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Human resource management is a significant aspect in any company that is in pursuit of success. This is made possible by policies and strategies that have been set by the human resource management in order to attain the company's general goals of the company. The human resource management works with the employees directly in order to know ways that they are affected by the roles they play in the company and how this has an overall effect on the company. The Volkswagen Company is a perfect example of such a company. The success of this company is mainly credited to the use of the human resource management (Sharma, 2009). This is in terms of the policies and strategies that the management has set in an effort to improve the company's status both financially and industrially.
The Volkswagen Group has its headquarters in Wolfsburg. It is primarily an automobile manufacturing company who produce quality cars that cannot be rivaled by any other automobile company. Being one of the world's leading automobile manufacturers, the company has workforce of over 500,000 who are competent and dedicated in the daily production and also characterized with the ability to be inventive and innovative. Volkswagen group prides in generations of specialists and this expertise has been handed down to all new recruits through training seminars and induction programs. The company is currently the largest producer of auto products in Europe.
The success of the company is as a result of the human resources which focus on ensuring that the employees undergo rigorous training. This brings out the aspect of competence and encourages all members of the staff to be in a position to contribute their ideas and participate in projects within the company. This instills a sense of dedication among all members of staff. This has been key in avoiding cases of redundancy in the company and to promote career growth by developing the strengths in individuals. This is the main human resource strategy that is used by the Volkswagen group. The human resource department supports all employees who work in the Volkswagen group (Seume, 2001). The HRM helps the group achieve its goals by identifying top talent, supporting the employees with their queries and assist them in planning their careers.
A team of well qualified professionals who are dedicated to offering services of unmatched quality to their customers. To that as well as though their services, they create a collaborative environment aimed at providing a quality product, creating a safe environment, enhancing productivity and enabling their customers to become more successful.
To develop novel and cost-effective solutions for their clients' facilities to ease their issues and challenges that hinders the successful and safe ways to deliver quality services. Their facilities and engineering experts support their continuous effort to respond to the changing criteria, codes and accreditation conditions without the need to maintain permanent staff.
Awards in 2012
2012 Top Safety Picks - Nine of their trucks were recognized as Top Safety Picks by IIHS having scored a GOOD rating in 4 tests.
2012 - Car of the Year was awarded to Passat's advanced design for its outstanding efficiency and safety.
2012 LEED Platinum certification for the Chattanooga facility
2012 - Kelly Blue Book - Best car family award went to Volkswagen Passat
2012 - GTI and Golf were among the best 10 winners for Car and Driver award
2012 - Best Redesigned Cars - The 2012 won one of the 10 awards
Volkswagen focuses on making its group a global environmental and economic leader among the automobile manufacturers. It focuses deploying intelligent technologies and innovations with the aim of leading in customer quality and satisfaction. It aims to increase its sales to over 10 million vehicles each year with particular focus on capturing a large share in the growth of major markets. It aims to increase its return on sales to ensure that the group has a solid financial position and can guarantee continuity even when the markets are difficult.
Human Resource Strategy
Volkswagen focuses on generating an environment that is friendly and profitable for its employees in order to maintain a motivated team of employees. The main goal of the company is to challenge the employees such that they bring out their best in the roles that they play. They use a high level of competitiveness of the employee to determine the level of competitiveness of the company. The company depends hugely on the employees and has put in place policies in the human resources department to exploit their talents. The strategy used to achieve this is intensive training sessions that are offered to the trainees as well as the employees who are already working. So far, the Volkswagen group has achieved this particular goal and has maintained it at that. This makes it one of the most competitive companies thanks to the level of competitiveness of the employees which goes down to the human resource management of the company.
Research on the Volkswagen group was conducted based on internet resources. This was made possible by extensive study of a number of works of literature. This ranged from Google books tom articles that have been written by people who have undertaken the same research on the company. In addition to that, there was a study on the Volkswagen Company as a whole. This ranged from the company's history to the way the company is run and its progress in the business world. It was also necessary to compare the company with other leading companies in order to know its position in the industrial world. This study was accompanied by note taking in order to capture the hugely significant points that are related to the company. The notes were also a basis for building up the body of the report by analysis and discussion about the company.
