Professional Documents
Culture Documents
Introduction
It
is
our
intent
to research
the problems
The first aspect that we will examine is that of personnel issues and
challenges. The beliefs of Frederick Taylor, father of scientific management
are still valid. It was his belief that management should assume more
responsibility for: matching employees to the right job, providing the proper
training, providing proper work methods and tools, and establishing
legitimate incentives for work to be accomplished. These beliefs continue to
be valuable components of effective personnel management. The successful
companies or organisations will be those that are able to attract and retain
highly skilled employees. In order to do that, they must be able to match
what the employee wants with what the employer is willing to give. Human
resource directors and executives are coming to the realisation that if you
take care of your people; they will take care of you. Many companies are
doing this by offering innovative and flexible benefits.
Changing employee expectations pose several different challenges for
HRM professionals. In order to retain good employees and keep them happy
and productive, these challenges must be successfully met (Sims R. and S.
Sims, 1994). Companies need to first identify what their employees need.
Companies with more than one location should not assume that all
employees in all sites have the same needs. The employees needs may be a
reflection of socio-economical or cultural influences. After needs have been
determined, the next goal is to establish a cost-effective plan to provide for
the employees needs. The HR professional needs to be aware that the
employees needs are not static, they are indeed ever changing. They provide
benefits based upon what the best particular fit is for the employee. One
location may offer child-care benefits, while another may offer flexible hours
or working from their home. Organisations need to build a better benefits
package. Companies need to look at their total reward package in order to
retain their skilled workers to be sure that these programmes really add
value. They should avoid be-ing rigid and try to customise benefits to the
individual employee.
Yahoo! has begun offering personal finance seminars for its employees
whose stock options have grown tremendously (Yahoo!s stock is now worth
20 times more than it was in 1996). They are also using parties on Fridays
and visits from Ben & Jerrys ice cream truck to create positive morale.
The HR department needs to become employee champions. Workers are
constantly being asked to do more with less. Former employment contracts,
which were based on job security and predictable promotions, have been
replaced with faint promises of trust. As a result, relationships with
employees become transitional with employees giving their time and not
much more. Employees who feel that they are valuable are willing to share
deals, work harder and relate better to customers.
The Sears department store has compiled data that showed a small
increase in employee commitment resulted in a measurable increase in
customer commitment and store profitability.
Sears, Roebuck and Company found themselves in a 10-year business
down-turn and knew that they had to change their strategy and culture. In
September 1992 Arthur Martinez began heading up the merchandising
group. He made many sweeping changes that in 1993 produced a sales
increase of more than 9% and a total return for shareholders of 56%. In order
to ensure that this success would continue he created a core group of senior
executives that became known as the Phoenix Team. He worked to empower
this core group to think and create their own plan for implementing and
sustaining the necessary changes. They devised a questionnaire that was,
and still is, periodically given to employees. By using 10 out of the 70
questions, they have produced a model that shows a 5 point improvement in
employees attitudes will drive a 1.3 point improvement in customer
satisfaction and this will drive a .5% increase in revenue growth. Applying
this model to 12 months of sales equates to employee satisfaction and
customer satisfaction each increased by nearly 4%. This equates to $200
need
to
encourage
shared
learning
among
their
employees.
to
customers
and
the
opportunities
being
presented
by
talent has long been an under managed company asset. People have not
been made a priority. Superior talent will be tomorrows prime source of
competitive advantage. The question needs to be asked, why would a
talented person want to work here?
The current labour force is living longer and is healthier than the last
generation. Adults have been found to be going back to school to improve
and update their skills. It is likely that they will not be retiring in the same
way that their parents did. They will probably continue to work, or possibly
retire from one career and enter another. The younger members of the
workforce will be competing with the older members for jobs.
In the global economy, organisations that can quickly put strategy into
action, manage processes intelligently and efficiently, obtain the most from
their employees, and make change seem effortless.
The HR department must orient and train line management to initiate
practices that will achieve high employee morale. They must be the
employees
voice
in
the
decisions
being
made
by
management.
when
implementing
technology
include:
automated
instantaneous
communication
worldwide.
