LONDON SCHOOL OF COMMERCE

COLOMBO CAMPUS SRI LANKA

MBA FOR EXECUTIVES

MODULE ASSIGNMENT: Managing Human

Capital

Student Name Rumesh Vishwanatha

Student Registration No. A0092CBECBE1115

Module Lecturer : Dr Francis Piron

Module Tutor Ms.Apsara Hewage

Date Submitted 18/02/2016

Total Word Count 3607

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Executive summary

This report is to analysis and the overall human resource practice and polices and
companys perspective to next level human resource. In this report the author wants to
in point certain areas that have come to his attention. As the company requested the
author has done the observation to identify the companys current human resource
models that are been used and how it can be improve further. And what the methods
and practice that use for recruitment and selection process. To enhance the process
certain scenarios have considered. For the in-depth evaluation of the recruitment
process and the possible outcomes to be more cost effective is the highlighted factor
concludes in this report.

The selected human resource models

Recruitment and selection process
Human resource development and enhancement
Motivation and its impact
How change manage
Change management and implementation

With above mention details have been considered to the report that will give a
comprehensive view point and points to make changers whenever it necessarily
needed. In conclusion author has pointed certain key areas that either at minimum an
d the highest level. Those factors consider to ripe the decided benefits in future for the
organization

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Table of Contents
List of tables ..................................................................................................................... 4
List of figures.................................................................................................................... 4
List of abbreviations.......................................................................................................... 4
1.0 Introduction ........................................................................................................... 5
2.0 The Organization ................................................................................................... 6
2.1 Historical Development of the company together with its HR practices .................... 7
2.2 companys Current market context........................................................................... 7
2.3 profile of the companys Human Capital .................................................................. 8
2.4 Current HR practices and the current HR Models of the company ............................ 9
3.0 Recruitment and selection practice of the company .......................................... 12
3.1 Recruitment and selection practices.................................................................. 12
3.2 Recommendations to enhance the recruitment and selection practice ................ 14
4.0 Human Resources practice ............................................................................... 15
4.1 Critical evaluation of HRD practice ................................................................. 16
4.1.1 Human resource development out comes ............................................................ 18
4.2 Recommendations to enhance the HRD practice .............................................. 18
5.0 Staff Motivation .................................................................................................... 19
5.1critical evaluation of classical motivation theory ..................................................... 19
5.1 proposed hybrid motivation theory / model ............................................................ 20
6.0 change management within the company ............................................................... 21
6.1 propose change to a HR practice or HR policy ....................................................... 21
6.2 change management process .................................................................................. 21
6.3 critical analysis of the possible challenges.............................................................. 22
6.4 recommendations to overcome the challenges ........................................................ 23
7.0 conclusion ............................................................................................................. 24
Reference ....................................................................................................................... 25
Bibliography .................................................................................................................... 25

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List of tables
2.4 HR Models 11

5.1 Critical evaluation of classical theory of motivation 19

List of figures

2.2 Citi group segment 08

2.3 company structure 08

List of abbreviations

HR Humana Resources

HRD Humana resource development

Forex foreign exchange

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1.0 Introduction
This report author would like to mention his key finding about the company current
practice of human resource practice and the policies, and how the company is
managing them in the todays global contest and how it has shape the current
influence to the company. Author will give a special reference to the below mention
attributes to writing this report.

To identify the current HR model of the company

Evaluate the recruitment and selection process
How company is practicing their human resource development
The motivation
How change management is being practice

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2.0 The Organization

Citi, the leading global bank, has approximately 200 million customer accounts and
does business in more than 160 countries and jurisdictions. Citi provides consumers,
corporations, governments and institutions with a broad range of financial products
and services, including consumer banking and credit, corporate and investment
banking, securities brokerage, transaction services, and wealth management

The Global Consumer Bank operates four geographical business lines Branded
Cards, Retail Services1, Retail Banking and Commercial Banking in Citi's four
regions: Asia; Europe, the Middle East and Africa ; Latin America; and North
America. Generating nearly half of its revenues outside of North America, Global
Consumer Banking is diversified and well-positioned, with a strategic focus on the
100 cities in the U.S. and top emerging markets with the highest growth potential and
where our target client segments are thriving.

