Human Resource Development - Starbucks - Case Study Example

Human Resource Development xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx Name xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx Course xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx Instructor xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx Date Executive summary This short report covers some of the important roles that human resource development plays in an organization. The article is an outline of how HRD helps an organization maintain its competitive stature through having employees who have ample skills and knowledge which help it in its strategic management. My article will constitute of references that are related to how HRD impacts on the human conditions so as to improve towards increased productivity, enhanced competitiveness and support for the organization’s economic growth. Finally it will highlight on the implication suffered by an organization that fails to incorporate HRD in its management. Table of Contents Table of Contents 2 Introduction 3 Human resource development in Starbucks 4 The role of HRD in an organization 5 How HRD should contribute to the organization 6 HRD issues in Starbuck 7 References 7 Introduction Human resource development is a very important aspect in any organization. This is attributed to the fact that it is a process for developing and unleashing human expertise through strategized developments and personal training which are all aimed at improving performance (Agarwala, 2003, p.180). It is any activity or process, either initially or long term which is able to develop the employees work based knowledge, expertise, productivity and most importantly satisfaction. It is noteworthy that, Human resource development (HRD) focuses on two major realms: The organizational development (OD) and the personal training and development (T&D) as well stated by Hsu, Lin, Lawler and Wu, (2007, p.259). OD is a focus at the organizational level and individual connections while T&D focuses on individuals and connects with the organization. Organizations are emphasizing in developing capable, motivated and experienced employees so as to overcome bottle necks to achieve their goals and objectives (Hytönen, 2003). They understand that for the success of any organization, there must be the development of the human capital. The theory of human capital states that the productive capabilities of human beings that are acquired at some cost and that command a price in the labor market because they are very essential in producing goods and services. As stated by Malikarjunan (2006, p.33) the expected realizable value of a human being, if given opportunities for training will be maximized to the good of the entire organization operations. More organizations are therefore investing heavily on the development of the human capital for it is through it that all the goals and objectives can be realized. Human resource development in Starbucks Starbucks recognizes the important of developing their human capital. It is a matter of fact that, training and development programs are aimed at improving employee capabilities and organizational capabilities (Garavan et al, 2001, p.50). When an organizations invests much in improving knowledge and skills of its employees which in the long run benefit form returns which are inform of more productive and effective employees. This training program is very essential in impacting skills and knowledge so as to have more satisfied customers. The training can be a platform of another effective program for a later meeting will be focused in individual performance or even the whole team performance. Moreover, it will be a base of conducting a training need analysis so that the investment in training and management development can be connected to the mission and core values of Starbucks. After the training, the assessment will tell whether the training was effective and in that case, develop training in regard to the assessment results McLean (2004, p.273) puts it very well that, the aim of that training was to have the employees work under some expected level of performance, if it is not met, or even if it meets the expected level of performance, it can give the HRD department guidelines of having the another training program to increase productivity even the more. The role of HRD in an organization Generally it has been agreed that if the paramount human conditions are to improve, then there must be a strong emphasis on human resource development. In return to this, the developments will provide increased productivity, enhance competitiveness and support the organization’s economic growth (Hytönen, 2003). One of the key role of the human resource development, is catering for the most important resource in any organization; the human resource. HRD serves needs of the organization by equipping the employees with up to date expertise. According to Garavan et al (2001, p. 50), currently the business environment demands that trainings not only support the business strategies of the organization but should also shape the business strategy. This is where HRD chips in, in the organization. HRD ensures that, the employee’s competence meets the organization’s present performance demands. In other words, it helps the organization shape its strategies by enabling it take full advantage of emergent business strategies as declared by Agarwala (2003, p.190). Conclusively, training and other initiatives which are connected to high class quality management have played a very big role in transforming very many organizations into successful facilities. HRD is the main driver for ensuring mandated levels of employee’s competence and public safety in many organizations. How HRD should contribute to the organization There have been calls for competitiveness and productivity in many organizations. This has increased the importance and visibility of the presence of HRD related surfaces in these organizations so that they can remain a level higher than their competitors. HRD can contribute to the organization in diversified avenues (Kraak, 2005, p.63). One, it can intervene in the organization’s strategy by improving the workforce productivity to drive it into higher value for long term survival and sustainability. In other words every organization needs to invest resources in ensuring that employees have the knowledge, skills and competencies they require so as to work effectively in a rapid changing and complex environment and this calls for HRD services. Conclusively, organizations are dependent on people simply because they involve complex technologies and are function in a complex economic and socio cultural environment (Dirani, 2006, p.90). This being the case, there are diverse technical skills that are involved in the design, manufacture, marketing and sales of a product. The staff involved therefore needs to be equipped with the right knowledge and skills if at all the organization have to remain in the competitive advantage in the current business environment. In Dirani (2006, p.91), HRD ensures that all the require skills and knowledge are available through the need analysis they perform so as to come up with a training program. HRD issues in Starbuck Employees lack skills and the management want to do away with the HRD department and do away with trainings. This is suicidal for this will bring down the business in a big way. This is due to the fact that, recognizing human capital as being the key element in improving a firm asset and employees is one way of increasing productivity as well as sustaining competitive advantage (Lynham & Cunningham, 2006. P.125). In the next 3-4 years, Starbuck business will have fallen to the worst due to lack of customers who went to the competitors for they were not satisfied. As Kraak (2005, p.60) stated, having unskilled employees, who don’t even know how to handle their customers in a hospitality industry, is disaster. HBD develops skills and knowledge of people so that they can perform their roles effectively and efficiently. If done away with, then performance of the organization will dwindle and hence the revenue will decrease. References Agarwala, T. (2003). Innovative human resource practices and organizational commitment: An empirical investigation. International Journal of Human Resource Management, 14(2), 175–197. Dirani, K. 2006. Exploring socio-cultural factors that influence HRD practices in Lebanon. Human Resource Development International, 9 (1): 85–98 Garavan, T. N., Morley, M., Gunnigle, P., & Collins, E. (2001). Human Capital accumulation: The role of human resource development. Journal of European Industrial Training, 25(2/3/4), 48-68. Hsu, I. C., Lin, C. Y. Y., Lawler, J. J., & Wu, S. H. (2007). Toward a model of organizational human capital development: Preliminary evidence from Taiwan. Asia Pacific Business Review, 13(2), 251-275. . Hytönen, T. 2003. International briefing 14: training and development in Finland. International Journal of Training and Development, 7 (2): 124–37. Lynham, S. A. and Cunningham, P. W. 2006. National human resource development in tansitioning societies in the developing world: concept and challenges. Advances in Developing Human Resources, 8 (1): 116–35. Kraak, A. 2005. Human resources development and the skills crisis in South Africa: the need for a multipronged strategy. Journal of Education and Work, 18 (1): 57–83. Malikarjunan K (2006). Best of HRM Practices, HRM Review, Vol. VI (2): 33-34. McLean, G. N. 2004. National human resource development: what in the worldis it?, Advances in Developing Human Resources, 6 (3): 269–75. Read More