Human Resource Development - Australian Market - Case Study Example

Human Resource Development Plan Name: Course: Tutor: Institution: Date: Table of Contents Table of Contents 2 1.0 Introduction 3 2.0 Skills Analysis 3 2.1 Current Skills 4 2.2 Required Future Skills 5 3.0 Skills Development 6 3.1 In house Training 6 3.2 External Training 7 4.0 Motivational Strategies 8 4.1 Financial Remuneration 8 4.2 Non Financial Allowances 9 5.0 Future Expectations 10 5.1 Outsourcing 10 5.2 Zero Hours Based Contract System 11 5.3 Technology Use 11 6.0 Conclusion 12 References 13 1.0 Introduction The global market is increasingly growing competitive. In this regard, organisations are experiencing an ever increasing need to develop strategic and sustainable competitive edges. In this regard, HR has emerged as a key area through which organisations can establish their competitiveness in the market. Based on this analysis, as the HR manager in the Australian based multinational ALDAI, this report develops a HRD plan through which the organizational HR will be managed to increase its efficiency in the Australian market both in the present and into the future. In this regard, the plan is strategically divided into four key segments. The first segment offers an audit of the existing organizational HR skills as well as the required skill into the future based on the forecasted and expected Australian market changes. The second plan segment offers an analysis on training programs through which the current HR will be developed to bridge the existing skills gap as forecasted. Moreover, the third pan segment evaluates the motivational approaches suitable for the various organizational generational employees. Finally, the fourth plan segment offers a review of strategic HR policies changes due for implementation into the future. 2.0 Skills Analysis In order to develop an appropriate and befitting HRD plan, it is imperative to evaluate and conduct existing HR skills. Through such an evaluation, the plan establishes the existing skills, the required organizational skills both in the present and into the future, as well as the current and potential skills gap that ought to be covered to promote HR and overall organizational market performance and success. 2.1 Current Skills An evaluation of the organizational existing workforce establishes the existence of a diverse workforce. In this regard, besides the cultural and social background differences among the workforce, there is also the generational disparity between the employees. Although there is a substantial number of an expatriate in the organizational workforce, the HR is predominantly of Australian origin. This can be cited as a result of the government regulations. Rasiah, Gammeltoft and Jiang (2010, p.334) argued that in a bid to increase the employment levels in the economy as well as reap on the capital gains developed by the multinationals, the federal government laid down the employment regulations. As such, all organisations in the market are required to recruit and absolve an Australian workforce in all its management levels except for levels and areas in which the labour market is deficient of the required skills and qualifications. Therefore, an evaluation of the organizational workforce establishes that a majority of the expatriates are concentrated on the top management levels that require not only skill but also massive global management experiences (Holland and De Cieri, 2005, p.40). Besides this, the evaluation establishes that the organizational higher management levels are predominantly the baby boomers, which over the years have acquired and developed management skills, experience and expertise. Moreover, the organizational workforce comprises of a majority generation x middle managers. This group of employees is especially those with an increased experience advantage and therefore comprises a majority of the line and staff managers and supervisors. Finally, the analysis establishes that the organization has a large pool of the generation Y employees especially under its operational levels. This generation, which comprises f new market entrants although with talents and skills, lack the experience advantage to enhance and promote their overall successful performance in the organization. 2.2 Required Future Skills The Australian market is growing. A study by Kenny, Hall and Cameron (1999, p.165) sought to establish the nature and operational approaches in the Australian market. In this regard, the study established changing consumers purchasing behaviour as well as the decision making models. On one hand, the consumers are shifting and changing their perceptions and purchase motivations from the traditional products oriented approach to a more service delivery and customer care approach. Therefore, the organization will in the future require a workforce with increased social and interrelationship skills in order to sufficiently interact and deliver the organizational products to the consume base sufficiently. In addition, the Australian economy, due to its favourable economic environment is bound to experience an increased level of competition through new market entrants. As such, it is imperative for the organization to develop a human resource force that is creative and innovative to enable it develop unique products as well as distribution channels to oust competition into the future. Finally, as evaluation of the Australian market as illustrated by Ananda, Domazetis and Hill (2009, p.1057) established a growing technology application trend, with a majority of the consumers and business expected to result to the online market as a substitute for the current physical platform. Therefore, it is imperative that the organization develops and equips its employees with the required skills on IT application and use as a proactive measure to counter the market influence. 3.0 Skills Development As already established in the above organizational HR audit, the current organizational HR skills, although sufficient in the current market situation in Australia, the expected Australian market change creates a market skills gap. Therefore, this HRD plan develops a list of alternatives through which the various organizational employees will be trained in order to prepare and equip them for the expected changes. However, due to the existence of generational differences, that is also reflected in the generations variances in the organizational management levels, the plan develops three different training approaches namely in house, external training and apprenticeship respectively. 