The business serves a quality, globally diverse client base through simple, flexible and
powerful solutions, a network of state-of-the-art retail branch formats, and innovative
digital offerings that aim to deliver a simple, secure and seamless client experience.

Citi start its operation in Sri Lanka in year 1978, start catering to corporate business in
Sri Lanka. Citi Never sleep.

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2.1 Historical Development of the company together with its HR practices
From the inception of the bank practices the local HRM policies where they has
change those policies timely manner with the global scale where they have to meet the
global business and human resource standards, and practices. Hence the increase and
the expose of the international relations and interdependence of global businesses
have drastically impact on the human resources practices. Since the adaptation and
the changes that has happened over the last decades the bank has adopted certain
value adding polices which they have practicing from the global perspective. Even in
the eye of the Asian region they have taken an account to add and constant review of
the local labour and human resource piracies and with the government regulations to
competitive practices.

2.2 companys Current market context

Citi offers complete corporate banking services to its clients. Citi has created the
innovative banking practice in Colombo. The Citi bank offers range of services to its
cooperate clients

Cash management solutions,

trade financing, corporate finance,
risk management
Hedging.

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Figure 2.2 citi group segments

2.3 profile of the companys Human Capital

Below structure explain the flat structure of the company

Chief Country Officer (CCO)

Globala fucntions Operations and technology Business

HR trade operations corporate banking

Fiance funds trafer market business

Complaince technology finace instuttes

Risk cash treasury and trde polices

customer service

clearing

treasury operations

2.3 company structure.

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Citi bank runs with a flat structure due to minimum no of employees at each function.
Handing a variety of functions related to each unit. The key functional Ares are global
function and operations technology and businesses. Under the global business there
are four different categories such as Human resources, finance, compliance and risks.
Under operations technology there are 7 units namely trade operations, funds transfer,
technology, cash, customer services, clearing and treasury operations. Business unit
consistence of four sub units corporate banking, market business (forex) finance
institutions and treasury and trade solution.

All employees are experience and qualified in their respective areas of function.
Regular training and development is key ingredient of total business.

Each unit is headed by key management personnel.at least 99% of the key
management personnel possess over 20years of the banking experience in their related
functions.

2.4 Current HR practices and the current HR Models of the company

For this analysis the Author has taken into account three existing practicing models to
evaluate the all three and summarize the key factors of those models

Critical evaluation of selected three HR models

HR practices Harvard Model Guest Model Hard & Soft model

Employee Employees HR strategy Employees attitude
sourcing-Contract influence
Recruitment and Human resource HR practices Recruitment
selection process flow
Payroll Rewards system HRM outcome Job description
management
Performance Work system Behavior outcome Job design
management
Training and Performance Corporate goals
development outcome
Benefit Financial outcome Work place culture

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management
Rewards As it describes it This include the Career progress
management shows the financial methods
employees of incentive to
motivation is the attract the
key performer to employee
the work place.
Work flexibility
Ethical culture and MNC has a strong This model focuses
grievance process to maintain on strategic HRM.
management the best practices. Hence MNCs
Ethics hotline ethical culture
proposes management has
employees to report reference to Guest
any incident that models
harms either the commitment,
employee or the involvement and
company. Process quality of work.
itself requires to Formal process that
conduct a formal helps establishment
investigation and to of aforesaid aspects
produce a report to is in line with Guts
the management models approach.
giving out action However cultural
steps taken to management alone
prevent future has not helped the
occurrences. MNC to achieve
Company also has commitment,
an informal process involvement and
to handle employee quality of work.
grievances.
However all
employees do not

