Performance Management Process in RasGas Company - Case Study Example

Management process in RasGas Company

Performance management is a significant aspect that needs to be carried out in an organization. It entails the manager and employees working together to plan and monitor the work objectives of the staff and their overall contribution as well. It is also a process that is continuous and entails setting the objectives to be achieved as well as conduct out an evaluation of the progress that has been made in the organization. The essay will thus focus on the issue of performance management and specifically in connection with RasGas Company. Various elements will be analyzed concerning the topic such as the human resource problem that is affecting the company, an evaluation of their current situation and some recommendations for resolving and improving the problem identified. The human resource management problem facing RasGas Company will be broken down into various elements, and each of them will be critically analyzed including their main causes and how they can be improved as well. It is essential to note that in any company, the aspect of human resource is bound to be faced with issues since it revolves around employees who are considered to be the most significant people in the firm. It is thus necessary that performance management is undertaken in an efficient manner.

Element 1

According to Garavan, Carbery and Rock (2012), the oil and gas industry has been growing and thus more opportunities have also been showing up as well. This has however affected some operations of companies in this huge industry. This is about the human resource management. The growth experienced has also led to the development of new opportunities which then needs professionals who are highly competent as well. It is also worth noting that the workforce has been aging and thus has led to a decrease individuals who are entering the workforce. This has resulted in a gap in the need for talent. The development of talent in the local scene and the way to use in recruiting the necessary staff is what has posed as a challenge to RasGas. This is an aspect that RasGas Company is hugely facing and which should be tackled with caution by the human resource management of the firm.

RasGas is also faced with the issue of how to retain the talent that they have developed. In some cases, the trained staff ends up moving to their competitors in such of better pay or even working conditions. This thus affects their performance and even effectiveness since their skills are being used elsewhere and improving the products of the competitors as well. Retaining the talents given to the staff is thus a critical issue that RasGas faces and which should be tackled in an efficient manner if they are to maintain their production secrets and prevent it from being imitated by their competitors (Robbins et.al, 2012).

The work environment is also a critical aspect of every organization. According to Hasle et.al (2012), it is the firm to develop a healthy environment for all the staff to existing and work harmoniously. It is also upon the human resource department to ensure the workplace does not affect the employees in any negative way but rather increases their output in as far as the firm is concerned. The oil and gas industry is especially an area that needs to be carefully set in a form that it caters for the requirements of all the staff. It should also be fixed in a way that it is easy to be adjusted in case the current state poses any risk to the working population. In the working environment, it is also essential for the company to consider the different needs and desires of the staff and ensure that all this is catered for in their performance management.

According to De Klerk (2013), development programs are essential to any company if they are to thrive in as far as their employees are concerned. These programs go hand in hand with communication and tools to expand and strengthen the professional networks. RasGas is facing a problem with the development programs that are aimed at enhancing the skills and knowledge of the staff concerning their company. This also means that communication with their staff is not according to the required level as well as the elements that are needed to increase and even strengthen their professional systems. The company does not have an effective development program that focuses on the development or even improvement of the staff that will later lead to management of performance in the firm as well (Cummings and Worley, 2014).

There is a difference between the old and young staff that join RasGas, and this cannot be underestimated under any circumstance. These two groups of employees also have their expectations once they are given the job. They also have various levels of knowledge in as far carrying out of duties in an efficient manner is concerned. The young staff is likely to employ the recent methods in the market while the old employees still utilize the old methods. In this case, RasGas has not come up with a way to bridge this gap that exists between the employees and which requires immediate attention. This is due to the differences in the output of the company that may result due to the variations of the skills and knowledge employed by the old and new generations. There should be uniformity in the output of products and services to avoid compromising on quality (Sirota and Klein, 2013).

Human resource management in RasGas should also look into the issue of diversity and women leadership as well. This is due to the various concerns that have been raised as a result of a gap in women being leadership opportunities in the company which is less than that of men. It is thus necessary for the human resource management to consider this particular issue and review it accordingly for the performance management process to be effective. It is also necessary to note that women leadership in the company may have been undermined due to the discrimination among women who want to hold higher positions in the administration sector. The inability to curb this issues could put the company in a bad position in as far as the market competition is concerned. It may also ruin the chances of them hiring qualified and even experienced personnel to run the company. The performance management aspect should thus consider the issue of gender balance in the group in both leadership and other positions in the firm. This will further increase the level of motivation among all the staff as they will learn to exist in a harmonious way (Mas-Machuca, Berbegal-Mirabent, and Alegre, 2016).