They
also
allow
is
to
maximise
profits.
In
order
to
maximise
profits,
organisations must not only maximise revenues but also minimise costs.
Increased efficiency is the most productive way to minimise costs. This
applies both to human resource functions as well as to automated
manufacturing processes. If used properly, computers, with their speed and
accuracy, can increase the efficiency of the HRM department, not to mention
the entire company, thereby maximising revenues while minimising costs.
Personnel software packages can be a boon or a bane to the human resource
manager;
dependent
upon
how
carefully
they
are
selected.
When
Think about the enterprise: Bring executives from other areas of the
company into the discussion and investigate what type of access is
needed to more closely integrate business objectives with the HR
department. Have a clear list of the enterprise issues the new solution
needs to address.
Look for flexibility and scalability: What type of relationship does the
vendor have with ERP (enterprise resource planning) vendors? If they
have partners and offer other products that can be used with a variety
of different applications, chances are integration will be easier.
Discuss future plans with your ERP vendor: Does your ERP vendor have
plans to offer similar types of features in a future update? If not,
determine what type of support it will offer in integrating your bolt on
HR solution to the back-end ERP modules.
European Union is and where it is going, it has had a significant impact upon
world trade. There are many reasons why a domestic business operation will
decide to change to some form of International operation. These reasons
range from the tangible to the intangible.
Economic Impact - Beyond the questions of political and economic
stability, the benefits to the United States of a successful Euro could be
considerable. By replacing the French franc, the German mark and nine other
national currencies, the programme should make it easier and less expensive
for American companies to sell their products and service. Multinational
American companies are already among the largest in Europe, and many
smaller American exporters are increasingly looking to Europe (Stevenson,
1999). One important role for HR professionals in a multinational company is
to be the purveyor of current and correct information. Many employees are
concerned about how the Euro would affect the way that they are paid and
the benefits that they will receive. Employees are also concerned how the
Euro will impact on their company and the business that they do. As
companies speculate and react to changes in the European marketplace in
the years ahead, opportunities to introduce major changes in HR strategy will
arise (Roberts, 1999). It will be vital for the HR professional to be aware of
these changes and to use them to their best advantage.
Why are global operations important? There are a number of reasons
why a company would consider expanding their area of operation.
Companies can realise a reduction of costs, particularly those costs incurred
by labour, taxes and tariffs. They can also realise an improved supply chain
along with a reduction of risks. These reduced costs, along with the improved
supply chain would permit the organisation to learn how to improve
operations and provide better goods and services. Finally, multinational
expansion would make it possible not only to attract new markets, but also
to attract and retain global talent as well. Globalisation is also having a big
impact on supply-chain management, human resource issues, quality,
the
situation
will
keep
an
organisation
from
effectively
is
what
particular
culture
deems
acceptable.
Ethical
considerations such as the attitude towards employee theft and bribery can
have significant impact on the operations of a company. Companies must be
aware of potential problems or situations and have a plan to deal with them.
Discussion/Summary/Conclusion
In conclusion, sweeping changes continue to reshape the workplace. Todays
human resource professional plays a vital role in helping their organisation
remain competitive in the marketplace. They need to be a knowledgeable,
skilled business partner. The Human Resource professional in the new
millennium will wear many hats. They must be able to use their sense of
commitment, interpersonal skills and training to help make their company
successful.
Changes
in
the
work-place
dictate
that
they
cultivate
competencies in their own credibility, communication skills and decisionmaking skills. The Human Resource professional should be a strategic
when
considering
the
problems
facing
Human
Resource
professionals in the future. How will each of these three different yet
interconnected facets affect their choices? While not having a crystal ball, we
can make some generalisations.
*
Country
United
Kingdom
United
States
Australia
Germany
1980
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5.8
6.5
12.8
17.7
24.9
42.0
46.4
46.6
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-------
-------
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11.5
----
16.3
----
22.5
24.6
27.5
30.7
30.2
33.2
Threat
Preemptiveness
Synergy
Source: Sethi and King (1994)