Understanding Organizations and the Role of HR - Assignment Example

Activity A: UNDERSTANDING ORGANIZATIONS AND THE ROLE OF HR Schlumberger Middle East is part of Schlumberger Limited which is the world’s largest oilfield services corporation in the world. The company provides the petroleum industry companies in the Middle East with services such as well testing and directional drilling, artificial lifts, well cementing and simulation, well consulting and completions, coiled tubing, seismic services, sand control as well business solutions using software and information management (Bohlander et al. 167). The business solution services that the company provides to oil and gas companies include water services which aim at making sustainable water a reality, geothermal services, carbon services and business consulting which helps businesses in achieving sustainable performance. The company has been able to achieve all these amid a background of challenges in the industry. The company invests heavily in research and development because developing innovative technology is what adds value to the customers. This is in line also with the goal of the company of being the leader in supply of technology to the upstream gas and oil industry (Jackson 57). The company has been able to achieve this even with the industry challenges such as heavy oil which requires twice the resources needed for conventional oil, the complex environment of operating in deepwater, unconventional gas becoming accessible and real time enabled products that have improved decision making. The external factors and their impact on the business activities These factors are: Heavy oil. Complex environment of operating in deepwater. Unconventional gas becoming available. Real time products and services. Heavy oil The importance of heavy oil has caused many in the oil industry to expand their plans judging by the many operators who are involved though the challenge of heavy oil drilling lies in getting the oil out of the ground. The technologies used for drilling conventional oil are limited for this type of viscous oil and this means that the resources required are double those used for conventional oil. This is a huge expense because the company has to use a lot of its resources to accommodate this. Complex environment of operating in deepwater Deepwater drilling has logistical as well as technical challenges that need to be properly managed. A well articulated strategy that ensures safety, maximizes on production, improves efficiency and reduces the time spent under the water is necessary which involves people, processes and technology. Unconventional gas becoming reality The notion that petroleum products are contributing to global warming have made gases such as coalbed methane, shale gas, gas hydrates have become economically viable. These alternative gases have become environmentally acceptable as alternative energy sources. The company has also to venture into production of these alternative sources. Real time products and services Real time operations have facilitated predictions about problems in the competitive oil and gas industry in an instant manner and this information is used to provide informed decisions (Schlumberger). Schlumberger has combined advanced processes and technologies which provide operations in real time. This has facilitated quick responses when problems occur. Structure and function of the organization The operations of the company are directed by an executive management team which directs the operations of Schlumberger limited around the world. The Middle East region is run by a president who is responsible for the company operations in this region. The company though is headed by a CEO and chairman based in America. This structure enables the company perform its core competencies of operations, technologies, drilling and reservoir production, engineering, fluids management and supply chain solutions even better. The organizations main functional areas are: Engineering and manufacturing. Fluids management. Technologies. Drilling. These functional areas are what have made the company to be in existence because the services offered by this company are base don these four functional areas. All these functions when integrated they are able to function optimally because even though they are independent they are not exclusive and so one function cannot function optimally without the other. Organization culture Schlumberger Middle East is committed to providing services that optimize the performance of the customers based on the values that focus on people, profits and technology. The code of ethics is applicable to everyone without prejudice and this creates professionalism and fairness (Schlumberger). This commitment to customers is what makes the organization to do business in a manner that is transparent and this has enabled the organization attract and maintain customers. The organization values its employees because their service is what has earned the company a good reputation all over the world. Activity B: Report supporting the retention of the HR and LD functions in Schlumberger Middle East Introduction Human resource is the largest resource in any organization not only in terms of numbers but also in terms of their contribution to the organization. Managing this human capital is complex and so utmost care should be undertaken where this function is concerned. This function adds value to the organization by encouraging employees to prove their worth by converting hired individuals into strategic business partners. HR and LD enable this organization to perform its core competencies in a manner that is efficient because of placing individuals in places that they will produce optimally. Role of the human resource and labor distribution section in Schlumberger Middle East The HR& LD department in this organization plays a very significant and vital role to this organization. This is because this section performs the following functions in this organization which have helped this organization to provide excellent services to its customers. The function of recruiting performed by this section empowers this department to recruit the best suitable candidates for positions in this organization which goes beyond academic qualification but looks at other factors such as experience, talents and also identifies the present and future needs of the organization (Mathis 160) Through the labor and distribution the HR is able to identify the areas that lack sufficient knowledge and provide remedial measures to address the issue. The section is responsible for ensuring that the employees of the company benefit from workshops which are designed to sharpen and increase their knowledge in their areas of expertise (Mathis 258). This section is also responsible for ensuring that the employees give their optimum to the company through the evaluation criteria such as performance contracts and this ensures that the company does not loose money by paying people who are actually not working. This section is also responsible for ensuring that the work environment is cordial because it is this department that is responsible for disciplinary measures in the workplace. The human resource function is responsible for generating a platform for which employees can express their goals and objectives by providing them with the necessary measures and workshops. The above mentioned roles underscore the importance of this section to the overall wellbeing and success of this organization. The human resource section of this organization helps in the management strategy which focuses on maximizing the return on investment in the organizations human capital and minimizes the financial risk (Daft 380). Support of HR and LD professionals to line managers and their staff Human resource professionals act as strategic partners and this helps in achieving the overall goal of the organization (Dessler 10). They are able to do this because they are normally very involved in the design of formal training programs. HR professionals take the responsibility of identifying the objectives to be achieved in training by choosing appropriate training activities using the given objectives. The HR professionals cooperate with line managers in recognizing the implications of business plans for training and development (Bohlander 38). They do this by recruiting and placing the people with the necessary skills line managers require and need at a particular time. HR professionals work with employees to identify and determine their future training needs. HR professionals train line managers in how to socialize and develop employees. By giving those skills that will enable get the optimum from the employees that are directly under them. They provide communication to the line mangers regarding the opportunities for training and development. HR professionals provide support by conducting a task needs analysis. By doing this they are able to identify the specific skills and knowledge needed to perform certain tasks required by the job. By doing this the tasks analysis is able to reveal if there is the need to train employees. Conducting a person needs analysis identifies the gaps in an individual’s competencies. This approach is used to determine future training needs for a current job. Conclusion The functions that the HR and LD perform to this organization are immense and cannot therefore be relegated. Doing away with this section will hurt the organization tremendously because this organization is dependent on the existing human capital present. Without proper recruitment good employees will not be hired and the financial impact that this will cost the organization a great deal. Labor distribution cannot be removed from an organization because it is this function of human resource that is responsible for matching skills, experience and competencies to a particular job position in the organization. Works cited Bohlander, George and Snell, Scot. Managing human resources. London: Cengage learning, 2009. Daft, Richard. Management. London:Cengage learning, 2007. Dessler, Gary. Human resource management. New York: prentice hall, 2004. Jackson, Susan E., Schuler R.S and Werner S. Managing human resources. London: Cengage learning, 2008. Mathis, Robert and Jackson, John. Human resource management. London: Thompson learning, 2007. Schlumberger, About Schlumberger, 2011 available on http://www.slb.com/about.aspx accessed on January 21, 2011. Read More