Element 2

Talent development and management is a key driver for an organization to succeed. In the world economy and especially the oil and gas industry, it is necessary for companies to invest in human capital. This is especially concerning RasGas Company. The talent developed in the company should thus be in line with the recent technological changes in the world as well. The development of talent problem may arise due to the aspect of having the talent in the first place. The human resource departments also have an issue with coming up with talent management strategies that are innovative. This is where the whole issue of developing talent arises from in RasGas Company. The innovative strategies can be such as setting a good salary range for the required talent in the company and which will then attract people to the firm. The demand for talent is usually as a result of demographics, globalization, and leadership. These three aspects are bound to affect the demand for talent in RasGas and thus, give them a wider scope to train and develop. Therefore, the recruitment of the staff will be determined by those three aspects as well (Stahl et.al, 2012).

According to Hoffman and Woody (2013), the retention of talent is usually caused by a variety of factors such as the culture of the firm and if it is in line with the mission they have also set. Having a different culture from the mission to be attained in the company is bound to bring rise to problems of retaining the employees. The job offered to the employees may also not meet their expectations, and they may thus feel underutilized or over utilized. It is also common for a post to vary in a huge way as to the way it had been initially described and even promised during the interview process. This can often lead to mistrust by the employees towards the organization. RasGas Company should thus be very careful when approaching this particular aspect in that they should offer their staff what they promised. Valuing employees are also very necessary since it will help to determine if they will be in the company for a long time or not. It is necessary for the human resource management to note that every staff wants to be recognized and even rewarded for their efforts towards the development of the firm. This does not have to be done by giving them money, but even a sincere appreciation is enough. Recognizing the staff is an efficient way to communicate appreciation for efforts put to the company positively. It is also a way of reinforcing the actions and behaviors that have affected the output in a positive way as well (Galpin, 2014).

The aspect of retention of the employees in RasGas may also have failed due to the organizational instability. This is where there is a constant reorganization, changing of direction and even moving people around the departments. This tends to disconnect the employees from the purpose of the company as they do not comprehend what is going on or even what the priorities are and what they should be doing in the firm. This causes frustrations among the staff that may then result in confusion and inefficiencies as well. Lack of employee retention is also caused by the absence of raises and promotions in the company. It is worth noting that the raises and promotions have been frozen due to the economic reasons. Thus, RasGas may fail to give a monetary increase in the salary of the staff, but they should then provide wages and benefits that are competitive which will make their staff feel valued (Malthouse et.al, 2013). According to Oladapo (2014), there is also the issue of misalignment of the employees. This is where the staff is hired even if they are not well qualified for the job. Such situations usually end up in a bad way for the managers and staff as well. Having an ineffective human resource manager will also mean that they will put off giving feedback to the employees despite the knowledge that giving and receiving an honest feedback is sufficient for growth and even developing an organization that will be successful. The human resource manager should thus be well equipped with the necessary skills and knowledge to assist the employees by developing them in an efficient manner.

The work environment also determines if the organization will be in a position to retain their employees. The inability of RasGas to keep their employees means that they do not have a healthy working environment. It also implies that their working conditions are not in line with what is considered fair to their staff when they were being hired. The lack of factors such as time to relax during working hours means that the staff may have fatigue in the course of carrying out their duties (Hasle et.al, 2012).

According to Stahl et.al (2012), the development programs usually lack in an organization due to the lack of a well laid out plan by the human resource manager. This is where there is also the absence of prior planning to events and activities of the firm that entail the employees. There is also the lack of incorporating the needs of the staff when laying out strategies to be used in running the organization. Lack of including the staff in the plans of the company thus leads to the absence of a development program for them as well. There will be the absence of programs that should be used to mold and even lead to the discovery of the talents and skills that may be hidden in the staff. Lack of communicating effectively with employees can also be brought about by discouraging the aspect f being open in the organization. This is where the staff is not given an opportunity to air out their views openly and thus cannot express the changes they want and what they want to be maintained. In such a case, it also leads to the employees hiding issues that they are facing and which could be solved in an easy way and even avoid future problems for the firm.

Every organization has employees who vary in age, knowledge and skills as well. RasGas is facing such an issue where the old and young staff needs to be blended and co-exist in the firm as one. This means for all their differences and incorporating the various skills and talents that they also possess. The imbalance between the young and old workers is also referred to as a generational gap and may also be in respect to the communication. The communication problems arise as a result of the various expectations and even assumptions that exist between the young and old. The two generations have a different way of approaching work, and it is thus necessary to note that the young cannot expect the old to work in the same way as they do. This then calls for the need to communicate between the various generations in the company (Gursoy, Chi, and Karadag, 2013).

