International human resource management - Case Study Example

?Running head: International Human Resource Management Table of contents Running head: International Human Resource Management1 Table of contents 2 Introduction 4 1.0Problem Identification and analysis 6 1.2 People management in terms of Training and Development at ICRC 7 2.1 Alternative solutions: Formulation of adaptable cultures 10 Research has shown that organisations with strong, adaptable cultures which prioritise the needs and interests of the stakeholders are mission oriented and are likley to be associated with high performance. In order to refine the culture of ICRC, there is need to promote the acquisition of knowledge through the socialisation process in a bid to establish a particular culture within its operations that can be supportive of its broad objectives (Osland, 2002, p 1). Another important aspect that has to be taken into consideration is that job performance is a function of the fit between individual needs and culture hence there is need to refine the organisations’ culture to be all encompassing (Rastogi, 2006, 578). This emanates from the understanding that organisational culture is primarily aimed at inculcating shared meanings among members in an organisation and these can manifest themselves in behaviour, feelings, artefacts and language. This is very important given that culture in an organisation is used to design codes of conduct, policies, employee support structures as well as communication channels which enhances the creation of commitment to the organisational goals among the employees (Shen, 2005, p 101). 10 2.2 Implementing training and development 10 3.0Recommendations 13 4.0 Conclusions 14 References 15 Appendices 18 Executive Summary Human resource management is one of the most basic functions of management in organization. This process involves people and relation in the work place. Effective human resource management is required for achievement of results in organization. This is because effective human resource management is reflected in the results achievement. There are different aspects of human resource that ought to be effectively coordinated for achievement of results. This is because human resource is a process and requires attention and close supervision from respective parties or people involved or responsible and in charge of the department. There are several different strategies that can be used to ensure efficiency of the human resource management process. These strategies are adopted by organizations depending on their human resource needs and requirements. However, for effective functioning of the department, especially for international or global companies, it ought to be effectively coordinated. Adoption of the human resource strategies are influenced by several factors. Nature of the business and goals and or objectives of an organization may also influence adoption of strategies by different organizations. This is because these strategies also have to relate with the long-term and operational strategies of the respective organization. The report has been designed to analyze the best strategies that can be implemented in order to refine the HR functions for the International Committee of Red Cross in order to meet the international standards of HR practice. ICRC is a global non-profit organization working for the revival of humanity from both natural and human made catastrophes. The paper has been sub divided into mainly three categories. The first part deals problem identification and analysis while the second part is concerned with a critical evaluation of the alternative solutions that can be implemented by ICRC in order to refine its HR functions in order to meet the international standards. The last part sums up the main points discussed in the paper. The research has been designed on the method of utilizing different HR theories to analyze the problems related to human resources functions raised in the given case study of ICRC. The main findings of the paper indicate that this particular organization is confronted with problems such as weaknesses in organizational culture which is not accommodative to the values of the expatriates in particular. The organization is also faced with problems such as managing training and development as well as managing diversity. This is seen through the male dominance it terms of the workforce at its head offices. There are very few women employed by this organization compared to their male counterparts. As such, it has been recommended that it must put measures in place that are meant to ensure that its culture is accommodative to the interests of a diverse workforce. It has been recommended that it should implement training and development strategies as these can help to improve the overall performance of the employees. It has also been recommended that performance appraisal should be carried out in order to motivate the employees so that they can stay longer in the organization since they can identify with it. Introduction Purpose The main purpose of this paper is to critically evaluate the best strategies that can be implemented in order to refine the HR functions for the International Committee for the Red Cross (ICRC) such that it can meet the international standards of human resources management. Against the backdrop of the growing numbers of the expatriates joining the organization, it can