Abstract Human Resource Models and Application to an Organisation - Research Paper Example

HR MODELS AND APPLICATION TO AN ORGANISATION By Introduction No two companies exhibit the same management procedure. Even cartels or Multinational Corporation under the same name always have variations in factors that make them be managed differently. This is because no two places have the same needs and therefore the business must be met under the respective circumstances. These different management models are derived from the theoretical human resource (HR) models that tend to be applicable to the practical running of these companies (Kumar, 2010, p. 54). According to Marchington and Wilkinson (2005), MR models are many and diverse. They refer to a method used by companies to keep jujst the right number of employees with the right qualifications so that the companies are able to run effectivelyaccording to the strategic objectives it has. The models are made up of three important elements; prediction of the company needs, analysis of the demand vesus supply of the company and learning on the ability to balance supply and demand (Kumar, 2010, p. 11). This paper seeks therefore to establish whether the abstract models are applicable to organizations. In light of this, it will make an analysis of two business models and then see how the contents are applicable to the chosen company. Review of HR Abstract Models In an overview of the model elements, it is necessary that the functions of the three elements are checked to later determine if they are practicable to the organizations in focus. In forecasting the staffing needs for instance, there will be need to consider the state of the economy, the internal status of the business, examination of the current state of employees and then examination of the expected turnover as far as the company is concerned (Ashkezari & Aeen, 2012, p. 67). In evaluation of supply, there is consideration of the internal needs as well as the available external demographics. These will be correlated on the basic fact that there can be a good employee out there while on the inside, there is a non-productive employee. The last element deciphers to look at the ability to balance the supply and demand of the employees so that the company works from an optimum to maximum level in terms of profits realized (Barbara, 2006, p. 10). A review of the two models will therefore create an understanding of the applicability of the three elements above and whether it is practical to apply to real life situations in companies. Model 1: Competency Based Model Mission/Strategy Results This model is based on the fact that there is a link between the HR and the strategies of a company (Heneman & Greenberger, 2002, p. 186). The identification of competency is based on observable ability, the knowledge and skills, the ability to have the motivation to work independently as well as nurturing work ethics. At initial levels of planning, there is the entrance of the company strategies to the human resource department (Budhwar & Debrah, 2004, p. 76). This is measured against the capacity to achieve the given company objectives. All the activities done at the human resource level are clearly related to the company strategies (Edwards, Scott, & Raju, 2003, p. 513). This model is dependent on the fact that there are many competencies that are required. At the entrance level, there is a connection of the talent search to the model and is made to venture into the company through the selection and recruitment. The recruitment is only based on talent and ability (Jaana, 2011, p. 101). It is therefore assumed that all the workers that are going to be hired are very qualified to easily discharge all the duties they are being hired for. Any disconnection between the ability and the work available is taken care of by training. The desire and proposal for training is done through an assessment program as seen on the model. When this happens, the employees are able to acquire all the skills that are required in discharging their duties as an employee (Heneman & Greenberger, 2002, p. 90). Strictly one thing still remains here, that there has to be a high level of qualification in any field being hired for. Since there was supposed to be identification of the skills that are able to be used in the company, the talent is matched to the performance needs. The training therefore is supposed to maintain a performance management that produces from optimum to a maximum high (Fischer & Albuquerque, 2005, p. 32). Performance management is another issue in this model, at the middle level of performance, there is supposed to be a high level maximization of the abilities of the employee being hired. Performance management is a way used to maximise the performance of the workers through motivational methods. The methods may also take the form of a reward system that helps upgrade the motivational level so that the workers are able to create a good account of the work they are doing (Elvira & Dávila, 2005, p. 130). At this level, there challenges that crop up such as eruption of ethical dilemmas are taken care of and the workers made to work harder and accurately. It is noted that this is a time in the life if an employee that nears the end of the career. What is therefore important is the fact there have to be positive results at the end of every analytical accounting period. Model 2: The Business Paramount Model Effective strategy is subject to so many contingencies. This model is used mostly in conglomerate companies that do not require strategic methods to carry out the management practices (Shermon, 2004, p. 131). This is because each branch always has its own organizational design. The corporate structure is decentralized and much as it appears on paper as abstract, it is seen to contain very basic procedures in the implementation of a given human resources strategy. Since there are no specific tasks to be done here, this model survives on the basis of two tasks. There are corporate plans that are fed by a system of planned units in the business. There is also no department specifically put together for the sake of strategic planning. However, the planning is done from a collection of executives from the management units in the company (Edwards, Scott, & Raju, 2003, p. 18). All the processes from the scanning of the environment, assessment of the situational problem, setting of goals and objectives as well as development is done by the