DOCUMENT RESUME' ED 024 793 VT 006 379 By- Barkin, Solomon, Ed. Technical Change and Manpower Planning: Co-Ordination at Enterprise Level. Industrial Relations Aspects of Manpower Policy 4. Organisation for Economic Cooperation and Development, Paris (France). Pub Date 67 Note-289p. Available from- OECD Publication Center, Suite 1305, 1750 Pennsylvania Avenue, Washington D.C.20006 (%5.50). EDRS Price MF-$1.25 HC-$14.55 Descriptors- *Administrative Policy.*Administrative Problems, Field Studies, Foreign Countries, Industrial Structure,Industry.Management, ManpowerDevelopment,ManpowerNeeds,*ManpowerUtilization, *Organizational Change, Planning. *Technological Advancement, Vocational Adjustment Identifiers- Austria, Canada. Federal Republic of Germany, France, Norway, Sweden, United Kingdom The 29 case studies in this report seek to define the policies and practices followed by firms in programing technological change and manpower adjustments.The purpose of the report is to make thesepolicies and practices more broadly known and toextendtherangeofeffectiveadiustmentsprovided byindividual managements. The inquiries were conducted and reports preparedthrough the use of a "Guide for Case Analysis"(appended to the introduction) which was developed by the participating countries including Austria, Canada, France, The FederalRepublic of Germany. Norway, Sweden, The United Kingdom, and The United States. The cases were selected to represent a wide variety of types of changes, industries,and firms. Representative case studies are (1)"Integrating Two Foundries" (Austria),(2) "Introduction of Electronic Data Processing in a Canadian Insurance Company,"(3)_ "Concentrationin a Nationalized Industry"(France),(4) "Data Processing and Manpower SavingsinPublic Administration" (Federal Republic of Germany),(5) "Rationalisation of the Norwegian Customs Service," (6) "Administrative Reorganisation of the Swedish State Railways," (7) "Modernisation and Shift Work in aCotton Mill" (United Kingdom). and (8) "Halving the Work Force in a United States Petroleum Refinery.* (HC) oo: V VI":VI \r'(")*.,ra'Jkit.. ( This brochure is published by the Manpower and Social Affairs Directorate, Social Affairs Division.Itisthe fourthintheseries " Industrial Relations Aspects of Manpower Policy " the first three in the series being : OFFICE AUTOMATION : ADMINISTRATIVE AND HUMAN PROBLEMS by W.H. Scott WORKERS' ATIITUDES TO TECHNICAL CHANGE by Alain Touraine and Associates and "Acceptance and Resistance" a resume of this study by the Secretariat REDUNDANCY PRACTICES IN FOUR INDUSTRIES by A.D. Smith The publication of this study was approved by the Manpower and Social Affairs Committee A SERIES OF NATIONAL CASE STUDIES EDITED BY SOLOMON BARKIN, 'technical change and manpower planning_- 1 co-ordination at enterprise level, U.S. DEPARTMENT OF HEALTH,EDUCATION & r WARE OFFICE OF EDUCATION FROM THE THIS DOCUMENT HAS REFNREPRODUCED EXACTLY AS RECEIVED VIEW OR OPINIONS PERSON OR ORGANIZA.:oNORIGINATING IT. POINTS OF EDUCATION STATED DO NOT NECESSARILYREPRESENT OFFICIAL OFFICE Of POSITION OR POLICY. ? _URBANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT ) The Organisation for Economic Co-operation and Development was set up under a Convention signed in Paris on14th December 1960 by the Member countries of the Organisation for European Economic Co-operation and by 'Canada and the United States.This Cmwention provides that the OECD.shall promote policies designed : to achieve the highest sustainable economic growth and employment and a rising standard of living in Member countries, while maintaining financial stability, and thus to contribute to the development of the .warld economy ; to contribute to sound economic expansion in Member as well as non-member countries in the process of economic development ; to contribute to the expansion ". of world trade an amultilateral, non-discriminatory basis in accordance with international obligations. The legal personality possessed by the Organisatioa for European Economic Co-operation continues in the OECD, which came into being on 30th September 1951. The Members of OECD are : Austrkz, BelgiuM., Canada, Denmark, France, the Federal Republic of Germany, Greece, Iceland, Ireland, Italy, Japan, Luxembourg, the Nethgdands, Norway, Portugal, Spain, Sweden,,- Switzerlan4 Turkey, .the .Unfted -Kingdom and- thd, United States. CONTENTS INTRODUCTION 17 GUIDE FOR CASE ANALYSIS 23 Chapter I.AUSTRIA Introduction 29 Case I.INTEGRATING TWO FOUNDRIES 30 I.Introduction 30 1.Amalgamation of two plants 30 2.New automatic equipment 30 3.Timetable 31 II.Manpower changes 31 1.Planning manpower needs 31 2.Redeployment of manpower 32 III.Information and consultation 32 IV.Adaptation 33 Chapter II. CANADA Introduction 35 Case I.INTRODUCTION OF ELECTRONIC DATAPROCESSING INACANADIAN INSURANCE COMPANY 36 I.Introduction 36 1. The company 36 2.Planning technological changes 36 3.Timing of introduction of technical changes 37 II.Assessment of new manpower requirements 38 1.Long-range estimates 38 2.Accuracy of estimates 39 3.Defining manpower requirements 39 III.Information and consultation 40 J.V.Redeployment 41 1.Transfer 41 2.Temporary recruitment 42 3.Temporary promotion 42 4. Voluntary terminations 42 5.Selection of EDP personnel 43 6. Vocational adaptation. 