Strategic Human Resource Management For Subsidiary In Australia

Organizational Culture Profile (OCP)

Describe about the Strategic Human Resource Management for Subsidiary in Australia.

The case study is related to the problems faced by Chumhum at their subsidiary in Australia. The organizational culture of the company is very updated. It contains excellent innovative features that will help the employees of the company motivated. However, the people in Australia are not finding any interest in the organizational culture followed in the company. There are problems faced by the company in terms of employee retention and benefits. The analysis of the case study describes about different sets of problems faced by the company in its Australian operations. Recommendations are also provided to the company in terms of retention of employees.

1. Chumhum is a company that is expanding its branches through many countries of the world. However, in its Australian subsidiary, the problem of organizational culture mainly prevalent in office. The company is focusing on implementation of different innovative features of organizational culture. The problems that are faced by companies are categorized into different sectors such as training, staffing and recruitment, organizational culture, retention, employee benefits, etc. the corporate culture of Chumhum is very enthusiastic to keep employees of their Australian branch motivated. However, the initiatives taken by the company becomes futile (Malik & Naeem 2013). The company has taken the initiative in the application of innovative features such as gym, free lunch, organic breakfasts, nap pods, swimming pool, etc. Apart from this, the company has also started its own social networking site to increase communication among the employees of the corporate people. Australian employees do not accept the analytical activities that are initiated by the company. They feel frustrated about the different features of employee management. For instance, Yammer is a social new social networking site that is developed by the company for engagement of employees not only in Australia but also in other branches present in other countries of the world. The management of the company has faced that the employees are not taking any initiative to use the new social media application. It occurs to the changed mindset of Australian employees. The culture and the initiatives that are proven to provide best motivational factors for employees are not fruitful in the country (Gimenez-Espin et al. 2013). The analytical activities are not encouraging the employees to perform better in the organization. Behavioral scientists are appointed by Chumhum to determine the behavioral attributes of the Australian employees in the branch. The analytical team is also not able to cooperate with the Australian employees for the increase in the productivity.

They received complaints and formal emails and letters regarding the negative impacts of the team. The theories of organizational culture, training and development, change management, motivation, etc. are related to the problems faced by Chumhum in Australia. Denison, Chatman, O’Reilly and Cadwell have developed a model of organizational culture. It is known as organizational culture profile (OCP). It is a self-reporting tool that helps in making distinction through its eight categories such as team orientation, outcome orientation, supportiveness, innovation, attention to detail, aggressiveness, stability and respect for people. The OCP model is used in measuring the effect of organizational culture on organizational performance (O’Reilly et al. 2014). It also measures the popular and most efficient people who are responsible for most of the productivity of the company. Using this model of organizational culture, Chumhum will be able to suit the culture of the organization according to the nature of the employees. However, in many cases, the values of the employees are calculated against the values organization in order to predict the turnover and the staying intention. An instrument is used for doing this measurement which is similar to the tool of OCP (Shields et al. 2015).

The theory of training and development is required in this perspective because the employees are not used to the organizational culture of the company. There are many processes of providing training and development. Learning is a part of providing training to employees. Prior to providing training, employees should be allowed to learn new things and useful information about the organizational culture, ethics, rules, regulations, etc. One of the theories of training is cognitive learning (Alvesson 2012). Cognitive learning process includes individuals to learn and gather information by internalizing the facts and knowledge regarding the topic. The term cognition is related to internal attributes of a person such as mental abstractions. In this way, the learners will be able to utilize their internal capabilities in their field of work.

Theories of Training and Development

Apart from these theories, Hertzberg’s two-factor theory of motivation is related to the problems faced by Chumhum in their business operations in Australian branch. Frederick Herzberg in his theory has emphasized on the satisfaction of the employees of an enterprise. The two factors describe the causes of satisfaction and dissatisfaction of the workers in the corporation. The theory of Herzberg labelled the factors that are associated with the causes of job dissatisfaction of the employees. The hygiene factors determine the factors of indicating the analogy of preventive maintenance (Herzberg 2013). The factor that determines the job satisfaction of the employees of Chumhum in the Australian subsidiary is motivation. It will suggest the effectiveness of the workers in portraying the behavior of individuals in the workplace. The theory of Hertzberg is related to the theory of Maslow’s theory of motivation.

The above theories of human resource management explain about the problems faced by the company. Motivation is a part of employee development. However, the Australian employees somehow do not match with the culture followed by Chumhum. It is found that the employees remains frustrated and are not focused on the work. The systems, policies of the workplace do not match the expectation level of the workers (Ahammad et al. 2016). It is assumed that the employees may want something different that is not emphasized by the strategic management department of the company. The implication of the theory in the organizational level will help the company to detect the core problems in terms of employee relations and formulate policies according to them. Chumhum after implication of the theoretical frameworks may have better-working environment for the Australian employees (Bode et al. 2015).

2. It is seen that the Australian employees are not satisfied with the initiatives taken by the company on behalf of the employees. Despite having an innovative culture in Chumhum Australian subsidiary, the company is witnessing many issues of human resource development. The issues are related to employee retention, employee relations, policies, organizational culture, etc. The most vital aspect of the company is that employees are resigning at a first pace. Somehow the employees are dissatisfied with the organizational culture. To solve these issues, the company has to follow some steps that are described below (Dau-Schmidt et al. 2016). The first and foremost thing that the senior management and the human resource department have to do is maintaining a clear and precise communication between the employees. It is the responsibility of the company to formulate policies on behalf of the employees. For doing this, the consent of the workers is very necessary. The team leaders of various departments have to communicate with their team members regarding their consent regarding various aspects of company policies and initiatives (Tangthong et al. 2014). On doing this, the senior managers along with the human resource managers will be able to deal with the problems faced by the workers. Apart from that, the policies and the innovative initiatives will also be changed as per the nature and preferences of the employees.

There are many other responsibilities of human resource department of Chumhum have to perform to keep the employees retained within the company. In the Australian subsidiary, the employees are not satisfied with the HR policies of the company. The plans of employee benefits and employee relations are not encouraging the employees to work in the company. The training modules are also not helping the employees in encouraging motivation among themselves. The training modules should be formulated according to the feedback provided by the employees (Choo 2013). Apart from that, the HR managers must focus on the employee retention plans to attract the employees for staying back in the company. They have to change their employee benefits to keep them motivated in their work field. Both non-monetary and monetary benefits and motivational approaches are introduced in the respective departments of the company (Shields et al. 2015). The team leaders have to understand the mindset of its members and delegate the tasks accordingly. Employee recognition and internal awards are to be introduced for keeping the employees motivated in their field of work. The HR managers have to perform many psychometric tests for the employees to know about the behavior and nature of the workers (Ko & Hur 2014).

Conclusion

The study contains the case study analysis of the Chumhum Australia. The company is facing serious issues in terms of employee retention and employee benefits, and other policies of human resource department. The problems are discussed in a detailed manner in the study. Apart from that, theoretical models of various aspects of human resources are explained with respect to the problems faced by Chumhum in the Australian subsidiary. The employees are irritated with all the initiatives of Chumhum for employee motivation. Solutions or recommendations are also provided to the human resource department and strategic management department to solve the major issues of employee retention.

References

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