8.Dietz, Graham, Adrian Wilkinson, and Tom Redman. Involvement and Participation.doc
Transcript of 8.Dietz, Graham, Adrian Wilkinson, and Tom Redman. Involvement and Participation.doc
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Involvement and Participation
Graham Dietz, Adrian Wilkinson, and Tom Redman
DEFINITIONS EIP AND HRM
THE BIRTH: MANAGERIAL MOTIVES AND RATIONALES FOR EIP
ORGANISATIONAL FACTORS INFLUENCING THE EIP SCHEMES
DESIGN AND IMPLEMENTATION
INDIVIDUAL EMPLOYEE FACTORS INFLUENCING EIP SCHEME
DESIGN AND IMPLEMENTATION
THE ACTUAL PARTICIPATION PROGRAMME
OUTCOMES
THE FATE OF THE SCHEME
CONCLUSION
NOTES ENTRY CITATION
The notion of in!e"#in$ %e&e%# of e'(%o)ee en$"$e'ent in *ete!'inin$ o! "t %e"#t
inf%+enin$ ,o!- "ti&itie# "n* o!$"ni#"tion"% *ei#ion.'"-in$ i# not " ne, i*e"/ In
thei! %"##i !e&ie, of the %ite!"t+!e0 G%e, et "%/ 123345 ite H+$o M+n#te!6e!$7#
Psychology and Industrial Efficiency123285 "n* the H",tho!ne #t+*ie# f!o' the 'i*.
2389# 1M")o0 238850 ,hi%e "+f'"nn 1;9985 ite# "%#o *e'"n*# "ttention/ The!e
h"&e 6een #e&e!"% 'et"."n"%)#e# "n* !e&ie,# 1#ee H"n*e% "n* Le&ine0 ;99? Lo-e
"n* Sh,ei$e!0 23=3 Mi%%e! "n* Mon$e0 23
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#he'e# effeti&ene## "n* %in-# #+h &"!i"6%e# ,ith (!o$!"''e o+to'e#/ Fenton.
O7C!ee&) 1233: 5 note*: The 'o#t #i$nifi"nt @+e#tion to "n#,e! i# no %on$e!
,h"t "!e the 6enefit# of e'(%o)ee in&o%&e'entJK R"the!0 it i# in#t!+'ent"% "n* #)'6o%i > to th"t (!"tie/ P!"tie# th"t "!e *e#tine* to
6e ent!enhe* '") ,"!!"nt 'o!e !e#o+!e# th"n t!"n#ito!) (!"tie#/
The h"(te! (!oee*# "# fo%%o,#/ "n* to the !e.6!"n*in$ of o%* #he'e#/ E&en to*")0 #ho%"!# "ti&e in
!e#e"!h into #+h #he'e# 'i$ht *i#"$!ee on 6"#i *efinition#0 "n* f"i% to !eo$ni#e "
$i&en #he'e "# f"%%in$ +n*e! the "te$o!) "##i$ne* to it 6) "nothe! #ho%"!026e"+#e
"+tho!# "!e i'(o#in$ &"%+e +*$e'ent# "n*o! +#in$ *i#i(%in"!) on&ention# not
#h"!e* 6) othe! #hoo%# of tho+$ht on EIP/
Ta!le "#$" Possi!le EIP schemes
Attit%de s%rve&s '%alit& circles
Contin+o+# i'(!o&e'ent $!o+(# S+$$e#tion #he'e#
E+!o(e"n ,o!-# o+ni%# Se%f.'"n"$in$ te"'#
o6 en!ih'ent!e.*e#i$n T.$!o+(#
oint '"n"$e'ent.#t"ff o''ittee# Te"',o!-in$
oint ,o!-in$ ("!tie#
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the o!$"ni#"tion 6e#to,in$ o((o!t+nitie#7 fo! in(+t to thei! #+6o!*in"te#5 "#
*efinition"% to ("!tii("tion #he'e#/ To#&o%* 123=: =835 #i'i%"!%) *efine#
("!tii("tion "# oint *ei#ion.'"-in$ "!!"n$e'ent# in ,hih employees are invited
to he%( #o%&e o!$"ni#"tion"% (!o6%e'# 1e'(h"#i# "**e*5/ S+h #he'e# give
employees the legitimacyto *i#+## o!$"ni#"tion"% i##+e# "n* (!o6%e'# "n* (!o&i*e "
#ettin$ fo! *ei#ion '"-in$ 1To#&o%*0 23=: e'(h"#i# "**e*5/ Thi# hie!"!hi"%*i'en#ion i# too !e#t!iti&e fo! *efinition"% (+!(o#e#0 ho,e&e!/ So'e #he'e# '")
not fe"t+!e " hie!"!hi"% #(%it "n* '") o'(!i#e ho!iont"% !e%"tion#hi(# in#te"*0 #+h
"# #e%f.'"n"$in$ te"'#/;
Mo!eo&e!0 the G%e, et "%/ "$en*" > onfine* #o%e%) to i'(!o&in$ o!$"ni#"tion"%
(e!fo!'"ne > i# too n"!!o,/
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Le&e%: "t ,h"t %e&e% of the o!$"ni#"tion"% hie!"!h) *oe# the #he'e o(e!"te:
te"'0 ,o!-(%"e0 *i&i#ion"%0 #t!"te$i
So(e of the "$en*": ,hih #+6et#0 "n* ,hih *ei#ion#0 "!e *e"%t ,ith 6)
the #he'e 1e/$/ He#(e "n*
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EIP #he'e# "n "%#o 6e +#e* to eno+!"$e #h"!e* no!'# "n* o!$"ni#"tion"% &"%+e#
1S"#h-in0 23=5/ B) in*+in$ e'(%o)ee o'(%i"ne ,ith o!$"ni#"tion"% $o"%#0 fi!'#
"n "ntii("te et!" *i#!etion"!) effo!t0 "n* "%#o !e*+e o#t%) 'onito!in$ of
e'(%o)ee 6eh"&io+! 1S(!eite! "n* Mi#h!"0 2333: 2;5/ Yet #e&e!"% !iti# h"&e
e@+"te* thi# (+!(o#e ,ith +nion #+6#tit+tion/ EIP #he'e# '") 6e #een "# !e"tin$
o!$"ni#"tion"% o''it'ent "n* !e*+in$ +nion o''it'ent0 ,ith ne$"ti&eon#e@+ene# fo! "ti&e +nion ("!tii("tion "# e'(%o)ee# he"!t# "n* 'in*# "!e ,on
o&e! to the o!$"ni#"tion7# "$en*"/ C!iti# of EIP h"&e f+!the! #+$$e#te* th"t it "n
+n*e!'ine +nion 'i%it"n)0 "n* (!e#e!&e# +nfette!e* '"n"$e'ent (!e!o$"ti&e 1P"!-e!
"n* S%"+$hte!0 235/ Ho,e&e!0 " !eent A'e!i"n #t+*) fo+n* th"t ,ith e"h
"**ition"% EIP e(e!iene +nion o''it'ent increases0 "n* th"t *i#"ffetion ,ith
ineffeti&e EIP *!i&e# e'(%o)ee# 6"- to,"!* thei! +nion 1Hoe%%0 ;99?: ;=; >
e'(h"#i# "**e*5/
In e'(i!i"% #t+*ie# of the %in- 6et,een fi!' HRM (!"tie# "n* fi!' (e!fo!'"ne0
EIP #he'e# fe"t+!e (!o'inent%) in o(e!"tion"%i#"tion# of HRM/ In " #"'(%e of 29?
