DOMINION-SWANN INDUSTRIES: The

Ethics of Work Support Technology

Introduction

The following is an excerpt from Dominion-Swann Industries’ 1995 Employee

Handbook. DS is a $1billion diversified company, primarily in the manufacture of
electrical components for automobiles. This section of the handbook was prepared by
the corporate director of personnel, in consultation with the human resource
management firm SciexPlan Inc.

Dominion Swann’s New Workplace: Hope for Industry through Technology

We are a technology-based company. We respect our employees, whose

knowledge is the core of the technological enterprise. We care about the DS
community. We value honesty, informed consent, and unfettered scientific inquiry. Our
employees understand company strategy.
They are free to suggest ways to improve our performance. We offer high rewards for
productivity and vigorous participation in the life of our company. Committed to
science, we believe in careful experimentation and learning from experience.
Since 1990 , we have instituted changes in our work environment. The reasons
for change were clear enough from the start. In 1990, DS faced an uncertain future.
Our productivity and quality were not keeping pace with overseas competition.
Employee turn-over was up, especially in the most critical part of the business -
automotive chips, switches and modules. Health costs and accidents were on the rise.
Our employees were demoralised . There were unprecedented numbers of thefts from
plants and offices and leaks to competitors about current research. There was also a
sharp rise in drug use. Security personnel reported unseemly behavior by company
employees not only in our parking lots and athletic fields but also in restaurants and
bars near our major plants.
In the fall of 1990, the company turned to SciexPan Inc., a specialist in employee
relations management in world-wide companies, to help develop a program for the
radical restructuring of the work environment . We had much to learn from the
corporate cultures of overseas competitors and were determined to benefit from the
latest advances in work-support technology.
The alternative was continued decline and ultimately, the loss of jobs.
Frankly, there was instability while the program was being developed and
implemented. Some valued employees quit and others took early retirement. But
widespread publicity about our efforts drew to the program people who sincerely
sought a well-ordered, positive environment. DS now boasts a clerical, professional,
and factory staff that understands how the interests of a successful company
correspond with the interests of individual employees. To paraphrase psychologist
William James, “When the community dies, the individual withers.” Such sentiments,
we believe, are imbedded in Western traditions as in Eastern- they are the foundation
of world community. They are also a fact of the new global marketplace.
The Fundamentals

Since 1990 , productivity per worker is up 14%. Sales are up 23%, and the work
force is down 19%. Employees’ real income is up 18%, due in large part to our bonus
and profit-sharing plans. Many of these efficiencies can be attributed to reform of our
factories’ production technologies. But we can be proud to have been ahead of our
time in the way we build our corporate spirit and use social technologies. At DS four
principles underlie work support restructuring:

1. Make the company a home to employees. Break down artificial and alienating
barriers between work and home. Dissolve, through company initiative, feelings of
isolation. Great companies are made by great people, all employee behavior and
self-development counts.
2. Hire people who will be make a continuing contribution. Bring in people who
are likely to stay healthy and successful, people who will be on the job without
frequent absences. Candor about prospective employees past may be the key to
the company’s future.
3. Technical, hardware-based solutions are preferable to supervision and
persuasion. Machines are cheaper, more reliable, and fairer than managers.
Employees want to do the right thing; the company wants nothing but this and will
give employees all the needed technical assistance. Employees accept
performance evaluation from an impartial system more readily than from a superior
and appreciate technical solutions that channel behaviour in a constructive direction.
4. Create accountability through visibility. Loyal employees enjoy the loyalty of
others. They welcome audits, reasonable monitoring and documentary proof of their
activities whether of location, business conversations, or weekly output. Once
identified, good behavior can be improved.

These principles have yielded an evolving program that continues to benefit from the
participation and suggestions of our employees. The following summary is simply an
introduction. The personnel office will be pleased to discuss any aspect of community
performance or breaches of company policy in detail with employees. (You may cal for
an appointment during normal business hours at x-2089.)

Entry-Level Screening

As a matter of course and for mutual benefit, potential employees are screened and
tested. We want to avoid hiring people whose predictive profile- medications, smoking,
obesity, debt, high risk sports, family crises- suggests that there will be serious losses
to our community productivity in the future.

Job applicants volunteer to undergo extensive medical and psychological

examinations and to provide the company with detailed personal information and
records, including background information about the health, lifestyle, and employment
of parents, spouses, siblings, and close friends. Company associates seek permission
to make discreet searches of various databases, including education, credit,
Bankruptcy and mortgage default, auto accident, driver’s license suspension,
insurance, health, worker’s compensation, military, rental, arrest, and criminal activity.

