ORGANIZATIONAL BEHAVIOR AND HRM AT BANK MUSCAT - Essay Example

?Running Head: ORGANIZATIONAL BEHAVIOR AND HRM AT BANK MUSCAT Organizational Behavior and Human Resource Management at Bank Muscat Contents Introduction 3 Relationship of HRM to Traditional Practice of Personnel Management 3 Relationship of HRM to Traditional Practice of IR (Industrial relations) 5 Organization Structure and Practice of Bank Muscat 6 Human Resource Development Activities at Bank Muscat 8 Conclusion 12 Recommendations to improve the HR activities in Bank Muscat 12 References 15 Appendix 18 Introduction Bank Muscat is one of the leading financial institutions that offer a wide range of financial services. The main financial services provided by the bank includes: asset management, speculation banking, commercial banking, secretive banking, trade banking and treasury. In addition, Bank Muscat also has international branches in the different countries of the world (Bank Muscat. 2012). In this paper, the relationship of traditional practice of Personnel Management and Industrial Relations to Human Resource Management would be discussed effectively in context of Bank Muscat. In addition, organization structure and the practice of the bank would also be identified properly in order to accomplish strategic objectives of this research paper. Apart from this, Bank Muscat’s HR activities would also be accessed in relation to human resource development. Finally, effective recommendations to improve the HR activities would also be discussed in relation to Bank Muscat. Additionally, for this assignment, a questionnaire would also be prepared to collect the important information as well as data. This information would be collected from the employees of Bank Muscat. This data would be more beneficial and significant to improve the understanding the relationship between the HRM and traditional practices of PM and IR. Relationship of HRM to Traditional Practice of Personnel Management Personnel Management can be said to be as the administrative and record-keeping task at the operational level. It is used to maintain reasonable terms and conditions of employment within any organization. On the other hand, this is also a factor that is responsible for efficiently managing the activities of personnel related to individual departments and is also one of the most significant practices of the human resources management (Armstrong, 2006). The traditional practices of human resources management includes: planning personnel needs, conducting job analyses, selecting the right people for the job i.e. recruitment, orienting and training, appraising performance and communicating with employees at all levels of administration (Price, 2007). There is a strong relation among the HRM and traditional practice of personnel management. For instance, as per the HRM front line managers are more accountable for managing the people within the organization. On the other hand, traditional activities of the human resource management provide necessary advice and support services to enable managers to carry out their responsibilities (Armstrong, 2006). Iit is also identified that, practices of personnel management as well as HRM flow from the business strategies of the organization (Miller, 2007). Along with this, it should also be noted down that HRM and the personnel management deals with the same level of challenges in the multinational organization. On the other hand, both the HRM activities influence personnel management direly or indirectly. For instance, both personnel management and HRM are fretful with providing the employees and organization personnel’s with appropriate compensations and benefits (Needle, 2004). This is one of the vital areas of employee management as no employee will works for free for any organization. In addition, both the approaches have a same objective that is to solve employee’s problems. For example, every time an employee has a problem those requirements concentration, personnel management and the HRM are available to them for solving their problems and issues. In this manner, the personnel management and HRM could not ignore these issues as all the employees are human beings who may or may not experience emotional downturns and issues depending on employee to employee that could affect their organizational productivity. To offer appropriate training in employee retention is another practice that HRM also consider in an effective manner (Price, 2007). Relationship of HRM to Traditional Practice of IR (Industrial relations) IR (Industrial relations) is known as multidisciplinary approach that deals with studies the employment relationship. In addition, it is also founded that, IR involves a lot of traditional practices such as: collective bargaining at endeavor rank, suppleness in relative to forms of service as well as in relation to working time and job functions (Cooke, 2003). These types of practices and activities have occurred as a result of different factors such as finely tuned rivalry, fast changes in harvest and progression and the increasing significance of skills, excellence and efficiency. These features have direct and indirect impact on the HRM policies and practices. Human resources management has a great relationship with the industry