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 opt to lodge
complaints via
ethics hotline as
they have not seen
any material impact
on previous
incident lodgings.
Yet, the company
suggests that this
has contributed
towards a strong
cultural
management.
Career progression Vital factor for the
model as it
Functions Not applicable Not applicable Not applicable
outsourcing
Table 2.4 critical evaluation of HR models

The Harvard HR model suggesting that HRM had two attributes managers accept
responsibilities for the alignment of competiveness and personal policies and personal
mission of setting policies helps them to implement the self-development. Even
Harvard HR model elaborate that HR policies will help to achieve the commitment
.congruence, competence and cost effectiveness with their model. In other hand
Guests model of HRM base on the assumption of HRM is distinctively different from
traditional personal management. And its part of the strategic management. Guests
model further extended the HRM strategy as differentiation or innovation of
employees as well as focus on quality of work. HRM practice is part of employees
selection, training, appraisal, job design and involvement. Employees behavior is
Patten of motivation and cooperation and performance outcome explained as
productivity and quality with the financial outcome as profits and return of
investment. With reference with above two models hard and soft approach models
emphasizes on hard HRM as cost of human capital and soft HRM as development of
human aspect.

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3.0 Recruitment and selection practice of the company
In this part author will exam the current structure of recruitment and selection process
of the company and make a judgmental suggestions base on HR practices

3.1 Recruitment and selection practices

The recruitment and selection process of Citi bank franchise in Sri Lanka

Recruitment and selection

Gathering a pool of Selecting

CVs candidates out of
the pool

The workforce of Citi bank has two type of employment

Permanent employees
Contractor employees

The structure of employment

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 Employment

Permanent staff Contractor staff

Officers Non officers Outsource

Permanent staff

Bank selects permanent staffs as offices and non-officers (clerical employees)

Pooling of CVs

Internal recruitment: if any vacant position comes up, first evaluate the job passion
and persons specification and job description. After that it will advertiser internally
and call for applications if there is not enough application, bank will go out for
external market.

External recruitment: bank will advertiser on newspapers and online job sites

Internal
Officers Pool of CVs
External

Ones the pool of candidates short listed, then bank will call for an interview for
perspective candidates. The interview process has three levels of interviews to screen
the candidates

1st Level - interview with HR manager and direct supervisor

2nd Level interview with unit head and Director reporting to CCO

3rd Level interview with - Chief country officer

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After the 3rd level interview the selected candidates will be again screen with pre offer
background check, once it has cleared offer letter will be issued. Once the person is
on boarded, further background check is carried out such as personal references,
police reports and credit check. Once it has done the induction training and on the job
training will be given.

Contractor employment

This system works with the outsources companies where the bank will give the
specifications and job descriptions to the outsourcing company to short list the
suitable matchers. The outsource employees only gets 2 years contract. Most of
outsource employees works as back office operations and clerical works.

3.2 Recommendations to enhance the recruitment and selection practice

Author suggests that pre offer back ground check should allocate the
after the 2 nd level of interview is over. Then if in case the selected
candidate does not fit for the screening requirement , the company
could take it to the consideration before the 3rd interview.it will speed
up the selection process
Authors observation suggests that induction training is just handing
out the docket full of documents, but it would be more productive to go
through with the HR person.
Suggests for the internal recruitments as the top performance of
contractors employees also give an opportunity to apply as internal
candidate.

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4.0 Human Resources practice
Human resource management is an organizational function designed to maximize and
utilize employees performance as strategic planning process. This is a part of the
human resource strategy of an organization to provide training and development and
performance appraisal and rewarding. Human resource development mainly focus on

Recruitment and selection

Job design
Workforce planning
Performance management
Remuneration

In addition to this, complying with labour law and maintaining of employees safety
and health and welfare.

