Human Resources in Blue Sky Company - Case Study Example

Executive Summary The purpose of the report is to attempt to analyse the strategies that can be used by Blue Skies in a bid to establish the areas where there is need to implement changes especially with regards to human resources management with the aim of motivating the people in times of uncertainty as a way of mitigating the adverse impacts on performance. The report will try to evaluate the operations of the organisation and its current initiative to streamline its operations to meet its drive to expand to other areas across Europe apart from the UK alone. The paper starts by highlighting the core business of the firm that has led it to transform its operations to incorporate global markets. The report also attempts to suggest the best possible way of fully utilizing the services of the employees of Blue Skies in taking a leading role in this change initiative without compromising the integrity of the organisation. Finally, an assessment of the organisational implications of Blue Skies change strategy will be discussed particularly on the kind of structure, culture, and systems that are necessary to make it work as well as giving the recommendations on the action plan that can be implemented. Introduction In view of the changes being proposed at Blue Skies, this report attempts to suggest and establish the best way the organisation can effectively utilize the employees as well as recommending a suitable human resource management strategy that can be used to manage and empower the human resources at the organisation. The “Blue Skies” advertising agency was founded in the UK in 1987 by two friends who studied together at University. Over the years the agency has grown and has received recognition within the industry for its innovation and creativity, particularly in the use of information technology. Therefore, it has underscored to become an international company with offices across the globe with a reputation for being innovative as well as a renowned company for attracting and retaining talented workers. However, this initiative has redefined its performance history as well as its operations. This led to the resignation of two managers, loss of two accounts as well as some form of resistance that has led to poor performance among employees. Thus, the major aim of this report is to suggest strategies that can be adopted and give a critical analysis of the best structure, culture, and systems that are necessary to make it work. A reflection about the action plan for implementation and recommendations would be given at the end of the analysis. Aspect of individual attributes and behaviour The concept of individual attributes is mainly determined by our perceptions about other people. There is a tendency by people to observe others in an attempt to develop explanations about why they behave in certain ways. Our perceptions and judgment of a person’s action therefore is significantly influenced by the attribution theory. According to Robins S.P., Odendaal A.& Roodt G. (2001), the attribution theory seeks to develop the ways in which we judge people differently depending on the meaning we attribute to their behaviour and is influenced by both internal and external factors. The determination of individual attributes largely depends on three factors namely: distinctiveness, consensus and consistency. Distinctiveness refers to behaviour that is recurrent about an individual such as always coming late to work thereby triggering discontent among the other core workers (Robins S.P., Odendaal A.& Roodt G. 2001). Both internal as well as external attribution can be attributed to this kind of behaviour. In the event that everyone who is faced with this situation responds the same way, then there would be consensus in this kind of behaviour where it will trigger discontent among the other co-workers. Consistency is concerned with establishing if the same individual behaves the same every time such as coming to work late everyday. Internally caused behaviours are those that are believed to be under the person’s control such as coming late to work which can be attributed to oversleeping. On the other hand, externally caused behaviour can be attributed to outside causes where a person is forced into a situation beyond his control. These attributes have a bearing on the way a person behaves in the workplace. Basically, individual behaviour is mainly influenced by attitude of a person which is a reflection about how that person feels. Thus, a combination of attributes and attitude greatly contributes to the way a person behaves in the workplace. The behaviour can be influenced by both external and internal factors but in most cases, the organisational culture plays a big role in influencing the behaviour of individuals. Teamwork in an organisation The process of team formation is influenced by different factors. Basically, the process begins by identifying multiple skills among the workers who can play a vital role in ensuring meaningful contribution towards work. This process also involves identifying people with experience and skills in a bid to effectively utilize employee talents. According to Robbins et al (2001), teamwork is where individuals participating collectively, work together towards the attainment of certain goals as well as objectives within a given organisation. Real learning which forms the basis of teamwork takes place in teams where team members learn from each other, learn from their achievements and mistakes, and continuously learn to optimise their efforts and contribution towards the achievement of organisational goals. From this assertion, it can be noted that the underlying principle towards the success of teamwork is sharing of ideas and the willingness to learn from other team members among the