The company opposes racial and sexual discrimination. DS will not check
databases containing the names of union organisers or those active in controversial
political causes (whether on the right or the left). Should the company’s inquiry
unwittingly turn up such information, it is ignored. We also use a resume verification
service.

Since our community is made up of people and not machines, we found it useful to
compare physiological, psychological, social and demographic factors against the
profiles of our best employees. Much of this analysis has been standardised. It is run
by SciexPlan’s expert system, INDUCT.

Community Health

We want employees who are willing to spend their lives with the company, and
we care about their long term health. The company administers monthly pulmonary
tests in behalf of the zero-tolerance smoking policy. Zero tolerance means lower health
insurance premium and improved quality of life for all employees.
In cooperation with with Standar-hardwick, one of the United States’ most
advanced makers of medical equipment and a valued customer, we’ve developed an
automated health monitor. These new machines, used in a private stall and activated
by employee thumbprint, permit bi-weekly urine analysis and a variety of other tests
(blood pressure, pulse, temperature, weight) without the bother of having to go to a
health facility. This program has received international attention; at times, it has been
hailed; at times severely criticized. People at DS often express surprise at the fuss.
Regular monitoring of urine means early warning against diabetes, and other potential
catastrophic diseases - and also reveals pregnancy. It also means that we can keep a
drug free, safe environment without subjecting people to the indignities of random
testing or the presence of an observer.

The Quality Environment

Drawing on SciexPlan’s research, our company believes that the physical environment
is also important to wellness and productivity. Fragrant aromas such as evergreen may
reduce stress; the smell of lemon and jazmine can have a rejuvenating effect. These
scents are introduced to all workspaces through the air-conditioning and heating
systems. Scents are changed seasonally.

Music is not only enjoyable to listen to but can also affect productivity. We can
continually experiment with the impact of different styles of music on an office or
plant’s aggregate output. Since psychologists have taught us that the most serious
threat to safety and productivity is stress, we use subliminal messages in music such as
“safety pays”, “work rapidly
but carefully”, and “this company cares”. Personal computers deliver visual subliminal
such as “my world is calm” or ‘we’re on the same team.”

At the start of each month, employees are advised of message content. Those
who don’t want a message on their computers may request that none be transmitted-no
questions asked.
On the whole, employees who participate in the program feel noticeably more positive
about their work. Employees may borrow from our library any one of hundreds of
subliminal tapes, including those that help the listener improve memory, reduce stress,
relax, lose weight, be guilt-free, improve self-confidence, defeat discouragement and
sleep more soundly.

On the advice of SciexPlan”s dieticians, the company cafeteria and dining room
serve only fresh, wholesome food prepared without salt, sugar or cholesterol-producing
substances. Sugar and caffeine-based, high energy snacks and beverages are
available during breaks, at no cost to employees.

Work Monitoring

Monitoring system performance is our business. The same technologies that keep
engines running at peak efficiency can keep the companies that make engine
components running at peak efficiency too. That is the excitement that of the
information revolution.

At DS we access more than 200 criteria to assess productivity of plant

employees and data-entry personnel. These criteria include such things as the quantity
of keystroke activity, the number of errors and corrections made, the pressure on the
assembly tool, the speed of work, the time away from the job. Reasonable productivity
standards have been established. We are proud to say that, with a younger workforce,
these standards keep going up, and the incentive pay of employees who exceed
standards is rising proportionately.

Our work units are divided into teams. The best motivator to work hard is the
high standards o one’s peers. Teams, not individuals, earn prizes and bonuses.
Winning teams have the satisfaction that they are doing more than their share.
Computer screens abound with productivity updates, encouraging employees to note
where their team stand and how productive individuals have been for the hour, week
and month. Computers send congratulatory messages such as “you are doing 10%
higher than the norm” or messages of concern such as” you are lowering the team
average”.

Community Morale
There is no community without honesty. Any community must take reasonable
precautions to protect itself from dishonesty. Just as we inspect the briefcases and
purses of visitors exiting our R&D division, the company reserves the right to call up
and inspect without notice all data files and observe work-in-progress currently
displayed on employees screens. One random search discovered an employee using
the company computer to send out a curriculum vitae seeking employment elsewhere.
In another, an employee was running a football pool.
Some companies try to prevent private phone calls on company time by invading
their employee’s privacy. At DS encroachment on employee privacy are obviated by
telecommunications programs that block inappropriate numbers (dial-a-joke, dial-a-
prayer) and unwanted private incoming calls. In addition, an exact record of all dialling
behavior is recorded, as is the number from which calls are received. We want
employees to feel protected against any
invalid claims against them.
Video and audio surveillance too protects employees from intruders in hallways,
parking lots, lounges, and work areas. Vigilance is invaluable in protecting our
community from intruders, in hallways, parking lots, lounges and work areas. Vigilance
is invaluable in protecting our community from illegal behavior or actions that violate our
safety and high commitment to excellence. All employees, including managers, check
in and out of various workstations - including the parking lot, main entrance, elevator,
floors, office, and even the bathroom- by means of an electronic entry card. In one
case, this surveillance probably saved the life of an employee who had a heart attack in
the parking lot; when he failed to check into the next workstation after five minutes,
security personnel were sent to investigate.

