Outline by Brenda Okulski
Master of Accountancy Program
University of South Florida, Fall 2000
Lagging U.S. Production is a Serious Problem
Whose fault is it?
* Corporate Managers.
Response of Corporate Managers
Someone else’s problem.
* Beyond their control.
* U.S. still most productive nation.
Seeing it as their problem.
* Loss of market share.
* Decrease profits.
* Increase inflation.
Concerns put into action.
* Productivity improvement programs.
* Japanese Productivity System.
Japanese Productivity System
#1 Product Quality Control.
* Productivity improvement by-product of QC.
* "Religious" dedication to quality.
* Positive input & output effects.
#2 Grassroots Involvement.
* Worker suggestion system
* "Bottom up" approach
#3 Quality Control Circles.
* Address more complex problems.
* Consist of non-QC workers & foremen.
* Solve product QC and other problems.
* Active company support.
* Significant monetary benefits (savings).
* Many intangible benefits: morale, safety, teamwork, quality, communication.
#4 Non-Financial Rewards
* Positive reinforcement tools: praise & recognition.
* Minimal monetary incentive.
#5 Materialistic Management
* Close, nurturing relationships motivate & develop workers.
* Constant flow of information.
Uniqueness is in how the key factors fit together.
* No major differences in resources.
* Most programs developed by U.S.
Japanese system Transferable to USA?
Some say "no". The Japanese have
* Cozy government relationships.
* Company-based unions.
* Lifetime employment.
* Innate group orientation.
Some say "yes".
* Japanese companies with US subsidiaries.
* US companies with QC circles.
Fate of Productivity Improvement Rests with Managers.
* Top management must support it.
* Assistance from a variety of departments is needed.
* Challenge workers to solve problems.
* Utilize product QC as catalyst to improve productivity.
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