43 7.Salary and wage administration 44 V.Evaluation of adjustment programmes 45 Chapter III. FRANCE Introduction 47 Case I. CONCENTRATION IN A NATIONALISEDINDUSTRY 50 I.Introduction 50 1.The gas industry in France 50 2.The stages in modernisation 50 5 3. Planning the changeover 51 4.Effects of the changeoveron manpower II. 52 Information and consultati-.1 52 1.The works committee 2. 52 Meetings and interviews 53 3.Trade unions III. 53 Redeployment 53 1.Responsibility 53 2. Keeping plans flexible . 54 3.Methods 54 4.Principles of redeployment 55 5. Rules of procedure 55 6.Training 56 7.Cost of training IV. 56 Conclusions 56 OiseII.A PoucY OF CONTINUOUSCHANGE WITH A STABLE STAFF I.Introduction 58 1 II. 58 Technical changes within the firm 59 1.Changes in goods 59 2. Modernisation of production equipment 60 3.Modernisation of management methods 60 4.Forecasts III. 61 Staff policy 61 1. Employment policy 61 2.Qualifications and training 62 3.Staff information and staff attitudes 62 4.Technical changes and remuneration. IV. 63 Summing up 64 Case III.DISTRIBUTION OF LIQUEFIED GAS- A TEN-YEAR PROGRAMME OF DECEN- TRALISATION AND MECHANISATION I. 65 Introduction 65 II.Technical and organisational changes 66 1.Decentralisation 66 2.Factory mechanisation and modernisation oftransport 66 III.Manpower policy 66 1. Size of the problem 66 2. Employment forecasts 67 3. The retraining plan 67 IV. Transfers to other companies 68 V. Transfers and retraining within thecompany 68 1. The system of transfers 68 2. Technical training 68 3. Training of office workers. 69 4.Training of salesmen 69 5.General training of other redundant employees 70 6.Payment during training 70 VI.Information VII. 70 Problems. 71 1. Regional differences in wages 71 2. _A Attitudes to transfer 71 3. Attitudes to mechanisation 71 4. Housing 71 Case IV.STAFFING A NEW FACTORY INA NEW INDUSTRY. 1 I. 72 Introduction . 72 IL Estimating manpower requirements 73 1.Forecasting qualifications and jobstructure in the new field. 73 2.Prognostics of recruiting III. 73 Meeting manpower requirements 74 1.Preparing the ground 74 2.Selection 74 3.Training IV. 75 Conclusions 75 L 6 Chapter IV. FEDERAL REPUBLIC OF GERMANY Introduction 77 Case I.THE INTRODUCTION OF FOUR-SHIFT WORKING IN PAPER MANUFACTURE .. 80 I.Introduction 80 1.Description of the factory 80 2.Determining factors in the change 81 a.The market situation 81 b.The technical situation 81 c. Labour regulations 81 3.The decision 81 4.The changeover 82 II.Planning and preparing the changeover 82 1.The planning body 82 2.Collaboration with the supplying firm. 83 3.New methods of operation 83 4.Legal requirements. 33 5.The shift plan 83 III.Consultation and negotiation 84 1.Opposition to continuous production 84 2.The In llot on the four-shift system 84 3.Further information 85 4.Settling wage problems 85 IV.Determining manpower needs 85 1.Responsibility for manpower planning 85 2.Underlying concepts 85 3.Quantitative determination of staff requirements 86 4.Recruitment 86 5.Principles of selection 86 6.Increase in specialist staff 87 7.Use of contractor's staff during assembly period 87 8.The changeover period 88 V.Training 88 1.Theoretical training 88 2.Training in outside plants 88 3.Training on the machine 89 VI.Results 89 1.Running-in period 89 2.The period following the changeover 90 a.From the management's viewpoint 90 b.From the workers' viewpoint 90 (7ase II.DATA PROCESSING AND MANPOWER SAVINGS IN PUBLIC ADMINISTRATION. 92 I.Introduction 92 1.Operation of the Pension Department before introduction of the computer 92 2.Reasons for change 93 3.Introduction of a data processing system 93 ii.Changes in the pension department 94 1.Procedures 94 2.Organisation 94 3.The grades structure 94 III.Staff planning 95 1.Responsibility for staff matters 95 2.Staff planning in the Pension Department 95 a.The establishment plan 95 b.Information to the staff 96 c.Agreement of the staff committee 96 3.Staff planning in the Computer Centre 97 a.The establishment plan 97 b.The filling of qualified posts 97 c.The filling of less qualified posts 98 d.Control of the Computer Centre 98 7 i. IV.Problems of adjustment 99 1.The Pension Department 99 2.The Computer Centre 99 3.Co-operation between the Computer Centre