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People management, also known as human resource management encompasses the tasks of recruitment, management and providing on-going support and direction for the employees of an organization. These tasks can include the following: compensation, hiring, performance management, organization development, safety, wellness, benefits, employee motivation, communication, administration, and training.
When managing the people within an organization, a manager must focus on both hiring the right people and then getting the most out of these people. New personnel must provide the organization with the best talent available that meets the needs of the business. The organization must look ahead to how a new employee can be used to their fullest. Getting the most out of an employee means a business has consistent policies and practices in place to provide its people with appropriate training and development. Employees are involved as partners in the business.
The organisation chosen for research is Dell. Dell, Incorporated is a computer hardware manufacturer and distributor. The company is one of the world's largest computer distributors in terms of both quantity of units sold and gross income, and one of the United States' largest corporations. From 1999 until 2006 Dell delivered more complete computer systems worldwide per quarter than any other PC manufacturer. Most of Dell's products are IBM PC-compatible desktop, laptop, and server computers using Intel or AMD processors. The company also markets a line of HTC-produced handheld computers hand, rebranded computer peripherals such as keyboards and mice, and Sony-developed monitors and televisions. Other Dell-branded peripherals such as scanners and printers are often designed in-house with production outsourced. Dell also distributes third-party hardware such as gaming consoles from Sony, Nintendo, and Microsoft.
Its the way we do business. It's the way we interact with the community. It's the way we interpret the world around us-- our customers needs, the future of technology, and the global business climate. Whatever changes the future may bring our vision -- Dell Vision -- will be our guiding force.
Dell's mission is to be the most successful Computer Company in the world at delivering the best customer experience in markets we serve. In doing so, Dell will meet customer expectations of:
Individual and company accountability
Best-in-class service and support
Flexible customization capability
Superior corporate citizenship
2.1: Structure and culture:
Every organisation made up of more than one person will need some form of organisational structure. An organisational chart shows the way in which the chain of command works within the organisation. The way in which a company is organised can be illustrated for a packaging company. The company will be owned by shareholders that choose directors to look after their interests. The directors then appoint managers to run the business on a day-to-day basis.
Most organisations will have a marketing department responsible for market research and marketing planning. A customer services department will look after customer requirements. A human resources department will be responsible for recruitment and selection of new employees, employee motivation and a range of other people focused activities. In addition there will be a number of cross-functional areas such as administration and Information Technology departments that service the functional areas of the company. These departments will provide back up support and training.
Culture is an observable, powerful force in any organization. Made up of its members shared values, beliefs, symbols, and behaviours, culture guides individual decisions and actions at the unconscious level. As a result, it can have a potent effect on a companys well-being and success. Some consider culture the glue that holds everyone together. Others compare it to a compass providing direction. No culture type is better than another. The value is in understanding an organization or teams culture and how that culture helps support business goals. Only then can the workspace truly provide the support team members need.
2.2: Leadership styles:
Leadership style is the manner and approach of providing direction, implementing plans, and motivating people. Kurt Lewin (1939) led a group of researchers to identify different styles of leadership. This early study has been very influential and established three major leadership styles. The three major styles of leadership are (U.S. Army Handbook, 1973):
Authoritarian or autocratic
Participative or democratic
Delegative or Free Reign
Although good leaders use all three styles, with one of them normally dominant, bad leaders tend to stick with one style.
Slogan: I want both of you to. . .
This style is used when leaders tell their employees what they want done and how they want it accomplished, without getting the advice of their followers. Some of the appropriate conditions to use it is when you have all the information to solve the problem, you are short on time, and your employees are well motivated.
Slogan: Let's work together to solve this. . .
This style involves the leader including one or more employees in the decision making process (determining what to do and how to do it). However, the leader maintains the final decision making authority. Using this style is not a sign of weakness; rather it is a sign of strength that your employees will respect.
Delegative (free reign):
Slogan: You two take care of the problem while I go. . .
In this style, the leader allows the employees to make the decisions. However, the leader is still responsible for the decisions that are made. This is used when employees are able to analyse the situation and determine what needs to be done and how to do it. You cannot do everything! You must set priorities and delegate certain tasks.
2.3: Corporate Social responsibility:
Corporate Social Responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large.Â
Approach to CSR:
Complying with local laws and regulations and avoiding corrupt practices such as giving or taking bribes.