3.1 In house Training An in house training incorporates n approach through which the employees are trained through the use of internal organizational resources. In this regard, as Clancy (2004, P.25) argued, the employees and managers are trained through the use of the existing organizational successful and reputable employees and managers. In this regard, mentorship programs form a key component of the in house training programs. The Australian society is inclined and based on a cultural system of respect and obedience. Therefore, it is possible and relatively cheap for an organization to place junior employees under the care of the senior and high level employees. This training plan is especially developed targeting the generation X and Y employees. On one hand, the generation Y that grow up with minimal parents attention has a major deficiency in their social relationships a vice that the generation passed on to the generation Y employees. On the contrary, the Australian baby boomers generation was brought up in the traditional Australian society set up that placed increased emphasis on relationships and social interactions (Holland and De Cieri, 2005, p.57). Therefore, through a mentorship program, the organization will at reduced training costs, facilitate the transfer of these social skills from the older generation employees to the younger ones. Through this skills and knowledge transfer will increase the overall organizational HR competitiveness into the future. 3.2 External Training An alternative to internal training programs is external training of the organizational employees. In particular, this HRD plan advocates for the training of the baby boomers generation under this approach, as it represents a generation that lacks enough IT use experience and use. An evaluation on IT use in the Australian market established a high usage rate among the youths but the trend and frequency of use declined with increasing age (Khandelwal and Gottschalk, p. 2003, P.16). Therefore, this plan develops a platform through which the baby boomers would be trained on technology use. IT training requires the involvement and inclusion of qualified and professional practitioners. However, this indicates an increased training costs if the organization were to hire such professionals. Therefore, in order to enhance training efficiency and also reduce on the overall costs the organization will contract external parties to offer the training. In this regard, the organization will develop and organize workshops for these training programs. In these programs, facilitated and organized by the organization, the external trainers will offer presentations as well as incorporate and involve the employees to facilitate their skills acquisitions. In addition, in order to increase the organizational managers’ experience in customer service and offer a global customer perceptive, the organization will increase expatriates use in the executive management ranks, to increase and benefit their global customer care experiences especially in the USA and European markets in the expected Australian future market changes. 4.0 Motivational Strategies Besides training the employees to increase their overall competences to overcome the expected Australian market changes, it is imperative to note the role of respective employees’ motivations in attaining the training and expected HR skills and performance expectations. Funnell and Cooper (2012, p.166) argued that there exists a direct relationship between employees performance, productivity and their motivational rates. In this regard, under the motivational rates, the various organizational generational employees are motivated by different factors. This is in conformance with the Maslow’s motivational theory. The theory holds that individuals have a range of different needs and their subsequent motivation is influenced by the level of needs each specific individual is in. Moreover, individuals with shared traits such as level of education and age have an increased tendency for possessing similar needs hierarchy levels. This HRD plan recommends the application of financial remunerations and employee empowerment as key among the employee motivational strategies to increase their future performance and productivity rates. 4.1 Financial Remuneration An evaluation of the Australian economic performance as Dunt and Harper (2002, p.329) established enumerates a steadily growing economy. Therefore, as the economy grows and GDP increases, the individual per capita income value is bound to increase. In this case, the employees will expect increased earnings from their offered services. Therefore, the organization should focus on revising the employees’ financial remunerations into the future. Increased financial remunerations will especially motivate the baby boomers as well as the X generation. On one hand, the baby boomers generation is at its peak and expects to retire from active economic engagements in the near future. Therefore, increased earnings indicate a solidifying financial base for use into the future. On the other hand, the generation X is one of the generations that were hard hit by the 2008 global financial crisis. In this regard, the generation is majorly running on credits and debts accrued over the period as well as the rising costs of living lead to their increased financial needs (Spoehr, 2009, p.32). As such, this plan develops a conclusion that through the proposed changed in the remuneration packages policy, the organizational baby boomers and generation X employees’ productivity is bound to increase as a result of their increased motivation. 4.2 Non Financial Allowances Besides offering the employees financial benefits as a motivational tool, this plan develops a schedule for the execution of non financial incentives through various employee empowerment programs. These programs will be executed through a range of operational strategies such as increased employee involvement and tasks and job descriptions diversifications. On one hand, the execution of the employee empowerment through increased involvement is the use of the decision making decentralization. The generation X employees was raised in an environment through which their parents were often involved in strategic economic activities. As such, the employees were trained to develop own decisions. Therefore, they serve as ideal problem solvers. As such, in order to motivate this employee category, the organization will seek to reduce on the line manager and instead allow the employees increased opportunities to participate in the decision making process. Thus, the communication system will be enhanced to allow for increased strategic upward communication. On the other hand, the organization will motivate the generation Y employees through increased job description. The Y generation was brought up under a democratic society where they were involved in a range of diversified activities besides education. Therefore, the generation developed a perception for increased performances through multi tasking. In this regard, the HR department will stimulate the establishment of inter functional teams to run respective organizational projects. Through the involvement of the generation Y employees in multi organizational projects simultaneously will help unlock their full potential and multi tasking capabilities to reduce on the expected future customer care and service needs. 