
more than 11,000 employees and a further 7000 employed in
affiliated operations.
The company has been profitable since its incorporation as an
SOE, during which time
it has returned more than NZ$1 billion to the state in taxes and
dividends. A significant
part of its success owed much to early restructuring, on
becoming an SOE, to improve the
efficiency and culture of the organisation, accompanied by
investment in new mail centres
and technology (Toime 1997). Also important was a consistent
policy of cooperation with
the union that achieved significant change through negotiation
(Pfeffer 1998, p. 243;
Elcano, Reisner, German and Cernshaw 2002). A recent major
example of negotiated
change is the introduction of a radical new pay model for postal
workers, based on
delivered mail volume rather than hours worked, in the most
recent collective agreement
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(to June 2013). This was developed by a joint managementunion
working party and
recommended by the unions after successful trials at seven
delivery branches. The
company recognises two unions: the Postal Workers Union of
Aotearoa (PWU) and the
Engineering Printing and Manufacturing union (EPMU). The EPMU is
a large general
union that claims to represent 4500 NZ Post workers, including
2500 delivery and sorting
staff, and it has long maintained a formal partnership
relationship with the company. The
PWU is smaller, with an estimated 900 members in the delivery
business, and markets
itself as more militant or member-driven. Collective bargaining
is conducted separately
for the two unions on a two-year cycle.
The delivery business employs 4500 people, with around 2300
postal workers
(posties) employed at 120 urban sites around the country. It has
faced mounting
challenges in recent years. First, the deregulation of the
postal market in 1998 intensified
competitive pressures on a company that remained obliged to
operate a universal service.
Second, the Internet transformed the business landscape, not
only reducing domestic and
international mail traffic because of substitution by email and
digital transfer, but also
recomposing it with delivery of items purchased online and
increased direct marketing.
The number of items processed each year remains high but volumes
are in steep decline,
from 1.1 billion in 2002 to 829 million in 2012. These items are
also heavier, bulkier and
more diverse, which means they are more difficult and expensive
to deliver. Third, an
increase in delivery points, a corollary to demographic and
social change, also brought
pressures on productivity and costs. Compared to 1999, the
company now delivers a fifth
less volume to a third more addresses. The annual decline in
volume is predicted to
proceed at 4.5% per annum over the next decade, culminating in
half current loads. (In
fact, mail volumes fell 6.4% in the 2011/2012 financial year,
leading to a $10 million loss
on postal services that prompted the company to seek a revision
to its Deed of
Understanding obliging it to deliver six days per week.) All of
this has major implications
for employment, since the processing and delivery of domestic
mail is a labour-intensive
operation with high fixed cost, of which around 70% is
employment related.
One important response was to upgrade mail processing systems
and equipment. A
revised national postcode scheme was introduced in 2006,
accompanied by investment in
sorting machinery in the six primary conurbations. Processing
capacity and productivity
was also improved through a series of branch amalgamations and
modernisation of
facilities. On the software side, HR introduced a new strategy
called Creating a High
Performance Culture that involved creating a world class
operational environment,
developing high-performing leaders, building a highly engaged
workforce and
redesigning work and pay systems to meet the changing needs of
the business. The HR
leadership within the operations business believed employee
engagement and
performance to be mutually reinforcing, and saw the challenges
faced by the business
as an opportunity to contribute concrete initiatives under its
overall framework.
The EE-performance initiative
Frontline leadership was identified as the key issue, according
to the group HR manager,
because it was seen as crucial to delivering consistent results,
workplace change and
employee engagement. The role of the 180 TLs employed in the
delivery business
involves matching staffing resources to fluctuating mail
volumes, dealing with employee
relations issues and managing workforce performance. The
changing nature of the
business meant that the work was increasingly challenging. The
TLs had to deal with
increasing complexity resulting from the variation in mail types
and volumes, and they
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also had to have the people skills to manage and motivate an
increasingly diverse and often
pressured workforce. This could be a difficult balancing act. In
particular, the job and
finish system, whereby posties are free to go home after
completion of their round, places
a premium on effective work planning and performance management.