collection of management professionals from the different management units (Deckop, 2006, p. 09). However, at the strategic implementation stage, there is a breakdown of the functions depending on the departments. The changes may take the forms of changes in the company structure, culture, leadership, reward systems which is done specifically at the human resource department. Results are evaluated first at departmental level and then at company level to ascertain whether the objectives are met or not (Cornelius, 2001, p. 13). After the top management has made the analysis of the situation, there is what HR managers call ‘mid-course training and corrections’. The creations of this model based it on the fact that it is able to measure the given objectives within a given time frame as well as against the given competency (Dean, 2003, p. 67). Application to an Organization The focus company at this level that is going to give a proof about whether the abstract HR models do work in real life is Coca-Cola. HR management of Coca-Cola Company is well developed. However, it is not uniform in all the countries of operation (Rezvi, 2010, p. 34). In Pakistan for instance, Mahmoud Waqar, the chief executive of HR says that all the regions have their own ways of operation and there is no uniformity in the way the company runs its affairs. Contingency matters are handled as such (Cooke, 2003, p. 88). This is directly relative to the paramount model in which there is usually no conventional method of carrying out management roles. Job analysis, design, recruitment, training and all the other HR activities are carried out depending on the prevailing circumstances and not depended on the proposals from the headquarters in the USA. The same is not done in the USA where the strategies are supposed to be followed first and all the other procedures follow suit. This is applicable to the competency model of HR (Firm, 2002, p. 91). In job analysis and design, the company checks its own specifications about the job description. This is measured against the goals and strategies set foe any given market. They analyse the behaviour of the employee to be taken to the position, their performance standard (OSullivan, 2008, p. 186). This information is used for recruiting, compensation as well as training for job appraisal. In consideration of the first model (competency), all these are looked at in reference to the contents of this model. The paramount model is not directly applicable at this point of competence but the stage of strategic development makes sure that the company is able to meet its goals although independent of the entire goals of the whole business empire. The recruitment process at Coca-Cola Company takes several steps and includes a group of professional consultants and HR team. The interview has one on one procedural interview, presentations, group exercises, stoichiometric tests and role plays. These are supposed to make sure that the most compet5ent personality is obtained for the job advertised. The competency model is equally applicable at this point (Tung, 2001, p. 23). After interview, the company moves to the next stage of training the recruits. In the competent model, this is a pertinent issue (professional development) while in the paramount model, it is a step of necessity towards strategic development. These two are applicable at this stage of human resource at the Coca-Cola Company (Firm, 2002, p. 90). Appraisal of performance is a procedure that follows and in this case, there is a direct relationship to the rewards and compensation as realized. The process of appraisal at the company is dependent on the employee performance in relationship with the company’s goals. This is an entry level to the competency where all the processes must be related to strategy as well as the end goals of the company (the results). This stage also makes an addition to the compensation of the employees at the Coca-Cola Company which takes the forms of bonus, medical facilities pick and drop services as well as an attractive basic salary. All these are weighed against the performance of the employees. Compensation as described in the competency model is exactly the same as the one described at this company (OSullivan, 2008, p. 187). In fact, in both cases, we stress on perfection which is the only unachievable part of competency model. Compensation is however not directly mentioned in paramount model but the last step in which there is evaluation of results makes it a point of consideration. Conclusion HR models in their abstract form and high diversity are well endowed with the need to create real businesses work. In this level of dependence of issues it is therefore clear that there are direct relationships between the models and the real organizations (Rezvi, 2010, p. 44). Looking back at the three elements highlighted in the models; prediction of the company needs, demand analysis and balancing the demand and supply, it is clear that all these things happen in companies in their reality. This paper has evaluated the facts related to real companies and HR models. In the same context, the paper has introduced the concept of HR models by definition. It then made a review of the models to make clear the meaning of each of the models. The first model which is competency model was evaluated followed by the second model, the paramount model. An application of the two models was made to the HR case at Coca-Cola company was made to verify the fact that the models are applicable to real life. It is therefore clear that the models are directly applicable to real life running of companies since in their diversity; they cover all companies (Shermon, 2004, p. 33). References Ashkezari, M. J., & Aeen, M. N. (2012). Using Competency Models to Improve HRM. Ideal Type of Management, 1(1), 59-68. Barbara, R. (2006). Can Business Ethics Be Trained? A Study of the Ethical Decision-Making Process in Business Students. Journal of Business Ethics, 68( 2), 153-164. Budhwar, P. S., & Debrah, Y. A. (2004). Human Resource Management In Developing Countries. Washington: Routledge. Cooke, W. N. (2003). 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Retrieved 3 29, 2013, from BBC: http://www.scribd.com/doc/30840330/HR-planning-process-in-Cocacola-Bangladesh Shermon, G. (2004). Competency Based Hrm. London: Tata McGraw-Hill Education. Tung, R. L. (2001). Learning from world class companies, Coca-Cola. New York: Cengage Learning EMEA. Read More