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Over the past decade many manufacturing organisations around the world have been changing their structures from the traditional hierarchical pyramid structure to a flatter, more responsive and lean structure. Team work and employee participation have become the key tasks for managers in all types of industries. This paper discusses team work and self‐directed work teams. It presents some of the key findings from a survey conducted in Australia and describes the four stages of developing self‐directed work teams. Some recommendations for companies adopting work teams are also made.

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