Too little work
means paying posties whilst at home, and too much incurs
overtime pay together, this
was costed at NZ$8 million in 2008. At the same time,
supervisors want to avoid allocating
too many cut ups, which is supplementing a run with work from
other rounds. This was
intensely disliked by staff due to unfamiliarity as one TL told
us, as soon as the postie
sees the word cut up on the board, everyone gets angry, they
hate it.
For HR, evidence of the problem came from a number of sources.
First, the balanced
scorecard (BSC) data revealed significant inconsistencies across
branches in terms of
operational performance and in the level and management of
employee grievances and
disciplinary cases. Succession planning analysis also suggested
that few in the TL roles
were considered to have the potential to develop further.
Second, the trade unions were
concerned that the company could do more to help the TLs, both
to develop their own
careers and to make them more effective managers. The issue was
explicitly raised in the
2002 negotiating round, especially by the EPMU which has a TL
membership, and again
in 2004. Third, the Gallup-based EE survey revealed that TLs
were increasingly uncertain
and apprehensive in the changing work environment. Some felt
they were not fully
accepted as managers by the company, whereas others had
difficulties differentiating
themselves from the team even though they were generally
perceived as management by
staff. In the words of the Head Office HR manager, many felt
themselves in no-mans
land or as the meat in the sandwich rather than as credible
leaders in their own right.
Given this context, HR felt that the conventional approach of
investing in training was,
by itself, inadequate. The company had long offered a range of
management development
programmes to TLs, including in performance management,
coaching, communicating
and relationship management, but these had evidently not
delivered generalised and
enduring results. It was understood that the mutually
reinforcing problem of deteriorating
engagement and performance required a more fundamental approach,
based on an analysis
of the job pressures and resources involved in the existing
roles. A successful bid was
made for resourcing to support a small (1.5 full-time
equivalent) corporate-based project
team with a remit to review branch management practices and
develop a framework for a
best-practice delivery operation. For political reasons, this
was led by a sympathetic
senior line manager (a regional delivery business leader),
working in conjunction with a
senior HR manager. The project was labelled Great Operations and
Leadership (GOAL).
Conceptual and research foundations
The GOAL team started from the premise that employee engagement
and effectiveness
were iteratively related; EE was a consequence as well as a
driver of a high-performance
work environment. Improvements to the operational system and the
capabilities of the
frontline leadership would sustain higher performance both
directly (by enhancing
competencies) and by generating greater enthusiasm for the job.
This in turn was expected
to have performance- and engagement-enhancing effects for their
staff reports. The
argument was developed and presented to senior line management
using what has been
called the AMO theory, derived from high-performance work
surveys in the 1990s
(Boxall and Purcell 2003). In this approach, high performance is
viewed as a product of
employee ability (e.g. education and skills); motivation (a
product of e.g. job security,
information sharing, development opportunities, fair pay and
incentives); and opportunity
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to participate (related to e.g. job discretion, team-working and
direct involvement). At NZ
Post, a fourth dimension direction was added, reflecting the
perceived importance of
leadership to all aspects of performance. The four components
were presented in broad
terms in the documentation:
. ability embraces knowledge, skills, mental and physical
capability, and emotionalintelligence;
. motivation refers to values, attitude, incentives, the
confidence to do the job andwhether the job was seen as
worthwhile;
. opportunity encompasses features of the organisational
environment, such as time,equipment, budget, job design, support
systems and the physical environment; and
. direction includes the elaboration and communication of
expectations, relevantperformance measures, feedback, coaching and
understanding and application of
consequences.
The project team argued that this provided an analytical
framework to explore
performance issues from different perspectives; the idea is that
problems reflect a
weakness in one or more of these components. For example, a TL
might have the ability
and motivation to lead his or her people really well, but if the
design of the role meant that
he or she spent much of their time on administration or
assisting workers in carrying out
their own tasks, then he or she would lack the opportunity to
perform a leadership role
effectively.
