Question 1  (AC1.4) You are asked to make a 30 minute presentation at a local CIPD branch meeting. The subject is ‘a critical evaluation of systemic thinking and how it can help solve people management problems’. What THREE key points you would make in your talk and why? 

(Some pointers):

• Avoid too much theory
• A bit on the definition ie what is systemic thinking
• Some on the issues/problems that system thinking can help us overcome
• Justify your points

Working inclusively and collaboratively within and across organisational boundaries; embracing difference and using diversity to improve organisational performance; building trust, sharing knowledge, experience and skills; promoting positive attitudes and collaboration. 22 ©Watson Martin 2022 When we talk about systemic thinking the best analogy of how this works in practice is to consider a car. The engine alone does not drive the car but is connected to other key parts such as electrics and fuel management, gear box, clutch and handbrake, as examples. Every single component in a car is a system of its own, that, if it is not working, 

will impact on the other parts of the car from working, and overall, the car will not work effectively, if at all. For example, if the clutch cable breaks you cannot change gear, and if the brakes fail, then the car will not stop. Systemic thinking is similar to the workings of a car, but in HR practices, if the reward system is not working then this will impact the performance system; if the performance system is not working then the development system will not work, and so on. . Organisation Design and Development practitioners use models of systemic thinking as part of their work. Differentiating between the two specialisms, organisation design is building a car (to use our earlier example) and organisational development is adding the fuel.

 Look at the diagram below. This is the Black box theory model or AMO model. Figure 3: Black Box Thinking (Purcell et al, 2003) Here you can see around the edges the parts of the HR system (the car components) – job security, which is linked to career opportunity. This means that employees require job security before they will think about anything else at work. Providing this job security is the first component in the system. Secondly is career opportunity and this component is linked to performance appraisal, which is where most career opportunities are identified. So, as you can see from the arrows, that performance appraisal is linked to career opportunities but it is also linked to training and development. Again, it is likely that development needs come from an appraisal, hence the two-way link, shown by the arrows. Starting on the vertical column on the left we can see that team working comes from job challenges and job autonomy, and 23 ©Watson Martin 2022 vice versus, with job challenges and job autonomy linking to pay satisfaction. 

Pay satisfaction links to recruitment and on to training and development. You can see in the model that all the systems (components) link to the AMO model in the second to left column. The ‘fuel’ to get the systems working is involvement and communication, which are also linked to team working. This is where organisational development comes into play in ensuring that the systems get the right fuel, otherwise it is pointless to have good systems that do not work. All the components and the fuel provide AMO (the ability, motivation and opportunity) to achieve performance outcomes. The fuel will go through several channels before the ultimate goal is achieved, and if these channels are not working then they ultimately make the car break down. For example, if line managers are blockers then the commitment, motivation,

 job satisfaction will be affected by the blocker, and the employees will stop providing the discretionary effort, which is needed to get the fuel to the right place. Activity Review the notes you made previously on the Black Box Thinking Model. Consider which systems are operating effectively and whether there are any blockers through the fuel line. Another popular model is the Burke-Litwin Change Model shown below. Figure 4 24 ©Watson Martin 2022 The Burke-Litwin Change Model (1992) Burke-Litwin is one popular systemic model which is used to diagnose the interconnectivity within the organisation. Using this model as a diagnostic will enable you to analyse how the organisation works as a system and how you need to make sure any people practice that you want to implement considers the other systems operating within the business. 

You will see that the transformational factors are the ones that are the levers for implementing long term changes – these factors are organisation’s mission and strategy; its leadership; and its organisational culture. Transformational changes will impact heavily on the implementation and acceptance of any people practices and will take longer to influence. The second level of transformational factors are the operational levers – how the organisation is structured, it’s management practices and the policies and procedures it already has in place. The external environment and individual and organisational performance are also operational leavers, with individual and personal factors such as tasks and skills, motivation and individual needs and values as short term. 

This is because these factors can change very quickly and often do. Looking down the middle column, this is seen as the ‘spine’ or ‘backbone’ of the organisation, and it’s this column that you need to influence and integrate your people practices into. Thinking of an example of introducing a new performance appraisal which is a system at operational level, to make changes and to integrate it further look at the crosses which show interconnective, and you will see that you need to link changes to leadership, organisational culture, work unit climate and structure. So, performance management is one system that contributes to organisational performance and changing it would impact on all the areas in which it interconnects throughout the business, and any changes will not be successful if you just view the performance management system as one part and integral part of the business system

Question 2 (AC2.4) Explain the view that high performance work practices benefit both employers and employees when they are introduced or enhanced. Illustrate your answer with examples. 

(Some pointers):

• Start with the definition of high performance work practices
• How do they benefit employers and employees. Do they benefit equally?
• How?
• Give specific examples

Links between people practice and employee outcomes (satisfaction, commitment, engagement, wellbeing, retention, absence). By now, you should have already covered a great deal of research and readings on approaches and models to HRM. In this Assessment Criteria we will explain how high-performance work practices are associated with positive organisational and employee outcomes. High-performance work practices (HPWPs) You will find many examples of High Performance Working Practices but for this study guide we are using the best practice 7 components by Pfeffer (1998). If you have all of these components then you are more than likely to create high performance work systems. 

