The Role Played by Human Resource Management, Motivation, and Decision Making in Dell India - Case Study Example

Dell Essay Introduction Dell India has been working towards expanding and upgrading its products and services in order to provide its customers with unmatched experience and value-based products and services. According to an article by SME Channels (2012), Dell India has opened an exclusive 1300 square-feet store in Hyderabad. This exclusive Dell store will provide a wide range of Dell consumer products such as laptops, desktops, AIOs, Alienware brands, XPS and other related peripherals. Similarly, an article by Indiainfoline News Service (2012) depicts that in a bid to provide its consumers with next-generation technological solutions and efficient services, Dell India intends to implement a strategic alliance with Ramco Systems. This move is bound to strengthen Dell’s growing portfolio of software service solutions that enable organizations to efficiently manage and grow their businesses (Indiainfoline News Service 2012; EFY times 2012). This essay examines the important role played by three functions of management that is motivation, people management and decision making with reference to articles on Dell India’s move towards expansion and upgrade of its products and services (SME Channels 2012; Indiainfoline News Service 2012; EFYtimes 2012). The importance, implications and applications of these three functions is carefully examined and analysed. Moreover, the role of each aspect in the success of Dell’s strategic goals and objectives is taken into account and explained as it applies to the case scenario. Managing People Based on SME Channels (2012) article on Dell India’s move towards expansion and upgrade of its products and services, it is evident that Dell India’s strategic goal is to provide its customers with unequalled customized expert advice on the right Dell products which will suit their specific needs. In order to achieve this, the company is rolling out an expansion plan aimed at bringing its services as close to the consumers as possible. Nevertheless, for this expansion plan to see the light of the day, the company will need to invest heavily in its human resource asset which will be a vital tool in meeting this key objective. People are a valuable resource in any organization since they are the dynamic force that drives its operations and create value (Olaniyan & Ojo, 2008, p.326; Mayo, 2012, p.1). The human resource asset, if well managed and nurtured can become a springboard for creating competitive advantage over competitors. The need to effectively manage the human resource or the people working in the company cannot be over emphasized in Dell India’s case scenario. In a survey conducted by Devanna, Fombrun, Tichy and Warren, it was noted that 64% of a sampled population of senior management executives emphasised the need for effective human resource management to be used as a strategic implementation tool. In addition, another 51% underscored the important role that effective human resource management can play in shaping an organization’s strategic decisions (Devanna et al, 2006, p.11). In the case of Dell India, it is apparent that the company’s strategic objective resonates the need for a human resource system that is thoroughly equipped with all the necessary tools, skills and technological know how to effectively deliver its promise to its customers (SME Channels 2012). This will only be possible through proper planning, recruitment of competent and qualified staff, training and development and performance appraisal. It is an undeniable fact that Dell India’s expansion plan and unmatched customized service delivery will be impossible to achieve and sustain without proper management of its human resource asset. Furthermore, Dell’s ambitious rapid expansion plan as well as growth in its business portfolio is a key indicator that the human resource factor is going to grow as the company expands and moves closer to its customers. Therefore the company will need to recruit and train new additional staff to take up new roles and run the daily activities in the new exclusive 1300 square-feet store in Hyderabad (SME Channels 2012). Waddell et al (2007) and Kleynhans et al, (2006:69) provide some insights on how companies can effectively manage its human resource. These authors suggest that, the starting point will be for the company to perform a thorough analysis and evaluation of its existing human resource needs. This analysis will assist the company to identify those areas where there is deficiency of staff, make future staff projections and identify areas for staff training. This is the planning function for the human resource manager and entails matching the supply of staff with the expected demand over a specified period of time (Kleynhans et al, 2006, p. 69). The planning function will involve an in-depth analysis of the company needs against staff qualifications and the findings should be implemented in a manner that will contribute to the overall efficiency and effectiveness in service delivery to customers. The planning function of the human resource manager is especially important to this respect as it relates to making future projections and pre determining the human resource needs as the company continues to expand and grow. The HR manager will therefore be faced with the task of forecasting the staff requirements in a manner that will be efficient, enhance service delivery and create new opportunities for existing staff to grow and develop with the company (Durai, 2010, p.6). For example, the new exclusive store at Hyderabad will most likely need new