be noted that there is need for a broader HR policy framework that can be accommodative to the needs of a diverse workforce from different nations working for ICRC. Background Established in 1863, ICRC is an international non-profit organization which is geared towards providing humanitarian assistance to people affected by natural catastrophes such as hunger, famine floods as well as civil wars which can lead to loss of life of many innocent civilians. The organization is headquartered in Switzerland, Geneva and it employees more than 14 000 people from different countries across the globe. However, a critical analysis of the organization’s case study shows that it has no measures in place to manage diversity given that its culture does not support the strategic demands of the changing environment. Methodology A review of theories related to human resources management from various academic sources as well as journals will form the theoretical framework for discussion of the critical steps that can be implemented by this organization in order to streamline its operations such that it can meet the internationally accepted standards of HR. Assumptions It is assumed that the organisation does not want to completely shift from its entrenched culture though it seeks to accommodate the interests of employees from other countries. It is also assumed that the organization is primarily concerned with recruiting temporary staff by virtue of transferring them from one point to the other. Limitations The major limitation of the report is that it is not culture specific towards any particular country but just generalizes the organizational culture of ICRC. Structure The report is mainly structured in four broad categories. The first part deals with problem identification and analysis of the factors that have led to the problems identified. The second part looks at the alternative solutions that can be implemented in this organisation while the third part gives recommendations that can turn around the HR strategy for ICRC. The final part is the conclusion which sums up the main points discussed in the body of the paper. 1.0 Problem Identification and analysis A closer look at the case of ICRC shows that the organisation is confronted by mainly three problems which include the following: the organisational culture does not support adaptation to the strategic changes in the environment, people management in terms of skills and development is lacking and diversity is properly managed. 1.1 Weaknesses of organizational culture “Organisational culture refers to a system of shared assumptions held by members of a given organisation which distinguishes it from the other,” . Simply put, organisational culture is a system that tries to differentiate one organisation from the other and it has a bearing on the behaviour and performance of the employees (Wright et al, 2010, p 56). The organization has a cohesive culture; however, it is not effectively practised and implemented due to several set backs in the deparrtment. For instance, lack of development and training, lack of practises that enhance diversity, among others (Osland, 2005, p 1). Orgabnizational culture of ICRC has certain weaknesses that ought to be addressed to ensure effectiveness and foster diversity in human resource practices. The organization basically believes in men as the best top managers. This hinders diversity in thoughts and managerial practices. This is because there might be women in the organization who can perform better than the male employees (Osland, 2005, p 1). The organization ought to review its promotion culture and consider gender equality. This will greatly enhance diversity in management practice. Therefore, the organization ought to revise its culture and revise it so as to cater for women employment in top management positions so as to enhance diversity and promote quality of human resource management (Wright et al, 2010, p 62). 1.2 People management in terms of Training and Development at ICRC During the current period, it can be observed that organizations operate in a dynamic environment characterised by changes which are influenced by economic, social, political and cultural factors (Osland, 2005, p 1). It can also be seen that the competencies of the employees do not remain the same since they are susceptible to change as well. Thus, organisations which need to keep pace with all the changes taking place in the environment have to have to make sure that the employees are trained and developed accordingly such that they may be able to meet the changing demands of their job tasks. ICRC lacks measures in place that are meant to train and develop the expatriates which is one of the weaknesses affecting its operations (Shen, 2005, p 106). The organizational and busibness enviroment is dynamic and therefore frequently changes. This requires adequate response to these needs so as to effectively operate and adequately respond to changes. The best way that an organization ca resond to these changes is allowing and fostering training and development culture (Shen, 2005, p 89). Training of employees ensures that their skills are improved and match those that are required in the working environment. It also increases employees’ efficiency and output (Wright et al, 2010, p 58). ICRC has a weak training and development strategy. This has greatly affected quality of employees in the organization and their performance. This has in the long-run affected the general performance of the organization. Development strategy enables an oerganization to create a large pool of employees that can take up senior managerial positions. This reduces cost of an organization on interviews to determine the best suited candidate for a managerial position because the potential exists. This also increases morale of employees and increase their performance index and efficiency at the work place (Osland, 2005, p 1). 