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 4.1 Critical evaluation of HRD practice
At the Citi bank training practice is twofold one is online and second is class room
session

HRD

Local HRD Global /Regional HRD

Training need Stardard

analysis training

organizational performacne organizational

departmental apparasal training needs
Individual
on the job
trianng

Class room
training

over seas
trainng

4.1 The structure of Citi bank Colombo

Training need analysis: is the systematic process that citi bank engage in to discover
the training and development needs of employees so that they can carry out their job
effectively and efficiently, and also to continue to grow and develop their careers.
Training and need analysis covers a range of approaches to the process. Such as

Organizational analysis: this is where the organizational strategies, goals and

objectives take an account to see thats the overall achievement of companys
trying to accomplish.

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 Person analysis : this is where looking to persons current potentiality and
how much it should be enhance to achieve the set goals of the person
Task analysis: analysis the task being given and the personnel skills level and
efficiency.
Performance analysis: this there any performance gap? Is some employees
under performance under the expectation, are they need training or is training
can help to increase their level of performance.
Content analysis: this is where the documents, regulations and laws involved.
Is this content too technical to learn or practice? It is important that the content
of the training does not conflict or contradict job requirements.
Training suitability analysis: training is a one of several solutions to
employment problems. Analysis of whether training is the expected solution.
Cost benefit analysis: effective training bring the return of investment to
the organization. Value of employee results in a return of value to the
organization.

At Citibank the training need analysis runs in 3 key elements which is organizational
need analysis, where they want to find out about the company mission and the set
objectives being communicate to all level of employment for the greater good
efficiency. Even in the departmental need analysis, all department heads are
responsible to run the need analysis for their respective employees and get the
feedback and justify the need and arrange it.

Individual need analysis where they obtain the learning of the employees of they stay
at the company and what he or she has gain from the company may be an experience
or the enhance of the level of education or the level of exposer.

Overseas training is conducted in the regional office at Singapore or the Citibank

development centers at Hong Kong or Thailand.

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4.1.1 Human resource development out comes

Training

Helping employees to do their day to day work with skills, knowledge and attitude
develop their character.

Development

Grooming employees to take future jobs with effective and also prove their self to
skills, knowledge and attitude. Create the job as more challenge.

Learning

It a provocation within the employees take the development them by themselves

Career progress

Not only limited to promotion. It has a deeper meaning which looks at 3 key
dimensions namely the experience, education and expertise the employees gain the
rewards for the organization.

4.2 Recommendations to enhance the HRD practice

In most scenarios the training need analysis comes with the annual appraisal
where the pear and the subordinates approvals needed. For personnel reasons
sometimes the appraisal may not reflect the real picture. Implanting an online
scheme that subordinate can directly contribute to the training division might
work well with the organization.
Sometimes the overseas training my not relevant duo to the demographic and
geographic differences. Better if they can arrange some training with local
specifications.

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5.0 Staff Motivation
Motivation is an inner drive to work and do certain things. In any work place
motivation is the key element for the success of the company and its human capital.
Below, shows the critical analysis of classical motivation theories and adaptations of
their attributes to build the said hybrid theory for the company.

5.1critical evaluation of classical motivation theory

Practice Attribute Taylor Mayo Herzberg Mc
Clelland
Salary and Money as Theory of Consulting Achievement Relationship
fringe motivator economic work is with worker
benefits man, man is more and manager
driven by motivate
money alone
Work ethics Pay system Working in Recondition Need to
teams Responsibility achieve
Working Specialization Specialization Workers Advancement Desire to
environment making control and
decisions make an
that affect impact
themselves
Target Monitoring Establishing Company Strong
orientation workers targets polices and leadership
administration instinct
Job Studying Salary Good team
satisfaction work member
methods
Achievement Recruitment Relationship
with others
Team work Working
condition
5.1critical evaluation of classical motivation theory

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5.1 proposed hybrid motivation theory / model
Motivation can cause the internal and external factors that stimulate people to take
actions that may leads to achieve personnel goals or the targets. Todays employee
more in to the strong motivational needs to achieve and sense of accomplishment.