staff. However, the company will also need to incorporate the existing staff into the management role of this new establishment and therefore providing an opportunity for current employees to grow and develop with the company. In addition, the HR manager needs to put in place rules and procedures that will guide the company in meeting its staffing needs (Montan & Charnov, 2008, p.210). The HR manager should ensure that new staff have the necessary skills and abilities to perform their duties and responsibilities effectively and with minimal supervision. The recruited individuals should also be able to meet the specific job requirements they are hired for (Green et al, 2005, p.17). Sharma (2009: 263-265) emphasises on the importance of regular employee training in the delivery of quality customer service. Regular training programs are particularly important for all the staff at Dell, especially for those employees who are involved in direct service delivery to customers. Dell falls directly under IT industry and therefore the workforce needs to be thoroughly up to date with the rapidly evolving technologies in the industries in order to remain relevant in addressing the new demands of the market. For instance, Dell India’s move to partner with Ramco Systems and expand its software service solutions can be regarded as a step in the right direction (Indiainfoline News Service 2012; EFY times 2012). It also important to note that it will be particularly difficult for a sales executive within the company to sale a product which they do not know and understand its technical and operational details. Take for example, Ramco’s ERP-as-a-service on Cloud solution software, it will be almost unattainable for a staff member to sell this product to a customer if they are not well trained on its functionality and how it can be incorporated with the rest of Dell’s products. The new partnership of Dell and Ramco ERP on Cloud presents an opportunity for the HR manager to plan for a staff training program that will enlighten Dell India’s staff on all matters relating to the technical and operational details of the new product on offer. The training should mainly incorporate those staff that will be directly involved in delivery of this service to customers. In addition, the HR manager needs to evaluate and identify other training needs for the staff in order to make sure the staff members are adequately equipped with all necessary knowledge and tools to offer quality service delivery to customers (Condrey, 2010, p.275) ; Indiainfoline News Service 2012; EFY times 2012). Staff training will boost the confidence of the staff in service delivery, increase efficiency and contribute to the overall effectiveness of the company and therefore earning it the much needed reputation before its customers a factor that will be crucial in establishing a competitive advantage over its rivals (Olaniyan & Ojo, 2008, p.326). Motivation Based on SME Channels (2012), Indiainfoline News Service (2012) and EFY times (2012) articles on Dell India’s move towards expansion and upgrade of its products and services, it is apparent that the management of Dell India appears zealous and determined to achieve the vision they have set for the company. However, for this to happen, the management will need to stimulate the same zeal and vigor in its workforce by motivating them. Motivation refers to a process by which individuals are stimulated to undertake certain tasks in order to accomplish the set goals and objectives (Kumar et al, 2003, p.12). Psychologist Abraham Maslow in his theory of individual development and motivation argues that every human being has a hierarchy of needs which they seek to satisfy. However, these needs are satisfied according to a hierarchy beginning with physiological needs (that is basic needs such as food), followed by safety needs, social needs, self-esteem needs and self actualization needs respectively. He argues that the satisfaction of these needs is the basis of motivation in human beings. Therefore, in order to motivate an employee, the employer should seek to satisfy these needs according to the hierarchy (Li, 2008, p.151). This is the chief mandate of the human resource manager as far as motivation is concerned. In a work related scenario, factors such as monetary incentives, job satisfaction, job security, promotion, recognition, teamwork and many others constitute factors which will stimulate employees’ behavior positively in order to propel them to undertake their tasks and meet the set goals (Armstrong, 2002, p.363; Dubrin, 2012, p.421; Crouse, 2005, p.22). Decision making role Dell India’s announcement of its strategic alliance with Ramco is a highlight of a strategic decision making process which the senior management of the two companies thought through and brainstormed its effectiveness in achieving their set goals and objectives. Such a strategic decision is a result of extensive consultation and evaluation between the two parties involved in order to streamline and bring on board the key objectives and goals of the two companies in a manner that will ensure they are met and are not in conflict with each other. The classical decision making model provides insight into this case scenario. This model emphasises on rational thinking embedded in activities like discussions and prescriptions. It is also a three step process which begins with identifying the problem or the common goal to achieve (that is the need for the partnership), listing possible solutions and concludes by choosing the most useful and valuable course of action- this is exemplified by the formalization of the alliance (Dubrin, 2012, p.375). At the stage