Jaymar People Solutions is considering a deal, which requires sufficient human and financial effort to be invested and is expected to pay off considerably and strengthen the position of the company in both short- and long-term, moreover, to bring Jaymar to the international arena. One the other hand, after having accepted the offer from DiverseCare, Jaymar will get into challenging and demanding development stage, therefore a careful and thoughtful analysis is necessary to provide more pros for the project and prove that Jaymar's abilities and perspectives correspond to what the project requires and are coherent with the strategy and competitive position of Jaymar at the moment. There are multiple factors, which have impact on the success of the venture, i.e. existing strengths and weaknesses of the company, business model and the ways to adjust it effectively to Saudi Arabia business environment and setting, technological solution for implementation of the business model, the management and control of the project, human resources, etc. Jaymar can only make a choice after discovering the entire picture.
Jaymar's ability to manage its successful business model in a different cultural environment
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Jaymar management has already run strategic review in terms of evaluation current business model, and it is defined to be successful in the case. However, operating in such a different cultural setting, as Saudi Arabia, might become a painful and challenging exam that Jaymar People Solutions will not be able to pass remarkably and retain success and profits. Thus, in order to ensure the positive outcomes of the project and design the project with DiverseCare accordingly, Jaymar needs to invest certain among of human and financial effort into assessing its abilities to be flexible and professional enough to go ahead with such a huge opportunity.
According to Armstrong (2001), it is necessary to follow three steps in order to formulate the short - and long - term HR strategy for the company , i.e. assessing feasibility (availability of HR resources in terms of both internal and external pools at an adequate cost), determining desirability, identifying the goals and deciding upon actions/means of accomplishing these goals. (p.141) The primary goal of Jaymar is to asses realistically its costs and benefits resulting from the project and make a decision on whether to participate or not . The idea is that the first impression is that Jaymar People Solutions should definitely accept the offer of DiverseCare, but on the other hand, it should know for sure, that this opportunity will work out, otherwise the company is at risk of losing the existing competitive advantage and position in the market.
According to Armstrong (2001), there are five stages to setting up the strategy of the company, and the basic/fundamental step includes either SWOT or PESTLE analysis, as well as analysis of business needs. This is thoughtful and reasonable, because in order to make forecasts about performance in the future, the company has to be aware of the current situation. This means to realize what are internal strengths that can support the project (HR resources, training system, organizational culture, motivation/reward system, control systems, technology and communication systems), what weaknesses can potentially become obstacles (absence of international working experience and managing diversity, etc.), what are the external (political, social, and cultural) threats and opportunities, Jaymar has in the picture right now. SWOT analysis will reveal the components of the business model, which has brought success to Jaymar in the UK and provide clear ideas on what is necessary to add for the business model to function in Saudi Arabia (after the cultural environment and business mentality is reviewed).
After the first analysis steps, strategy and its implementation plan should be designed and the costs and benefits should be calculated - this is the most adequate way to evaluate and define the impact of the project on Jaymar; only numbers reveal the real situation, because only qualitative analysis might be misleading. I think that Armstrong model for the strategy set-up (including the review and basic analysis, strategy itself, implementation plan and costs and benefits) provides a solid background for business action and analysis, because it aligns current situation and future. Furthermore, it covers a lot of points, what is adequate for such kind of project, which requires sufficient investment and decisions, which will have long-term impact. However, I would emphasize the need to add Saudi Arabia study into the project, because it is probably the most unknown part and might bring a lot of unpleasant surprises.
Recruitment and selection of appropriate staff to work on the project for Jaymar
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In order to run the project, Jaymar will need additional staff. Total recruitment for the project will be composed of internal and external pool in the UK, as well as Saudi Arabia, which makes it quite complex. Part of the employees might be potentially reallocated from the UK structure, what makes sense, because they are already trained and have obtained the necessary skills and knowledge to operate the business model, as well as coach/mentor and organize the new employees; moreover, such kind of professional development might be motivating and increase retainment rate. New employees will include professionals from the open market in the UK and Saudi Arabia. DiverseCare might provide references for some of them, if such people exist.
According to Price (2000), there were two contradictory approaches previously applied to recruitment, suitability and malleability, which entailed two contradicting prioritizing systems. First was entirely tighten to the fitting the person to the job, i.e. finding and attracting the candidate, who would be able to perform the tasks in the job description and fulfill the requirement; second approach entailed fitting to the organizational culture. According to the author (Price, 2000, p. 117), the most adequate and progressive way to recruit employed is based on flexibility and that is the one that Jaymar should follow, taking into account the project and the existing situation. Why? Because the company will be recruiting candidates to perform in different cultural environment along the project, which will be most probably adjusted and changed rather frequently, in order to fine-tune the business model. It makes sense, that to find the flexible professionals, the company should be flexible itself.
