The human resource practices are being governed as well as enabled by the different organizational factors that comprise of the organizational structure, employee commitment, organizational culture and others (Cummings and Worley 2014). The people managers have important role in the monitoring as well as controlling of the performance of the employees so that the organizational targets are achieved. HRM is considered as a holistic approach towards the management of the people. It is important not only to manage the people but also the corporate culture as well as corporate structure. The human resource functions are same for the organizations such as recruitment of the employees, training of the employees and giving adequate rewards to the employees. However, the way of handling of the human resource issues varies from one organization to the other.
The case study on the “No Name” aircraft highlighted many important issues in the human resource department and the overall organization as a whole. This essay would address the critical concepts as well as theories of the organizational HRM. Special emphasis would be given to four areas of HR such as diversity management, culture, international performance management and the training/development. The integration of the theoretical concepts along with the practical examples of the case study would be done.
As commented by Truss et al. (2013), the organizational HRM is concerned with the hiring as well as development of the people in order to fulfill the valuable objectives of the organization. Organizational HRM is concerned with the people management from macro perspective such as the management of the people in which there is a collective relationship between the employees and the management (Alagaraja 2013). The HRM is a resource centered approach in which there is proper utilization of the manpower of the organization. The HR departments are responsible for employee recruitment, performance appraisal, training and development, managing compensation of the employees and others (Alagaraja 2013). The human resource department is concerned with the maximization of the employee productivity.
The findings of Bondarouk and Brewster (2016) shows that Harvard Map of HRM considers the employees as different resources other than the normal organizational resources. The Harvard view of the businesses identifies the element of mutuality in every business forms and identifies the fact that the employees are the important stakeholders in any organization (Lipovka and Zakirova 2013). The organization should understand that the employees have different needs and the fulfillment of these needs by the organization would ensure employee satisfaction. The Harvard model of HRM identifies the four important policy areas namely HR flows, reward systems, work systems and employee influence (Lipovka and Zakirova 2013). In the give organization “No Name” aircraft, there were no proper workforce planning, which increased the areas of concern. According to this model, the HR should have proper recruitment, selection, appraisal, termination and promotion of the employees (Lipovka and Zakirova 2013). If the organization engages in correct pay system, then there would be enhanced motivation of the employees.
According to Campbell Coff and Kryscynski (2012), the human capital theory is concerned with the wage differentials by the prevailing disadvantages of the different kinds of employments. This theory believes in the fact that the learning in the job is one of the most important components of the net advantage (Campbell Coff and Kryscynski 2012). There is a difference in the incomes of the employees which depends upon the human resource investment (Campbell Coff and Kryscynski 2012). The human resource managers are increasingly required to measure the degree of employee productivity and the incomes related to the concerned career openings. For example, O’Meara was unable to understand the human capital potential of the people with disabilities. There can be competent physically disable employees in China, who can contribute significantly to the betterment of the organization.
According to Martín Alcázar Miguel Romero Fernández and Sánchez Gardey (2013), the act of diversity management is concerned with the strategy of implementing the best organizational practices to get the proven results of creating a heterogeneous workplace. The workforce is considered as a homogenous as well as generic entity in which it is important to take care of the cultural difference between the employees. Janssens and Zanoni (2014) argue that there are several organizational practices that enhance the multiple competencies in the organization as well as the ability to express multiple identities (Janssens and Zanoni 2014). The act of ethnic equality is enhanced by the practices that underline the broad dominant forms of competencies as well as cultural identities. The companies should avoid reducing the ethnic minority employees who usually represent a stigmatized social group (Janssens and Zanoni 2014). In the case study, there are no specific policies that tend to enhance the rich value of working with a diverse range of people. There are issues with the working relationships of the senior staff with the apprentices.
As opined by Kulik (2014), there is an impact of the diversity management on the reactions of the employees and the identification of the different unit level factors such as leader behavior. The organizational managers in human resource department need to take into account the different diversity management activities in order to enhance the organizational productivity (Kulik 2014). There has been a “knowing gap” in the selection as well as performance management functions (Kulik 2014). This is due to the fact that the managers are unaware of the goals/ways that would improve the performance of the employees.
The findings of Lin and Wu (2014) reveal that resource based theory of the diversity management are concerned with the implementation of the diversity functions that have an influence on the organizational resources. There are four categories of the organizational resources such as financial capital, physical capital, corporate capital resources and human capital (Lin and Wu 2014). The “No Name” aircraft should take care of the various organizational resources so that they can improve as well as assist business.
