Issues
Discuss about the Human Resource Management for Developing Capacities.
Human resource management includes all management practices and decisions that directly and indirectly affect the people working in the organization. Hence, human resource management is a coherent and strategic approach to managing employees of the organization that are known as most valuable assets of the organization. In easy words, HRM means providing employment opportunities to people, assist them in developing capacities, maintaining, utilizing and compensating their services according to the requirement of the organization. HRM practices are carried out by all national and international level firms (Hashim & Hameed, 2012). International Human Resource Management includes allocating, procuring and effectively utilizing human resources in a corporation working on the global level while balancing the differentiation and integration of human resource practices in foreign locations. This report focuses on the issues that can be occurred in the environment of an international organization. Adam O Meara, an international human resource management consultant, has been given a contract to identify the issues and then to provide suggestions and recommendations that can help the company in managing its human resource in an effective manner.
Meara identifies the issue that is prevailing in the environment of ‘No Name’ Aircraft. Some main issues out of those can be summarized as follows:
Meara analyzed that the major issues that are the root cause of all other issues in lack of communication among the employees of the organization. The employees of senior employees of the organization are not much interested in work with new employees. They always maintain the communication gap with new employees and with their juniors. The impact of this lacking of communication is being resulted in the quality of produced products. The products are being delivered to customers without the final modification because the employees in the various department do not communicate with each other regarding the products and their specifications. It is also affecting the goodwill of the organization and the faith both, the Customers as well as the stakeholder’s (Guest, 2011).
Meara identifies that there is lack of encouragement to the diversified workforce in the environment of ‘No Name’ Aircraft. The hiring of employees in China is discriminated on the basis of disabilities of employees. China’s recruitment and selection department do not hire the employees if they are suffering from any kind of disability irrespective of their skills, qualifications, and experience. This adversely affects the productivity of the organization. The image of the organization in the sense of valuing people also gets down by given preference to physical appearance to the employees. HR department does not have set guidelines which may govern the employees to work and to behave with the employees from the different religion, beliefs, community, region, and country. The managerial level, as well as operations level employees, are directed to communicate neither professionally not personally. Thus the important information regarding the production of aircraft does not reach to the operations team timely and it is resulting in decreasing the quality of aircraft (Genc, 2014).
Absence of sound communication
As ‘No Name’ Aircraft is an organization working on the international level, the employees need to train about the policies and procedures related to the company as well as related to the global industry. HR department is not concerned about this perspective as the training and development programs are not organized to inform and educate the employees about the working procedures of the organization. Training programs should be in the form of seminars, meetings, and conferences (Bakanauskiene & Brasaite, 2015). The company is also not concerned about the training of those employees who are going to take transfer in the subsidiary office of the company in near future. Such employees are facing problems related to languages, working culture, and communication system of the new office. The guidelines for the training of new employees are also not clearly specified by HRM department. Thus new employees are also facing problems because they are directly sent for the working purpose without any training programs. On job training programs running the company are not as much help as complete training programs are considered (Bird & Mendenhall, 2016).
International performance appraisals are not taken into account to measure and appraise the performance of employees of ‘No Name’ Aircraft. The employees are not promoted and even their performance is not reviewed on regular basis. The performance review is done only for the employees working in Head Office (Australia) and therefore the same are promoted. There is no any performance review and appraisal process is defined by the HR department to measure the performance of its subsidiaries. This generated a sense of being neglected by the employees by the management in comparison to others. It also affects their productivity and their dedication towards the organizational work and objectives (Bratton & Gold, 2017).
Adam believes that above-mentioned issues can be sorted and controlled by following some below mentioned corrective actions:
The organization must encourage the hiring of the diversified workforce from different countries and religions. For this purpose, recruitment and selection process of the organization must be altered and new policies should be included in the same. Similar job opportunities should be provided by the organization to all the applicants having desired requirements for the job profile. Recruitment of the employees should not be affected on the basis of sex, religion, race, beliefs and social values (Mellahi & Collings, 2010). This will result in increasing the volume of competent professional having their own and new ideas for performing the same task. The HR department must have to introduce set of guideline to manage the conflicts among employees because there are more chances of arising conflicts in the organization providing diversified employment to the society (Deresky, 2017).
Lack of cultural diversity practices
The HR department must introduce a set of quality standards for the final product. This will help in reducing delivery of incomplete product will also enable the management to evaluate the performance of its employees up to some extent. If the aircrafts are being prepared after considering the quality standards, there may be less chances of mistakes and dissatisfaction of customers and stakeholders. The news well as old employees of the organization must be informed about such standards and they should be highly instructed to work accordingly (Al Ariss & Sidani, 2016)
According to Meara. Human resource department of the company must take actions to reduce the communication gap among employees. Better communication will facilitate the use of knowledge and experience of each other. If employees are able to talk to each other without any hesitation and fear, then they will able to work together with the help of each other and thus quality of work will be increased automatically. The management and HR department should organise indoor as well as outdoor activities so that employees may get familiarise with each other and can build interpersonal relations with each other (Brewster et al, 2016). These activities may include playing games during interval times or going for picnic on week offs etc. The management of the organization should divide the comprehensive tasks in various teams. Each team must include the employees who faces difficulty in communication each other. During the activities of task, they will tend to communicate with each other and this will result in reducing communication gap between them (Dubravska & Solankova, 2015)
The organization should ensure that there should be guidelines for timely and accurate measurement of the performance of the employees. The performance measurement should be conducted for all the employees of the company either they are working in head office or subsidiary offices. For this purpose, employees must be well informed about the criteria of their performance so that they can work accordingly. Performance appraisal and measurement programmes encourage the employees to work in their best possible way. Appraisal and recognition at the workplace helps in creating a sense of being valued by the organization (Farndale et al, 2010).