The candidates will go through standard procedures like CVs, psychometric measurements, skills and abilities assessment tests, interviews. The idea is to start recruitment after the HR strategy is set and the needs for the project are identified, i.e. there is information about organizational structure, technologies that will be used, forecasted number of clients, etc. Thus, there is a number of decisions to make before the process has actually started. I have mentioned before that flexibility and professionalism will be among the criteria to evaluate. Furthermore, besides traditional IQ, there will be a number of tests, games and case studies to asses EQ, because of the particular challenge about the project, the candidate should not only be effective in the job, but in the team, in the organization and in the country, the assessment has to evaluate these criteria. The interview will be semi-structured. As mentioned by Leopold and Harris (2009), "the interview has multiple functions, only one of which is to assess the direct fit to the job. In addition, it can be used as a basis for negotiating a mutually agreeable psychological contract and serve as a preliminary socialization tactic." (p.183) Therefore, the recruitment and selection should be designed meaningfully and not be over-costly. This will only be possible, if the company will be searching for employees after it has clearly identified its needs, in terms of not only job descriptions and positions, but in terms of what kind of organizational culture they aim to form, what kind of control and accountability structure they will have, etc.
Reconciling of differing interests represented by the hospitals and health units DiverseCare is responsible for into a coherent HR strategy
Taking into account that Jaymar is the company responsible for creating HR strategy for the health care units in Saudi Arabia, it is potentially enabled to provide coherence of the organizational and HR strategies across the units. Perhaps, that was one of the reasons, DiverseCare has even started looking for partners in business. According to Torrington and Taylor (2003), "the starting point for all strategic activity in HRM is to understand the environment in which an organization operatesâ€¦", and "different kinds of markets have different implications for employees." (p. 108) Therefore, Jaymar will be responsible for reviewing and reevaluation reward system applied in the medical institutions, control and accountability system, etc. Most probably, it will not be possible to apply the UK model completely in the Saudi Arabia, because of completely different settings and cultures. Other words, the effective measures to be taken in Saudi Arabia in order to support coherence will be different from the methods applied in the UK, that's why that is also one of the point Jaymar needs to consider strongly before making the decision, especially taking into account the emphasis that DiverseCare put on it.
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Managerial practices have to not only be consistent with the strategy, but also be coherent with each other. (Leopold, Harris, 2009, p. 33) These will provide more organizational integrity and resources for development and growth, especially taking into account, that it is weak at the moment (according to the case, coherence is quite low in the organization at the moment). Furthermore, coherence was once at the agenda of Jaymar too, and it managed to design policies that supported this factor, it is highly suggested to review the case and determine what were the success factor on accomplishing this goal for Jaymar, this will assist in creating clear objectives for DiverseCare. Furthermore, for creating coherence, Jaymar will need to review the existing situation in detail in order to identify the hindering areas and find solutions to fix them.
Flexible team of support consultants Jaymar relies upon and the effectiveness of such an approach in a remote location
Apparently, the greatest changes have to be applied to the consultants' base: so far the operations where 100% located in the UK, whereas DiverseCare project will require representation in Saudi Arabia to retain the quality and reputation of the company and work efficiently. Playing totally on remote will not guarantee the result, because of various challenged mentioned above, such as coherence, managerial policies, business setting, communication issues, etc. Furthermore, the information disclosed to Jaymar about DiverseCare situation is not full; therefore, the forecasts and assessment made by the company about the necessary effort and investment is 50% valid if not les. Thus, the plan should include consultants from the UK, who will work in Saudi Arabia, as well as a group/team responsible for the project, and who will be in Saudi Arabia, at least for some period. In the future, it will be possible to train the personnel and put the project on remote totally, but not at the start.
Jaymar has figured out the balanced structure for operations, which allows the company performing effectively in the sector, meaning the number of people working in- and off house corresponds to the demand and the quality of service is remarkably high. This kind of model works in the UK, for Saudi Arabia the company will need to be ready to go outside of the usual box, and find more solutions, especially in terms of training the staff out there and enhance productive and learning organizational culture to ensure coherence. Jaymar is entering international arena with the DiverseCare project, according to Beardwell and Claydon (2007), on this stage of development "HR performs a vital role in attaining control of local operations. Home country personnel are used to transfer technology and management systems overseas where replication, rather than innovation, is the prime objective. Training in cultural sensitivity and adaptability is key at this stage." (p. 647)
Development needs for Jaymar as an organization should it decide to take on the contract with DiverseCare
Jaymar has reached professional excellence and remarkable reputation in the UK market; it has been recognized and approved. However, DiverseCare opportunity provides the company with a unique chance for entering a much larger market - global one, therefore, this deal might serve as a start for rigorous growth and development for the company. On the other hand, the project requires numerous changes and developments, such as additional staff to coordinate the project, recruitment and selection procedures for both internal and external pools of HR resources, technological solutions for remote control of the project, vast study of environment and situation of the DiverseCare in Saudi Arabia, cultural trainings, time, entailing the strategies of the company in the UK and in Saudi Arabia, etc. Anyways, Jaymar is for now capable to run the project and the benefits in terms of development, market coverage, partnership and growth are sufficient. The company should take on the project, because with the help of it, it can form new competitive advantage which will allow winning stable and strong position in the market and provide a large number of opportunities for further development.
The literature, which was used for the case study helped me getting deeper insights on what should be taken into account, what stages are in the strategy set up, etc., because without knowing the model, it is easy to oversee the necessary points, like with costs and benefits, and flexibility recruitment approach. Therefore, the literature enables comprehensive analysis and view and adds more components for analysis.