e'(i!i"% #t+*ie# f!o' 2334>;99?0 Bo#e%ie et "%/ 1;9945 fo+n* th"t 83 #t+*ie#in%+*e* 'e"#+!e# of directEIP0 in%+*in$ #e'in"% #t+*ie# f!o' Coo-e 1233?50
G+th!ie 1;99250 H+#e%i* 123345 "n* M"D+ffie 123345 ,hi%e 22 #t+*ie# in%+*e*
indirectfo!'#0 in%+*in$ -e) ,o!- f!o' B"tt et "%/ 1;99;50 De%e!) "n* Dot) 123350
"n* Ihio,#-i et "%/ 1233=5/
The!e i# "%#o " *e'o!"ti h+'"ni#' 1
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Fi$+!e 24/2 G%e, "n* o%%e"$+e# 123345 f!"'e,o!- of the ("!tii("tion (!oe## >
"*"(te*/
Seon*0 '"n"$e!# '") *e#i$n the EIP #he'e in 'o#t "#e# 1G%e, et "%/0 2334: 83=5/
Ho,e&e!0 "#e #t+*) e&i*ene "tte#t# th"t the inten*e* *e#i$n "n* the "t+"% #he'ei'(%e'ente* !"!e%) !e#e'6%e e"h othe! 1"+f'"n0 ;998 L"6i"n" et "%/0 ;999
M"!hin$ton et "%/0 2338
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to +#e eit et "%/7# te!' 1233355/ E"h (h"#e i# #h"(e* in ("!t 6) " &"!iet) of f"to!#
"# #ho,n/
Fi$+!e 24/; Le#+!e et "%/ 1;99?5: 'o*e% fo! the "*o(tion of inno&"ti&e ,o!- (!"tie#
> "*"(te*/
The o&e!%"(# 6et,een Le#+!e et "%/ "n* G%e, et "%/ "!e !e"*i%) "(("!ent: '"n"$e!i"%
'oti&e# e@+"te# to "*o(tion *ei#ion0 ,hi%e inten*e* "n* "t+"% ("!tii("tion
(!o$!"''e e@+"te# to #et.+( "n* i'(%e'ent"tion/ Ho,e&e!0 the Le#+!e 'o*e%
eten*# the (!oe## to *e(it the #he'e7# f+t+!e (!o#(et# 1the inte$!"tion #t"$e50
,hih h"&e 6een hithe!to ne$%ete* 1eit et "%/0 2333: =?;5/ Reo$ni#in$ the often.t!+n"te* %ifeti'e of the#e #he'e# 1"+f'"n0 ;998: 250 ,e the!efo!e eten* 6oth
f!"'e,o!-# " #t"$e f+!the! to in%+*e the f"te of the #he'e: ,hethe! it 6eo'e#
e'6e**e*0 'o!(h# into #o'ethin$ e%#e0 o! f"i%# to #+!&i&e "n* *ie# off/
An"%o$ie# ,ith (o(+%"tion eo%o$) 'o*e%# of fi!' #+!&i&"% "!e he%(f+% 1H"nn"n "n*
F!ee'"n0 23? Hen*e!#on0 2333 Stinho'6e0 2345/ Bo!!o,in$ f!o' the#e
'o*e%#0 ,e #ee th"t "t e"h #t"$e of the #he'e7# %ife.)%e0 it '") 6e th!e"tene* 6) "
("!ti+%"! %i"6i%it)/ At #et.+(0 the %i"6i%it) of ne,ne## 'i%it"te# "$"in#t ne,
#he'e# ,hih "!e often !eete* *+e to (!efe!ene# fo! o%*e!0 'o!e !e%i"6%e EIP
(!"tie#: it i# e"#ie! to ontin+e ei#tin$ !o+tine# th"n to !e"te o! 6o!!o, ne, one#
1Hen*e!#on0 2333: ;;5/ In thi# #en"!io0 the #he'e ne&e! $et# initi"te* 1St!"+##0;99: =85/ The #eon* %i"6i%it)0 the %i"6i%it) of "*o%e#ene0 "ff%it# the fo!'"ti&e
6i!th ("n$# (e!io* of %"+nh "n* i'(%e'ent"tion/ An "n"%o$) he!e i# of "
hone)'oon (e!io* 1f/ He%%e!0 2335 *+!in$ ,hih EIP #he'e# '") #+!&i&e fo! "
#ho!t (e!io* on thei! initi"% "##et# 1e/$/ ("!tii("nt# enth+#i"#'0 o!$"ni#"tion"%
!e#o+!e# in te!'# of 6+*$et0 #enio! '"n"$e'ent #+((o!t "n* t!"inin$50 6+t #ho+%*
the#e !+n o+t #he'e# #t!+$$%e ,itho+t the'/ The thi!* "n* fo+!th %i"6i%itie# "ffet the
'"t+!e (h"#e of the #he'e 1i/e/ 6e)on* inte$!"tion5: the %i"6i%it) of #ene#ene
'"te!i"%i#e# ,hen #he'e# 6eo'e ineffiient0 +n(!o*+ti&e "n* +n!e#(on#i&e0 "n*
no %on$e! fit fo! (+!(o#e0 ,hi%e the %i"6i%it) of o6#o%e#ene 'e"n# th"t the #he'e
"n 6e #een "# no %on$e! fit fo! (+!(o#e 6e"+#e it i# o+t*"te*0 "n* "nnot 6e "*"(te*
to #e!&e ne, o!$"ni#"tion"% !e"%itie#/ S+((o!t fo! "n "$ein$ (!oe## of EIP #he'e#h"# o'e f!o' "to 1;9950 ,hi%e St!"+## "*o(t# " %ife.)%e 'o*e% ,hen he !eo+nt#
http://www.sage-ereference.com/hdbk_humanresourcemgmt/Images_n15.html#f6 -
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the *e'i#e of the f"'o+# NUMMI "n* S"t+!n "!!"n$e'ent# 1;99: =?>==5/ The
'"in @+e#tion# "!e0 the!efo!e0 ,h) *o #he'e# #+ffe! f!o' ("!ti+%"! %i"6i%itie# o&e!
the o+!#e of thei! %ife.)%e0 "n* ,h"t f"to!# "n ino+%"te the #he'e "$"in#t the#e
th!e"t#J
The fo%%o,in$ #etion# (!e#ent the fin*in$# f!o' #e%ete* EIP #t+*ie# th"t h"&e %oo-e*into e"h o'(onent of G%e, "n* o%%e"$+e# f!"'e,o!-0 *!",in$ fo! the 'o#t ("!t
+(on ,o!- (+6%i#he* #ine thei! 2334 "!ti%e 1fo! "**ition"% !efe!ene# "n* !e#e"!h
e&i*ene on e"h &"!i"6%e0 !e"*e!# "!e +!$e* to on#+%t the o!i$in"% "!ti%e5/
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St!"+## 1;99: ==5 "!$+e# th"t #he'e# "!e %i-e%) to 6e "*o(te* on%) if the) "!e
(e!ei&e* to h"&e #o'e #o!t of (")off in (!o*+ti&it)0 @+"%it)0 t+!no&e!0 #"ti#f"tion
"n* the %i-e > "n* the) "!e *!o((e* 6e"+#e the) "!e (e!ei&e* not to h"&e #+h
(")off#/ On thi# %i-e%) (")off7 "%+%"tion0 Bo,en "n* L",%e! 1233;5 #ee fi&e
(+!(o#e# fo! e'(o,e!in$ #e!&ie #t"ff: f"i%it"tin$ @+i-e! !e#(on#e# to +#to'e!
nee*#0 ("!ti+%"!%) fo! *i##"ti#fie* +#to'e!# 1th!o+$h #(ont"neo+# !+%e.6en*in$75e'(%o)ee# fee%in$ 6ette! "6o+t the'#e%&e# "n* thei! o6# 1,o!- "@+i!e# 'o!e
'e"nin$ "n* i# 'o!e h"%%en$in$5 e'(%o)ee# inte!"tin$ ,ith ,"!'th "n*
enth+#i"#' ,ith +#to'e!# 1("##in$ on '"n"$e!# one!n fo! e'(%o)ee# to
+#to'e!#5 the #o%iit"tion of $!e"t i*e"# f!o' e'(%o)ee# "# to i'(!o&e'ent# to the
o!$"ni#"tion "n*0 fin"%%)0 &"%+"6%e ,o!*.of.'o+th "*&e!ti#in$ "n* +#to'e! !etention
1f!o' (eo(%e te%%in$ thei! f!ien*# "6o+t ee(tion"% #e!&ie5/ Yet the#e "%%e$e* 6enefit#
"!e ,ei$he* "$"in#t o#t#: " $!e"te! 'onet"!) in&e#t'ent in #e%etion "n* t!"inin$ 1to
#!een o+t %i-e%) (oo! (e!fo!'e!#5 hi$he! o&e!"%% %"6o+! o#t# 1f!o' hi$he! ,"$e# to
!et"inin$ $oo*0 e'(o,e!e* #t"ff50 "n* (otenti"%%) #%o,e! o! inon#i#tent #e!&ie
*e%i&e!)0 &io%"tion# of f"i! (%")0 $i&e",")# "n* 6"* *ei#ion# 1*+e to i!!e$+%"! "t#
of *i#!etion 6) e'(%o)ee#5/
Thi# #+$$e#t# th"t '"n"$e!i"% 'oti&"tion fo! initi"tin$ "n EIP #he'e i# "
'+%ti*i'en#ion"% "n* often inte!n"%%) ont!"*ito!) &"!i"6%e/ A# ,e #h"%% #ee in
#+6#e@+ent #etion#0 o'(etin$ e(%"n"tion# "!e e"'ine* in "#e #t+*) e&i*ene
f!o'0 "'on$ othe!#0 "+f'"n 1;99850 L"6i"n" et "%/ 1;99950 Ti''in$ 1;99=50 V"%%"#
1;99850 "n* 4 1#ee T"6%e 24/;5/ Thei! !+%e of th+'67.#t)%e
(!o(o#ition# "!e th"t the hi$he! o!$"ni#"tion# #o!e thei! 6+#ine## on e"h
ontin$en)0 the 'o!e "((!o(!i"te e'(o,e!'ent 6eo'e#0 "n* the hi$he! the
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+'+%"ti&e #o!e the 'o!e "((!o(!i"te e'(o,e!'ent 6eo'e#/ O&e!"%% #o!e# of 4>
29 (oint to " (!o*+tion %ine "((!o"h0 22>24 to "%%o,in$ #t"ff to offe! #+$$e#tion#0
2>;9 to (!o&i*in$ #t"ff ,ith o((o!t+nitie# to !e.*e#i$n thei! o6# "n* ,o!- (!oe##e#0
,hi%e ;2 "n* "6o&e #+$$e#t# hi$h.%e&e% #)#te'"ti e'(o,e!'ent "t "%%
o!$"ni#"tion"% %e&e%#/
Mi%%e! "n* Mon$e7# 1235 'et"."n"%)#i# !e(o!te* th"t ,o!-in$ in " #t!on$("!tii("tion.o!iente* %i'"te h"* " #t!on$ (o#iti&e effet on e'(%o)ee #"ti#f"tion/
Yet0 "# Rio!*"n et "%/ 1;9945 one*e0 the (%"nne* !e"tion of " %i'"te i# fo!'i*"6%)
*iffi+%t/ In thei! #t+*) of EI %i'"te7# effet on o!$"ni#"tion"% (e!fo!'"ne0 the)
'e"#+!e* EI %i'"te "%on$ fo+! *i'en#ion#:po!er1e'(%o)ee# h"&e #+ffiient
inf%+ene o&e! the fin"% *ei#ion50 information1("!tie# h"&e #+ffiient info!'"tion to
'"-e effeti&e *ei#ion#50 training1("!tie# "!e t!"ine* in the #-i%%# "n* -no,%e*$e
nee##"!) to '"-e the #he'e ,o!-50 "n* re!ard1"n) (e!fo!'"ne 6enefit# fo! the
o!$"ni#"tion ,i%% 6e #h"!e* ,ith ("!tii("nt#5/ The) theo!i#e* th"t fi!'# ,ith "
#t!on$e! EI %i'"te 1i/e/ hi$h %e&e%# of "%% fo+! "tt!i6+te#5 ,o+%* !e(o!t hi$he!