Monitoring your image and success in implementing your principles in export markets.
Demonstrating good business practice: invoicing and paying bills on time, delivering promised services, exceeding expectations.
Living up to your commitments. Make sure people understand your business culture and concern to be a Ëœgood corporate citizen overseas.
Operating in an open, accountable and transparent way and showing concern for employees and the communities and societies in which you operate.
Integrating social, environmental and economic terms into your business values and actions.
2.4: Ethical Practices:
Ethical practice is to honour the beliefs, morals and values of your profession and to help others through the process of unbiased decision making.Â
All employees contribute to companys reputation; therefore, it is important that all employees adhere to ethical guidelines. Always follow these principles:
Regulatory Compliance: They are aware of and obey the laws and regulations that govern the global management of their business and apply to the jobs and for preventing, detecting, and reporting instances of non-compliance to a member of management.
International Business Activities: Companies acknowledges and respects the diverse cultures, customs, and business practices it encounters in the international marketplace
Bribery and Anti-Corruption: Companies prohibit corruption of government officials and the payments of bribes or kickbacks of any kind, whether in dealings with public officials or individuals in the private sector.
Trade Controls: Organisations are committed to maintaining compliance with all laws and regulations governing the import, use, export and re-export of its products, components, goods, services and technical data.
Fair Competition and Antitrust: As a global business, companies encounter laws and regulations designed to promote fair competition and encourage ethical and legal behaviour among competitors. Antitrust laws and fair competition laws generally prohibit any activity that restrains free trade and limits competition. They conduct their business in compliance with these laws.
2.5: Leadership styles:
The management and leadership styles analysed below, are approaches which are likely to be implemented by Organisations.
Blake and Mouton's Management Grid:
ËœThe management grid identifies a range of management behaviours based on various ways that task-oriented and employee-orientated styles can interact with each other.'
McGregor's Theory X and Y:
According to Douglas McGregor (1960) in developing theories X and Y, managers took two different views of their subordinates and conducted practices that would best suit their assumption of the workers.
Theory X managers, use directive approach to leadership and are very strict and controlling with their subordinates. Organisational goals already established and workers are pushed in a certain direction so that these goals can be fully achieved.
Theory Y managers will work together with subordinates, deciding work objectives and by developing strategies designed to achieve these goals. They will encourage team working and also delegate decision making when and where possible.
2.6: Development of workforce:
Workforce development links staff learning and development to other human resource and business activities which includes strategic workforce planning.
Strategic workforce planning:
Strategic workforce planning is the process of analysing and forecasting the talent an organization will need to achieve its strategic objectives.Â
It is a critical activity that helps identify, develop, and sustain necessary workforce skills while satisfying the career and lifestyle goals of employees. Workforce planning is fundamentally a business-focused strategic exercise that is best completed within the annual business and strategic planning processes.
Strategic workforce planning is different. Instead of focusing on short-term needs and reactive hiring, the emphasis is placed on matching strategic requirements with long-term talent trends, external market influences and proactive planning. Most importantly, it provides a critical link between strategy and human resources (HR) interests, helping to ensure that HR programs and services are truly relevant. Strategic workforce planning helps ensure that an organization has the right people " with the right skills in the right places at the right time and at the right price " to fulfil its mandate.
3.1: Organisational structure and its impact on people:
Organizational structure refers to the way people are organized ---the company's reporting structure. This structure varies from company to company. Tall organizations use many layers of management. Flat organizations use fewer levels, and managers often have a wider span of control.
Communication: In companies with rigid structures, communication tends to follow reporting lines. In companies with flatter structures, communication may occur more easily across departments.
Job Satisfaction: Studies have found a relationship between job satisfaction and organizational structure. Organizations with flatter structures may foster more feelings of self-actualization and create less anxiety in employees.
Customer Relations: Relationships with customers may suffer if departmental relationships cause the customer difficulty in getting problems addressed. Multi-functional teams that can answer a customer's questions and resolve issues have a positive effect on customer satisfaction.
Projects: Organizational structure impacts the success of a company's projects. If project personnel also perform routine operational work, it may be difficult for them to focus on projects and meet schedules.
3.2: Organisational culture and its impact on workforce:
No two employees are created equal. Each one brings a unique set of values and attitudes to the workplace every day, and it's because of this that the influence of organizational culture affects each employee differently. According to researchers Geert Hofstede, Gert Jan Hofstede and Michael Minkov, organizational culture generally creates five personality types among employees.
