Application of Harvard Framework Model
This report discusses the implication and application of Human Resource Management through a detailed evaluation and analysis of the case study. Human Resource Management (HRM) can be defined as a process that helps an organisation to combine all its resources and channelize them in a productive direction (Ahlstrand, 2015). An efficient HRM practice followed by an organisation eventually helps the company to achieve its desire goal and targets along with fulfilling the demands of the employees.
This report examines and evaluates the importance of effective HRM practices in an organisation and the theories, practices and models employed by them in a challenging situation. The rep[ort will also present a literature review on the different practices of human resources management, laws and behaviour of labours and transport workers union in an in-depth manner. The report will further critically examine the case study and discuss the human resource management issues experienced by the Top Trucking Company. The report will primarily focus on the practices introduced by the organisational management too increase productivity and coordination between managers and employees, the important role played by the new manager and the risks associated with his transfer, the in the acceptance of the union and the capacity to adapt to such changes in the public or service sector.
Human Resource Management is process employed by an organisation in order to effectively manage, utilise and allocate its most important resource that is, human capital to the required fields or areas of the organisation (Koivusaari, 2016). As per the case study, the HR management in the trucking company was in its changing phase. The Wollongong Yard of the company was a high performer and quite popular in its area, however with a difficult task manger and the most important contributor for their high performance was their union delegate George Psaros (Choi, Park & Park, 2015). He has been a pillar of strength for the company during its transition phase and has provided immense support to the management as well as the union workers. However, though the company was quite popular it was a difficult place to work because of the dominating nature of the manger. Since the management was not ready to pay for the organisation’s infrastructure, it was finally taken over by a big national transport group.
The company under the old management were facing many challenges and issues because of the demanding and dominating nature of the manger, however after the new acquisition the new management brought in several changes in the HRM model as well as the workplace practices within the organisation.
The Harvard Framework was adapted by the trucking company, which suggest that the line managers are required to accept more work with respect to responsibilities in order to ensure synchronisation of personal policies and competitive strategy (Alqatawni, 2016). According to the model, these policies have been set to govern the development in individual activities, it implementation and how they can be aligned with organisational objectives. The model emphasises on the employees as the main stakeholders other than customers and shareholders (Sparrow, Brewster & Chung, 2016). The Harvard Framework primarily creates a basis for four human resource policies, that is, Human Resource Flow, it considers the recruitment, selection, termination, appraisal and promotion aspect of employees within the organisation, employee influence deals with assigning responsibility and authority to the employees, work system looks after designing and managing work flow and reward system for motivating employees for better performance (Marler & Fisher, 2013).
Workplace Changes
Keeping workers as their primary focus, the trucking company has adapted the Harvard Framework Model and has introduced various workplace practices in order to create a productive environment for the staff workers (Sieber et al., 2014). The biggest issues or challenges faced by the workers autocratic line managers who were unwilling to accept any criticism.
Appointment of New Line Manger – the management appointed a new manager keeping in mind the past behaviour and conflict between the old manger and the union. The new manger was open-minded and inviting to new ideas and takes into consideration the viewpoint of the staff workers. His selection was done based on his capability to handle irate union members as well as their leader George who was very old in the organisation (Huang et al., 2013). The mew manger tried explore various issues and challenges rationally and assign responsibilities to each one of the employees depending on their capabilities.
Change in Infrastructure – the new management was keen on investing new capital in the company’s infrastructure that is purchasing new trucks unlike the previous management. It was one of the major issues that were highlighted by the drivers during their discussion with the new manager. The new management also ordered new uniforms for the truck drivers and invested a huge sum of money for buying new computers for the yard’s warehouse.
Training and Development – all the staff workers including the union members and truck drivers were in employment of the organisation for a long duration of time and hence it was necessary to nurture and enhance their skill and knowledge regarding new processes and systems introduced in the organisation. Therefore, the manager initiated various development program along with providing training for the drivers for both technical and customer service segment (Dubey & Gunasekaran, 2015).
The management kept working for the improving the health and safety of the employees in order to win the support and confidence of the workers. The management also spent a lot of money in maintain and cleaning the dockyard for creating a hygienic working conditions for the workers (Schulz, Luthans & Messersmith, 2014).
In the case study both the manger and the Union Delegate, George, was an important human resource to the organisation, the manger was capable of achieving the challenging role with which he was assigned, whereas George was much senior in the organisation with no promotions in the past. Thus, losing either of the resources could lead to decline in performance and hamper the coordination among the workers within the organisation.
The risk that could be associated with such a decision is as follows-
Risk of Incomplete Task – any task designed by the manager or George for the benefit of the company might remain incomplete in the case of their moving away. Since they are both well settle in the organisation, their movement might disturb the course of action planned by the organisation (Gekara, Snell & Chhetri, 2015).
Sense of Insecurity – the new manger has worked hard in order to win the confidence and support of the workers and in such a scenario, his moving away might create a sense of insecurity among the workers regarding the expected future growth of the company as well as smooth flow of operation between the management and the workers (Alqatawni, 2016).
