Globalization tightens the competition within the domestic and global markets. To enable a company to increase its competitive advantages against its competitors, a lot of medium- and large companies are forced to restructure and downsize. (Domberger, 1998) For this reason, human resource managers are being challenged to increase the efficiency and productivity of each company’s employees.As part of the most recent human resource strategy, employee involvement has been considered as one of the most important strategies when it comes to increasing a company’s production output efficiency as well as employee’s commitment to attaining the organizational goal and overall financial success of the business. (Bryson, 1999) Basically, increasing a company’s production output contributes a lot of savings in terms of being able to maximize the company’s fixed costs. Eventually, a higher production rate increases the company’s profitability from the sales of products and services.With regard to the practice of employee involvement, several authors have noted that each type of employee involvement technique or a combination of these techniques has different effects on employee’s performance. (Cabrera, Ortega, amp. Cabrera, 2003. McNabb amp. Whitfield, 1998)Prior to the conclusion, the HR student will discuss some of the challenges that human resource managers will be facing when implementing employee involvement and participation including the recommended ways on how human resource managers could implement employee involvement and participation in order to solve organization conflicts.Employee involvement is considered as the voluntary employer-led initiatives that are designed to encourage the more active employee to participate in the business organization. (Caldwell, 1993) Among the long list of benefits associated with the implementation of employee involvement and participation, Guest, Peccei amp. Thomas (1993) stated that the main reason for the need to implement employee involvement is to increase the level of employee commitment towards the business organization.
Importance of Employee Involvement and Participation in Solving Organizational Conflicts