The GOAL team then conducted research through TL interviews,
focus groups and an
anonymous survey. The exercise identified potential weaknesses
in each of the areas
relating to what was styled as AMOD (i.e. ability, motivation,
opportunity and
direction). In terms of ability, there were problems of
communication skills and modelling
appropriate behaviour; effective operation of the performance
management system; and in
work planning and technical knowledge. Many TLs had low
educational attainment (40%
had no qualifications and 20% school certificate only) and had
not entered the position
from any succession planning process. Most were motivated to
perform well in their role,
but saw their job in negative terms as difficult, stressful and
not valued as part of the
overall management team. This in turn reflected problems
relating to opportunity, such as
a wide range of accountabilities, unclear reporting lines and
large team size, and direction,
with insufficiently focused performance measures and an apparent
lack of consequences
for those consistently failing to meet objectives.
The project team was also keen to involve managers in the
development of the analysis
and proposals. A series of workshops was held with managers at
all levels of the business
to develop a vision of what a high-performance team might look
like. The resultant model
set out a number of expectations for posties and TLs. These
concerned the working
environment, operating processes and customer focus, employee
performance manage-
ment, consultation and participation and employee relations. It
also referred to a range of
outcome measures such as complaints, absenteeism, turnover,
injuries, overtime, unit
costs and team Gallup results. Within this template, employee
engagement and
performance were viewed as clearly reinforcing and virtually
synonymous. The best-
practice team was characterised as a model of workplace
engagement, marked by
outstanding business results but also a positive energy and
attitude and a balance of
work and fun.
The research led to a number of proposals concerning job
redesign, skills development
and performance management for frontline leaders, organised
under the AMOD
framework. To address ability, individual development plans were
to be introduced
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(based on the Lominger competency framework) delivered through a
modular framework
involving 70% structured learning on the job, 20% coaching and
10% from formal training
resources such as workshops and written material. The training
programme was developed
by a working group that involved operational managers as well as
learning and
development specialists. Motivation was to be addressed by
implementing a new
recruitment strategy aimed to attract high performers to the
roles as well as to re-motivate
existing frontline leaders by significant job redesign. Roles
and structures were redefined
to provide more time for leadership activities, and a new
support role was proposed to
assist TLs. Clearer direction was also provided via new job
descriptions and performance
measures.
The central part of the change programme was the introduction of
redefined and new
roles, which included granting greater budgetary responsibility
to TLs. The role
restructuring was intended to free leaders from operational
activities to devote more time
to people, planning and business management. This is indicated
by Table 1 that records
and estimates the time dedicated to these three sets of
responsibilities in the existing and
new roles (based on daily diary records for existing post
holders and estimates for the new
roles). Typically, under the new structure, a delivery TL (DTL)
would manage between 14
and 20 posties, plus 1 delivery support worker. The latter was a
new position designed to
relieve the TL of basic operational and administrative work. The
leadership
responsibilities of DTLs include selecting, inducting, training
and developing team
members, conducting quarterly individual performance and
development discussions
and regular team briefings and managing discipline. They were
also encouraged to have
daily personal contact with each member of their team, who are
only present in the branch
for a couple of hours per day. Several DTLs report to a delivery
group leader (DGL) who
may have responsibilities across one or more locations depending
on the branch size.
Implementation
Following the research phase, a report was delivered to the
senior management detailing
the findings and proposed initiatives. However, strong concerns
were raised that the
project would cost time and money to implement without providing
a direct business (i.e.
financial) benefit, at a time when other changes were being
implemented. The BSC had
only recently been introduced, and further HR-related changes
were planned for incentive
pay and in upgrading the work measurement system. At the same
time, many branches
were affected by the introduction of new technology and branch
amalgamations. The
report was also criticised as having no measure of progress or
completion. According to
Table 1. Actual and estimated time dedicated to job
activities.
Activity time (%)
People Planning and business management Operations
Established rolesDelivery branch leader (large) 65 12 23Delivery
branch leader (medium) 40 10 50Delivery team leader 22 7 71New
rolesDelivery group leader 60 35 5Delivery team leader 75 15
10Delivery support 5 5 90
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senior HR management, some in the business were passionate
supporters, some were
against and there were a lot in the middle waiting to see who
won the battle. A major
objection concerned the financial implications of introducing
the new supporting roles and
recognising the increased responsibilities of TLs by higher
grading. As reported by HR, a
senior delivery managers response was yeah, well, show me the
money. All I can see is
that youre changing the structure, youre adding in cost. The
comment of another
regarding the emphasis on the need to improve EE was simply, you
cant bank
engagement!.