relations, because these practices are adopted by in all the industries. Trade unions reorganizations have been accepted human resource management to improve organizational performance that has become achievable through the preservation of industry practices. Industry relations are made through applying HR as strategic partner to transform their functions (Kaufman, Beaumont & Helfgott, 2003). In addition, HR functions also show the model of industrial. The traditional practices of industry relations include the relationship between the human resources and management in the organization. It is very essential to develop a relationship between the employers and employees of the company. At the same time, all the traditional practices are following by human resource management to develop industry relations. For instant, industry relations are associated with the practice of employment unions, collective bargaining and labor and management relations. These practices are performed by the labor and employees to develop the industry practices (Rowley & Benson, 2004). This relationship generates at the workplace among the workers to workers, workers to employers and employers to industry. Industry relations are maintained through using some process such as grievance handling, dispute settlement, conflict management and collective bargaining. Thus, it can be said that traditional practice of personnel management as well as industrial relations are interrelated with the human resource management (Kaufman, Beaumont & Helfgott, 2003). Organization Structure and Practice of Bank Muscat As per the corporate financial era, a new organizational structure is adopted by Bank Muscat effectively that represents its new vision, mission and new strategies for the approaching era. For example, we can do more is the inventive vision of this bank that focuses on the leadership (Hussain, 2009). To maintain and establish the leading position of the bank is one of the specific strategic objectives of this bank that shows future activities of the bank and moving forward to tackle the challenges of the coming period. At the same time, it is also identified that, the new organizational structure of the bank would assign higher responsibilities highly professional and competent staff. Along with this, it should also be noted down that the latest organizational structure is a step towards the development direction as the bank seeks to further strengthen its leading position. The bank also focuses on providing more and more career growth opportunities to its staff and builds their career in an effective and efficient manner (Dalton, 2007). In addition to this, in order to make sure the top leadership consolidation, chief operating officer, deputy chief executive and chief executive remain unmoved in the new organization structure. Along with this, the women empowerment strategy adopted by the bank is also notable and innovative because more than 42 per cent of organization staff is women holding that were at the top and senior management positions (Sundaram, 2003). At the same time, it is also noted that, the bank tried to develop innovative and distinctive leadership at all management levels because it attracts the best cadres for employment. For example, Bank Muscat has achieved 93 percent Omanisation, generous precedence for Omanis to dwell in chief positions (Bank Muscat. 2012). Along with this, it is also identified that, this bank has from long enjoyed the heritage of a highly stable leadership and competent Management Team highly committed towards initiating changes that has lead to the organizational future success. This also depicts that the new organizational structure is a step ahead in the positive direction as the bank seeks to further merge its leading position (Seese, Weinhardt & Schlottmann, 2008). According to the new organizational structure of Bank Muscat, the new management team as well as staff is in line with the strategic vision, mission and direction of the bank. Additionally, the new structure of this ban also represents that, Bank Muscat is offering a lot of more important carrier growth opportunities to the talented youth. In this way, the bank is also trying to achieve corporate social responsibilities with the new organizational structure (Rasiah & Schmidt, 2010). For example, from the last five years, the overall business scenario as well as operating activities has increased in size, drastically changed in terms of complexity of business and its scale also. Hence, it is identified that, the new organizational structure adopted by the bank supports its overall business operations, strategies and vision in an effective and proper manner. So, the new organizational structure and practices of Bank Muscat is effective and proper as per the changing world of globalization (Seese, Weinhardt & Schlottmann, 2008). Human Resource Development Activities at Bank Muscat With the increasing importance of the HR practices and to achieve the competitive core competencies over the competitions, Bank Muscat is creating and implementing various activities in order to human resource development effectively (Sims, 2006). For example, the bank is formulating and organizing internal training programs as well as external training courses. In addition, a lot