1.3 Managing diversity Arguably, the most important and broad based challenge for ICRC is adapting to gender equality especially when it comes to promotion and placement at senior positions. Basically, “workforce diversity means that the organizations are becoming obviously more heterogeneous in terms of gender, race and ethnicity,” This entails that they include different groups in their operations during the contemporary period (Osland, 2005, p 1). However, workforce diversity is not properly managed at ICRC given that 93 percent of the expatriates are westerners and the head office of the organisation is male dominated. There are no measures in place that are meant to promote equal employment opportunities for women given that the number of employees is skewed in favour of males (Shen, 2005, p 98). Diversity entails a lot of HR functions such as recruitment, career development as well as cultural change as a result of the turbulent organizational environments. As such, various organizational activities demand that organizations manage change effectively in order to fully encompass the notion of diversity which has affected their operations at international level. Thus, ICRC for instance must perceive and respond to changes in their environment in order to ensure that they come up with an effective strategy that can promote diversity (Wright et al, 2010, p 65). ICRC lacks diversity considering the structure and composition of the staff of the organization. Diversity theory calls for employment and placement of people from different geographical backgrounds. Basically, management team of the organization is dominated by the westerners. This has shown lack of diversity in the organization and possibility of ineffective management practices. This is because diversity greatly assists in fostering of effective practices due to diverse views (Wright et al, 2010, p 66). Different business environments have different acceptable practices. This is due to environmental culture. However, a culture may not e effective, but requires incorporation or harmonization with other cultures. Furthermore, the organization is dominated y male employees which also hinders diversity. This is because gender at times plays an important role in decision making. Gender imbalance may lead to imbalanced decision making (Darwish, 1998, p 279). The organization ought to enhance training and development of employees and allow for harmonization of culture to increase efficiency. This will help in development of effective management team and employee performance may also greatly increase (Darwish, 1998, p 278). ICRC should also refine its selection and recruitment process to enhance diversity. It should be flexible so as to cater for equal promotion and employment of employees from all regions. The organization should ensure that employment is based on qualification and not region where an applicant resides. (Osland, 2005, p 1). 2.1 Alternative solutions: Formulation of adaptable cultures Research has shown that organisations with strong, adaptable cultures which prioritise the needs and interests of the stakeholders are mission oriented and are likley to be associated with high performance. In order to refine the culture of ICRC, there is need to promote the acquisition of knowledge through the socialisation process in a bid to establish a particular culture within its operations that can be supportive of its broad objectives (Osland, 2002, p 1). Another important aspect that has to be taken into consideration is that job performance is a function of the fit between individual needs and culture hence there is need to refine the organisations’ culture to be all encompassing (Rastogi, 2006, 578). This emanates from the understanding that organisational culture is primarily aimed at inculcating shared meanings among members in an organisation and these can manifest themselves in behaviour, feelings, artefacts and language. This is very important given that culture in an organisation is used to design codes of conduct, policies, employee support structures as well as communication channels which enhances the creation of commitment to the organisational goals among the employees (Shen, 2005, p 101). 