The response of the GOAL team was to propose a pilot exercise
and an accreditation
framework designed to measure and evaluate progress through
various stages of
completion, and this was agreed by the senior management.
Piloting GOAL involved a
process, tailored to the implementation site, of reviewing and
revising job descriptions,
objectives and measures; recruiting to new roles and inducting
successful applicants;
providing close on-the-ground support to incumbents for their
first six months, with eight
workshops for group and TLs (five for delivery support) and a
range of supporting
documentation. Accreditation involved the observation of actual
practice, interviewing
staff at all levels and a review of relevant evidence (e.g.
meeting notes, planning
documents, individual performance-planning documents and
development plans). An
interim review was conducted after 12 months, followed by a
formal audit of practice
against defined criteria in six key areas. These were:
leadership (including communication,
team meetings); planning (goal setting and action plans);
customer focus (communication
and use of customer data); information and resources (e.g.
analysis of performance data);
HR focus (e.g. job design, recruitment, induction and succession
planning, performance
management, training and development, safety and well-being, and
employee
engagement); and process management (management control and risk
frameworks).
The first pilot site was Christchurch City branch, and a GOAL
programme manager
was deployed to work alongside the regional and site leaders to
implement the initiative.
One of the early learning points of this exercise was the
difficulty of undertaking a
significant culture change programme in a live business
environment. Operational
pressures diverted attention from implementation, and many staff
were suspicious or
resistant to change. Whilst this strengthened the case for the
dedicated commitment of
resources, in fact progress was stalled by a company-wide
restructuring. This meant that
existing HR projects were terminated, handed over to business
units or transferred to a new
business improvement division. It was decided that GOAL should
be absorbed by the
delivery business, and the initiative lost its programme
manager.
Christchurch City was successfully accredited, with positive
outcomes reported
around communication, teamwork and TL motivation. However, given
the lack of
dedicated resources, subsequent implementation sites had to be
especially carefully
chosen. Key considerations for HR were that regional business
leaders had to be
supportive, and that they as a function were able to provide
local managers with a high
level of support. It was also felt that a successful pilot in
Auckland, the largest city in NZ
with a third of the nations population, would provide a boost
for the project as a whole. By
the end of 2008, two more delivery branches had implemented
GOAL: North City
(Porirua, Wellington) and Marua Road in Auckland. The latter is
generally seen as a best
practice operation and, given that it began life as one of the
most problematic sites, its
success eventually convinced the senior management to adopt a
form of GOAL standards
nationwide.
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The Marua Road pilot
The Auckland delivery office based at Marua Road was opened in
October 2006 as the
largest branch in the country with 120 posties working in five
district teams. It was formed
from an amalgamation of five small branches. According to the
Head Office HR manager:
there was quite a bit of soul searching went on about whether it
was worth taking on trying toput the Goal Programme into this
branch when it was already enough of a challengeamalgamating five
branches. But I think there was a sense that if youre going to
operate onthe patient, you may as well fix everything while youve
got them open before you . . .
As feared, the project did not have an auspicious start. The
amalgamation brought together
staff from branches with different cultures and leadership and
performance expectations,
and there were early power plays between TLs and different union
representatives. As one
TL put it, some branches had had a more relaxed approach to
permitting overtime or
leaving work until the next day, a practice not permitted under
the new system. Of the five
branches, only two teams maintained the same staff and posties
found it difficult to get
used to new systems and work colleagues. Equally, some of the
TLs had more difficulty
than others in adapting to the standardisation and new
performance management
responsibilities associated with GOAL.
The implementation process proceeded with a consultation
exercise to draw up new
job descriptions for the TL role. These placed a strong emphasis
on the performance
management of staff. The TLs then commenced their GOAL training.