team. However, this may be difficult to achieve with regards to the increased use of IT. The advent of new information and communication technology has made it possible for people to work from anywhere without necessarily being in close contact. In this scenario, the essence of teamwork is corroded which may be the case with Blue Skies. There are mainly four different types of teams namely: problem solving teams, self managed teams, cross functional teams and virtual teams. In problem solving teams, members share ideas or offer suggestions on how work process and methods can be improved (Robbins et al 2001). As the term suggests, self managed teams comprise of skilled permanent members who have an identified task to perform within a defined boundary. Cross functional teams are made up of people from the same hierarchical level but working in different departments who can come together to accomplish a task. The virtual team can perform any function and this is all encompassing where different stakeholders can meaningfully contribute as members of a team. Organisational structure An organisational structure defines how job tasks are formally divided, grouped and coordinated (Robbins, Odendaal & Roodt 2001). Whilst there are different types of organisational structures, a flat structure with decentralised features is likely to be more effective and ideal in the case of Blue Skies where it is embarking on implementing some changes that are likely to affect its operations. In a decentralized organisation, action can be taken more quickly to solve problems and more people would provide input to decision making and the employees are likely to feel less alienated from those who make decisions that affect their daily operations at work. Adaptive organisational forms which emphasize the flexibility to adapt to change can enhance better performance while bureaucratic structures will inhibit it (Kleynhans 2007). There ought to be open channels of communication where there is free flow of information and the employees should take a role in contributing towards decision making as a way of creating a sense of belongingness. The system to be employed ought to be accommodative to a diverse range of cultures in view different cultures that distinguish people across the globe. It is imperative for any organisation seeking to establish business in a foreign land to take into consideration the value system of the local people and its employees. In their quest to find solutions, members of the organisation ought to engage in collective learning that creates norms, shared assumptions and beliefs that become organisational culture. An organizational culture is created by the members who learn and gain experience of doing things from those around them in a given situation. To enhance an organisation’s cohesion, it is imperative to create a culture that promotes innovative ways of identifying a problem and finding a solution (Locke and Kirkpatrick, 1995). Thus, open communication between members of Blue Skies should be built on the basis of creating mutual trust and an atmosphere of respect. Brand (1998), posits to the effect that innovative and supportive culture will encourage better performance and cohesion while controlling and directive culture will hamper it. Performance can be effective where organisational culture can integrate with individual’s values, perceptions and capabilities in the workplace. Relationship between concepts of management and leadership The concepts of management and leadership are often confused in several ways. Thus, according to Kleynhans et al (2006), management is about coping with complexity to achieve organisational goals. In this particular case, managers ought to be good at planning, organising and making decisions and they should be able to analyse situations and find solutions to the problems that may exist. On the other hand, leadership is defined as the ability to influence a group of people towards the achievement of organisational goals (Robins S.P., Odendaal A.& Roodt G. 2001). Basically, leadership is concerned with the vision of the organisation while management is concerned with the practical implementation of that vision. It should be noted that leading is a function of management hence the two are somehow related. A leader instigates change and a manager implements and manages change. In the case of Blue Skies, both the management and leadership ought to work hand in hand in order to achieve the vision of the organisation which has underscored to expand its operations. Another relationship between management and leadership is that a leader takes a leading role in developing and inspiring staff while the manager supervises staff. The aim would be the same, to achieve organisational goals. Basically, leadership and management are related somehow though they are often regarded as the same. Democratic, participatory leadership style can enhance positive performance of the subordinates if they are given high levels of autonomy. In this regard, the leaders must communicate a vision that is conducive to their operations and can encourage subordinates to find solutions to problems in an innovative way. It can be said that leaders who tend to be empowering individuals in decision making or solving problems in their own way, supporting them to develop autonomy, but still providing help or advice to subordinates are more likely to produce better performance standards. Conflict A conflict is an active disagreement between people with different opinions, values or interests (Kleynhans 2007). There are different sources of conflict in an organisation but their impacts in most cases have far reaching consequences with regards to performance of the employees. For instance conflict can arise as a result of the disgruntlement of employees over poor working conditions or