Honda Motor Company Internal Organization - Report Example

ORGANIZATION: HONDA MOTOR COMPANY Student Name/Number: Date: 1. Table of Contents 2.Introduction 1 2.0How Human Resource Management performs a key function in the strategic management of Honda Company and contributes to the organization’s optimum business performance 1 2.1 Human Resource Management Strategic Plan 2 3.0 How Human Resource Management can enable the Honda Company to achieve its strategic objectives by structuring the organization through planning, policies, practices and job design 4 3.1 Planning 4 3.2 Policies, Practices and Job Design 4 4.0 How the organization’s philosophies, structures and strategies can be applied in the workplace through appropriate recruitment, and induction programs 5 4.1 Recruitment and selection of personnel 6 5.0 How training needs are assessed and developed and how future management potential is identified 6 5.1 Training and Development 6 5.2 Developing Global Management Potential 7 6.0 How the performance of an employee can be appraised and evaluated and how performance can be enhanced and managed 9 6.1 Performance Appraisal and evaluation 9 6.2 Enhancing and Managing Employee Performance 9 7.0 HR workplace issues that has affected the Honda’s strategic goals and how it was addressed and the outcome of action taken 9 Conclusion 10 References 11 2. Introduction Honda Motors Company is a Japanese multinational corporation known for manufacture of automobiles and motorcycles. It is a public company that was found on 24th September 1948 by Soichiro Honda Takio Fujisawa. The headquarters of the company is in Tokyo – the capital of Japan. Other subsidiary companies of Honda Motor Company are Honda Aircraft Company and Acura. The company has employed an estimated 181, 876 people across the world. The company produces automobiles – such as CIVIC, trucks – such as Ridgeline, All Terrain Vehicles, scooters – such as SW-T600, motorcycles (CBR) and also private jets (FAA). Apart from automobiles and motorcycles, the company also produces electrical generators, marine engines, and do it yourself (DIY) kits (Honda, 2017). The HR Management of the company involves coordination and overseeing work activities to efficiently and effectively meet organizational goals. Honda has its presence in Japan, North America, South America, China, Asia and Oceania. 2.0 How Human Resource Management performs a key function in the strategic management of Honda Company and contributes to the organization’s optimum business performance Human Resource Management means employing personnel, developing their resources, utilizing, maintaining and meeting the compensation of their services in tune with the job demands and organizational requirements (Lee, 2013). There are specific instructions provided for the Human Resource Managing Department at Honda to pick on the best possible workers. The objective of the managers at the Human Resource is to build a relationship in which workers work with managers, rather than working for the managers. The managers assume that if the workers are happy, then the production of the company will increase. Figure 1 below shows the global Honda HR management chart. Figure 1: The global Honda HR management chart (Source: Honda, 2017). 2.1 Human Resource Management Strategic Plan Honda’s goal is to maintain global presence by supply of high quality products at reasonable prices to satisfy customer needs worldwide. In order to realize this goal, the company is pushing for a Global Human Resource Management Approach. With this approach, development and assignment of global personnel is facilitated. The personnel are involved in planning, designing and developing quality products that are reflective of the real market demand. In more precise terms, regional operation bases are being managed by local associates, instead of traditional Japanese expatriates. The approach (illustrated in figure 2) to employ local associates who are more familiar with the trends in the region is meant to diversify and localize the company’s workforce in order to stay in a position of being able to promptly and flexibly address changes in the market. Figure 2: Global Human Resource Management strategy (Source: Honda, 2017). To achieve optimum performance, there are three principles of personnel management that are put into practice. These are initiative, quality and mutual trust. The Human Resource Management follows the three principles in areas such as recruitment of personnel, on job training, assignment, utilization, and evaluation and treatment (Honda, 2017). The managers create an environment where worker can actively exercise their individual potential. 3.0 How Human Resource Management can enable the Honda Company to achieve its strategic objectives by structuring the organization through planning, policies, practices and job design Honda involves its staff in developing both product and business plans, setting objectives and formulating ways to meet these objectives. Proper Human Resource Management is the key to success to most large corporations. Managing personnel involves balancing between their aspirations with the goals and objectives of the company (Thakur, et al., 1997). Honda’s goal is to supply high quality products to the global market at affordable costs, gain market share through global recognition and make profits. The Human Resource can help the company achieve these objectives by mobilizing their employees through planning, policies, practices and job design to ensure that Honda prospers. 3.1 Planning The success of any organization is dependent on skills, level of creativity and dedication of the human resource (Rao, 2008). Therefore, the Human Resource Department at Honda requires proper planning to ensure that the company has the right workforce in the right jobs as the company continues to grow on the global economy. Proper planning will assure adequate staff in all departments of the company, match personnel skills to current needs of the company, building business ethics, and employing team players who are ready for advancement (Jurevicius, 2016). Having a workforce with skills, experience, dedication and spirit of teamwork will ensure that the company achieves its strategic objectives and compete effectively with other multinational companies. 3.2 Policies, Practices and Job Design Organizations have different policies and practices to ensure that their workforce get opportunities to develop their skills. For example, at Honda, there is personnel education based on on-the-job training. To facilitate this practice, the resource managers at Honda have established systemized contents as well as levels of skills and knowledge required for every job design and area of expertise (Honda, 2017). In addition to this, tailored training programs have been provided for each region - taking into account the needs and conditions of these regions. The basic policy for management of personnel is respect for individual – which entails three elements of equality, initiative and trust. Figure 3: The three elements of respect (Source: Honda, 2017). 4.0 How the organization’s philosophies, structures and strategies can be applied in the workplace through appropriate recruitment, and induction programs Starting from Honda Philosophy, core values and competency, the company aims to share its values with Honda Group associates by recruiting personnel who best fits the roles at Honda Company. 