They reported that
they found the first six months particularly hard as they had to
combine the training (nine
workshops for DGLs and DTLs, 5 for delivery supports plus 19
information booklets and
other materials) with new responsibilities, such as the
continuous recording of data
(extending to details of the required daily conversations with
each staff member), mainly
for the purposes of the eventual GOAL audit. The TLs also had to
draw up development
plans for each postie and undertake a formal one-to-one
appraisal each quarter. The TLs
themselves were appraised on a monthly basis and were also
involved in regular
management meetings where business results and progress against
plans were discussed
against the BSC. All of this amounted to an entirely new way of
working for most of the
TLs, at a time when they still had to run a busy operation. The
inaugural branch manager
went so far as to describe the early atmosphere as toxic, and
the HR manager assigned to
assist her with GOAL said
it was fair to say the levels of engagement were quite low . . .
people were coming in, learningnew rounds; the structure had
changed the people that they were used to reporting to someof them
had left. And the team leaders . . . used to run their own branches
and now theyactually have to report through to someone.
Given the operational importance of the site and its
significance for GOAL, senior HR
management allowed one of its HR consultants to spend four
months almost full-time at
the branch to assist with implementation. As part of this role,
she conducted weekly focus
groups with staff to identify and resolve concerns as well as
hold regular meetings with the
union reps:
I guess, for me, it was about getting them understanding that I
was actually there to help themas opposed to coming in (each week)
as the HR consultant, raking them up, leaving. I reallyhad to get
to understand the business. I went through all of the reports, I
sat down with teamleaders, I spoke to posties . . . I think they
actually saw that I was wanting to see the branchactually
succeed.
In the event, three of the TLs decided to leave within the first
three months (two after
receiving letters of expectation) which, whilst having a
positive impact in the long run,
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was a challenging time for everyone in terms of workload and
stress (branch manager).
Their replacements were recruited from the existing workforce,
and they said they were
attracted by the emphasis on teamwork, communication and
development under GOAL
compared to other branches.
Also fortuitous was the departure for Australia of the regional
official of the PWU,
which generally markets itself as fighting for members compared
with the partnership
approach of the larger union (branch-level density was estimated
at a third for each).
Management at the branch were able to build a better
relationship with his replacement,
who was said to be more sympathetic to the rationale of the
initiative. According to
interviewees, the workplace postie union reps adopted a neutral
position towards GOAL
(as it was a TL initiative), whilst waiting to assess any impact
on their members. The TLs
reported an increasingly oppositional stance in the early
stages, though less so from the
EPMU (Ive got the EPMU delegate in my team and hes been pretty
much okay with it
the whole way). This reflected the workload implications of, for
example, additional
training and more regular one-on-ones; a reduction in overtime
for some as routes
became managed more effectively; plus recourse to disciplinary
procedures for a number
of staff as standards around issues such as non-delivery of
mail, un-notified absence, and
health and safety were more strictly enforced. However, after
the transition stage, the
unions became much more positive, as posties began to see better
leadership and support
from their TLs, and a more consistent approach to managing
performance. It was also felt
that subsequent changes to the branch management team provided a
further opportunity
for the union reps to rebuild relations.
The branch achieved GOAL accreditation in September 2008 and
this was renewed in
September 2010. A business impact review found significant
improvements over the first
year of implementation. Overall, the branch achieved a
favourable budget variance of
4.3% (i.e. a saving for the year of NZ$205,000) within a
challenging budget for
2007/2008, and came in at between 5% and 7% under budget in
successive years. This
reflected improvements in productivity, with the unit costs
measure (cents per letter
equivalent unit, LEU) improving by nearly 12% against an upward
national trend. The
postie productivity measure also steadily improved throughout
the GOAL period (98.52%
from 84.79%) and there was also a 50% reduction in overtime. The
overall measure of
hours used for the mail volume processed showed steady
improvement over the year, from
31.17% to 15.06%. There was also a steady decline in customer
complaints, which halved
from 23.28 per million LEUs to 12.08 by February 2008. In
addition, the lost time injury
frequency rate (number of lost time injuries per 200,000 work
hours) fell from 15.49 to
4.97 over the same period. This was also reflected in reduced
employee absence and
turnover; absenteeism fell from 4.36% to 1.80% over the 12
months and, though turnover
remained high in what was a buoyant labour market, the figure of
34.34% compared well
to the 43.72% in other Auckland branches. Following this review,
six sigma reporting
mechanisms were also used to report back positive results and
convince top management
of the value of the project. The regional delivery business
leader involved in the project
team concluded that
GOAL has been instrumental in taking Marua Road from a
dysfunctional amalgamation offive poorly performing delivery
branches to a cohesive, best practice site where staff at alllevels
are engaged and performing effectively.