According to Robbins et.al, (2013), the variations between the young and old generation also occurs due to the absence of respect for the organization. It is necessary for the human resource management to instill in all the employees the need since it is among the leading reasons for the differences between the young and old in the organization. The way in which people also accept their differences is bound to lead to an understanding or misunderstanding between them. This is also an area that needs to be focused on since the differences also vary among the two generations. The young and old in the company should also be placed in the correct way or even position in the company. There should be a way to use to vary the right places to place them and even come up with a plan that will further sort out any issue of discrimination between them. There is also the issue of feeling undervalued that may arise when the old and young generation is placed in the wrong places in the company. RasGas should thus be cautious of this aspect and ensure that they uphold every staff in the right way. The differences between the young and old also mean that the staff may be denied a chance to grow their potential and exploit what they have fully. This then requires the human resource management to be cautious about every move they take in as far as the placing the staff in the right way is concerned. Based on the various areas where the differences between the old and young generation may arise, it is necessary for the human resource management to conduct an evaluation then come up with effective measures to curb the issue and ensure that effectiveness is achieved in the firm (Cekada, 2012).

It has been pointed out that RasGas also has balance issues in as far as the two genders are concerned. This may affect the reputation of the firm that may be known for favoring one gender over the other. The variations in the genders may occur as a result of the stereotype that exists in the society where it is known that women cannot hold leadership positions and they are only meant to work under men. The gender gap also results from a variety of reasons that RasGas needs to evaluate and ensure that they do not practice any of them. In the oil and gas industry, the work done by women is likely to be undervalued as compared to that which is done by men. This is due to the complexities that are involved in most parts of the oil and gas industry. The variations between the males and females also occur as a result of the women earning less than the men even when they have done jobs that are of the same value. RasGas has also been seen to pay poorly jobs that need the same skills or even experience and which also tend to be dominated by women. In most cases, the performance evaluation may also be biased and favor men as compared to the women (Rubery, 2013).

The labor market has also been segregated where women are observed to work in sectors where their work is valued lowly and even paid less as compared to the men. For instance, most women have dominated the health and education sector, but very few are in the oil and gas industry. Thus, their entry in the oil and gas industry may be seen as a peculiar thing hence the tendency to discriminate them when they are in this sector.

The balance of work and private life may also pose a challenge for women who experience greater difficulties in this particular area. There is the tendency where family and other domestic responsibilities have not been shared in an equal manner. Women have been left with the larger part and even having to take care of the elderly. Due to these tasks left to the women, they tend to exit the labor market more as compared to men. This then depicts the reasons as to why men are more in the job market and even in more industries as compared to women. Women are also faced with career disruptions or even work for short hours as compared to men. This affects their career development and even promotion prospects in a negative way. It also depicts that they receive fewer opportunities for the careers that are meant to reward more financially (Paul, Dutta and Saha, 2015).

There is also the issue of direct discrimination that women face. This is where some of the women are paid less than the men, yet they are doing the same work. However, the gender pay gap has tried to be resolved by the labor unions, and although some have succeeded, some companies are still practicing the gender discrimination when it comes to paying (Fox, 2013).

Element 3

RasGas Company has been identified as having a human resource management problem and which have also been seen to affect them in a variety of ways such as reducing their staff morale and damaging their image to the public. The problem facing the team may thus be tackled in a variety of ways. The various talents in the company can be effectively managed using a variety of measures. The talent development can be set in such a way that different departments are involved. This is where the IT department can participate fully to design the latest trends in the field of technology and which can then be incorporated in all the required fields of the company to come up with an effective final working program that will achieve effectiveness (Stahl et.al, 2012). The issue of salary is also significant in as far as talent development is concerned. RasGas should come up with a department that will also cooperate with the human resource to set salaries that are reasonable and motivating for the staff to continue carrying out their duties efficiently. In this way, they will also be in a position to look into other aspects such as how to reward the staff effectively and to follow the way they deserve. This is also in line with the various duties that they have been given in the company. The issue of rewarding the staff should also involve the top management of the company who will then see ways that they can employ to increase their profit base and at the same time paying the staff a reasonable salary that matches up to the duties they have carried out. It is thus a challenge to the organization to come up with ways on how they will coordinate the whole aspect of learning and developing talent. This will entail having the knowledge of everything that is required in the firm and how to incorporate these elements in the various jobs that will then suit the goals that have been set at the organizational and developmental level (Nikabadi, Dehghan, and Farmanian-Arani, 2015).