o!(o!"te fin"ni"% (e!fo!'"ne "n* %o,e! e'(%o)ee t+!no&e!0 "n* th"t $!e"te!
e'(%o)ee 'o!"%e > th!o+$h hi$he! e'(%o)ee o''it'ent "n* o6 #"ti#f"tion >
,o+%* f+%%) 'e*i"te thi# !e%"tion#hi(/ Thei! '+%ti.%e&e% #t+*) of e'(%o)ee# in 3;
No!th A'e!i"n in#+!"ne o'("nie# onfi!'e* (o#iti&e effet# fo! EI %i'"te on
fin"ni"% (e!fo!'"ne "n* t+!no&e!0 6+t on%) o''it'ent #e!&e* "# " 'e*i"to!/ In "
#e("!"te #t+*)0 V"n*en6e!$ et "%/ 123330 ite* in Rio!*"n et "%/0 ;994: ??5 fo+n* th"t
othe! (!"tie# #+((o!ti&e of "n EI %i'"te in%+*e* h"&in$ " %e"! &i#ion "n*
*i!etion0 inenti&e# %in-e* to EIP 6eh"&io+!#0 the (!o'otion of f%ei6%e ,o!-
(!"tie# "n* #e'i."+tono'o+# o6 *e#i$n#0 "n* #i$nifi"nt !e#o+!e# *e*i"te* to
ontin+o+# %e"!nin$/ Bo,en "n* L",%e! 1233;50 in *i#+##in$ e'(o,e!'ent "!$+e*
th"t fo+! o!$"ni"tion"% in$!e*ient# '+#t 6e #h"!e* ,ith f!ont%ine e'(%o)ee# in o!*e!
fo! #+h #he'e# to ,o!-:Po!erto '"-e *ei#ion# th"t inf%+ene o!$"ni#"tion"% o!,o!-(%"e *i!etion "n* (e!fo!'"neInformation"6o+t the o!$"ni#"tion "n* it#
+!!ent i!+'#t"ne# "n* f+t+!e intention##e!ards6"#e* on the o!$"ni#"tion7#
(e!fo!'"ne$no!ledgeth"t en"6%e# e'(%o)ee# to +n*e!#t"n* the info!'"tion
$i&en to the'/ In th!ee B!iti#h (+6%i he"%th o!$"ni#"tion# B"h 1;99?5 fo+n* th"t the
o&e!,he%'in$ (e!fo!'"ne t"!$et# %i'"te 'i%it"te* "$"in#t the effeti&ene## of
6oth *i!et "n* in*i!et fo!'# of e'(%o)ee &oie > *e#(ite #t"ff enth+#i"#' fo! "
$!e"te! &oie/
A%% of thi# #+$$e#t# th"t EI %i'"te ,o+%* 6e " (otenti"%%) &e!) inte!e#tin$ %ine of
!e#e"!h fo! EIP/ The!e i# " nee* to +n*e!#t"n* the "ntee*ent# "n* on#e@+ene# of
EI %i'"te in 'o!e *e(th/ C%i'"te !e#e"!h in o!$"ni#"tion"% 6eh"&io+! in $ene!"% i#*e&e%o(in$ !"(i*%) 1Hoff'"n et "%/0 ;998 Lin*e%% "n* B!"n*t0 ;999 Shnei*e! et "%/0
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;99;50 "n* f+!the! EI %i'"te #t+*ie# ,o+%* 6e " &"%+"6%e ont!i6+tion to " f+%%e!
+n*e!#t"n*in$ of %i'"te !e#e"!h/
A !e%"te* &"!i"6%e to %i'"te i# the *e$!ee of e'6e**e*ne##0 o! ent!enh'ent0 of EIP
#he'e# in the inte!n"% !+nnin$ of the o!$"ni#"tion: "n effeti&e ("!tii("tion %i'"te
i# on%) "hie&"6%e ,ith e'6e**e* #he'e#/ L",%e! et "%/ 123345 "!$+e* th"t ,i*einte!n"% *iff+#ion of EIP *ete!'ine# the #+e## of the (!o$!"''e# 1#ee "%#o eit et
"%/0 23335/ Fo! Co et "%/ 1;99: ;4;50 the *e$!ee of e'6e**e*ne## !ef%et# the
ent!"%it) of EIP to the ,o!-(%"e "n* ,i%% th+# "ffet the #t!en$th of it# i'("t/ The
%"tte! $!o+( of !e#e"!he!# one(t+"%i#e e'6e**e*ne## "%on$ t,o *i'en#ion#:
%readth1ho, '"n) EIP #he'e# o(e!"te in the ,o!-(%"e50 "n* depth1the #o(e "n*
!e%e&"ne of the "$en*"0 "n* the !e$+%"!it) of the 'eetin$#5/ U#in$ n"tion"%%)
!e(!e#ent"ti&e U *"t"0 Co et "%/ fo+n* th"t "**iti&e o'6in"tion# of (!"tie# on
6oth *i'en#ion# #ho,e* on#i#tent%) (o#iti&e "##oi"tion# ,ith e'(%o)ee
o!$"ni#"tion"% o''it'ent "n* o6 #"ti#f"tion/ Th+#0 e'(%o)ee# "ttit+*e# to EIP "!e
*e(en*ent0 inter alia0 +(on the (!io! e(e!iene# of EIP "n* ,o!- in $ene!"%0
'"n"$e'ent "((!o"he# to e'(%o)ee !e%"tion#0 "n* the !eent "n* (!oete*o!$"ni#"tion7# (e!fo!'"ne/
Anothe! fo!' of e'6e**e*ne## i# the *e$!ee to ,hih EIP #he'e# #+ff+#e inte!n"%
#oi"% net,o!-# ,ithin the o!$"ni#"tion/ R+6in#tein "n* oh"n7# 1;9925 #t+*) of the
S"t+!n (%"nt #ho,e* th"t !o##.f+ntion"% #oi"% net,o!-# ont!i6+te to the initi"%
#+e## of EIP/ One on%+#ion f!o' L"6i"n" et "%/7# 1;9995 #t+*) of "n
e'(o,e!'ent (!o$!"''e in#i*e " he"%th"!e o'("n) i# th"t 6oth '"n"$e!#7 "n*
e'(%o)ee#7#he'"# on the (!o$!"''e '+#t "%i$n in o!*e! fo! the (!o$!"''e to 6e
t"-en #e!io+#%)/ The) fo+n* th"t thi# "%i$n'ent "n 6e '"##i&e "n* #+**en0 $i&en
#+ffiient *i#onfi!'"tion 1L"6i"n" et "%/0 ;999: ;4;5 of the o%* #he'" th!o+$h
en"te* 6eh"&io+! 6) '"n"$e'ent ande'(%o)ee# 1L"6i"n" et "%/0 ;999: ;48:
e'(h"#i# in the o!i$in"%50 in%+*in$ the o(en "i!in$ of $!ie&"ne# "6o+t the o%* ,")#
of *oin$ thin$#/ Inte!e#tin$%)0 the) #+$$e#t th"t '"n"$e!# *efen#i&e effo!t# to
o&e!!i*e e'(%o)ee# initi"% #e(tii#' o! !e#i#t"ne '") on%) !einfo!e the o%*
#he'" th"t e'(%o)ee one!n# "!e in#i$nifi"nt o'("!e* to '"n"$e'ent7#
1L"6i"n" et "%/0 ;99950 ehoin$ To#&o%*7# 123=5 #+((o!t fo! (!o*+ti&e
ont!o&e!#)/ In #+'0 e'6e**e*ne## i# on%) !e"%i#e* ,hen '"n"$e!# "n* e'(%o)ee#
o'e to inte!(!et the EIP #he'esimilarly/ M"n"$e!# '") h"&e to t"-e " fe, hit#
6efo!e thi# "n h"((en/
Mi##in$ f!o' the G%e, et "%/ f!"'e,o!- i# the inf%+ene of n"tion"% +%t+!e/ Ino''on ,ith '+h of the '"n"$e'ent %ite!"t+!e0 'o#t (+6%i#he* EIP #t+*ie# h"&e
6een on*+te* in No!th A'e!i"n ,o!- #ettin$# 1#ee Po+t#'" "n* H+i$en0 23330 fo!