Ambition with Openness to Experience: Organizational culture may spark ambition, or the personal need to excel and achieve, among all employees at varying levels. It's typically demonstrated by an employee's desire to contribute to the organization as well as the desire for constant learning and advancement.
Agreeable Machismo: Hofstede, Hofstede and Minkov use the term machismo to describe the drive employees generally feel to take the lead while remaining agreeable to the needs of others. This aspect varies by employee.
Orderliness with Conscientiousness: How each employee perceives orderliness varies. Employees who are orderly by nature tend to view the workplace as orderly regardless of the chaos that may be rampant.
3.3: Leadership styles:
A manager's leadership style creates the climate within which employees work and influences the attitude and performance of his team. To be effective, managers must learn to adapt their leadership style to the circumstances and in response to the employees they manage. Here are the six leadership styles Goleman uncovered among the managers he studied, as well as a brief analysis of the effects of each style on the corporate climate:
The pacesetting leader expects and models excellence and self-direction. The pacesetting style works best when the team is already motivated and skilled, and the leader needs quick results.
The authoritative leader mobilizes the team toward a common vision and focuses on end goals, leaving the means up to each individual. The authoritative style works best when the team needs a new vision because circumstances have changed, or when explicit guidance is not required.
The affiliative leader works to create emotional bonds that bring a feeling of bonding and belonging to the organization. The affiliative style works best in times of stress, when teammates need to heal from a trauma, or when the team needs to rebuild trust.
The coaching leader develops people for the future. The coaching style works best when the leader wants to help teammates build lasting personal strengths that make them more successful overall.
The coercive leader demands immediate compliance. The coercive style is most effective in times of crisis, such as in a company turnaround or a takeover attempt, or during an actual emergency like a tornado or a fire.
The democratic leader builds consensus through participation. The democratic style is most effective when the leader needs the team to buy into or have ownership of a decision, plan, or goal, or if he or she is uncertain and needs fresh ideas from qualified teammates.
3.4: Benefits of flexible working practices to individuals and organisation:
Sholarios and Marks (2004), (as cited by Bratton & Gold, 2007, pg.149) suggested that in this highly competitive labour market, in order to attract and retain staff, work-life policies and procedures are a must for any organisation. Strategic Direction (2008) explained that organisations that take a strategic view of flexible working practises are more likely to succeed and flexible working should be viewed as a business tool which in turn allows employers to get more value from their best asset; the employee.
In contrast, Hall & Atkinson (2006) suggested that flexible working whether formal or informal, is merely another management control in disguise, as workers who feel empowered and valued in the workplace will produce a higher standard of work and allow workers to take on more responsibility. Whilst the empowerment moves the control from the manager to the employee, this often results in more pressure on the employee to perform. Professional bodies have asserted that flexible working can assist both organisations and workers in organising work more effectively and thus reducing stress at work.
3.5: Impact of ethical practices on motivation level of staff:
The ethical climate of an organization can have both positive and negative impacts on employee job satisfaction. Unethical workplace behaviours create chaos and impact the organization in a variety of ways. Motivation level impacts the organization on many levels. Low levels of job satisfaction lead to low motivation, decreased productivity and increased turnover. Dishonest management practices lead workers to be suspicious of their leaders. The most successful organizations include high ethical standards at all levels of the organization.
For any organization to have strong ethics they must understand the key points. The points below must be part of any ethics policy and procedures. You will then be on your way to building an ethical workplace.
5 key points that every Ethics policy must have:
Detailed and well defined in the form of a manual.
Provide training for new and current employees.
Use ethic policy for guidance.
Ability to learn from mistakes.
3.7: Use of CSR to motivate employees:
Employees are motivated by corporate social responsibility (CSR). The integration of social, environmental, and economic improvement through CSR makes workplaces sounder. Below are the some ways to motivate the workforce through CSR.
Let employees participate in all the social activities done outside the company.
Let employees lead volunteer and charity efforts in the local areas.
Recognize attitude of the employees towards their job to raise the commitment and motivation level.
Encourage employee referrals to help retain and recruit talent.
Bring CSR inside the company to develop employees inside the company through training and tuition.
A strong CSR program can be significant in motivating employees to not only keep going to work but also showing up with real purpose.