of significant and innovative strategies are also adopted by the bank to equip the bank employees to take up leadership positions with future challenges. On the other hand, several comprehensive learning as well as development strategies are also developed by the bank for the enhancement of the knowledge and skills vis-a-vis for meeting the requirement of several departments (Reid, Barrington & Brown, 2004). Along with this, it is also identified that, Bank Muscat is also encouraging organizational people in order to take responsibilities and ownership. At the same time, this bank is also investing in organizing HRD activities (Bank Muscat’s HRD. 2012). For example, Bank Muscat is building in terms of human capacity and developing opportunities for highly-qualified staff or people. In addition, in order to encourage women employees in the organization, women empowerment strategy is also adopted by the bank (HRD of Bank Muscat. 2012). Hence, the HRD practices as well as strategies used by this bank are effective and comprehensive. The bank’s women empowerment policy is prominent as more than 42 per cent of staffof the bank is women and are holding higher positions, including the senior level management positions. HRD activities of the bank arrange learning and development activities surrounded by the organization in order to improvise the personal growth and performance for the purpose of civilizing the occupation, the entity, and/or the association (Werner & DeSimone, 2011). The main and important activities of HRD of the bank include the areas of training and expansion, career growth, and group development (Bank Muscat. 2012). Learning and development strategy of the bank is also notable. It is because this strategy of the organization is incorporated with its businesses and overall operational strategy. Along with this, the bank is also fulfilling different needs of the employees that are directly or indirectly related with the training and development needs of human resources (Merkley, 2009). In this way, this strategy of the bank focuses on the overall development of personnel’s as a basic requirement for attaining success. Along with this, for the human resource development within the organization, 456 training courses in the different banking sector is also organized by the bank. In this way, the bank more than 5,400 training opportunities are provided by the bank in more than 10,200 training days (Reid, Barrington & Brown, 2004). On the other hand, international training institutions are also developed by the bank for the individual development. In addition, the bank is offering high grade training for the development of human resources, which reflected on their performance and has also helped in developing their abilities and skills, which fundamentally forms the essential purpose of development and training. Along with this, it is also identified that, learning and development centers are also developed by the bank in order to provide specific development opportunities for the employees (Merkley, 2009). In this center, this bank offers all several types of training programs that aids to meet the overall requirements provided by the latest standards of the Sultanate or abroad. On the other hand, it is also founded that, this bank also assigns all the employees as well as management to attend specialized conferences and courses outside the Sultanate (HRD of Bank Muscat. 2012). Educational scholarships and vocational programs are also implemented by the bank for the individual development of the employees. In order to develop the employee’s qualifications and skills the bank offers the most flexible educational scholarship program for the employees of the bank. In addition, this program also offers chance to more than 558 employees in order to complete their degrees at university level (Sims, 2006). At the same time, it is also interpreted that, the bank also encourages its working personnel’s or staff to obtain vocational certificates related to banking. In this way, Along with this, staff engagement programs are also implemented by the bank for the personal development of the employees (Reid, Barrington & Brown, 2004). Along with this, it is also interpreted that, as per the learning & development activities, each and every employee of the bank goes through the induction system in order to learn the foundation topics which enable them to work in a bank. On the other hand, the employees at the bank also attend advanced programs that are directly related to their roles and responsibilities (Werner & DeSimone, 2011). At the same, the bank also follows some significant and comprehensive program in order to develop and improve skills of the employees. In this way, the bank focuses on upgrading employee skills and refining them to confront the challenges ahead which might the bank may face. Additionally, an induction course is also offered by the bank at its learning and development centre that increase awareness about the business and support functions and bank’s competencies, (Merkley, 2009). On the other hand, it is also founded that, bank also encourage employees to attend different significant courses abroad which gives them an opportunity to exchange ideas and learn from peers in worldwide banks. Additionally, the Bank work together with Hewitt Associates, SHL Group, Euro money, Moody’s, DC Gardner, Harvard Law School, Hays Group and The Achievement Centre, Canada. In this way, for the development of the staff, the bank offer higher educational opportunities (Bank Muscat. 