Section TwoPerformance evaluation and compensation reviews are still the
responsibility of managerial personnel.^52
Steelcase has derived a number of important benefits
from its work groups. One is that the teams, which include
machine operators, tend to make better machinery purchasing
decisions than managers. Another benefit is savings in labor
costs because the proportion of indirect labor costs is lower
than other plants in the industry. For example, there is no need
for the position of assistant foreman. An additional benefit is
that the Context plant has experienced an annual turnover rate
lower than one percent. Furthermore, communication has been
facilitated as a result of the use of work teams. Finally,
Steelcase has found that its workers have not become
complacent because of the sense of ownership produced by
the teams.^53