low remuneration. A decision to change the structure and operations of an organisation is one other major sources of conflict. Whether for the betterment of the company or otherwise, change is one aspect which is often treated with suspicion by the employees. Whilst the change strategy advocated by Blue Skies is a noble idea in response to its expansion, it may be problematic to convince the employees about the benefits that would be brought about by that particular change. As a consequence in this case, the partners have noticed that there has been a change in morale and performance has been adversely affected. Where there is a conflict, performance is likely to be negatively affected which can result in decline of business. Most of the workers would be skeptical about any development that would bring about changes in the operations of the organisation for fear of various reasons. The old employees in the company may have been used to the traditional way of conducting business which can be a bit challenging for them to adapt to the new changes with regards to the new system of operation within a short space of time. This is one of the major obstacles likely to be encountered in the change strategy by Blue Skies. Another constraint likely to be encountered in this case is resistance to change that may result in sabotage in the event that there is lack of understanding among the employees. If the employees are not happy with the new initiative, it can be difficult for them to support it. A strategy that does not have the support of the people who are intended to play major roles is likely to face challenges in its implementation which can result in poor performance contrary to what would be anticipated in the first place. Another likely implication of conflict in the organisation is staff turnover. If the current situation existing at Blue Skies is left unattended to for a long time, the result would be staff turnover which is defines as, “the amount of time a worker spends with an organisation from the first day at the new job to the last,” (Kleynhans et al 2007). Thus employee turnover can be measured by the time employees stay with an organisation. Research has shown that the lion’s share of staff turnover is a result of dissatisfied workers leaving the organisation and it has been noted that this can be avoided if the organisation embarks on fair practices that are likely to motivate the workers to continue serving it. Recommendations-Motivation It is recommended that the management should constantly review the needs of the employees. For the workers to be fully productive, they ought to be motivated such that they would develop a positive sense of belonging to the organisation rather than just treated as workers who have no needs. The success of an organisation is usually dependant on the production by the workers. In the above case study, workers at Blue Skies are not motivated as a result of new changes taking place. The managers as well resign because they do not see themselves as very important to the organisation by virtue of making decisions. Somebody who is motivated would feel to be part of the organisation hence he would put more effort in his performance as a way of cooperating with other co workers towards the attainment of the organisational goals. Most importantly, the management should be in a position to constantly review the grievances of the workers so as to be able to take necessary action should the need arise. Leadership It is highly recommended that managers should lead by example. Indeed, they are the ones who set the pace and tone of how the organisation ought to operate and any mistake would be costly to them. Therefore, it would be recommended for management to set the tone for operations where there would be mutual understanding based on respect of authority within an organisation. Accordingly, behaviour of the manager greatly influences leadership styles (Carrell, R. et al 1995). Need for open communication channels It is also recommended that Blue Skies should attempt to put structures in place that clearly define the communication channels and they should be open. Communication is very important in an organisation and there should be a two way communication channel where there is feedback from both ends. Without feedback, it would be difficult for both the management and other employees to understand each other. In some cases, lack of information would tend to complicate otherwise simple situations which would just require the dissemination of correct information like the case of Blue Skies. There should also be structures that allow the bottom to top communication to take place in a professional manner unlike an informal set up without formal procedures. References Bates B. et al (2005), Business Management, fresh perspectives, Pearson Ltd Brand, A., 1998, Knowledge management and innovation at 3M, Journal of knowledge management, Vol. 2 No.1 Carrell, R. et al (1995). Human Resources Management: Global Strategies for managing a diverse workforce. 5th Edition. NY. Prentice Hall. Jackson, S.E. & Schuler R. (2000). Managing Human Resources: A Partnership Perspective. NY. South Western College Publishing. Kleynhans R. et al (2007), Human Resource Management: fresh perspectives, Prentice Hall SA Locke, E. A. and Kirkpatrick, S. A., (1995). Promoting creativity in organizations. London. Thousand Oaks: Sage Publications. Pfeffer J. (1998). The Human equation: Building profits by putting people first. Boston MA: Harvard Business School Press. Robinson W (1997), Strategic Management and Information Systems, 2nd Edition, Prentice Hall, UK Robins S.P., Odendaal A.& Roodt G. (2001), Organisational Behaviour, Pearson Education Susan EJ & Randal S (2000), Managing Human Resources: A Partnership Perspective, South Western College Publishing. Read More