International Human Resource Cultures And Management

Diversity management and culture

Discuss about the International Human Resource Cultures and Management.

The purpose of the following paper is to make fruitful review of several critical theories and concepts regarding the aspect of organizational human resource management (HRM). More precisely, the present discourse is attempting to evaluate theoretical perceptions regarding four chief premises of organizational human resource management, which are organizational culture, employee training and development, international performance management and diversity management. Most significantly, in terms of drawing relevant evidences, the paper will consider the provided case study of the organization that manufactures and sells aircrafts. Henceforth, the aim of the paper is to review relevant literatures on organizational HRM and is to identify whether the organization in the case study is lacking in any of the above-mentioned premises of organizational HRM or not.

In this context, it is required to mention that efficiency of the human resources or of the employees highly determine the success of a particular business organization. It is the responsibility of the human resource department of every business organization to control, monitor and manage performances of the employees (Vermeeren et al. 2014). In other words, it is to say that organizational HRM is a comprehensive approach towards the people or employee management. Therefore, understandably it is the accountability of the HRM department of every organization to focus on organizational culture, diversity and performance management through making continuous performance development.

According to Nica (2013), in the theoretical premise of organizational HRM, diversity management is a comparatively new approach. However, the phrase “organizational diversity” fundamentally refers to the differences, which exists between individuals in an organization. Therefore, “diversity management” is supposed to be a strategic management that is utilized in order to enable best practices for creating a diverse as well as inclusive workplace. It has been identified that according to the “Institutional Theory” of the diversity management, for determining structure of an organization it is essential to give importance to the social environment found within the organization (Wei et al. 2014). Furthermore, the theory underpins that an organization’s legislations, regulations, professional and social norms are some of the chief limiting factors for the behaviours of the employees in an enterprise.

On the other hand, the resource based theoretical concept of diversity management prioritize the fact that implementation of diversity in the workplace strongly affects the resources of an organization. Furthermore, the theory denotes that four main resources, which determine organizational success, are physical, financial, human and corporate capital (Shafritz et al. 2015). The distinct theoretical perspective believes that organizations with stable diversity acquire relatively more business advantages than those enterprises, which do not implement diversity within their work culture. Alongside, it should be denoted that racial diversity in organizations successfully increases the financial productivity of the organizations. Specifically, racial diversity within workplace works best when an organization utilizes an innovation strategy.

International performance management

However, in this respect, it is significant to elaborate that success of diversity management or maintaining diversity within the work place is highly dependent upon individual organizational culture. According to Clegg et al. (2015), organizational culture means a combination of assumptions, philosophies, values, attitude, expectation and norms, which is shared among the human resources of an organization. On the other hand, as per Burke (2013), organizational culture should be defined as a human intervention that produces solidarity, inspired commitment as well as productivity. However, possibly the most well-considered definition of organizational culture says that organizational culture is a particular system that consists shared values as well as beliefs, which are interacted within structure, work force and control system of an organization (Fay et al. 2015). In this context, it is required to imply that the need of sharing values among organizational structure, control system and the people of a company is to create convenient behavioural norms.

Therefore, considering varied definitions of organizational culture, it can be said that diversity management should be integrated within organizational culture as per the reason that organisational culture aims to accomplish organizational goals. Henceforth, it can be said that diversity management relies upon the premise of organizational culture. Most significantly, organizational culture is considered as a system that is supposed to prioritize both the ideas of an organization and the fundamental socio-cultural aspects (Yahya and Tan 2015). If an organization’s culture does not support the idea of maintaining a diverse work culture then it is a possibility that the employees and management of that organization would suffer from discriminations in the racial, religious, age or disability ground (Tzabbar et al. 2017).