2.2 Implementing training and development The expatriates are specifically concerned with development of their careers as reflected by the ICRC Annual Report (2010). This can be done through learning which is defined as “the process of acquiring knowledge through experience which leads to an enduring change in behaviour,” (Osland, 2002, p 1).The employees’ competences do not necessarily remain the same as these may also change as a result of the changes taking place in the environment in which a particular organisation operates. However, such an initiative needs to be closely monitored to ensure that it conforms to the desired performance standards in the organization. Training is also meant to develop the talent and skills of the employees which also make it possible to retain such workers (Shen, 2005, p 97). ICRC needs to establish an effective training and development department considering status of new employees in the organization. Most of the new employees in the organization are seeking for long-term employment as opposed to earlier years when they sought for short-term employment. These employees are long-term assets of the organization (Rastogi, 2006, p 574). Therefore, they ought to train them so that they develop necessary skills required in functioning in the organization. This is also important for the organization because it will boost performance of its employees because it enhances their knowledge of the working environment (Osland, 2002, p 1). Basically, these new employees are from different business environment. Different business environment have different cultures. These factors may not be applicable in certain business environments. Therefore, employees ought to be educated on the prevailing cultures in the environment so as to promote good and effective practices (Darwish, 1998, p 183). They must also be trained on the language of the residents to avoid instance of communication barrier with customers. This is because employees have to be well versed with native language of customers for effective customer service (Rastogi, 2006, p 572). There are other changes that the organization ought to make for effectiveness of its training and development efforts. ICRC has to adjust its development plan to cater for more women so as to increase the number of women in top management position (Lisa, 2006, p 67). This ensures diversity in the organization. Furthermore, the organization ought to involve staff from the local area for management positions. This is because they are well versed with the business environment of the respective area and hence may greatly contribute to success of the organization in the respective area (Darwish, 1998, p 178). 2.3 Cross cultural training For effective operation and achievement of results, an organization ought to ensure balance in culture and all aspects of operation in the human resource composition. This is to some extent difficult, but ought to be achieved to ensure that culture is balanced in the organization (Jaffari et al, 2011 p 182). This is the role of recruitment and selection in an organization. The process aims at placing the appropriate candidates at appropriate positions with regards to their qualifications and experience (Lisa, 2006, p 68). Basically, recruitment and selection process of ICRC is not effective. This is because it has led to several imbalances within the organization. It has led to gender imbalance in management and culture among other factors (Lam et al, 2011, p 251). Recruitment and selection process policy of the organization ought to be reviewed so as to ensure that they address issues such gender imbalance in management and expatriates. This will ensure that number of top women managers and non-western expatriates’ increases leading to diversity and enhances chances of improving results and adequately responding to uncertainties in the business environment (Jaffari et al, 2011, p 185). 2.4 Performance management and appraisal The managerial team of the international organization must look at effective ways in effectively appraising and rating the performance of the employees. This is advantageous for ICRC given that the expatriates will be motivated to continue working in the organisation. Motivation also helps in the retention of the employees (Lam et al, 2011, 249). Again the performance management functions must also be conducted focusing on the skill sets possessed by the employees who may belong to different nations or of different gender groups. Moreover, the performance management activities must be carried in such a way that effective communication of feedback between the employee and the manager is enhanced. Management of employees’ performance is one of the most important practices in promoting and fostering development of employees and talents in an organization. This can be done through appraisal of performance within the organization (Treven, 2006, p 122). Generally, performance appraisal enables an organization to determine its best employees, weak and human resource needs of the organization. This enables an organization to establish appropriate development and training plans in the organization. It also assists an organization improve quality of its staff and increase chances of achieving its goals (Wright et al, 2010, p 58). 3.0 Recommendations Based on the alternative solutions suggested above, the following list of recommendations supported by various theories is appropriate to be undertaken by ICRC. 1. It is recommended that the culture that ought to be implemented should be accommodative to a diverse range of people. Due to movement of people from different parts of the globe, it should always be noted that there are diverse cultures with different values hence it is imperative for IRCR to take into consideration the value system of the the expatriate so as to improve their performance. Treven (2006, p 123) posits to the effect that people do not set aside their cultural values when they come to work and these play a pivotal role in influencing their performance. 