" E+!o(e"n !e&ie,5/ The inf%+ene of n"tion"% +%t+!e no!'# h"# 6een e(%o!e* in
#e&e!"% #t+*ie#0 "n* the e&i*ene "#t# *o+6t on the +ni&e!#"% "((%i"6i%it) of #he'e#
eten*in$ to e'(%o)ee# inf%+ene o&e! thei! ,o!-/ Fo! e"'(%e0 MF"!%in et "%/
1233;5 !e(o!te* ho#ti%it) "'on$ B!iti#h0 D+th "n* S("ni#h '"n"$e!# to thei!
A'e!i"n '+%ti.n"tion"% ("!ent7# "tte'(t to e(o!t "n A'e!i"n &"!i"nt of EIP/
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#+$$e#tion# on i'(!o&e'ent# "n* #ee'e* to *e%i6e!"te%) !e*+e thei! (e!fo!'"ne
%e&e%# in o!*e! to "&oi* en$"$e'ent ,ith
EIP 1 "!e (e!tinent/
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pro%lem facing managers is ho! they can give up control through the involvement of
employees in decision making !ithout losing control"3
Th+#0 #t+*)in$ the (e!#(eti&e of tho#e 'o#t %i-e%) to 6e h"!$e* ,ith the *e#i$n "n*
i'(%e'ent"tion of the #he'e# i# !iti"% to +n*e!#t"n*in$ ,h"t *ete!'ine#
effeti&ene##/
The the'e of !e#i#t"ne i# !e'"!-"6%) on#t"nt in the %ite!"t+!e 1Fenton.O7C!ee&)0
233: 35/ He *e#!i6e* #e&e!"% -in*# of 'i**%e '"n"$e! !e#i#t"ne 6eh"&io+!#:
2/ !+66i#hin$ the #he'e
;/ e(!e##in$ on%) 'i%* o! fo!e* enth+#i"#' fo! the #he'e > the #i$n"%
!eei&e* 6) e'(%o)ee# 6ein$ e@+i&"%ent to the fi!#t t"ti
8/ ont!o%%in$ "e## to the #he'e0 ,hethe! to f"&o+!ite# 1"# " !e,"!*5 o!
'i#!e"nt# 1"# " (+ni#h'ent5 +#in$ the #he'e to onfe! f"&o+!# o! ee!t
*i#i(%ine
?/ oe!in$ ("!tii("nt# into t"-in$ ("!t0 "n* (!o*+in$ the o+to'e# #o+$ht 6)the '"n"$e! > !e$"!*%e## of the EIP #he'e# !e'it/
In hi# #t+*) of 244 U o!$"ni#"tion#0 Fenton.O7C!ee&) fo+n* %"- of #enio!
'"n"$e'ent #+((o!t to 6e the #t!on$e#t ont!i6+to! to 'i**%e '"n"$e'ent !e#i#t"ne0
"# ,e%% "# the "6#ene of "n) inenti&e# fo! '"n"$e!# to o'(%)/ A t!i-%e.*o,n
effet "((e"!# to 6e in o(e!"tion he!e ,ith 'i**%e '"n"$e!# '"n"$in$ thei! *i!et
!e(o!t# in the ,") the) the'#e%&e# "!e '"n"$e*/ A(e!ei&e* th!e"t to o6 #e+!it) o!
(!o'otion o((o!t+nitie# ,"# "%#o inf%+enti"%/ The (!"ti"% i'(%i"tion i# th"t 'i**%e
'"n"$e'ent !e#i#t"ne i#0 +n#+!(!i#in$%)0 %in-e* to %o,e! !e(o!te* 6enefit# f!o' the
#he'e fo! the o!$"ni#"tion/ Th+#0 if "n o!$"ni#"tion "e(t# the !"tion"%e 6ehin* EIP
"n* "ntii("te# the (e!fo!'"ne 6enefit#0 then (%"nne* #te(# to o&e!o'e '"n"$e!i"%
#e(tii#' i# "n o!$"ni#"tion"% i'(e!"ti&e/ Yet Fenton.O7C!ee&) "!$+e* th"t 'i**%e
'"n"$e'ent !e#i#t"ne '") 6e " #)'(to' of " ,i*e! f"i%+!e to #et +( e'(%o)ee
in&o%&e'ent initi"ti&e# (!o(e!%) 1233: 95: the &"!i"ne in 'i**%e '"n"$e'ent
!e#i#t"ne "n* #he'e effeti&ene## '") 6e e(%"ine* 6) o!$"ni#"tion.%e&e% &"!i"6%e#0
#+h "# !e,"!* #)#te'#0 EI %i'"te "n* #enio! '"n"$e'ent #+((o!t/
%ein 123?5 #+''"!i#e* he! !e#e"!h into f!ont.%ine #+(e!&i#o!# en$"$e'ent ,ith
EIP #he'e# in ei$ht US '"n+f"t+!in$ (%"nt# of fo+! '+%ti.n"tion"%#/ She note* the
o''on !ef!"in of ,h"t7# in it fo! +#J S+(e!&i#o!# '"in one!n# ,e!e th!eefo%*:
th!e"t to o6 #e+!it)0 th!e"t to thei! e#t"6%i#he* o6 *efinition0 "n* the (e!ei&e* et!"6+!*en of ti'e "n* effo!t "##oi"te* ,ith i'(%e'entin$ EIP #he'e#/ F!o' he!
o6#e!&"tion"% #t+*)0 %ein i*entifie* fi&e t)(e# of !e#i#t"nt f!ont.%ine #+(e!&i#o!#/
2/ Theo!) Qe!#: M"n"$e!# ,ho "!e +#e* to0 "n* (!efe!0 o''"n* "n* ont!o%
#t)%e# of '"n"$e'ent fo! ,ho' EIP i# "n"the'"/
;/ St"t+# #ee-e!#: M"n"$e!# ,ho ,i#h to !et"in thei! (o,e! "n* inte!n"% #t"t+#
fo! ,ho' EIP #ee'# to +n*e!'ine# thei! #e%f.i*entit)/
8/ Se(ti#: M"n"$e!# ,ith no f+n*"'ent"% o6etion# 6+t on#i*e!"6%e *o+6t#
"# to ,hethe! the #he'e ,i%% ,o!-0 o! en*+!e/
?/ E@+"%it) #ee-e!#: M"n"$e!# ,ho ,"nt EIP fo! the' too/
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4/ De"% '"-e!#: M"n"$e!# ,ho h"&e o'e to !e%) +(on thei! info!'"% *e"%.