There was also positive feedback from the posties and TLs
themselves. The company
operates the Gallup 12-question EE survey that explores
perceptions of growth
opportunities, teamwork, management support and basic work needs
utilising five-point
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Likert scales. The mean score rose from 3.6 in March 2007 to 4.1
in March 2008,
representing the largest improvement in the country. Qualitative
comments indicated that
posties appreciated having more time to talk with their TL and
also the transparency and
consistency of the performance expectations according to HR,
around a fifth of the
comments submitted to the EE survey tend to be complaints about
management not doing
anything about the posties mucking about or pulling sickies. An
additional survey of
posties also showed a positive perception of the Marua Road
workplace, not just in terms
of improvement over the year but when compared to previous
branches. Staff rated the
branch especially highly in terms of communication,
approachability of TLs and
individual support (Table 2).
Interviews with the TLs indicated that they too were more
satisfied in their roles,
largely because they enjoyed better relations with staff but
also as they became more
comfortable in managing poor performance and applying
appropriate coaching and
disciplinary interventions:
GOAL has made a huge difference with communication. Team briefs
are more regular, andmore structured. One on ones and daily
walkabouts has made the gap between the TeamLeader and Posties
smaller . . . The improvement in communication has meant that
Postiesand other staff are more likely to seek support when needed.
Management is more aware of theneeds of staff.
I think (GOAL) is more about the people management being
accessible, being available toyour people and engaging with them
all the time . . . and they know Im there to support themand help
them, not Im just there to crack the whip.
Branch management also reported that communication was
transformed, with discussion
of performance (productivity and resourcing) now the norm on the
shop floor. Managers
became enthusiastic communicators, for example, bringing in the
people responsible for
round sizing to explain the system (no-one had ever had that
conversation with them
before. They just knew they had to work at BS75). Both the
branch managers interviewed
said that GOAL enabled them more time for business planning and
for the development of
TLs rather than day-to-day operational management. The employee
relations climate was
also described in positive terms. Managers have been able to
address and resolve difficult
issues (such as bonus targets) constructively both through union
channels and directly,
utilising focus groups of employees, and TLs said they were not
so much consumed with
fire fighting as they would be in other large delivery
sites.
Following the Marua Road pilot, GOAL was adopted in a more
streamlined form
with less documentation and recording, and less intensive
training in the set up period
and rolled out through the Auckland region. However, later
interviews with the Marua
Road TLs suggest that though they still saw the initiative in
positive terms, there were
Table 2. Postie survey results (%).
How does Marua compare with previous branches? Same Better
Communication 27 73Teamwork 33 40Development opportunities 73
14Awareness of business results 20 80Individual support 27 67Access
to team leader 47 53As a place to work 33 40Access to information
60 40
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some signs of frustration. This was because some of the
people-management aspects of
their role were being crowded out by the effects of a national
recruitment freeze and the
transfer of registered mail processing from the Couriers
business to help replace declining
volume:
we really need someone doing that for all of us but theyre not
going to pay for anotherperson so its really GOAL that suffers
basically . . . its a shame because it definitely doesaffect GOAL .
. . GOALs a really good aspect you know, it really is but we need
moreinside staff.
your time at the computer was meant to be an hour a day, out of
your day and the rest of it wasreally with your people and having
the time to manage them properly and give them the timethat they
needed to be as good as they could be as well. And thats kind of
getting sucked awayfrom us which is unfortunate because we got to a
really good point with the teams, thedynamics of the team were
great and the atmosphere was great. I dont think thats eroded
butwere not probably putting as much effort into that as we
were.
Discussion
This case study research has limitations, being based on a
single initiative in one
organisation and more specifically focusing on one workplace.
Several of the management
interviews also deal retrospectively with the issue. However, it
responds to a significant
gap in the literature concerning how the HR function might
perceive and address employee
engagement and how it deals with encountered difficulties. It
also explores how the
initiative was experienced by the target employee group (the
TLs) and also, less directly,
how this impacted on their reports. There are two main sets of
issues arising from the
results that might inform a future research agenda.