2. It is recommended that there is need for reorientation of the employees given that they come from diverse backgrounds with different cultures. This can be achieved through training and development which are meant to improve the performance of the employees given that they can easily adapt to the value system of ICRC. Claus et al (2008, p 93) posit to the effect that training and development is meant to improve the skills and talent of the employees which ultimately contributes to their overal performance. It also becomes easeir to retain them. 3. It is also recommended that the ICRC’s strategies for recruitment and selection should promote diversity where equal employment opportunities are given priority. According to Ruysseveldt (2004, p 107), winning organisations are those which accommodate diverse workforce since this can promote acquisition as well as retention of talent. 4. It is also recommended that ICRC should implement strategies that are meant to ensure that that proper action is taken with regards to change in the operations of the organisation. Worldlink (2006, p 1), the following tactics are vital in order to overcome resistsnce to change. Education: Uses persuasion. Participation: Employees are involved in the decision making process. Negotiation: Management negotiates with the employees. 4.0 Conclusions The report sought to evaluate the strategies that can be implemented ICRC in order to refine its operations to meet the expected standards of the international human resources management functions. The major findings of the paper have shown that this particular organization is confronted with different problems with regards to its HRM functions. It has been observed that the organization’s culture is not accommodative to diverse cultures and it lacks training and development strategies in place. However, it has been recommended that that there is need for ICRC to carefully manage diversity in order to accommodate the views of different people who come from different nations. It has also been recommended that training and development are very important aspects that can improve the overall performance of the employees. If the employees are given adequate training in various tasks they are responsible for performing, there are high chances that their performance will greatly improve. The is also need to revise the issues related to equitable employment where the women in particular should also be given equal opportunities just like their male counterparts. References Briscoe, D, Schuler, R and Claus, L. (2008). International Human resource Management. New York: Taylor & Francis. Darwish A. Yousef. 1998. Satisfaction with job security as a predictor of organizational commitment and job performance in a multicultural environment. International Journal of Manpower, Vol. 19 Iss:3, pp.184 – 194 Farndale, E, Trevor, J and Wright, P. (2010). Context _bound configurations of corporate HR functions in multinational corporations. Human Resource Management, 49(1), 45-66. Harzing, A and Ruysseveldt, J. (2004). International Human Resource Management. Chicago: SAGE Publications. Ji, L, Stacy, L and Lam, K. (2011). Age diversity and firm performance in an emerging economy: Implications for cross-cultural human resource management. Human Resource Management, 50(2), 247-270. Lisa M. Bradley. 2006. Perceptions of justice when selecting internal and external job candidates Personnel Review. Vol. 35 Iss: 1, pp.66 – 77. Osland, J., (2002). What do expatriates want from HR departments? HR.com. Available at http://www.hr.com. Pooja Garg and Renu Rastogi. 2006. New model of job design: motivating employees’ performance. Journal of Management Development, Vol. 25 No. 6, 2006 pp. 572-587. Shah, S, Aziz, J, Zaman, A and Jaffari, M. (2011). The impact of human resource dimensions on organizational performance from an international perspective. Interdisciplinary journal of contemporary research in business, 3(4), 182-188. Shen, J., (2005). Towards a Generic International Human Resource Management (IHRM) Model. Journal of Organisational Transformation and Social Change, 2, 2, 83-102. Treven, Dr. S., (2006). Human Resources Management in the Global Environment. Journal of American Academy of Business, 8, 1. 120-125. Worldlink, (2006, January).16,1. Newsletter of World Federation of Personnel Management Associates. Retrieved March 16, 2006 from http://www.hrinz.org.nz/SITE_Default/SITE_HR_Info/SITE_Hot_Stuff/x-files/15750.pdf Implementation Action Steps Benefits Derived Incorporating of local legal and professional experts in the recruitment and training panel. Incorporation of such experts would help in increasing the competency of the concern to handle local issues relating to both cultural and legislative parameters. Drafting of organizational policies and action plan required to incorporate the needed changes. The action plan drafted would help in making the concern render focus on making the concern able to gain permanent labor forces. Creating roles for women in the organization by shifting its focus from the operational to other official standpoints. This practice would help in creating new opportunities for the women in the organization and thereby help in minimizing the effects of gender discrimination. Appendices Figure 1: The Rise in the Percentage of Women Staff in ICRC (Source: Kim and Schneider, 2009, p.456) Figure 2: The Percentage of Swiss and Non-Swiss Population manging the organization (Source: Kim and Schneider, 2009, p.453). Read More