'"-in$ (o,e!# in o!*e! to '"n"$e0 fo! ,ho' the !+%e# "n* (!oe##e# of EIP
"!e " th!e"t/
Fo! %ein 123?50 t!"inin$ (!o$!"''e# in !+nnin$ EIP ten* to 6e ineffeti&e/ Mo!e
#+e##f+% inte!&ention# to (e!#+"*e f!ont.%ine #+(e!&i#o!# to !e%ent "n* #+((o!t EIP"!e: #ho,in$ it to the' in "tion0 $i&in$ the' thei! o,n in(+t into hi$he!.%e&e%
*ei#ion.'"-in$ 1in%+*in$ on the *e#i$n of the EIP #he'e it#e%f50 "n* #+((o!t
net,o!-#/
B) ont!"#t0 V"%%"# 1;998: ;??5 #t+*) of te"',o!- "n* ontin+o+# i'(!o&e'ent
(!o$!"''e# in#i*e fo+! ("(e! 'i%%# in the U/S fo+n* th"t 'i**%e '"n"$e!# 'i$ht
em%raceEIP "# " 'e"n# of expandingthei! "+tho!it) in ,")# th"t the) h"* not
(!e&io+#%) eno)e* 1e'(h"#i# in the o!i$in"%50 (!ini("%%) 6) '"-in$ EIP ("!tii("nt#
+n*e! thei! h"!$e fee% %i-e " 6"n* "("!t f!o' the !e#t of the ,o!-fo!e in " '"nne!
th"t 6o%#te!# '"n"$e!# o,n "+tho!it) 1;998: ;8=5/ V"%%"# on%+*e*0 the o+to'e of
,o!-(%"e h"n$e i/e/ EIP initi"ti&e# ten*# to !ef%et the *i#t!i6+tion of ont!o% o&e!the i'(%e'ent"tion of the (!oe## it#e%f 1(/ ;?45/
4att5s */6670 research inside a large 8"9 corporation illustrates !hat she calls the
political dimension of EIP schemes *in her case) self-managed and off-line teams0"
9he looked at the effect of involvement in teams for !orkers) supervisors and
managers on three dependent varia%les : ;o% satisfaction) discretion) and ;o% security
: and found that organi
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"%% th!ee ont!o% 'eh"ni#'# h"* #i$nifi"nt effet# on '"n"$e!i"% en$"$e'ent ,ith
EIP/ In on%+*in$0 the "+tho!# "!$+e*0 t!+#t0 (e!fo!'"ne info!'"tion "n*
inenti&e# '+#t 6e e'(%o)e* in t"n*e' ,ith " ,i%%in$ne## of '"n"$e!# to in&o%&e
%o,e! ehe%on e'(%o)ee# in *ei#ion.'"-in$ to "hie&e *e#i!e* (e!fo!'"ne effet#
1S(!eite! "n* Mi#h!"0 2333: 2=5/
Emplo&ee dispositions, capacities, motivations and needs
Co)%e.Sh"(i!o "n* Mo!!o, 1;998: 8;25 note th"t the on#i#tent e'(h"#i# on the !o%e
of to( '"n"$e'ent "# the -e) *!i&e! fo! h"n$e *o,n(%")# the !o%e of in*i&i*+"%
*iffe!ene# ,hen it o'e# to ,hethe! employees"*o(t " f"&o+!"6%e o!ient"tion
to,"!* EIP #he'e#/ Rio!*"n et "%/ 1;994: ?=;5 eho thi# (oint 6) notin$ ho, EIP
(!o$!"''e# ,i%% 6e 'e"nin$%e## +n%e## e'(%o)ee# 6eh"&e in ,")# th"t "!e
#+((o!ti&e of EI/ Th+#0 ,hi%e +n*e!#t"n*in$ the (e!#(eti&e of the in#ti$"to!# "n* o.
o!*in"to!# of EIP #he'e# i# !+i"%0 #o too i# ","!ene## of the f"to!# th"t #h"(e the
%e&e% of en$"$e'ent of the !ei(ient# "n* en"to!# of #+h #he'e# > the e'(%o)ee#
the'#e%&e#/ He#(e "n* ,hethe!
to $et in&o%&e* o! not > i# !iti"% to +n*e!#t"n*in$ ,h"t 'i$ht '"-e #he'e# ,o!- o!
o%%"(#e 1(/ 2235/ The) "((%ie* e(et"n) theo!) to the i##+e: t"-in$ ("!t i# #+6et to
"##e##'ent# of ,hethe! thi# i# fe"#i6%e0 ,hethe! the #he'e i# %i-e%) to #+ee*0 "n*
,hethe! the 6enefit# "!+e* 6) the e'(%o)ee "!e "tt!"ti&e eno+$h/ S(eifi"%%)0
,i%%in$ &o%+ntee!# ,i%% #ee in ,e%%.*e#i$ne* EIP #he'e# o((o!t+nitie# fo! (e!#on"%
$!o,th "n* (e!#on"% "hie&e'ent/ A**ition"%%)0 the) theo!i#e* th"t (o,e!f+% #oi"%
no!'# in the ,o!-(%"e ,o+%* "%#o *ete!'ine e'(%o)ee# #e%f.#e%etion *ei#ion#:
(eo(%e# +!!o+n*e*6) f"'i%) "n* f!ien*# ,ho "!e "%#o (o#iti&e "6o+t the #he'e ,i%%
6e 'o!e %i-e%) to &o%+ntee!/
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Thi# %ine of ,o!- i# #+$$e#ti&e of the &"%+e of "((%)in$ Fi#h6ein "n* Aen7# 123=45
theo!) of !e"#one* "tion to e"'ine e'(%o)ee# ("!tii("tion in EIP/ Thi# "((!o"h
&ie,# "ttit+*e# "n* #+6eti&e no!'# "# (!e*itin$ 6eh"&io+!"% intention#0 ,hih in
t+!n (!e*it "t+"% 6eh"&io+!/ S+6eti&e no!'# !ef%et the etent to ,hih #i$nifi"nt
othe!#0 #+h "# f"'i%)0 f!ien*# "n* o.,o!-e!#0 e(!e## #+((o!t fo! EIP/ In %ine ,ith
the $ene!"% theo!eti"% "((!o"h in !e"#one* "tion #t+*ie#0 #+6eti&e no!'# "!e'e"#+!e* "# the (!o*+t of the (e!ei&e* no!'"ti&e 6e%ief# of othe!# "n* the
in*i&i*+"%7# 'oti&"tion to o'(%) ,ith #+h 6e%ief# 1e%%o,") "n* B"!%in$0 23385/
The theo!) of !e"#one* "tion "##+'e# th"t the 6eh"&io+! in @+e#tion i# &o%ition"%0 #o
th"t 6eh"&io+!"% intention (!o&i*e# " #+ffiient e(%"n"tion of "t+"% 6eh"&io+!/ In
f"t0 '"n) t)(e# of EIP 6eh"&io+! "!e not nee##"!i%) +n*e! e'(%o)ee# &o%ition"%
ont!o%0 6+t "!e "%#o "ffete* 6) #+h f"to!# "# (e!#on"% #-i%%# "n* "("itie#0 "n* the
"&"i%"6i%it) of #+ffiient ti'e o! o((o!t+nit) > "# ,e *i#+##e* "6o&e/ Thi# i#
e(%iit%) !eo$ni#e* in Aen7# !e&i#ion to the theo!) of !e"#one* "tion0 -no,n "#
the theo!) of (%"nne* 6eh"&io+! 1Aen0 23325/ Thi# in%+*e# "n "**ition"% (!e*ito!