2012). In addition, the bank encourages all the staff to get professional education, which allows them to increase spirited benefit in offering world class products and services to customers. In this way, various programs are designed by the bank in order to motivate to the employees effectively (Werner & DeSimone, 2011). In addition, this bank also offers internship programs to the employees in order to prepare today’s generation for tomorrow’s challenges. As part of corporate social accountability, the bank supporter 249 students pursuing diploma programs at the College of Banking and Financial Studies that enabling them to take up jobs in the financial sector and also providing a talent pipeline. At the same time, the bank is also encouraging the employees to undertake voluntary social activities (Reid, Barrington & Brown, 2004). Apart from these development programs, a separate training policy is also formulated by the bank that covers all the employees under training and development activities in the organization. So, the strategies of HRD help the employees in achieving their long and short term goals en an effective manner (Sims, 2006). It is also estimated that, the HRD activities of the bank create new knowledge within the organization about human resource development through disciplined inquiry (Bank Muscat. 2012). In the same manner, with the help of training and development program, the bank is developing competencies and skills and improving performance in current jobs, including: instructional schemes plan, adult learning theory and submissions, train-the-trainer programs, and instructional approach and systems. In addition to this, the bank is also offering professional guidance to the employees in order to their personal development (Bank Muscat. 2012). On the other hand, it should also be noted down that, this bank is also coordinating and developing annual training plans for the individual employees within the organization for the human resource development (HRD of Bank Muscat. 2012). Hence, this bank is maintaining and conducting skills inventory analysis for their employees effectively and in an effective manner. Hence, it is analyzed that, in order to encourage, motivate and development of employees, a lot of techniques and strategies are adopted by the ban in an effective and proper manner (Bank Muscat’s HRD. 2012). Along with this, the HRD activities adopted by the bank also encourage employees to achieve desired results in an effective manner. Conclusion From the above discussion, it can be concluded that HRM has a strong relationship with the traditional practice of personnel management as well as industrial relations. It is because HRM directly or indirectly affect different important activities and practices of personnel management and industrial relations. In addition, it is also identified that the organization structure adopted by the bank is new and innovative because it motivates all the staff and management regarding the long term objectives of the organization. Additionally, the new organizational structure of Bank Muscat supports strategic vision, mission, long term objectives and strategies of the bank. In addition, it is also investigated that the bank is also offering a lot of training and development opportunities to the employees in an effective and proper manner. Recommendations to improve the HR activities in Bank Muscat In today’s changing business scenario, an effective HRM system is vital to retaining all the staff and maintains a high level of performance within an organization. A responsive HRM system can help the organization to ensure that employees and staff knows what they are supposed to perform and do, get opportune advice; feel appreciated and esteemed, and have opportunities to study and produce on the job. In this way, in order to improve HRM activates in Bank Muscat, the HR manager should highly focus on both the business results as well as the improvement of the human capital (Mathis & Jackson, 2011). Along with this, the HR department of Bank Muscat must attend long-term strategic practices and day-to-day administrative processes and in order to improve the strategic level in the organization (Jackson, Schuler & Werner, 2011). In addition, the HR manager must target and accesses both individual ability and organization capabilities in an effective way. On the other hand, to improve the efficiency of the HR activities in the organization, the HR department as well as manager should discuses with the line managers on the operational and administrative changes (Heneman & Greenberger , 2002). At the same time, the management of Bank Muscat should implement and create an organizational development group in HR for the overall operational improvement. In this way, the organization should develop all the HRM activities and practices as per the changing business environment. In addition, Bank Muscat should innovate and integrate HR practices effectively. It means the management of this organization must look forward towards