Chapter 16: Implementing HR Strategy: High-Performance Work Systems
of how to best implement the system.
change, establishing a communications plan, and evaluating and sustaining the system. First, because change
efforts are often intimidating, organizations need to build a business-related case to demonstrate that the
changes are needed for the success of the organization. This may be achieved by showing workers where the
89. With _____ layers of management and a focus on team-based organization, the role of managers and supervisors is
substantially _____ in an environment of high-performance work systems.
90. To enhance the degree of rareness in employee skills and abilities, organizations should develop competencies in their
employees that
can be transferred to other organizations.
can provide widely-valued generic skills.
are not equally available in the labor market.
91. What are the fundamental principles of high-performance work systems?
There are four fundamental principles that support high-performance work systems. First, the principle of
shared information suggests that in today’s rapidly changing environment, because organizations must rely on
the expertise and initiative of employees, it is imperative that these employees are provided with timely and
accurate information about business performance, plans, and strategies. Second, the principle of knowledge
development underscores the notion that because the nature of competition continues to change, employees’
knowledge and skills must also change. As a result, these employees need to learn continuously to support the
organization’s needs. Third, the principle of performance-reward linkages suggests that aligning employee
intentions and behaviors with the needs of the firm can help ensure that employees engage in activities that are
mutually beneficial to themselves and the organization. Fourth, the principle of egalitarianism and engagement
supports the need to break down status and power barriers with high-performance work systems. By
decreasing these barriers, employees can become more involved in their work, and organizational performance
is improved while the quality of work life is simultaneously increased.
92. Describe how an HR Scorecard can be used by organizations implementing a high-performance work system.
An HR Scorecard can help managers assess the strategic alignment of their work systems. Managers can
diagnose horizontal fit by assessing whether particular HR practices reinforce one another or work at cross
purposes. Second, managers can assess whether the HR practices significantly enable key workforce
deliverables such as employment stability, teamwork, and the like. Third, the degree of vertical fit is evaluated
by assessing the degree to which workforce deliverables are connected with key strategic performance drivers.
These three assessments are extremely useful not just for deriving measures of horizontal and vertical fit of
high-performance work systems, but for engaging a broader set of managers and employees in the discussion