of evaluation of decision options, Dell India and Ramco Systems must have carefully considered such issues as the risks and uncertainties involved and whether these risks where manageable and could be overcomed in the long run. In order to determine this, the management of the two companies must have rationally scaled through the available information to evaluate and see from previous experience whether such an alliance was tenable. The consultative discussion process must have been the key aspect in implementation of the alliance for the benefit of the two parties (Dubrin 2012). Intuition in the decision making process is also vital for this case scenario. Intuition will require that one relies on previous experience or carefully evaluates similar case scenarios, study their implementation, analyze their functionality and finally study the results in order to determine whether such a model arrangement will work for the alliance or not (Ingold et al, 2000, p.116). During the announce of this new alliance between Dell India and Ramco the senior management of the two companies present a unified approach with Dell India’s Executive Vice President and Global Head, Applications & BPO, Mr. Suresh Vaswani emphasizing how the new partnership fell within the company’s strategy of creating solutions for increasing its midmarket design philosophy. This remark from Mr. Suresh Vaswani is an acknowledgement that the decision made by the company’s top executive to enter into the alliance was well thought out and fell within the company’s key goals and objectives(Indiainfoline News Service 2012; EFY times 2012). It is worth noting that the decision making process should not be a reserve for the top management alone but should also involve staff at other lower levels. By so doing the decision reached will be all inclusive and will not be met with resistance from the rest of the staff (Angelogianos, 2008, p.48). Studies have shown that employees who are involved in a decision making process are more responsive to the outcome of the decision making process and are well motivated to implement the decisions (Herberg et al, 1993, p.10). Implications Motivation as a function of management has a great and direct impact on staff performance since it boosts their morale and stimulates job performance. As indicated earlier, employees are the powerhouse behind organisational performance. A well motivated workforce will consequently yield a well performing organization. Performance in this case highlights increased efficiency, reliability and excellent service delivery to customers which are vital in creating a competitive advantage over other rivals in the market and building brand equity. Motivation will also ensure rapid achievement of set goals and objectives which is a plus for the CEO of the company (Armstrong 2002; Sharma 2009). Decision making as highlighted in the article through the announcement of the strategic alliance between Dell India and Ramco highlights Dell’s initiative to rise over its competitors’ bar by seeking to offer a complete package to its clients in one shopping experience. Such a decision has the effect of ensuring their client needs are cumulatively met therefore eliminating any urge to consider rival products. This strategic decision also creates an opportunity for further staff training and development (Dubrin 2012; Angelogianos, 2008; Herberg et al 1993). Proper human resource management will ensure efficient nurture an efficient and reliable workforce that will be tailored to meet the company’s set goals and objectives. Management of the human resource asset is key to meeting an organization’s obligation to its client. This is especially vital for an organization such as Dell India where there is direct contact between the client and the workforce. By ensuring that the company has a well trained, efficient, reliable and sufficient workforce guarantees the customers a quality service resulting to brand equity and customer satisfaction. A satisfied customer is an effective marketing tool against even the most resilient and aggressive competitors (Devanna et al 2006; Sharma 2009). Conclusion This essay has critically examined three management functions (motivation, managing people and decision making) with reference to articles on Dell India’s move towards expansion and upgrade of its products and services (SME Channels 2012; Indiainfoline News Service 2012; EFYtimes 2012). The findings of this essay illustrate that the role played by human resource management, motivation and decision making in Dell India’s case scenario cannot be over-emphasized. The success of Dell India’s strategic goals and objectives will only be realized through proper implementation and coordination of these three functions. If well carried out, Dell India will gain a competitive advantage over its rivals and also establish brand equity through sustained quality and reliable service delivery to customers. References Angelogianos, G., 2008. Emotional intelligence: A frontline view of decision making in a Greek bank, Proquest llc, Michigan. Armstrong, M., 2002. Employee reward, CIPD, London. Condrey, S., 2010, Handbook of human resource management in government. 3rd ed., Jossey-Bass, San Francisco. Crouse, N., 2005. Motivation is an inside job: How to really get your employees to deliver the results you need, Personal Alternatives LLC, New York. Devanna, M., Fombrun, C., Tichy, N., & Warren, L. 1982, ‘Strategic planning and human resource management’, Human Resource Management, vol 21, no.1. pp. 11-17 Dubrin, A., 2012, Essentials of management, South-Western Cengage Learning, Mason. 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