of 6eh"&io+!"% intention# "n* of "t+"% 6eh"&io+!: (e!ei&e* 6eh"&io+!"% ont!o%/
Aen *efine# thi# "# the *e$!ee to ,hih "n in*i&i*+"%7# "6i%it) to (e!fo!' the6eh"&io+! in @+e#tion i# (e!ei&e* 6) the in*i&i*+"% to 6e &o%ition"%/ The!e h"# )et to
6e "n) (+6%i#he* #t+*) ,e "n fin* in ,hih the theo!) of (%"nne* 6eh"&io+! h"# 6een
"((%ie* to *ei#ion# one!nin$ en$"$e'ent ,ith EIP/ Thi# o+%* 6e " f!+itf+% %ine of
f+t+!e ,o!-/
A%%en "n* o%%e"$+e# 1233=5 #t+*) in#i*e " %"!$e e%et!i +ti%it) o'("n) ,ith "
(!o$!"''e of ,ee-%) te"'.6"#e* (!o6%e' #o%&in$ 'eetin$# onfi!'e* th"t (eo(%e
,ith "n inte!n"% %o+# of ont!o% "n* hi$h $!o,th nee*# ,i%% 6e 'o!e f"&o+!"6%)
*i#(o#e* to $ettin$ in&o%&e* in EIP &o%+nt"!i%)0 "n* #+h (eo(%e 'i$ht on#tit+te "
t"!$et $!o+( fo! #he'e# to 6e "i'e* "t/ Thei! #t+*) en*o!#e# " ontin$ent "((!o"h
*e!i&e* f!o' e(et"n) theo!)/ The o6&io+# (!"ti"% i'(%i"tion i# th"t0 $i&en the#e
*)n"'i#0 not "%% e'(%o)ee# ,i%% 6e inte!e#te* in ("!tii("tin$ 1(/ 28=5 "n*
&o%+ntee!# "n* non.&o%+ntee!# "!e *iffe!ent 6efo!e the) $et in&o%&e* in the EI
(!oe## 1(/ 285/ The) offe! " #"%+t"!) note of "+tion "$"in#t the +ni&e!#"% +#e of
#+h inte!&ention#: It i# (!o6"6%) +n!e"#on"6%e to e(et (!ofo+n* h"n$e# in
o!$"ni#"tion"% (e!fo!'"ne "n* +%t+!e $i&en the %i'ite* n+'6e! of in*i&i*+"%# %i-e%)
to 6e inte!e#te* in ("!tii("tion o&e! ti'e 1A%%en et "%/0 233=: 285/
F!o' o+! !e&ie, of the %ite!"t+!e0 it i# #+!(!i#in$ th"t ,e h"&e 6een +n"6%e to %o"te
"n) #t+*) e"'inin$ the !e%"tion#hi( 6et,een the #o."%%e* Bi$ Fi&e (e!#on"%it)
*i'en#ion# "n* e'(%o)ee ("!tii("tion in EIP/ Gi&en %ite!"%%) h+n*!e*# of #t+*ie# ofthe !e%"tion#hi( 6et,een the 6i$ fi&e (e!#on"%it) *i'en#ion# "n* 6eh"&io+! "t ,o!-
1#ee B"!!i- "n* Mo+nt0 233250 thi# i# "n i'(o!t"nt o'i##ion in the EIP %ite!"t+!e/
L"' et "%/ 1;99;5 %oo-e* "t the 'o*e!"tin$ effet# of "nothe! in*i&i*+"% *i#(o#ition on
(e!ei&e* ("!tii("tion in *ei#ion.'"-in$ "n* e'(%o)ee (e!fo!'"ne: e'(%o)ee#
"%%oent!i#' 1" (!e*o'in"te%) o%%eti&i#t o!ient"tion in in*i&i*+"%#5 o! i*ioent!i#'
1" f+n*"'ent"%%) in*i&i*+"%i#ti o!ient"tion5/ The) "%#o %oo-e* into e'(%o)ee#
(e!e(tion# of thei! #e%f."n* $!o+(.effi") "# " f+!the! 'o*e!"to!0 "n* "t the
inte!"tion effet# 6et,een the#e &"!i"6%e#/ The) h)(othe#i#e* th"t $!o+( 'e'6e!#
,ith hi$h%) "%%oent!i 6e%ief# ,o+%* "((!ei"te EIP o((o!t+nitie# 6+t only ifthe) "%#o
h"&e onfi*ene in the $!o+(# effi")0 ,hi%e hi$h%) i*ioent!i e'(%o)ee# ,o+%*on%) ,e%o'e EIP #he'e# if thei! #e%f.effi") 6e%ief# ,e!e "%#o hi$h/ E'(%o)ee#
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(o##e##in$ the#e o'(%e'ent"!) o'6in"tion# of 6e%ief# ,o+%* 6e e(ete* to
(e!fo!' 6ette! in the #he'e#/ St+*ie# in Hon$ on$ "n* the US onfi!'e* th"t the
&"!i"6%e# *i* inte!"t in the '"nne! h)(othe#i#e*/ The "+tho!# on%+*e*:
P"!tii("ti&e *ei#ion.'"-in$ inte!&ention# ,i%% 6e 'o!e #+e##f+% to the etent th"t
(!o$!"''e *e&e%o(e!# '"th the' to the &"%+e# of t"!$et !ei(ient# "n* t!"in the' in
,")# th"t in!e"#e thei! 'o#t !e%e&"nt effi") o$nition#7 1L"' et "%/0 ;99;: 3285/
Co)%e.Sh"(i!o "n* Mo!!o, 1;9985 !e(o!te* 'ie* !e#+%t# f!o' thei! #t+*) of TM
o!ient"tion0 o(e!"tion"%i#e* 6) #"%e# on te"',o!- "n* ontin+o+# i'(!o&e'ent/
The) fo+n* th"t in*i&i*+"%.%e&e% e'(%o)ee f"to!# 1#+h "# t!+#t in one7# o%%e"$+e#
"n* ontin+o+# i'(!o&e'ent 6eh"&io+!#5 e(%"ine* +ni@+e &"!i"ne in te"',o!-0
"ti&e in&o%&e'ent in ,o!-0 "%%e$i"ne to @+"%it) "n* (e!#on"% "o+nt"6i%it) o&e! "n*
"6o&e th"t "o+nte* fo! 6) *e'o$!"(hi "n* o!$"ni#"tion.%e&e% f"to!# 1#+h "# to(
'"n"$e'ent #+((o!t5/ The#e in*i&i*+"% f"to!# "!e 6ette! (!e*ito!# of TM
o!ient"tion 1(/ 88?5/ The) on%+*e: The inhe!ent *!i&e to !e*+e #)#te' &"!i"6i%it)
in TM (%"e# "n +n*+e e'(h"#i# on $ettin$ the #)#te' !i$ht0 "n* in *oin$ #o0
ne$%et# the (otenti"%%) #i$nifi"nt i'("t of in*i&i*+"% *i#(o#ition# "n* theinte!"tion# 6et,een the#e in*i&i*+"% h"!"te!i#ti# "n* the #)#te' ,ithin ,hih
in*i&i*+"%# ,o!- 1Co)%e.Sh"(i!o "n* Mo!!o,0 ;998: 8845/ It i# to the #)#te' of EIP
th"t ,e no, t+!n/
T(E A1T2A/ PARTI1IPATION PROGRA))E
In !e"%it)0 of o+!#e0 it i# the "t+"% ("!tii("tion (!o$!"''e0 !"the! th"n the inten*e*
one0 th"t !e#+%t# in ,h"te&e! o+to'e# "!e !e"%i#e* 1G%e, et "%/0 2334: 8335/ S"#h-in
123=: 95 note* ho,0 e&en "fte! the "!ef+% ontin$ent *e#i$n of " #he'e0 the!e
!e'"in# the i##+e of h"n$in$ to th"t "((!o"h f!o' ,h"te&e! +!!ent%) ei#t#/ In thi##etion ,e *i#+## ho, EIP #he'e# o'e "6o+t0 "n* the fo!'# t"-en0 ,ith "
("!ti+%"! e'(h"#i# on !e#e"!h into the i'("t of inte!(e!#on"% *)n"'i# "n*
h"n$in$ 'in*.#et# "n* o!ient"tion#0 o! #he'"# 1B"!t+ne-0 23?5/
Gro%p composition and reso%rces
M"$+-" "n* B"%*,in 123325 fo+n* th"t0 of #e&en *e#i$n &"!i"6%e# i*entifie* 6)
'"n"$e!# "# (otenti"%%) "ffetin$ EIP #he'e# effeti&ene##0 th!ee > te"'
hete!o$eneit)0 te"' #ie "n* info!'"tion "e## > "o+nte* fo! h"%f the &"!i"ne in
("!tii("nt "n* #+(e!&i#o! !"tin$# of te"',o!-in$ #he'e# effeti&ene##/ Of the#e
th!ee0 info!'"tion "e## (!o&e* the 'o#t *ei#i&e/ The "+tho!# note ho, thi# fin*in$
o+nte!# #o'e ,i*e%) #h"!e* 6e%ief#0 e#(ei"%%) "'on$ '"n"$e!#0 th"t the!e '") 6e "
disutilityto en#+!in$ "n o(en "e## #t!+t+!e fo! EIP te"'# 1(/ 9=50 "!i#in$ f!o' the
#+6#t"nti"% et!" o#t# in+!!e* in (!o&i*in$ thi# etent of info!'"tion/ EIP th!i&e#
+(on info!'"tion.#h"!in$ "n* #t!+$$%e# in it# "6#ene/
Pro!lem or decision t&pe
A# To#&o%* 123=: =?45 note*0 (eo(%e ,o!-in$ to$ethe! "!e #+(e!io! to in*i&i*+"%#
e/$/0 '"n"$e!# ,o!-in$ "%one0 e#(ei"%%) fo! o'(%e t"#-#/ The f%i(#i*e of thi# i#
th"t ("!tii("tion '") 6e o+nte!(!o*+ti&e fo! !e%"ti&e%) #t!"i$htfo!,"!*o!$"ni#"tion"% *ei#ion# 1To#&o%*0 23=5/ Yet thi# ont!"*it# " o''on "##+'(tion
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in the %ite!"t+!e th"t %o,e!.%e&e% e'(%o)ee#0 +nf"'i%i"! ,ith the o((o!t+nit) to
inf%+ene o!$"ni#"tion"% *ei#ion.'"-in$0 ,i%% &"%+e it 'o!e hi$h%) th"n thei!