Health, Hygiene and Safety
Lack of Confidence – since the leader of the union is highly respected of the union members and hence his movement can make issues remain unresolved and not communicated to the required channel on time (Alqatawni, 2016).
Unbiased Communication – the new manger regularly updated the drivers regarding the yard’s performance, this enhanced smooth coordination with each other. He communicated with workers in a straight, simple and easy manner (Alqatawni, 2016).
Employee Retention is a crucial aspect of the HR management, that ensures retention of best talents in the organisation because hiring new employees involves more time and cost, thus risking productivity in the mean time (Mansfield, 2014). There may be various reasons for an individual to move out of an organisation, such as, better compensation, opportunities, employee dissatisfaction, higher designation and others. Keeping in mind these reasons employee retention policy has been designed.
According to the theories of HR management transport workers are more adaptable towards changes in the workplace in comparison to the Public or Service sector. The blue-collar union refers to the union of workers, which includes drivers, shop floor workers, fire fighters and others (Mansfield, 2014). These workers get immense union support in comparison to the people working in service and public sector.
The blue-collar union comprises of staff-workers with high manual skills but less academic knowledge or literacy level. They are mostly paid on hourly basis and sometimes weekly or daily basis depending on the organisational structure (Mansfield, 2014). They are more concerned about the unions rather than the management of the organisation in which they are employed. Their demand is greater in the market because their job requires more of manual labour as compared to private or service sector where having a good knowledge base is important (Borgström, Gammelgaard & Bruun, 2016). In some of the countries, where individuals are member of the blue-collar union are paid more than people doing white-collar jobs. These people are mostly hired for production work and minimum interaction with the management of the organisation. They select a union representative who communicates as well as negotiates with the higher management on their behalf (Borgström, Gammelgaard & Bruun, 2016).
Public or service sector comprises of individuals having core academic as well as professional experience. They hold a professional degree in order to support their compensation and job role assigned in the organisation. They have less union support and their participation in the union is least (Borgström, Gammelgaard & Bruun, 2016). Employees working in the public or service sector in an organisation are more closely related to the management and their decision making process in comparison to individuals associated with transport workers union. In the case of transport union, the management has the authority to bring changes according to their wishes as can be seen in the top trucking company in consultation with the manger and the union mainly agree to it with minimum scope of negotiation available. Whereas employees of public or service sector has more say over the decisions taken by the management regarding policymaking (Cooney, 2013). Hence, it can be said that transport union workers are more adaptable to changes in the workplace in a more accepting way than those employed in the private and service sector.
Conclusion:
Thus, it can be concluded by saying that as per the analysis of the case study on ‘Comparative Relation at Top Trucking Company’, the new management has adapted the Harvard Framework Model in order to bring innovation in the organisation by introducing several workplace changes within the company. Some of these changes are as follows, replacing the manager, uniforms, technological systems, communication process and training and development programmes for all staff workers, mainly focusing on the drivers. In addition to this, it has also been found that transport union workers are more adaptable to changes in the organisation than those working in the public and service sector. The following recommendation can be made in the light of the case study:
The new manager and George should not be relocated so that the new positive management established in the yard can continue. The new manager encouraged participation of the drivers in problem solving. George too got involved in the problem solving process and complemented the new manager in his transformation management. Thus, both should continue their tenure at the yard to ensure continuation of the new healthy work culture and betterment of the drivers.
References:
Schulz, S., W. Luthans, K., & G. Messersmith, J. (2014). Psychological capital: A new tool for driver retention.International Journal of PhysicalDistribution & Logistics Management,44(8/9), 621-634.
Ahlstrand, R. (2015). Integrative strategy, competitiveness and employment: A case study of the transition at the Swedish truck manufacturing company Scania during the economic downturn in 2008–2010. Economic and Industrial Democracy, 36(3), 457-477.
Alqatawni, T. H. (2016). Relationship between Financial Knowledge and Business Performance for Truck Owner-Operators.
Borgström, B., Gammelgaard, B., & Bruun, P. (2016). Competitiveness in Road Transport. In 11th European Research Seminar on Logistics and SCM. ERS 2016.
Choi, J., Park, Y. S., & Park, J. D. (2015). Development of an aggregate air quality index using a PCA-based method: a case study of the US transportation sector. American Journal of Industrial and Business Management, 5(02), 53.
Cooney, R. (2013). Occupational licensing in intermediate-skill occupations: The case of drivers in the land transport industry. Journal of industrial relations, 55(5), 743-759.
Dubey, R., & Gunasekaran, A. (2015). The role of truck driver on sustainable transportation and logistics. Industrial and Commercial Training, 47(3), 127-134.
Gekara, V. O., Snell, D., & Chhetri, P. (2015). Are older workers ‘crowding out’the young?: a study of the Australian transport and logistics labour market.
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