A growing body of research evidence confirms that ‘HPWS’ are worth the investment of time and effort. Aligning human resource practices to treat employees as valued owners and partners adds value and optimises opportunities to create and maintain competitive advantage. So what makes HPWPs work? ∙ Commitment of the top management team and leadership are responsible for creating an aligned and committed corporate culture that is essential to creating an effective HPWS organisation ∙ Organisational leaders who adopt aligned HPWS systems are rewarded by employees who are more committed to their organisations and more willing to engage in discretionary behaviour that are key to profitability and competitive advantage ∙ 

Leaders need to be committed to values that resonate with employees, and embody those values in their own lives ∙ The notion of employees as owners and partners ∙ The importance of organisation fit ∙ Getting ‘the right people on the bus’ ∙ Delegating and empowering employees ∙ Creating an organisation-wide culture of learning (Adapted from Caldwell and Floyd, 2014) HPWS are a combination of best-practice and contingency approaches to HRM. HRM practices are typically ‘outside/in’ and are concerned with both vertical alignment and vertical integration. Research such as Understanding the black box (Purcell et al, 2003) looked to prove the relationship between HPWS and improved organisational performance. Let’s now discuss HPWS’s impact on employee outcomes/experience 39 ©Watson Martin 2022 Assessment criteria 2.4 indicative content lists the positive employee outcomes as being related to HPWS. ∙ Satisfaction ∙ Commitment ∙ Engagement ∙ Well-Being ∙ Higher Retention ∙ Lower Absence. Let’s debate these outcomes further. Satisfaction – does this mean job satisfaction or satisfaction with reward etc? Satisfied means basic needs are met,

 does it really say that these can’t be improved? It means that satisfaction is good enough to be taken off the table. Commitment – it goes without saying that if employees receive best practice HRM they are likely to show discretionary effort and commitment to the organisation, particularly when they are treated like partners and shareholders in the business. Engagement – what is engagement and what makes it different to motivation? Engagement is longer term than motivation. Well-being – happy people keep well – is that true, is it proven? Not having to worry about job security or reward and not feeling stress in the job, only the discretionary effort that you want to put in, 

may not increase well-being but it certainly wouldn’t be a detriment to wellbeing. Flexible working and agility and flexibility are more likely to increase well-being. Retention – this is one to be careful of as no organisation wants to keep poor performers, so this is finely balanced with performance management systems. An organisation wants to retain the right people/skills etc., but certainly if there was a high level of turnover in the business, there is a clear indication that something is not right. Absence – the same goes for absence – no organisation wants to encourage employees to come to work when they are ill but neither do they want employees who have continued levels of absence for no particular health condition or capability. With regards to employee engagement, 

Engage for Success sees engagement as: ∙ A workplace approach resulting in the right conditions for all members of an organisation to give of their best each day, committed to their organisation’s goals and values, motivated to contribute to organisational success, with an enhanced sense of their own well-being. 40 ©Watson Martin 2022 ∙ Getting up in the morning thinking, ‘Great! I’m going to work. I know what I’m going to do today. I’ve got some great ideas about how to do it really well. I’m looking forward to seeing the team and helping them work well today.’ ∙ Understanding one’s role in an organisation, and being sighted and energised on where it fits in the organisation’s purpose and objectives. ∙ 

Having a clear understanding of how an organisation is fulfilling its purpose and objectives, how it is changing to fulfil those better, and being given a voice in its journey to offer ideas and express views that are taken account of as decisions are made. ∙ Being included fully as a member of the team, focused on clear goals, trusted and empowered, receiving regular and constructive feedback, supported in developing new skills, thanked and recognised for achievement. (Engage for Success, 2020, What is employee engagement: what are the four enablers?)

Question 3 (AC3.1) People Management (21 April 2023 ) reported that “Almost half of HR professionals claim they are dealing with more employee relations issues than before Covid”. Discuss how people professionals can adopt an effective approach to managing employee relations issues. Justify your answer by drawing upon academic theory and research evidence. 

(Some pointers):

• It’s a 2-part question
• First part is about what’s currently happening.
• There have been all kinds of employee relations issues post-Covid for example, Home working, going back to the office after a period of working away from an office environment, cost of living crisis, partly generated by Covid, Skills shortages etc leading to higher inflation, leading to difficult employee relations for us all
• What can people professionals do to del with that
• Take a broad view (not an own organisation question)
• Look at union environments and non-union environments (pluralists). Distinguish between them both and give current examples, specific examples.
• Just your answers.
• Look at well established research in the contemporary context

Question 4 (AC4.5) “The challenge facing the profession is best characterised by the common expression, ‘I’m a people person, not a numbers person’, which exists in pockets throughout the profession”. Critically evaluate how you can address this challenge within your organisation, or one that is familiar to you, in order to use insights from people data to inform business decisions.

(Some pointers):

• Explain the premise behind the question and explain why there is a potential issue to address here given technological developments.
• Think broadly about what should be done (long term)
• Looking at data analytics, HR analytics to inform broader decision making in people management. 

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