o!$"ni#"tion"% #+(e!io!# fo! ,ho' #+h in(+t i# e(ete*/
C"((e%%i "n* Ro$o-) 12335 %oo-e* "t e'(%o)ee in&o%&e'ent #he'e# in#i*e ei$ht
US (+6%i +ti%itie# to e(%o!e the effet# on e'(%o)ee# o!$"ni#"tion"% itien#hi(6eh"&io+!#0 "n* ,hethe! thi# i# 'e*i"te* th!o+$h (e!e(tion# of the fi&e *i'en#ion#
of o6 en!ih'ent 1&"!iet) of t"#-#0 (e!ei&e* o6 #i$nifi"ne0 *e$!ee of
e'(%o)ee "+tono')0 fee*6"- f!o' the o!$"ni#"tion "n* i*entit) ,ith the
o!$"ni#"tion75/ The) o'("!e* !e#+%t# fo! t,o *ei#ion t)(e#: "5 o!$"ni#"tion of ,o!-
t"#-#0 "n* 65 e'(%o)'ent (!"tie#/ The) h)(othe#i#e* th"t the fo!'e! ,o+%* 6e
#i$nifi"nt fo! OCB "n* ,o+%* %e"* to (o#iti&e "##e##'ent# of "%% fi&e o6 en!ih'ent
h"!"te!i#ti#0 6+t th"t the %"tte! ,o+%* h"&e %e## of "n i'("t on OCB "n* ,o+%*
on%) o(e!"te th!o+$h (o#iti&e effet# on &"!iet) of t"#-#7 "n* (e!ei&e* o6
#i$nifi"ne/ I'(o!t"nt%)0 thei! 'e"#+!e "(t+!e* e'(%o)ee# (e!ei&e* actual
influenceo&e! the#e *ei#ion#0 !"the! th"n ,hethe! the) tho+$ht the) h"* the
opportunityto *o #o/ The !e#+%t# onfi!'e* thei! h)(othe#e#0 tho+$h the) "%#o fo+n*i'(o!t"nt directeffet# of in&o%&e'ent in ,o!- o!$"ni#"tion *ei#ion# th"t *i* not
o(e!"te th!o+$h the fi&e o6 en!ih'ent 'eh"ni#'# 1233: ?45/ In #+'0
in&o%&e'entper sei'(!o&e# OCB 1(/ ?=50 6+t thi# effet i# ("!ti+%"!%)
(!ono+ne* fo! *ei#ion# !e%"tin$ to ,o!- o!$"ni#"tion 1i/e/ to %o"% ,o!-(%"e "n*
i''e*i"te t"#- one!n#5 > ehoin$ e"!%ie! #t+*ie# 6) He#(e "n*
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inte!*e(en*ene5 "# one o6&io+# inf%+enti"% f"to! *ete!'inin$ the#e inte!"tion#0 )et
hi# othe! f"to!0 (!o*+ti&e ont!o&e!#) 1i/e/ (ithin$ o((o#in$ &ie,# "$"in#t e"h
othe! deli%erately5 i# 'o!e o+nte!.int+iti&e0 $i&en th"t one of the +n#(o-en
o6eti&e# of ("!tii("tion #he'e# i# often " #en#e of ohe#i&ene## "n* +nit) of
(+!(o#e "'on$ e'(%o)ee# "n* '"n"$e!#/ In #+((o!t of the 'e!it# of hi# ont!o&e!#)
*)n"'i0 To#&o%* ite# the *"n$e!# of $!o+(thin- "n* the "&oi*"ne of *i#+##in$o((o#in$ info!'"tion "# *)n"'i# th"t #tif%e effeti&e (!o6%e' #o%&in$/ P!o*+ti&e
ont!o&e!#) he%(# ("!tii("nt# to #+6et thei! o,n (o#ition to *o+6t0 in#(i!e# +!io#it)
"n* the *e#i!e to +n*e!#t"n* the "%te!n"ti&e #t"n*(oint/ The#e (!oe##e#0 To#&o%*
%"i'#0 h"&e 6een fo+n* to "i* *ei#ion.'"-in$/ P!o*+ti&e ont!o&e!#) i# f"i%it"te*
6) the (!e#ene of oo(e!"ti&e $o"%#0 "# ("!tii("nt# fee% "6%e to *i#"$!ee in (+!#+it of
" o''on%) "e(t"6%e "n* &"%+e* o+to'e " %i'"te of !e#(et in ,hih h"%%en$e#
to othe!# &ie,# *o not +n*e!'ine (e!ei&e* o'(etene0 "n* the (!"tie of
on#t!+ti&e *i#+##ion ,he!ein ("!tie# #ee- to inf%+ene !"the! th"n *o'in"te othe!
("!tii("nt#/
L"6i"n" et "%/ 1;9995 on*+te* "n in.*e(th "#e #t+*) o&e! t,o )e"!# of "ne'(o,e!'ent (!o$!"''e in " he"%th "!e o!$"ni#"tion0 f!o' ,hih the) (!o*+e*
"n ite!"ti&e 'o*e% of #he'" h"n$e7: in othe! ,o!*#0 ("!tii("nt# e&o%&in$
inte!(!et"tion# of0 "n* hene #+((o!t fo!0 the #he'e/ Thei! fin*in$# #+$$e#t th"t0
h"n$e !ei(ient# f"i%+!e to !e&i#e o%* *ei#ion.'"-in$ #he'"# "n* to en"t ne,
#he'"# *+!in$ " (i&ot"% (e!io* in the e'(o,e!'ent effo!t !e"te* !e#i#t"ne to
h"n$e 1L"6i"n" et "%/0 ;999: ;85/ Thei! fo+! #t"$e# of #he'" h"n$e "!e:
2/ Moti&"tion to h"n$e
;/ Ne, #he'" $ene!"tion > ,hen '"n"$e!# (e!e(tion# "n* e'(%o)ee#
(e!e(tion# "n* "#(i!"tion# '") %"#h
8/ Ite!"ti&e #he'" o'("!i#on > ,hen the ne,%) e'e!$in$ #he'" i#
o'("!e* to the o%* ,") of *oin$ thin$#0 "n* t"n$i6%e0 en*+!in$ #hift# in
"((!o"h "!e eithe! onfi!'e* o! !ef+te* 6) ("!tie# "tion# "n* o+to'e#0 "n*
?/ St"6i%i#"tion > *e(en*in$ on #t"$e# ; "n* 80 eithe! the o%* #he'" !e'"in# o!
it i# !e(%"e* 6) the ne, #he'"/
The "+tho!# fo+n* th"t0 *+!in$ the (i&ot"% #t"$e 80 e'(%o)ee# e&"%+"te* "%% of
'"n"$e'ent7# on$oin$ "tion# "# to ,hethe! the "tion# ,e!e 'o!e on#i#tent ,ith
the o!i$in"% *ei#ion.'"-in$ #he'" o! ,ith thei! e(ete* ne, ("!tii("tion #he'"
1L"6i"n" et "%/0 ;999: ;495/ The) note th"t e'(%o)ee# !e#i#t"ne to #+h #he'e#
'") #te' "# '+h f!o' *iffi+%tie# in !e&i#in$ the ,e%%.e#t"6%i#he*0 in$!"ine**ei#ion.'"-in$ #he'" in (%"e (!io! to the EIP #he'e "# f!o' intention"% #e%f.
inte!e#te* 6eh"&io+! 1(/ ;85/ The) f+!the! o6#e!&e0 Unti% the "tion# of '"n"$e!#
"n* e'(%o)ee# on#i#tent%) '"th the ne, #he'"0 e'(%o)ee# "!e %i-e%) to 6e
#e(ti"% of the e'(o,e!'ent effo!t7 1(/ ;42 #ee "%#o Ro#enth"% et "%0 233=5/
Ti''in$7# #t+*) 1;99=5 of " B!iti#h '+%ti.n"tion"%7# E+!o(e"n ,o!-# o+ni% "%#o
i%%+#t!"te# the i'(o!t"ne of inte!(e!#on"% *)n"'i#: in thi# "#e0 "# " ne$"ti&e
inf%+ene t"ti +#e* 6) '"n"$e'ent/ Ti''in$ fo+n* e&i*ene of '"n"$e!#
(!o"ti&e f!"$'ent"tion of the e'(%o)ee !e(!e#ent"ti&e# th!o+$h the !eifi"tion of
o'(etiti&e ten*enie# 6et,een ,o!-e!# "n* the !e"tion of (!i&i%e$e* $!o+(in$#
1((/ ;4=>;45/ M"n"$e!# in one o'("n) +#e* " *e%i6e!"te *i&i*e."n*.!+%e.&i".the.(!i&i%e$in$.of one.$!o+(.o&e!."nothe! "((!o"h 1(/ ;4=5 ,hih0 +n#+!(!i#in$%)0
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inten#ifie* " %"- of o%%"6o!"tion "'on$ the *iffe!ent ,o!-fo!e#0 6+t f"i%e* to
i'(!o&e ,o!-fo!e.'"n"$e'ent !e%"tion#/ Ti''in$ #+$$e#t# th"t thi# '") 6e 6"#e*
%e## +(on " "%+%"ti&e #t!"te$) fo! enh"nin$ o!$"ni#"tion "%(e!fo!'"ne0 6+t !"the!
on " hi#to!io.+%t+!"% "ttit+*e ,ithin U in*+#t!) of "nti("th) to,"!* EIP/
O2T1O)E
P!e&io+# !e&ie,# "n* 'et"."n"%)#e# of the i'("t of ("!tii("tion on (e!fo!'"ne
o+to'e# h"&e !e(o!te* 'ie* 1C"((e%%i "n* Ro$o-)0 2335 "n* #o'e,h"t
e@+i&o"% !e#+%t# 1L"' et "%/0 ;99;50 ,ith e&en the 'o#t (o#iti&e effet# 6ein$ !"the!