However, considering the provided case study, it is unfortunate to denote that the concerned organization – “No Name” is suffering from weak and disappointing organizational culture as well as a poor diversity management. The organization is a strong evident that indicates what exactly can happen if an organization does not follow an appropriate organizational culture and workforce diversity. More precisely, from the case study, it is understandable that the human resource department of the organization is taking no responsibility for maintaining workplace diversity. The case study is indicative of the fact that the organization does not prefer to recruit people who have physical disabilities and at the same time, there is found high intolerance among the employees and the management with working with those who belong to different culture and generations. Therefore, it can be said that there is age as well as disability discrimination within the organization. On the other hand, after having a coherent understanding about the organizational culture and diversity management from the initial discourse, it can be said that the organization of the case study does not address any of the theoretical definitions of the organizational diversity. It is because of the reason that there is no adequate communication and coordination among the employees of the organization. The fundamental principle of the organizational culture says that organizational culture is responsible for sharing the organizational values among the internal stakeholders. The case study company, on the contrary indicates that employees are lacking productive quality and integration. Therefore, it is easy to indicate that no proper organizational culture and diversity management are harming the profit margin as well as reputation of the “No Name” enterprise.

The concept behind the phrase “international performance management” says that it is a particular process that through which an organization can evaluate as well as can improvise the corporate performances in order to achieve pre-set organizational goals. Fundamentally, performance management is a relative organizational term that is indicative of a particular procedure that is employed for obtaining better results from teams and individuals within an organization (Kirton and Greene 2015). Therefore, performance management on international level means managing employee, management and team performances of an organization that has operates in an international level and has international subsidiaries. In the words of Wondrak and Segert (2015), performance management is the name of a particular development of working individuals with commitment as well as competence for accomplishing organizational objectives.

Nevertheless, it has been identified that performance management or international performance management is a fundamental concept in the premise of the human resource management (Akron et al. 2016). However, it is to denote in this context that the concept of performance management is various times mistaken as the concept of performance appraisal. It is to clarify in this respect that performance appraisal is a part or powerful tool of performance management. The grandeur of the objectives of performance management becomes bigger when an organization becomes international. Nonetheless, it has been found out that the elements of an appropriate performance management system includes – setting the objectives, measuring performances, feedback acquisition regarding performance result, reward or performance appraisals based on performances outcomes and objective amendment (Buckingham and Goodall 2015).

However, as per Kang and Shen (2017), in the entire cycle of performance management, there is an important role of individual employees. According to the goal setting theory, superior performance by an employee is possible when the employee sets individual goals aligning with his/her organizational objectives. The theory suggests that organizational performance can be improved when employees would work with enough motivation. Therefore, it is to say that achievement of personal goal is the way through which employees stay motivated. On the other hand, based on DeNisi and Smith (2014), the expectancy theory by Victor Vroom interprets the apt percept of performance management. More precisely, performance management and international performance management works fruitfully when employees’ behaviour is adjusted according to expected level of satisfaction of the valued goals. Therefore, it can be said that in international performance management system, employees’ performance should be valued or evaluated according to the anticipated performance concerning organizational objectives (Tzabbar et al. 2017).

If an organization would not consider the importance of giving performance appraisals to the employees, it is a possibility that the organization would lose employee morale, which will directly affect their productivity. In terms of evidence, the case study of the company “No Name” can be considered. According to the case study and the initial discourse above, the concerned organization is suffering from an unstable organizational culture along with disappointing level of workplace diversity management. Most significantly, it has been identified that instead of being an international organization, “No Name” does not possess any particular policy for performance management on international level. At the same time, it is shocking to see that performance reviews are only conducted in the head office and not in the subsidiaries. Furthermore, without making any consultation with the management and employees of the subsidiaries, the organization throws instructions on the subsidiaries.

Therefore, considering the basic principles and system of performance management, it can be interpreted that the organization does nothing to motivate its employees. Thus, the current condition of the organization, which indicates that the organization is losing brand loyalty and brand image as well faith of most of their investors and it is directly declining the profit rate of the enterprise. Therefore, from the case study, a vivid anticipation about what can exactly occur when there is no policy and proper structure for international performance management in an organization.

