Measurements & Managing LO15585

JAMES_H_CARRINGTON@HP-Chelmsford-om1.om.hp.com
Fri, 31 Oct 97 16:30:44 -0500

Replying to LO15562 --

Ann Reilly Asks:

>James, how DOES HP measure employee moral? How do you validate the
>results you get?

>[Host's Note: Moral? ...perhaps morale? ...Rick]

Sorry, Morale is correct.

Morale here is measured in a couple of ways. The most obvious method
is an annual employee survey. It asks all of the standard questions
about satisfaction with employee benefits (pay, health plans, etc.),
work conditions (facilities, amenities), and then many questions
regarding the effectiveness of direct supervisors to top-level site
management. The less tangible method but infinitely more important is
the review process. The review is quite detailed and is designed to be
highly interactive. Of course the end result is a constant measurement
of quality. The HP management considers the level of quality to be a
direct function of employee satisfaction (morale). The management (at
least at my facility) is encouraged to keep in close contact with the
personal needs of all of their reporting people. This includes
ensuring their emotional well being. For example, we have in my
department an individual who was suffering from stress related
illnesses. One of the prescriptions from his doctor was to get into an
exercise program. Due to his personal situation (a combination of his
work and home situations) it was determined that the best time for the
program would be during normal work hours. He has been participating
for over two years now and we see a marked improvement in his work
output as well as his ability to interact with others (he is much more
relaxed and actually smiles now!). There are at least three people
from different departments who have altered their work schedules so
that they can participate in training for competitive athletic events.
Not only was I one of those individuals, but I constantly re-arrange
my schedule for my childs' benefit. HP calls this 'work-life
management'. It is part of corporate policy.

How do we validate the results?
Turnover - In my division (although small), we have had no firings
or layoffs and only six people have quit in the four years I have
worked here. Considering the status of the job market in our area (in
Massachusetts) the unemployment rate is hovering around 3%) I consider
this to be quite remarkable.
Quality Metrics - We consistently have a high profitability (even
for HP) and for FY '97 our return because of defects percentage is
about 1.1%. Considering that we manufacture telecommunications test
equipment that has a list of installable options two pages long,
ranges in price from 13K$ to 70k$, with an international customer
base, I think we are doing well. That is also an assessment based on
15 years in the electronics industry.

This may sound schmaltzy, but happy people are much more productive.

Besides, I kind of like it here.

-- 

JAMES_H_CARRINGTON@HP-Chelmsford-om1.om.hp.com

Learning-org -- An Internet Dialog on Learning Organizations For info: <rkarash@karash.com> -or- <http://world.std.com/~lo/>