5.0 Future Expectations Besides employee training and motivational programs, the HRD function develops other strategic approaches through which to address the organizational HR challenges in terms of cost, qualifications and experiences. In this regard, the function has developed three strategic developmental strategies into the future that include out sourcing, zero based employment contract system and the technology use approach. 5.1 Outsourcing One of the strategic approaches the organization will apply to reduce on the cost of employment and sustaining HR workforce is through outsourcing. On one hand, a review of the Australian labour market establishes the increasing number of consultancy services (O'Gorman, 2007, p.49). Therefore, in order to mitigate the potential qualified and experience labour shortages and costs, the organization will incorporate the service of these consultancy firms. As such, all the organizational functions that do not form core of the organizational responsibilities will be outsourced to reduce on the overall costs. However, organizational responsibilities that form part of the core organizational responsibilities will remain under the care and mandate of the organizational employees. This approach will allow for the development of an organizational culture on quality efficient customer care services. 5.2 Zero Hours Based Contract System An additional strategic alternative proposed for the venture into the future is to incorporate the zero hour’s employment system. Through this system, the organization will substantially reduce on the overall employee costs and expenses such as fixed remunerations, paid offs as well as other insurance requirements provided for in the Australian market. Through a zero hours employment system, employees will be called upon to perform duties as and when the need arises thus ensuring payment of employee services for their actual offered services. An evaluation of the Australian labour market as May, Peetz and Strachan (2013, p.262) evaluated, establishes a growing labour base. Therefore, this increasing labour base is bound to increase the overall availability of enough labour the only risk in the proposed zero hours employment system (Holland and De Cieri, 2005, p.57). 5.3 Technology Use An additional strategic approach for the organizational HR is the proposed use of IT in managing HR. In this regard, the organization will apply increased IT application in the recruitment, training and management of the employees. In this regard, the organization will expand its recruitment platform to an online platform through which applicants can apply for advertised vacancies online. Moreover, the organizational HR will seek to enhance online interviews and other selection methods. Further, the organization will control and manage the employees through an online platform in which attendance and employee files will be maintained electronically to facilitate management efficiency. 6.0 Conclusion In summary, this HRD plan establishes that the Australian HR and labour market is drastically changes, with significant changes expected into the future. In this regard, the existing organizational employee workforce, comprising of a mixture of the baby boomers, especially in executive management, the generation X, at middle level management and the generation Y employees who form the largest employment base. In this regard, expected changes in increased need for customer care services and increased technology use increase the need for organizational employees training. Under the training needs, the plan develops two alternatives training programs one for the low end employees and one for the high level managers namely the in-house and external training programs respectively. Moreover, under employee motivational programs the report develops a framework for both financial and non-financial systems. Finally, a strategic focus establishes a shift into technology use, zero hour’s employment system as well as employee services outsourcing. References Ananda, J., Domazetis, G. & Hill, J. 2009, "A roadmap to a green chemical industry in Australia", Environment, Development and Sustainability, vol. 11, no. 5, pp. 1051-1071. Clancy, L., 2004, Culture and customs of Australia, Greenwood Press, Westport, Conn. Dunt, E.S. & Harper, I.R. 2002, "E-commerce and the Australian economy", Economic Record, vol. 78, no. 242, pp. 327-342. Funnell, W., & Cooper, K., 2012, Public Sector Accounting and Accountability in Australia, UNSW Press, Sydney. Holland, P. & De Cieri, H. 2005, Contemporary Issues in Human Resource Development: An Australian Perspective, Australia, Pearson Education Kenny, B., Hall, R. & Cameron, S. 1999, "Consumer attitudes and behaviours--key risk factors in an outbreak of Salmonella Typhimurium phage type 12 infection sourced to chicken nuggets", Australian and New Zealand Journal of Public Health, vol. 23, no. 2, pp. 164-167. Khandelwal, V.K. & Gottschalk, P. 2003, "Information technology support for interorganizational knowledge transfer: An empirical study of law firms in Norway and Australia", Information Resources Management Journal, vol. 16, no. 1, pp. 14-23. May, R., Peetz, D. & Strachan, G. 2013, "The casual academic workforce and labour market segmentation in Australia", Labour & Industry, vol. 23, no. 3, pp. 258-275. O'Gorman, J., 2007, Psychology as a profession in Australia, Australian Academic Press, Bowen Hills, Qld. Rasiah, R., Gammeltoft, P. & Jiang, Y. 2010, "Home government policies for outward FDI from emerging economies: lessons from Asia", International Journal of Emerging Markets, vol. 5, no. 3, pp. 333-357. Spoehr, J., 2009, State of South Australia: From crisis to prosperity?, Wakefield Press, Kent Town, S. Australia. Read More