Beyond Isolation

Our program takes advantage of this most advanced telecommunications equipment to

bind employees to one another and to the company. DS vehicles are equipped with
onboard computers sign satellite transponders. This offers a tracking service and
additional two-way communication. It helps our customers keep inventories down and
helps prevent hijacking, car theft and improper use of the vehicles. Drivers save time
since engines are checked electronically. They also drive more safely and the vehicles
are better maintained since speed, gear shifts and idling time are measured.
In addition to locator and paging devices, all managers are fax machines and
personal computers for their homes. These are connected at all times. Cellular
phones are provided to selected employees who commute for more than half and hour
or for use while travelling.
Instant communication is vital in today’s international economy. The global
market does not function only from 9 to 5. Modern technology can greatly increase
productivity by ensuring instant access and communication. Periodic disruptions to
vacations or sleep are a small price to pay for the tremendous gains to be won in world-
wide competition. DS employees share in these gains.
Great companies have always unleashed the power of new technology for the
social welfare, even in the face of criticism. During the first industrial revolution, such
beloved novelists such as Charles Dickens sincerely opposed the structures of mass
production. In time, however, most of the employees who benefited from the wealth
created by the new factories and machines came to take progress for granted and
preferred the modern factory to traditional craft methods.
Today, we are living through a Second Industrial Revolution driven by the
computer. Advanced work support technology is democratic, effective and anti-
hierarchical. DS balance sheet and the long waiting list of prospective employees
indicate how the new program has helped everybody win. To recall the phrase of
journalist Lincoln Steffens, “We are a company of the 21 st century.”

I. Case Study Questions

1. Work Support Technology:

a) What does Dominion-Swann mean by the phrase work-support technology?
b) Why did Dominion Swann implement work-support technology?
c) Has the use of work-support technology been successful at Dominion Swann?

2. The ethics of work -support technology:

a) Do you approve of any of the ways Dominion-Swann is using work-support
technology?
Explain.
b) Do you disagree with any of the ways Dominion Swann is using work-support
technology? Explain.
c) Do you think that any of the ways that Dominion Swann is using work-support
technology is unethical? Explain your ethical reasoning, mentioning any ethical
philosophies or principle you hold.
d) Would you like to work at Dominion-Swann Industries? Why or why not?

II. CASE ANALYSIS METHODOLOGY

NOTE:

All Case Analyses are understood to be taken from the point of view of an IS
consultant or the MIS manager of the organization or agency which is the subject of the
case. This means that we are interested in the facts that affect the state of the
Information Technology environment. We are interested in defining information systems
issues. We are looking at solutions that will have an impact on the defined Information
System issue or problem earlier defined. The cases fall under specific topics in the
syllabus. This indicate the particular area of concern in Information Technology where
the case falls. That also means you will look at the issue from that particular angle( e.g.
New Information Systems Architecture, Managing Information Systems, etc.).

Please read the course syllabus again.

1. STATEMENT OF THE PROBLEM and any pertinent introductory remarks. This
should focus on the identification of the issue or concern that needs to be
addressed. Short term and long term problems should be identified whenever
necessary.

= 20 POINTS

2. ANALYSIS should enumerate the facts that are pertinent to the problematic
situation; and the factors that will affect the course of action to take in order to
address the problem. This section should also contain any assumptions being
made regarding the case.

=30 POINTS

3. ALTERNATIVE COURSES OF ACTION should enumerate as many

alternatives available. The status quo is always an alternative. In addition to the
status quo, there should at least be 2 more alternatives. Grading will be based on
the quality of the alternatives rather than quantity.

=30 POINTS

4. RECOMMENDED SOLUTION AND RATIONALE should contain the

arguments/reasons for choosing the recommended alternative. Short term and long-
term solutions should be determined whenever applicable.

=10 POINTS

5. IMPLEMENTATION will contain how the solution will be implemented.

This is a step-by-step plan of action on how to implement the solution; including
conditions or constraints for the implementation.

=10 POINTS
Note: Limit your presentation to a maximum of 5 pages.