Core Issues in the Human Resource Management of MPC Finance - Research Paper Example

Some recommendations have been made for the better utilisation and management of human resource of the company which will help the company in achieving better results with regard to their human resource management. There are certain inefficiencies found in the human resource management of the company. Management is relying on the hierarchical structure for in an old progressive manner for deciding the compensation of the company's employees. The workforce is hired at the lowest level and they progress with the passage of time towards the upward positions.

Due to this system employees do not tend to work harder for quick progress in the company and thus efficiency is compromised due to un-utilisation of the full potential of some employees. The performance management system of the company is top down with little chances of interaction between management and subordinates. At the workplace where everyone is included in a team and the best of results are achieved through teamwork, this is not a very good scenario for optimum utilisation of the company's resources.

Last in first out redundancy policy is in use by the company, which is obviously not a universal axiom and the employees should be evaluated with the system which best describes the value added by them in the company. Another defect in the company's HRM system is the dissatisfaction among the employees of regional offices due to the general perception that headquarters employees are taken well care of as compared to the regional office employees and due to the fact that absenteeism and labour turnover in the regional offices is three times that in the headquarters offices.

Moreover, the workforce was hired through word of mouth in order to contain costs. The female staff has occupied the lower positions in the company whereas male staff has occupied higher positions and lower staff members are being invested in and encouraged to come up and occupy higher positions as well.