As observed by Dauber Fink and Yolles (2012), the organizational culture theory is concerned with the complexity of organizational life and the behavior, activities and attitudes of the members in shaping the overall environment of the organization. The communicative performances of the employees should be considered for understanding the basic elements of the corporate organizational culture (Cornelissen 2014). As argued by Schneider Ehrhart and Macey (2013), the Edgar Schein organizational culture model emphasizes on the fact that the organizational culture is formed over a period of time and goes through various degrees of changes. This change takes place by adapting to the external environment and solves the issues as and when required. Schein believed that there are three aspects of the organizational culture such as artifacts, values ad assumed values (Schneider Ehrhart and Macey 2013). The artifacts comprise of the characteristics of the organization such as employees dress code, behavior of employees and others. For example, the staffs at the “No Name” aircraft home country location have negative work culture and they have high degree of resistance. There are also lack of communication between the subsidiaries and the headquarters. There should be good thought process as well as attitude of the employees which would shape good organizational culture.
As stated by Rabl et al. (2012), the process of performance management is concerned with the continuous process of identification, measurement and the development of performances of the employees so that the strategic goals of the organization are fulfilled. There are several elements of the performance management such as setting up of objectives, measurement of the performance, and feedback of the performance results and the reward systems which is based on the outcomes of the performance outcomes. As commented by Mann De Ridder and Fujita (2013), the goal setting theory of the performance management is concerned with the fact that the individual goals of the employees play an important role in motivating them for superior performance. If the goals of the employees are not achieved, then they are bound to improve their performance or make more realistic goals. In the case study organization, there were no fixed goals of the employees and hence the employees had low morale. As argued by Renko Kroeck and Bullough (2012), the expectancy theory of the management is concerned with the fact that the individuals adjust their behaviors that are appropriate for the organizations and on the anticipated satisfaction level. In the case study organization, there was no formal process of the performance appraisal process, which was unable to improve the motivation level of the employees. The appraisal process did not consider the economic factors that had an impact on the business targets.
As opined by Jiang et al. (2012), the performance management policy of the organizations is important for helping the employees to understand their roles and responsibilities in the organization. This also provides ways for the different ways in which the staff performance can be enhanced. It would also ensure that the supervisors plan, achieve and distribute the departmental goals. The performance appraisal provides a fair basis for giving the right compensation to the employees based on the merit. In the “No Name” organization there was no fixed policy regarding the performance management. This prevented the HR managers to evaluating the performance standards of their employees. The organization has not used any performance management criteria for regularly measuring the output given by the organizations.
As defined by Salas et al. (2012), the training and development aspect is concerned with the enhancement of the skills, knowledge and the expertise of the employees so that they can better provide customer service and increase their satisfaction levels. The employees should be updated about the latest trends in the industry and expectations of the quality as well as service to the customers. The lack of training measures would stagnant the employees as they would possess outdated knowledge. Saks and Burke (2012) argued that one of the most important reasons of the training and development activity is the need to change. The organizational change needs to be supported by proper training and development, which would enhance the employee productivity. The training and development sessions also make the employees ready for suitable future vacancies in the organization or in some other organizations (Fawad Latif 2012). It would also lead to the self-development of the employees.
As opined by Kolb and Kolb (2012), the cognitive learning theory emphasizes on the improvement of the mental processes more as compared to the physical actions. The role of the instructors is to expand the skills, knowledge and the expertise of the employees (Kolb and Kolb 2012). This is often done by conducting games, activities aiming at the memory, ingenuity and flexibility of the employees. As opposed by Gopnik and Wellman (2012), the constructivism theory of the learning theory, employees should actively participate in their self-learning and development. The employees would bring their best past experiences and their cultural backgrounds in the current job role.
In the “No Name” aircraft, there is no proper training available that would integrate the new employees to the existing organizational culture. There is no proper induction program in the organization, which makes it difficult for the employees to settle in. As per the above theories, the benefits of the organization gained from the learning and development is not achieved.
The organization should implement proper human resource policies that would utilize the potential of the human capital. There should be more employee engagement policies that would make more interaction within the employees. There should be more number of activities and fun sessions that would improve the employee bonding. There should be good compensation structure and it should be done after proper market research. A good compensation structure would motivate the employees to give better performance. The organization needs to give more attention to the diversity management and should give more importance to the recruitment of the disabled candidates. The organization should implement good and suitable training activities that would address the skill gap of the employees. A proper training module should be implemented so that all the employees of the organization are benefitted. It is important that a structured performance appraisal process is done in the organization and there should be constructive feedback given to the employees instead of blaming the employees. This would give them the motivation to perform better. The organization should enforce positive organizational culture in which there would be greater participation of the employees. This would also ensure that the employees are able to give their maximum output in the organization.
Conclusion
The human resources department is one of the most important departments of the organization, which determines the success or the failure of the organization. This essay focused on the important aspects of human resource management including the key issues observed in the given organization in case study “No Name” aircraft. The various issues pertaining to the organizational HRM are described. There are several issues with the diversity management in the organization, which is discussed in relation with the theories and concepts. The resource based theory of the diversity management is discussed in relation with the current problem. The organizational culture is described along with the Edgar Schein organizational culture model. The International Performance Management is described along with special reference to the goal setting theory and the expectancy theory. The training and the development function is defined along with cognitive learning theory and constructivism theory. The essay has suitable recommendations that aimed to give suggestions to the discussed issues.
References
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