Human Resource Policies
Volkswagen group seeks to hire the best the market has to offer and recruit fresh from university graduates who are then trained extensively. Different training paths are employed to qualify the young people for careers in the group. The kind of training offered is focused on meeting the goals of the company in terms of the employee relations. The Volkswagen group is diversified and embraces talents both from men and women alike who account for a good percentage of the management team. A mentoring program has been initiated with an aim of increasing the proportion of women in management. This helps in attracting interest from customers who are in support of diversity in work places. As far as research shows, people who are in a quest for diversity at work places, especially in terms of gender, make up a large percentage of the world's population. This is an added advantage for the Volkswagen group since this is a successful strategy for achieving their goal to create a diverse market (Inert, 2008).
Equal participation policy
In-house training is essential in maintaining consistency in quality production and exploring the new ideas that are presented by the creative members of staff allows the group to come up with innovative creations. Innovation is crucial in anticipating the customer's needs and converting those needs into achievable realities. Discipline is key in the company since it goes a long way in ensuring mutual respect among the staff and also between the management team and the subordinate staff. The HRM policies in place in the group assist the employees to understand the various operation systems in the company and what is expected of them in their day to day activities. In order to survive in this competitive automobile industry, Volkswagen requires employees who will readily give their utmost best, without them being neither overstretched nor under stretched. In order to achieve the desired success, intensive research and networked cooperation both inside and outside the company is mastered. This has gone a long way in overcoming technological challenges.
The human resource management has devised a lead, demand and promote rule which ensures that management leads by example encouraging employees to actively exploit their potentials. Training and staff qualification are also achieved through this rule since the management act as mentors to the employees ensuring that the best out of each individual is displayed. The employees are encouraged to voice their opinions anonymously which enables them to air their grievances without feeling intimidated. They are encouraged to actively participate in the company's organization system which builds their esteem and allows them to feel that they are involved in the decision making processes within the company. This strategy also helps in improving ideas that come up in the production of new items. It also helps in pointing out mistakes that may have a significant effect on the company's progress either financially or skillfully. It is also in the Volkswagen's strategies to encourage promotion opportunities for employees in a bid to allow them climb the career ladder. This is rewarded to those who have shown a terrific deal of dedication and exploitation of their talent. Every employee is given equal opportunities to show case their talent which in turn serves to ensuring that the employees become creative and innovative. This is done by analysis of how communicative an employee is and their levels of commitment and competitiveness. Innovation is a powerful way of coming up with out of the box ideas aimed at increasing product quality in this case automobiles. Potential development of employees is achieved through seminar sessions and trainings with regards to automotive knowledge aimed at increasing the knowledge levels among the employees. These activities are also contributors to analyzing the strengths and weaknesses of employees and how each affects the Volkswagen group.
The Human Resource management also plays a key role in ensuring that the employees are well rewarded in terms of job security which is achieved by offering competitive remuneration packages that ensure that the employees are sufficiently taken care of. The organization aims at making the packages as competitive as possible in an industry that is as competitive as the automobile industry. This strategy is known to raise the morale of the employees such that they are motivated to do better in their roles in an effort to get the rewards (Weihrich, 2010). In the process, the employees raise the standards of the company y as a whole since it depends on the standards of working of the employees. This makes the working environment much more conducive and comfortable for the employees.
Good working environment is achieved by making the workplace friendly whereby the subordinate staff can interact with the management staff in an open and non-intimidating way. The company has devised an open door policy to allow employees to access their seniors and discuss any issues with them openly. With this policy in place the employees are instilled a self drive which seeks to aim that both the management staff and the subordinate staff perform at their utmost best for the mutual benefit of the company and its employees (Lawler, 2008). Productivity is always at its best when the employees feel that they can communicate and freely interact with their seniors in a respectful and yet expressing their opinions comfortably. This strategy has been successful in the Volkswagen group. This is seen in the relationship that is seen between the management and the employees especially the high levels of communication.
By doing all this, the company is in a position to be the leading employer offering the employees attractive working conditions while maintaining the company's image and selling Volkswagen as a quality brand (Harzing, 2004).