developing new and creative ways of designing and delivering good Human Resource practices (Rothwell & Kazanas, 2003). In the same manner, these practices should integrate around the leadership, talent and culture within organization, so human resource of the organization effectively offers sustainable solutions to organizational and business problems (Mathis & Jackson, 2011). Additionally, to improve the effectiveness of the HRM activities within the organization, the HR department and management of this company should understand the key capabilities of the organization required to achieve its goals and meet the expectations of investors, customers and communities. Additionally, the HR management should also focuses on assessing key capabilities of the company for recruitment, guidance, reimbursement, announcement and other HR practices (Jackson, Schuler & Werner, 2011). References Armstrong, M. (2006). A Handbook of Human Resource Management Practice. USA: Kogan Page Publishers. Bank Muscat (2012). About us. Retrieved from: http://www.bankmuscat.com/en-us/Pages/Default.aspx) Bank Muscat (2012). HRD activities. Retrieved from: http://main.omanobserver.om/node/52835 Bank Muscat’s HRD. (2012). Retrieved from: http://www.bankmuscat.com/en-us/CSR/pages/default.aspx Cooke, W.N. (2003). Global Human Resource Strategies. USA:Greenwood Publishing Group. Dalton, B. (2007). Vault Guide to the Top New York Law Firms. USA: Vault Inc. Heneman, R.L. & Greenberger, D. B. (2002). Human Resource Management in Virtual Organizations. USA: IAP. HRD of Bank Muscat (2012). Retrieved from: http://www.omantribune.com/index.php?page=news&id=105898&heading=Oman Hussain, A.H.A. (2009). Corporate Governance Structure Efficiency and Bank Performance in Saudi Arabia. US: ProQuest. Jackson, S.E., Schuler, R.S. & Werner, S. (2011). Managing Human Resources. USA: Cengage Learning. Kaufman, B.E., Beaumont, R.A. & Helfgott, R.B. (2003). Industrial Relations to Human Resources and Beyond: The Evolving Process of Employee Relations Management. USA: M.E. Sharpe. Mathis, R.L. & Jackson, J.H. (2011). Human Resource Management: Essential Perspectives. USA: Cengage Learning. Merkley, R.J. (2009). Describing Human Resource Development in Illinois Social Service Organizations. US: ProQuest. Miller, A.P. (2007). How to Manage Human Resource in Organizations. USA: Xulon Press. Needle, D. (2004).Business in Context: An Introduction to Business and Its Environment. USA: Cengage Learning EMEA. Price, A. (2007). Human Resource Management in a Business Context. USA: Cengage Learning EMEA. Rasiah, R. & Schmidt, J.D. (2010). The New Political Economy of Southeast Asia. USA: Edward Elgar Publishing. Reid, M.A., Barrington, H.A. & Brown, M. (2004). Human resource development: beyond training interventions. USA: CIPD Publishing. Rothwell, W.J. & Kazanas, H. C. (2003). Planning & Managing Human Resources: Strategic Planning for Human Resources Management. US: Human Resource Development. Rowley, C. & Benson, J. (2004). The Management of Human Resources in the Asia Pacific Region: Convergence Revisited. Great Britain: Routledge. Seese, D.G., Weinhardt, C. & Schlottmann, F. (2008). Handbook on Information Technology in Finance. USA: Springer. Sims, R.R. (2006). Human Resource Development: Today and Tomorrow. USA: IAP. Stewart, J. & Beaver, B. (2004). Hrd in Small Organizations: Research and Practice. USA: Psychology Press. Sundaram, J.K. (2003). Southeast Asian Paper Tigers?: From Miracle to Debacle and Beyond. USA: Psychology Press. Werner, J.M. & DeSimone, R.L. (2011). Human Resource Development. USA: Cengage Learning. Appendix Questionnaire for Survey: Name: Name of company: 1. Do you agree that the HRM has relationships with the traditional practice of personnel management and IR (Industrial Relations)? a. Strongly agreed b. agreed c. Neutral d. Disagreed e. Strongly Disagreed 2. Are you satisfied with the current HRM practices as well as activities of Bank Muscat? a. Strongly Satisfied b. Satisfied c. Neutral d. Unsatisfied e. Strongly Unsatisfied 3. To what extent do you agree there should be implementation of the new HRM activities in Bank Muscat? a. High Influential b. Influential c. Neutral d. Low Influential 4. According to you, the new organizational structure of Bank Muscat would be helpful for the employees to achieve organizational competitive advantages? a. Yes b. No c. Can’t Say 5. To what extent, you believe that the organizational structure of Bank Muscat encourages to the employees in order to create sustainable environment? a. Low Influence b. Influential c. High Influence d. No Response 6 Do you agree that Human Resource Development Programs and Practices adopted by Bank Muscat motivate behavior of the staff in the bank? a. Strongly Agree b. Agree c. Disagree d. Strongly Disagree 7 What HRM strategies as well as practices should adapt by Bank Muscat in order to create a dynamic and innovative environment? 8. In your opinion, how Bank Muscat helps employees and staff for their personal development? 9. What are the different factors and forces that may influence the growth of Bank Muscat in the international market? Please discuss both positive and negative factors? 10. According to you, why there is need of change of organizational structure? Explain Read More