'o*e#t 1 "$"in0 ehoin$ (!e&io+#%) ite* #t+*ie# on
e'(%o)ee# ("!ohi"% inte!e#t in EIP/ Mi%%e! "n* Mon$e on%+*e* th"t the o$niti&e
'o*e% 'i$ht 6ette! e(%"in o6#e!&e* effet# on (!o*+ti&it)0 ,hi%e the "ffeti&e 'o*e%
'i$ht 6ette! e(%"in effet# on #"ti#f"tion/
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o!$"ni#"tion"% o''it'ent0 effiien)0 (!o*+ti&it)0 ,o!- effo!t "n* f!ee !i*e!
(!o6%e'# 1"%% (!e#+'e* to 6e (o#iti&e50 "n* '"n"$e!i"% (o,e! "n* '"n"$e!i"%
*ei#ion.'"-in$ 1(!e#+'e* to 6e ne$"ti&e5/ He f+!the! o'("!e* fin*in$# f!o'
%"6o+!.'"n"$e* fi!'# 1i/e/ ,o!-e! oo(e!"ti&e#5 ,ith ("!tii("to!) "(it"%i#t fi!'#/
O&e!"%%0 the "&e!"$e o!!e%"tion# (!o&e* to 6e #'"%%/ An inte!e#tin$ fin*in$ ,"# th"t
(!ofit.#h"!in$ (e!fo!'e* ,o!#e th"n ("!tii("ti&e *ei#ion.'"-in$ in ("!tii("to!)"(it"%i#t fi!'#/
F!ee'"n "n* %eine! 1;9995 "%#o !e(o!t 6"!e%) "n) effet on (!o*+ti&it) f!o' ei$ht
*iffe!ent fo!'# of EIP0 6+t the) *i* fin* #+6#t"nti"% i'(!o&e'ent# to e'(%o)ee ,e%%.
6ein$0 in%+*in$ %oo-in$ fo!,"!* to $oin$ to ,o!- "n* e'(%o)ee# t!+#t in thei!
o'("n)/ The) on%+*e ,ith " !"!e "((e"% to the ,e%f"!e "(it"%i#'7"ffeti&e
!"tion"%e fo! EIP: Sine EIP h"# no "*&e!#e effet# o! " #%i$ht (o#iti&e effet on the
6otto' %ine0 fi!'# ,i%% offe! it to (%e"#e thei! ,o!-e!# 1(/ ;;5/
H"n*e% "n* Le&ine7# 1;99?5 !e&ie, of #t+*ie# on*+te* in the US %oo-e* in.*e(th
into the %in- 6et,een EIP #he'e# "n* ,"$e %e&e%#0 "# ,e%% "# othe! e'(%o)eeo+to'e#/ O&e!"%%0 thei! #+''"!) (o#ition i# th"t EIP "n i'(!o&e o!$"ni#"tion"%
o+to'e# if the reforms are serious 1;99?: 8 > e'(h"#i# "**e*50 6+t the e&i*ene on
,o!-e!# ,e%f"!e0 in%+*in$ (")0 i# 'ie* "n* 'o#t (o#iti&e effet# "!e 'o*e#t/ The)
on%+*e:
While these findings do not support the most positive vie!s of EI as a high-road
solution to the pro%lems of poor !age gro!th and increased ine2uality) they do not
indicate that management %y stress is typical) nor do they suggest that skill-%iased
organisational change is a significant cause of ine2uality gro!th *pp" ?,:760"
Ch"!%,oo* "n* Te!!) 1;99=5 "n"%)#e* n"tion"%%) !e(!e#ent"ti&e *"t" on ,o!-(%"e
(!"tie# in the U0 "n* fo+n* th"t +nioni#e* fo!'# of !e(!e#ent"ti&e en$"$e'ent
,e!e "##oi"te* ,ith !e*+e* ,"$e *i#(e!#ion 1thei! e@+it)7 o+to'e50 6+t "%#o ,ith
!e*+e* (!o*+ti&it) 1thei! effiien)7 o+to'e5 non.+nion fo!+'# h"* no effet on
eithe! o+to'e/ Int!i$+in$%)0 the "+tho!# !e(o!te* th"t *+"%.h"nne% !e(!e#ent"tion
i/e/ +nioni#e* "n* non.+nioni#e* fo!+'#0 to$ethe! ,o+%* "((e"! to offe! e'(%o)ee#
the 6enefit# of +nion !e(!e#ent"tion 1f%"tte! ,"$e #t!+t+!e#5 ,itho+t the (o##i6%e
e'(%o)e! *i#"*&"nt"$e# 1%o,e! (!o*+ti&it)5/ 1i6i*/ 88?>8845 Ho,e&e!0 the)
"+tione* "$"in#t *!",in$ "+#"% infe!ene#/
Th"t "n HR (o%i) often h"i%e* "# " ("n"e" fo! "%% o!$"ni#"tion"% *efiienie# "n*t!i6+%"tion# 1#ee Pete!# "n*
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su%systems is unlikely to have ma;or effects on performance or satisfaction %ecause it
is likely to %e over!helmed %y organisational su%systems that do not reinforce
participation *Aedford and Aa!ler) +,,7 B?70"
Rio!*"n et "%/ 1;9945 "%#o #t!e## the i'(o!t"ne of " #+((o!ti&e 6!o"*e! o!$"ni#"tion"%
ontet0 ,itho+t ,hih i#o%"te* EIP (!"tie ,i%% "%% too %i-e%) #t!+$$%e "n* ,ithe!",")/
Un*e!#t"n*in$0 the!efo!e0 ho, to $ene!"te the '+t+"% !einfo!e'ent of *iffe!ent
#+6#)#te'# 1i/e/ the e%e'ent# of EIP #he'e# *i#+##e* in thi# h"(te!5 !e'"in# " -e)
h"%%en$e/ Re#e"!he!# "n* (!"titione!# "%i-e nee* to &ie, EIP in the ontet of the
o'(%e'ent"!itie# it eno)#0 o! %"-#0 ,ith othe! HR (o%iie#/ Thi#0 of o+!#e0 i# the
onfi$+!"tion"% "((!o"h to HRM 1De%e!) "n* Dot)0 23350 "n* the "!$+'ent fo!
inte!n"% fit 1
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"n* !e(!e#ent"ti&e in fo!'/ Th"t #"i*0 Go%%"n et "%/# 1;99: ?335 *efinition of
("!tii("tion in " #(ei"% i##+e ofIndustrial #elations1eno'("##in$ the !"n$e of
'eh"ni#'# +#e* to in&o%&e the ,o!-fo!e in *ei#ion# "t "%% %e&e%# of the
o!$"ni#"tion > !hether direct or indirect> on*+te* ,ith e'(%o)ee# o! th!o+$h thei!
!e(!e#ent"ti&e#: o+! e'(h"#i#5 i$no!e# thi# *i#tintion/ Fin"%%)0 B"!t+ne- "n*
S(!eite! 1;995 e"'ine* 2= *iffe!ent 'e"nin$# of e'(o,e!'ent/
; The!e i# "%#o " #o'e,h"t ("te!n"%i#ti0 e&en ("t!oni#in$ ,hiff i'(%ie* 6) the $ift
of in(+t 6ein$ 6e#to,e* +(on $!"tef+% e'(%o)ee#/
8 Thi# h"(te! ,i%% not %oo- "t fin"ni"% fo!'# of ("!tii("tion0 #+h "# #h"!e
o,ne!#hi( "n* (!ofit.!e%"te* (")/ Thi# i# !e#e!&e* fo! the h"(te! on o'(en#"tion/
? A6!"h"'#on# ,o!- on '"n"$e'ent f"#hion# 1A6!"h"'#on0 2330 233=
A6!"h"'#on "n* F"i!hi%*0 23335 #+$$e#t# #o'e in#i$ht# into '"n"$e!i"% i'(et+# fo!
EIP/ Fi!#t0 EIP ,o+%* 6e %"##e* "# " no!'"ti&e !"the! th"n " !"tion"% !heto!i fo!
'"n"$in$ e'(%o)ee# "# it "n !en*e! e'(%o)ee# 'o!e (!o*+ti&e 6) #h"(in$ thei!tho+$ht# "n* "(it"%i#in$ on thei! e'otion# 1A6!"h"'#on0 233=: ?385 6) #"ti#f)in$
thei! nee*# in%+*in$ fo! " &oie in the ,o!-(%"e/ A6!"h"'#on h)(othe#i#e*0 "n*
fo+n* in hi# #t+*ie# o+ntin$ ""*e'i "n* (o(+%"! 6+#ine## (!e## "!ti%e#0 th"t
*i#o+!#e# "*&o"tin$ no!'"ti&e tehni@+e# h"&e ten*e* to e'e!$e "t the en* of the
+(#,in$ of " on*!"tieff %on$ ,"&e0 +#t 6efo!e the *o,n#,in$/ Th+#0 '"n"$e!#
enth+#i"#' fo! EIP '") 6e %in-e* to " *o,nt+!n in '"!oeono'i t!en*# "n* thei!
*i#inte!e#t '") 6e #h"(e* 6) eono'i +(#,in$#/
4