High Performance Work System
High performance work systems (HPWS) have become a popular tool used by modern organizations to help create and sustain a competitive advantage. HPWS are designed to provide strategic alignment within the organization, leverage the knowledge, skills, and career commitment of employees. This can improve productivity and quality, and provide increased job satisfaction. HPWS combine the traditional elements of employment such as compensation, job design and promotion opportunities with newer components like team-based structures and total quality management.
First, HPWS propose that organizational success begins with purposeful decisions about how to configure the workforce and how to manage human resources. The aim is to make sure that maximum productivity, quality, and employee commitment are achieved with the least cost. To this end, HPWS takes into account not just the job design, but also the type of people hired, their skill level, their career progression in the job and their overall level of commitment to the organization.
Second, HPWS emphasizes on-going evaluation of the system performance. This includes the creation of governance structures, the design of metrics and measuring tools, and data collection processes. The evaluation process should identify and reward high-performing people and teams, and create new opportunities for development. This can help an organization to motivate its employees and build a culture of continuous improvement.
Third, HPWS places an important emphasis on building strong relationships between the organization and its employees. The work environment should be conducive to collaboration and trust, and the performance evaluation system should be clear and transparent. Moreover, the organization should constantly strive to ensure that the workforce is motivated and engaged. This can be done through reward systems, rewards for improvements, training opportunities, and recognition programs.
Finally, HPWS should include strategic reward and recognition programs to attract, retain and motivate employees. These systems should make sure that employees are empowered to contribute to the organizations success, so that their work is properly valued. Such programs may include career advancement opportunities, performance bonuses and other incentives.
HPWS is not a one-time fix; it is an on-going process of evaluation, improvement and integration of processes, systems and people. It requires organizations to establish clear goals and objectives, and to review the results over time to make sure that those goals are being met. While implementing HPWS can take time, the potential rewards make it time well-spent. With the right strategy and systems in place, organizations can develop a competitive advantage and increase their bottom line.