Not everyone has same need; team work is more motivating than the individual
achievement hence the service sectors is always consist with the teamwork to achieve
given objectives. Author propose below mention attributes meet the employees
perspective.

Authority / power
Affiliation
Achievement and recondition
Working condition
Advancement and responsibilities
Leadership instinct

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6.0 change management within the company
The company in question needs to look at improving consistence human resource
practice in order to develop highest level of efficiency. Hence it may require going
through change process either at minimum and the highest level. A continues process
to ma manage in order to ripe the decided benefit. At some points it may requires the
360 degrees of change in certain areas where employees reluctant to communicate
with the involving parties. The biggest challenge is to identify the real change and the
willing to change within the organization aspect.

6.1 propose change to a HR practice or HR policy

Human resource policies are continuing mentorship on the process of approaching
the organization intends to adopt in managing its human capital. It represents specific
guidelines to HR managers various matters concerning employments such as the
work and the work practice.

Change process of policy will determines the actual perforce of an organization and
the futuristic approaches towards company mission statement.

6.2 change management process

Change management is the systematic approach to face with change, both from the
perspective of an organization and on an employees level. The change management
consists on the three different aspects including

Adapting to change
Controlling to change
Effecting change

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Base on Curt Lewin change management process, the author will construe the
process.

Determine what needs to change

Ensure there is strong support from upper management
Create the need for change
Unfreeze Manage and understand the doubts and concerns

Communicate often
Dispel rumours
Empower action
Change Involve people in the process

Anchor the change into the culture

Develop ways to sustain the change
Provide support and training
Refreeze Celerate success

6.2 Lewin change management process

6.3 critical analysis of the possible challenges

Communication

In the organizational hierarchy may have possible communication distortions due to

lack of communication. Hence the span of control may have complication to transmit
the information. The organization needs to analysis the communication methods to
foresee the effectiveness of selected medium of communication. Where it will helps
to gain the demotic views to the table.

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Planning

The stage of planning need to have the solid base that will convince the resistance to
re consider the propose changes and to revise and review the planning stage with the
control attributes. Planning needs to do with step by step to achieve the wholesome
what the organization and work both expected from each other. Either way it always
needs to be a win win situation that will enhance the company current state to the
desired state. Nevertheless planning includes the futuristic approach to the change and
it will consolidate the companys future mission that would help to obtain the long
term dream of the company that are in pare with to achieve.

Employee Resistance

Any organization employees are defiance to change. They become appropriate with
the way the business is run. They know the intention and their role within the
company. When a major change disrupts their familiarity, some employees become
upset. They don't want to look over their jobs or bring any change the way they do
things at current. Providing training for any new engagement can help ease the
development.

6.4 recommendations to overcome the challenges

Involve the every layer : in the hierarchy involvement with all layers will enhance
the ideas and feedbacks about the current structure and how it should be change
according to the employees view which can be benchmark to analysis the propose
planning session that will give the better out look to the organization. Change efforts
must include plans for identifying leaders throughout the company and pushing
responsibility for design and implementation

Start at the top: change should implement from the top, where employees see
sometimes the top management as the burden. Which only they feels that passing
down the information and only worry about the achievement of set goals particular
time scale.

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7.0 conclusion

Multination bank should take considerate the local banking practice whenever
its possible. Thought its not at the competitive environment policies can be
competitive that could tough the recruitment process.

Eliminating the certain layers of the hierarchy will increase the

communication and response time well.

The resistance can be overcome by giving the better training and development
where it will develop the self learning environment that could enrich the
learning curve in the organization.

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Reference

Armstrong Michael, Human resource management practice, 13 editions

Beardwell Ian and Holden Len, Claydon Tim , Human resource management, a contemporary
approach , 4th edition, Prentice Hall. 2002

Holley Nick, HR Models lessons from best practice, Henley business school, publish 2009

Bibliography

http://www.strategy-business.com/article/rr00006?gko=643d0

http://www.hr-guide.com/data/G510.htm

http://www.management-issues.com/change/

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