First, what is the HR conception of EE and how does it go about
developing and
implementing relevant initiatives? In this case, the initial
problem was clearly identified in
terms of employee engagement, both by the trade union and by HRs
own research into TL
attitudes and behaviours. The term itself was widely used by HR,
but defined less in
precise psychosocial terms than in the broad sense of
motivations that lead to desired
behaviours. It was also seen as a very important goal, partly as
a humanistic end in itself
but most specifically because, in the AMO framework, it was seen
to underpin the
various performance interventions (recruitment, training, work
design and management
support) relating to ability and opportunity. The key practices
introduced under GOAL
(e.g. providing a support worker for TLs) were designed to
improve performance directly,
but crucially were seen to be responding to employee concerns
around role motivation. In
this sense, the initiative is not an engagement initiative per
se, but an engagement and
performance initiative since for HR both were inextricably
linked.
This conceptual conflation of engagement and performance is also
driven by a political
dimension. Selling proposals to senior line management required
a hard focus on
productivity-related outcomes because however much HR might
problematise the issue in
terms of engagement, the focus for the delivery business was
performance numeric.
Hence, though HR clearly conceptualised (through the AMOD
framework) and articulated
the importance of EE (including to the unions and employees as
well as local and regional
management), this was less emphasised in the documents seeking
senior business approval
for resources.
Second, what are the implications of EE for the HR function
itself? The evidence from
this case at least is that HR requires high-level competencies
if it is to design, sell and
implement significant change proposals relating to EE. The
prerequisite is a thorough
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understanding of the business and the ability and confidence to
generate ideas and take
responsibility for change management, which in turn implies an
acceptance by different
management levels of its business partner status (Brockbank and
Ulrich 2009). At the
same time, HR in this case came to adopt an incremental,
evidence-based approach in
response to management caution and scepticism.
More fundamentally, the case suggests that effective engagement
with engagement
means that HR assumes what Ulrich and Brockbank (2005) refer to
as employee
advocacy. This is because it is concerned with identifying
issues of concern to employees
what is frustrating them in their work and what improvements
might be made and acting
upon them. In this initiative, HR emphasised employee voice and
questioned existing work
arrangements to generate an integrated set of change proposals
around areas such as work
design, skills development and leadership support. This approach
represents something
different from both the classic pluralism of personnel
management (as arbitrator) and the
conventional characterisation of HRM as essentially unitarist
(management agent). The
hard-soft nature of HRs position on EE suggests something else,
in that it seeks to
reconcile the business need to focus on performance outcomes
with the acknowledgement
and representation of employee interests. In this sense, it
might be seen as a form of what
Ackers (2002), referring more broadly to the disciplinary field
of industrial relations, terms
neo-pluralism. The emphasis is on performance and mutual gains
in terms of goals, not
simply in an avowedly managerialist way but by prioritising the
recognition and addressing
of employee concerns.
Also relevant in this case is that HR worked in partnership with
the trade unions in
pursuit of its goals. The initiative was to a significant degree
prompted by EPMU
representations (with which the company has what HR referred to
as a strategic
partnership) at national level, and HR worked hard to involve
and reassure local union
representatives about the scheme. Exploring and comparing HR
approaches to EE in non-
unionised as well as unionised organisations would be a useful
programme for future
research, mapping the nature of, and limits to, such
neo-pluralism in less collectivised (and
perhaps commercially more aggressive) environments. This could
extend recent research
into the nature and effectiveness of employee involvement
through collective information
and consultation in different organisational settings (Hall,
Hutchinson, Purcell, Terry and
Parker 2010).
A final consideration is the need for research on how far EE
initiatives may be
considered strategic. There is a case, somewhat supported by
this research, that EE
potentially operationalises SHRM along its three key dimensions.