The retention of the staff has also been seen as a challenge to RasGas Company that requires being catered for in an efficient manner. According to Oladapo (2014), the organization can utilize various strategies to retain the employees in the firm and ensure that everything operates smoothly. The human resource department plus the entire management should first ensure that they hire the staff who have the right skills and further those that fit properly with the culture of the company, managers, and even the other workers. In this case, it is essential for managers of all the departments to engage the top performers of the firm. They will the help to identify the skills, features of personality and backgrounds that the staff to be retained has in common. The human resource department of RasGas Company should also plan for the careers that are required in the company and not just filling up the roles where there are gaps. They should also guide the employees on how they can attain the goals they have set in their careers as they are within the company (Malthouse et.al, 2013).

Giving the staff a competitive and even relevant benefits package is also a way that can be used to retain the employees in the company. The benefits package can come up in various ways such as health and life insurance. They can also design other packages such as telecommuting option and flextime. This will make the employees be more comfortable and not even consider leaving the company. Providing an environment that is comfortable for working should also be considered by the company. This should also be accompanied by a friendly work culture. For instance, RasGas should ensure that their office has enough light, ventilation, and even a comfortable temperature. If these aspects are well designed, it will then boost the happiness of the employees as they carry out their duties (Wood and Wollenberg, 2012).

RasGas should also conduct either quarterly or annual reviews. This is where they hold one-on-one meetings with the employees and in the presence of the management as well to come up with goals and even give a definition of how they need to be achieved. The discussion should also entail finding out what the employees need to accomplish the goals that have been set and ensure that all the resources have been fully provided.

According to Gursoy, Chi and Karadag (2013), in as far as the generational gap exists in the company, they should encourage an efficient way of communication where the staff is given an opportunity to air out any issues that may be affecting them and even come to an understanding. The management should also encourage the aspect of respect between the employees. The young staff should learn to take orders from the old, and the old should also be taught to listen and consider the views aired out by the young generation. In this way, they will help avoid any conflicts between them that may affect their performance at work and eventually the output of the company. There should also be the assistance of the young and old generation in finding common ground. This can, however, be achieved if the management of the company treats all of them as individuals and not as belonging to a particular group of the generational group. Each staff member should also be allowed to carry out duties according to their style by focusing on finishing up the work instead of how they perform the work. The reward system between the old and young staff should also be set in a way that it does not favor one group over another. Instead, the reward system should be set in a way that they pay the output given and not in line with the age of the employees (Cekada, 2012).

Gender equality in RasGas Company can be achieved in a variety of ways such as giving training on gender equality to the management personnel. The managers should be well educated on the various forms of discrimination that occurs in organizations and how they can even identify them as they occur. They can also be trained on how to deal with the issue when it is happening among their staff and how to deal with the problem. The women in the company who have been successful should also be showcased as it will minimize the aspect of stereotyping that exists in RasGas Company (Prugl and True, 2014). The firm should also set up a policy that ensures that men and women are compensated in an equal way for carrying out similar duties. The two genders should also be treated in an equal way when it entails matters of recruitment, training, hiring and even promotion. The policy established should also involve the men and women to balance their work and personal lives. This will then ensure that the management offers the necessary support to those who want to advance their careers and even give family counseling and family time that will aid the employees to maintain a healthy family relationship apart from working. There should further be a policy that ensures the issues of nondiscrimination are applied to the employees of the company and all the other levels of the company management. In this way, RasGas Company will eliminate any form of discrimination that may have been created between males and females (Shen, 2013).

To sum up, the human resource management problem in RasGas Company has been broken down into various categories, and each of them analyzed critically. The aspects that have been analyzed are on the development of talent, retaining the employees, gender balance issues, setting up of a healthy working environment and the variations that exist between the young and old generation in the company. These problems have then been highlighted including their causes. The aspect of gender imbalance has been seen to come from reasons such as stereotyping in the society as well as discrimination that has emerged even in the payment of salaries where women are paid less than men for the same duties. The aspect of developing talent can be conducted in an efficient way by indulging the various departments in the process and ensuring that their contributions have been put into consideration as well. Retaining the staff has also been identified as an issue facing RasGas Company. In this case, the management of the company has been given various solutions such as offering the staff competitive and even relevant packages such as health insurance. They can also carry out the annual and even quarterly reviews where they set the goals of the company and identify the resources that the staff will require to ensure that the goals have been achieved. Attaining gender balance is critical for any organization if they are to compete effectively in the market. RasGas can thus ensure that this is made in ways such as enacting policies that will guarantee the issue of discrimination has been effectively tackled as well as one that ensures there is equal compensation between males and females.