Meara identifies that a silent issue in managing human resources in the globalized environment is maintaining and understanding cultural diversity. There is lack of support of employees to each other. The mismanagement also exists in the ratio of team leaders to the team members. The human resource department of ‘No Name’ Aircraft should hire employees from different cultures and different on the basis of their knowledge and potential (Nasir, 2017). For example, if an employee is being hired form England, he might have diversified ideas for doing the same work that may either be time-saving or not. An organization should always be open to adopting cultural differences and new styles of working to maintain a hallmark of cultural diversity in human resources. The company should hire a person with disabilities if they have potential and knowledge similar or more than the normal persons. The HR department should also introduce a clear set of practices that may help the employees in understanding the organizational goals and therefore their personal attributes towards the organization (Nkomo & Hoobler, 2014).
Issues related to training and development of employees
Adam recommends that in order to expand the business in the global marketplace and for hiring employees from diversified cultural and geographical backgrounds, the company may have to adopt international laws for governing its workforce. Doing business in Australia, for example, the company must have to follow ‘The Fair Work Act, 2009’ to ensure the equality in managing the performance of the employees (Meyer et al., 2011). Adoption and compliance with international laws can also be an issue for under-qualified HR managers and business owners, because these laws may be complex to understand and difficult to implement. Compliance with international laws also increases stakeholder’s believe that all the functions and activities are carried out according to the process. Adam has an opinion that the HR department of ‘No Name’ Aircraft should be well informed about the legal requirements related to the operations of the business that can help the managers in understating the complexity of laws (Paille & Boiral, 2014). The implementation plan that can be adopted by the organization for such purpose can be defined as follows:
Sound compensation and benefits are considered as the backbone of any HR policy. In case of global human resource management, compensation and benefits are more important to ensure the work-life balance of the employees. ‘No Name’ Aircraft should consider sound and attractive benefits and compensation plans and policies to encourage employees (Mura, 2012). The compensation and benefits plans are not related only to financial benefits, it may also include the availability of flexible shift timings, extended holidays, maternity leaves, and on-site care for the children of female employees or single parents. The idea of work-life balance includes the initiatives and programs that may improve their professional and personal lives. It may result in increasing enthusiasm in the employees, providing opportunities for communicating each other and ultimately results in increasing the productivity of the organization (Shuck & Wollard, 2010).
Adam also recommends that along with compensation and benefits, HR department must have recognized the need for training and development programs. Training programs should be organized by the company for the new employees to make them understand the cultural environment, working strategies, working scenarios of the organization. Same should also be organized for the existing employees to update them on the changes in the policies and environment of the organization (Tarique & Schuler, 2010). Training programs include meeting and in-house seminars to provide knowledge about the on job skills that are required to work in ‘No Name’ Aircraft. Human resource department should also arrange language classes, especially for the employees who are either going or have come, to the work in any other subsidiaries of the company. It would help the transferees in understanding the people and work in the new country. The employees may also be able to communicate with other new colleagues if they are known to the language of that country. Professional training and development programs help the employees to improve their skills in finance trends, business development and global marketing (Wrench, 2016). Below diagram shows the process of hiring and training the employees. Implementation plan for the purpose of training and development of employees can be defined as follows:
Issues related to performance management
Conclusion:
On the basis of above discussion, it can be concluded that international market is changing rapidly. Being the part of the organization, human resource management, and its managers must be ready to deal with the impacts the environmental changes. In order to ensure a positive response to such changes, the management needs to introduce some programs and techniques that may enforce the workers to flourish their skills and capabilities. The main goal of this report was to evaluate the issues in human resource management in the global environment and thus to provide some suggestions and recommendations on the basis of given case study. This information provided in this paper is based on detailed study of various theoretical and practical examples. The information contains the relation between the issues and appropriate recommendations based on the theories of various authors in different journal articles. According to the result of above study, for managing and achieving profitability in business along with the satisfaction of customers, in the long run, stakeholders and employees, human resource department must have sound and effective strategies and policies. As ‘No name’ Aircraft is facing dissatisfaction form stakeholders, customers and also from its employees, the main reason behind this is the ineffectiveness of HRM department. The study concludes that ‘No name’ aircraft and other companies working on the international level should introduce its HR policies to deal with current issues as well as to ensure that such issue may not appear again the future.
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