First, as Guest (1987)
originally observed, the strategic intent of HRM is defined by
its focus on employee
performance and commitment. These were seen as self-reinforcing
objectives in this case
and pursued through an integrated set of practices embracing new
ways of working; new
recruitment and selection criteria to better match people to
jobs; communication and
performance management; and training, development and succession
planning. Second,
SHRM prioritises the recruitment and development of managers,
recognising that they are
crucial to the everyday administration of the employment
relationship and to the delivery of
HR practices (Hutchinson and Purcell 2003). As Alfes, Truss,
Soane, Rees and Gatenby
conclude from their investigation of EE initiatives in eight UK
organisations, HR needs to
pay close attention to the selection, development and
performance management of line
managers to ensure they maximise their potential to be engaging
leaders (2010, p. 3). TLs
were the focus of the GOAL initiative at NZ Post; it was
recognised that TLs needed clear
role definition and support to be engaged, and that in turn they
are more likely to effectively
lead their own teams when they themselves are provided with the
required resources,
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development and leadership. Third, SHRM extends its interest in
people management to
matters of work organisation (Boxall and Purcell 2008). At NZ
Post, job redesign was a
fundamental component of the GOAL initiative.
Conclusions
Employee engagement has become a major focus for HR
practitioners in recent years but,
whilst academic psychologists wrestle with its meaning and
measurement, there has been
little investigation as to how HR might operationalise EE in
practice, nor with what effect
(Welbourne 2011). This case study analyses one such initiative
focused primarily on
supervisory employees. The GOAL project at NZ Post was designed
to improve the
engagement and performance of TLs (and their reports) by
providing them more support to
better discharge their people management responsibilities. The
case raises a number of
implications. From a professional HR perspective, it suggests
that the business partner
model might offer scope for HR to develop strategies around
engagement geared towards
performance results. However, EE initiatives are likely to meet
with scepticism or
opposition from business leaders, especially where they involve
significant cost or change.
Workers too might not all be enthusiastic about job enlargement
or more challenging work
where they are used to different ways of doing things. For HR,
this places a premium on
effective marshalling of evidence. It also stresses the
importance of HR basics, such as
better recruitment practices, in addition to development and
support, to better match
workers and their managers to job roles.
More fundamentally, the case also responds to two common
criticisms made of HRM.
The first is that it is based on simplistic and uncritical
foundations. The second is that it is a
relatively powerless function, limited in its ability to lead
change (Guest and King 2004).
Both perspectives are qualified to some degree in this case.
First, the focus on employee
engagement and performance in the GOAL initiative proceeded
through the application of
an analytical approach that acknowledged the problematic nature
of the employment
relationship. Issues to do with job demands, resources and
management style were
investigated using the AMOD framework and, moreover, involved a
bottom-up process
of extensive consultation and research into what employees, as
well as managers, thought
about their job. Indeed, as Sparrow and Balain (2010, p. 294)
argue, effective engagement
strategies require HR to ask the harder questions. Why dont
employees believe
management messages? Why are they frustrated in their work? Why
is there not
supportive leadership? The HR goals of employee commitment and
performance need not
preclude a critical and pluralistic understanding of work and
management.
Second, though HR is fundamentally a dependent function
virtually everything of
significance that it does has to be endorsed by and implemented
through the line this
does not mean that it cannot act in a change agent capacity
(Alfes, Truss and Gill 2010).
In this case, HR proceeded by building alliances with
sympathetic business leaders and
using an evidence-based approach to win wider support within the
senior management
team. It resembled an instance of what Storey (1992) labelled a
changemaker role, or
what Legge (1978) termed deviant innovation, where the function
is prepared to think
and act independently and, if necessary, challenge management
assumptions and practice.
Both models, incidentally, were at that stage rarely observed in
practice.
To end on a much more cautious note, the question remains as to
the sustainability of
EE initiatives, especially in an increasingly challenging
operating environment. The
GOAL initiative at NZ Post raised TL expectations that they
would have the time and
administrative support to communicate with and manage their
teams effectively, but this
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was subsequently undermined to some degree by resource
constraints. The implication is
that, ultimately, EE is an ongoing process that commits HR to
continuous interrogation of
the workplace. Unfortunately, the constraints on this are great
and perhaps, as Hyman
observed, such labour strategies are generally destined to be
routes to partial failure
(1987, p. 30). Yet, at the same time, EE does offer HR the
potential to more systematically
engage with both its core constituencies in the pursuit of a
more coherent contribution to
workplace motivation and performance.
Acknowledgements
Sincere thanks to Amanda Shantz and Katie Truss for constructive
advice on positioning this paper,and to the anonymous referees for
their useful suggestions. We are also very grateful to the
managersand staff at NZ Post who gave their time and thoughts
freely and who made this research possible.
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