4.1 Recruitment and selection of personnel After the application process, the Human Resource at Honda reviews each individual’s CV and match their skills and level of experience with the vacancies that need to be filled. If an applicant is successful, he/she is invited for an interview – this where the mangers at the Resource Department get to know the applicant. The next step is assessment, where the potential employee gets to meet part of the team and takes a tour around the production facility to familiarize with Honda manufacturing technologies. An appraisal is designed to measure employee’s knowledge and skills, attitude and behavior. Potential employees may be required to complete some aptitude tasks or psychometric tests, depending on the job position in which they are recruited for. The recruited personnel begin their career with Honda through an induction program by spending four weeks on the company’s production line to know what it involves to build Honda cars and how they will play their new role. At Honda, they call this “Genba training” (Honda, 2017). Through the training program, the Honda Philosophy is passed on as part of level-specific training allover the globe. The entire recrutment process ensures that resource managers select the best “fit to Honda” for both the company and the indivudual. 5.0 How training needs are assessed and developed and how future management potential is identified 5.1 Training and Development Honda employs the “on-the-job training” (OJT) approach to educate and develop their personel – especially in building specialized knowledge and skills and profesional capacities through direct experience. Each job description has its own established area of training programs for effective OJT. There are three principal OJT programs developed by Honda: Self-improvement training for career deveolpment; work performance training for skill development; and management leadership training for management training. These three programs provide an opportunity to know the level of expertise as well as the control capabilities of each associate in Honda production line. The OJT programs also serve as assessment centers to know if further personel training and development is required. Such assessment centers provide the ground for evaluation of leadership potential and hiring personnel (Honda, 2017). In addition to the OJT programs, Honda also provides “off-the-job training” (Off-JT) which are designed to help their personel to improve their careers by developing and mastering specialized skills or high management capabilities (Honda, 2017). The training programs are specific to the level of the associates and involve specialized training for each level and job description. Management leadership training programs provide an opportunity to identify management potential of the associates for different departments of the company. This is in line with Honda Philosophy, which encourgaes management training for acquisition of quality training and new qualifications. Honda has also introduced human resources evaluation programs to its six Regional Operations. These programs are region-specific – taking into account the needs and conditions of these regions. For instance, in Japan, empahasis is on the two-way communication with managers and supervisors in development and evaluation of associates. All associates have a minimum of three interviews with their supervisors every year. The first interview is held in April, where associates develop a clear vision of where they want to move in future through the advice offered by their supervisors. They then embark on their individual roles in line with the goals of the organization for a particular fiscal year (Honda, 2017). The other two interviews are held in June and December,where the supervisors get an opportunity to evaluate the performance of their associates preceding the six months. The strengths and weaknesses of the assessment outcome are shared to faciliate discussions of subjects such as future career directions and objectives. These intervies pave the way for identifying training needs and further development of associates’ skills. 5.2 Developing Global Management Potential As part of initiative to develop global leaders, the motor company offers training to associates selected from Honda operation bases allover the globe, including Japan. This is to prepare the associates for future managerial roles at Honda. In 2012, a complementary program called the Honda Executive Advanced Development School (HEADS) was lauched. The program combines both Off-JT and an activity to formulate plans for resolution of management issues in a cross-functional environment (Rothfeder, 2014). 6.0 How the performance of an employee can be appraised and evaluated and how performance can be enhanced and managed 6.1 Performance Appraisal and evaluation For any organization to achive its goals, it requires dedication from employees. To asses if an a employee has given their best peformanc in their capacity, it is necessary to carry out performace appraisal. This is one of the fundamental tasks of the human resource managers (Bigelow, 2017). At Honda, performance review of employees is done to improve communication, provide a career guide, encourage the workers, and improve decision-making ability. Evaluation of personnel is done through interviews that between associates and their supervisirs. Through this interviews, the supervisor is able to evaluate the performance of the workes over the prevous period and set new objectives or take a corrective action in line with the company’s short term and long-term goals. 6.2 Enhancing and Managing Employee Performance Employee performance is improved throgh education and level-specific training. This enables the employs to acquire new skills and develop manegerial capabilities in their varous departmants. Honda treats its employees as the gretest asset of the company. The resource management has created a better environment for employees, attracting specialists and providing a motivation in the best way possible. Employee motivation is one of the objectives of the Honda Resource Management team. Through motivation, workers have the drive to learn and there is no fear of failure. 7.0 HR workplace issues that has affected the Honda’s strategic goals and how it was addressed and the outcome of action taken According to The Guardian (2010), workers of Honda Motors in Souther China went on strike in May 2010 demanding for pay rise and good working conditons. The strike just came afew days after Honda resumed its production at Foshan Fenghu Autoparts that had stalled due to a three-day strike at the facility. A part from increase in wages and improvemwnt of working conditions, the workers also had a problem with the worker’s union where they accused the union of siding with the management, rather than representing their interests. This created a problem with the Honda HR management. After about two weeks of disruption, the Honda management offered to increase workers wages and this action saw the strike resolved (Martín, 2010). Conclusion Human Resource plays a key role in the success of any organization. The HR team should be strategic in harnessing human potential to help the company realize its goals. This is achived by connecting the organizational goals to ploicies, procedures, services and programs that are in line with the organization’s short term and long term objectives. Recrutment of the right peoeple and performance apraissals and evaluations ensure that the organization’s employess reamain focused on achieving the goals set by an organization. At Honda, the HR programs and policies are region-specific due to variation of needs and conditions. Based on the principles of initiative, quality and trust, HR management at Honda provides its employees with equal opportunities to explore their potential regardless of their personal factors. I would solve this kind of a problem by improving the work environment and introducing motivational programs. References Read More