Every employee that the executive team acknowledges should get a handshake and personal thanks.
3.8: Management styles to deal with difference in behaviour:
Theory X and Theory Y have to do with the perceptions managers hold on their employees, not the way they generally behave. It is attitude not attributes.
In this theory, management assumes employees are inherently lazy and will avoid work if they can and that they inherently dislike work. As a result of this, management believes that workers need to be closely supervised and comprehensive systems of controls developed. A hierarchical structure is needed with narrow span of control at each and every level.Theory X managers rely heavily on threat and coercion to gain their employees' compliance. Beliefs of this theory lead to mistrust, highly restrictive supervision, and a punitive atmosphere.
In this theory, management assumes employees may be ambitious and self-motivated and exercise self-control. It is believed that employees enjoy their mental and physical work duties. They possess the ability for creative problem solving, but their talents are underused in most organizations. Theory Y manager believes that, given the right conditions, most people will want to do well at work. They believe that the satisfaction of doing a good job is a strong motivation.
3.9: Motivation theories:
The most commonly held views or theories are discussed below and have been developed over the last 100 years or so.
Frederick Winslow Taylor (1856 " 1917) put forward the idea that workers are motivated mainly by pay. His Theory of Scientific Management argued the following:
Workers do not naturally enjoy work and so need close supervision and control. Therefore managers should break down production into a series of small tasks. Workers should then be given appropriate training and tools so they can work as efficiently as possible on one set task. Workers are then paid according to the number of items they produce in a set period of time- piece-rate pay. As a result workers are encouraged to work hard and maximise their productivity.
Elton Mayo (1880 " 1949) believed that workers are not just concerned with money but could be better motivated by having their social needs met whilst at work (something that Taylor ignored). He introduced the Human Relation School of thought, which focused on managers taking more of an interest in the workers, treating them as people who have worthwhile opinions and realising that workers enjoy interacting together.
Abraham Maslow (1908 " 1970) along with Frederick Herzberg (1923-) introduced the Neo-Human Relations School in the 1950s, which focused on the psychological needs of employees. Maslow put forward a theory that the five levels of human needs which employees need to have fulfilled at work are psychological needs, safety needs, social needs, esteem needs and self-actualisation. All of the needs are structured into a hierarchy and only once a lower level of need has been fully met, would a worker be motivated by the opportunity of having the next need up in the hierarchy satisfied.
3.10: Benefits of training and development to individuals and organisation:
Increased job satisfaction and morale among employees. This has an added benefit of making your company more attractive to prospective employees.
More motivated workers, which in turn tends to increase productivity and spur profits.
More effective and efficient use of workers' time as a result of higher skill levels, combined with a better understanding of the job function.
Employees who know they are competent, and therefore feel more confident. Self-assured, well-trained employees are important in the debt collection function.
An increase from employees in the number of ideas, recommendations and suggestions for improving performance, or processes and procedures.
Lower overall employee turnover and less absenteeism.
3.11: People management strategies used in organisations:
Here are some key strategic factors on the management of people to reinforce the importance of them to businesses.
1. Understanding the competitive advantage they can gain from employing good people.
2. Developing people management strategies, structures and practices that align with the overall business strategy.
3. Attracting, training and retaining key people through effective recruitment processes.
4. Active leadership from business owners and managers through clear organizational communication.
5. Effective recognition and reward systems, including performance reviews and feedback.
6. Essential human resource systems to meet legislative requirements regarding employing people to ensure the business will avoid expensive litigation and employment problems.
Conclusion and Recommendations:
In conclusion we can argue that the human resource aspect of any organisation can be seen as the greatest asset for an organisation. However neither the knowledge of this resource or knowledge about this resource should be seen as static, instead for organisational strategies to be effective they must be dynamic and adapt to be external changes in the environment as well as internal information concerning this human resource. The traditional outdoor shopping experience is quite inanimate. Consumers are often pampered with little treats. However, they may not be attended to immediately. Additionally, the sales people may be inadequately trained in that particular field and thus may be unable to provide the customer with the desired information. The purchase process with regards to a computer involves the consumer visiting a store such as Harvey Norman where an entire range of branded PC's is visible and tangible to the customer. Information concerning the product can be obtained from communication with a sales representative instead of a drop down menu. However, there are certain consumers who can use the internet to buy and order all stuff online.