Volkswagen group applies the systematic personnel development path from the trainee to the top manager. This development path ensures the company's success by making sure that every individual participates actively and independently towards the common interest of the company. This strategy helps in attracting professionals to the company and developing them in their areas of strength to contribute to specific areas of the company's progress. To avoid the influx in the company due to an excess in employee recruitment, the company tries to recruit the best and the competent in the market. This increases the potential of an employee and reduces the need for the organization to cut back the employees benefits, salaries or cause performance redundancies among the employees. The human resource management in the group works closely with the several trainers including
Volkswagen Group also plays a significant role in the social and industrial responsibility of the industry. This has ensured the sustainability of economic and social goals within the company and industry which plays a role in the economic growth. The human resource management is key in ensuring this crucial role by ensuring that the employees are treated as a resource to be developed and not a commodity cost to be controlled. Statistics show how successful this strategy has been. So far, the company is the best auto company in the Europe region. In addition to that, it is a world producer of the best vehicles. This shows that the company has achieved its industrial as well as social responsibility. This is seen in the quality of the vehicles that are produced in the company (Brunstein, 1995). This shows that the company has been successful as an industry. In addition to that, the company's products are used by people across all diversifications indicating that the social responsibility of the company has also been achieved.
Human resource management ensures that Volkswagen has a promised future by hiring qualified staff that possesses extraordinary skills and the desire to take the company to greater heights through sheer determination and dedication. Incidences of indiscipline are treated by fair trial before laying off the affected persons. The indiscipline incidences occur rarely because with time employees have come to trust the management and appreciate their roles in building the company. They are also rare due to the good relationship between the management and employees. This ensures that the employees communicate their grievances to their employers before acting on them. By doing this, the issues are easily dealt with before taking any action.
Volkswagen is a leading company and the market has invested a lot of expectations in it. This has led to the company having to push their employees real hard with an aim to maintain its status in the competitive automobile industry. With this, long working hours have to be put in causing most workers to feel overworked. This has been presented as a major problem for the company in spite of the many pros that the company presents. This is because overworking demoralizes the employees as well as draining them of any hidden potential. This situation may be a discouragement for many competitive employees who may feel unappreciated for the effort that they put in their work. In addition to that, this may eventually affect the company at large (Jackson, 2002). This is due to an earlier pointed out fact that the company's progress hugely depends on the employees.
In light of the con that has been presented in the Volkswagen Company, it is necessary for the company to reduce the extra working hours for the employees. This should be done in order to ensure that all the employees reach their full potential. One way of solving this issue is by increasing the number of employees in the company. By doing this, the company will provide time for employees to rest. This can be done by having employees work in shifts. This will enable the employees to work as expected and provide the expected results. In addition to that, the company will get rid of issues like work overload which may be a cause for future strikes. By doing this, the management shows that they have a high level of consideration for the employees.
It is also recommended that the operation costs of the company should be lowered in order to favor the market without biasness. Earlier in the 21st century, the operation costs for the Volkswagen Company were quite low. By the year 2005, the company was facing a serious reduction in income due to the low income cost produced. This forced it to opt for extremely high operation costs. This was an advantageous move since the profit margin of the company shot up from very low levels. In spite of this, the move has had a negative on the company in the present. This is because it discourages potential customers of the company who opt for the competitors of the Volkswagen Company. It is hence advisable for the company to slightly reduce the costs of operation for the company. This will help the company in reaching out to customers who deal with their competitors. This is made possible by the reduction of production costs.
All in all, the Volkswagen human resource management group has been an anchor for the company. Thanks to the strategies and the policies that it has set, the company has reached where it is now. This is in terms of finances, industrialism and competitiveness. The human resource management of Volkswagen Company has contributed to the success of the company. This is through the ways in which the management group impacts the employees and the market. These parties are the main ones that determine the path of success that a company may take. This is due to the response that the parties present, whether positive or negative (Brewster, 2000). The response that the parties give is the one that directs the human resource management on the next course of action for the company. The involvement of employees is hence a paramount aspect in order for the human resource management to achieve its role in the company.