In the context of organizational human resource management, it is to say that management of human resource means managing the workforce in order to accomplish organizational goals (Dusterhoff et al. 2014). Therefore, it can be easily said that for achieving organizational objectives, human resource management department of an organization needs to provide adequate training for improvising employee productivity. The chief need to provide employee training is to make up the exiting flaws among the staffs, so that an organization does not need to encounter any predicament in the future. The principle concept of employee training and development indicates the system of imparting of distinct skills or abilities and knowledge to the working employees (Fletcher et al. 2016). On the other hand, a relatively former definition of employee training and development says that training and development is an attempt for improving current or future performance of the employees through the way of increasing employees’ credibility to perform by learning. Moreover, it has been identified that the necessity for training and development in a business enterprise is generally determined when certain deficiencies are recognized in employee performances (Bhatia and Kaur2014).

It should be considered in this respect that one of the principle factors that escalates the need of employee training and development is assessment of skill gaps. It has been understood that analysis of skill gap is fundamentally integrated in the formal system of training and development. In order to acquire high-impact employee development and training, an organization requires four distinct steps, which are supposed to be identification of business impact, analysis of skill gap, layer employee training and finally evaluate the effectiveness of the training (Sung and Choi 2014). Henceforth, it seems that fruitful advancement of employee development is determined by two primary aspects, which are layer training and evaluate effectiveness. It is to mention in this respect that training and development do not only applied for improvising and increasing employee productivity but also for cultivating and maintaining appropriate team spirit as well as organizational culture (Jehanzeb and Bashir 2013). Therefore, it can be interpreted that an apt organizational culture along with high level team spirit, workforce diversity and performance management and training and development – all these premises are interrelated with each other under the shed of organizational HRM (Sung and Choi 2014).

However, considering the above brief evaluation and the earlier analysis of the present condition of the considered organization, it can be anticipated that as per the reason the organization does not prioritize the need of international performance appraisals, it possibly does not hold any policy for training and development. The anticipation accompanies the case study, which says that there are actually no opportunities for training available for employees. At the same time, it seems that the HR management department does not consider individual need for training and it is shocking that the organization does not share any information about career prospects with the employees. It is therefore understandable that the organization is only showcasing that their performance is determined by training and development though in reality there is nothing as such.

Conclusion

From the above discourse, it can be deduced that the aspect of organization human resource management is integrated by four key aspects, which are organizational culture, diversity management, international performance management and training and development. The above discussion indicates that while diversity management is a part of organizational culture and works in favour for the organizational profit, international performance management could not be accomplished without performance appraisals, training and development. Along with making in depth reviews of significant concepts and theoretical approach related to organizational HRM, the paper has highlighted that the organization of the case study is failing in each of the above mentioned premises of HR management. According to the paper, the organization of the case study does not have any proper and particular organizational culture. At the same time, the enterprise does not consider mitigating its issues of gender, age and disability discrimination. Most significantly, there is no particular policy and system for employee performance management and employee of the enterprise does not get the chance to have performance appraisals. Further, there is no facility of training and development too.

Therefore, consider the above-mentioned issues, it can be suggested that the organization immediately needs to change its HR management department. It would be most helpful if new groups of experienced HR managers and subordinates could be recruited and distributed on each of the subsidiaries. On the other hand, in order to remove discrimination in the workplace as well in the recruitment process, the authority needs to establish separate teams of managers whose responsibility will be only to monitor whether the workforce diversity is being maintained or not (Buckingham and Goodall 2015). Most significantly, the authority should immediately organize meetings in each of its subsidiaries along with in its head office to assess employee deficiencies. Thereafter, it would be essential to provide adequate training to the employees and thereafter to take individual feedbacks from them. Therefore, above all the organization should reconstruct its working and human resource management culture.

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