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Changing by design

organizational innovation at Hewlett-Packard

By Deone Zell

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Publish Date

1997

Publisher

ILR Press

Language

eng

Pages

192

Description:

Hewlett-Packard is among a growing number of companies in the United States exploring what is called sociotechnical systems (STS) redesign. As competitive pressures have grown, interest in STS redesign has increased because it has the potential to catalyze comprehensive organizational change and avoid the pitfalls of a piecemeal of small-scale approach. STS redesign works from the ground up, involving front-line employees in both analysis of the entire organization and creation of a new design. In Hewlett-Packard's California Personal Computer Division, production operators worked alongside managers to redesign their printed circuit board assembly line into self-managing teams of employees. In the Santa Clara Division, a very different workforce of engineers, initially unwilling to standardize their creativity, had to develop commercial applications and become more responsive to customers in order to survive. On the basis of Hewlett-Packard's success, Zell concludes that with top-level support and a high investment of resources at the outset, redesign can inspire relatively rapid change, especially suitable for organizations in fast-paced environments. As one HP manager commented, "Empowerment is no longer a nice thing to do. It is now a business imperative."