Managing Organizational Sustainability - Assignment Example

Managing Organizational Sustainability Name: Course: Tutor: Institution: Date: Question 1: Collaborating for Shard Value Introduction As recommended by the Board, The team conducted an evaluation of the proposed corporation and collaboration programs implementation between the Shell Company and the Ogoni people. Based on the numerous meeting and workshops held in conjunction with the Ogoni people leaders, human and environmental activists’ organizational representatives in the area and the Nigerian government officials, it is apparent that the initiation of the programs would benefit both the society and the organisations. Benefits of the program On one hand, as Pilkington (2009) argued, the society will benefit from the available natural resources in the area. As such, this will allow the society to improve their living standards in the market and enjoy increased benefits. On the other hand, the organization would benefit from increased corporation and support from the society. Consequently, the negative brand and image reputation damage as the one caused by the lawsuit against the Shell Corporation where the organization paid $15.5 million in 2009. Therefore, the programs implementation would allow for increased support. Finally, the meetings concluded that a joint benefit and corporation between the two would support on sustainability of the resources utilization through the initiation and development of relevant environmental programs. Programs Employee Inclusion program The first recommended program is the incorporation of the Ogoni society in the organizational workforce. A major repeated complain was the use of outside labour force at the expense of the community. In this regard, the community argued that because the resources were available in their natural heritage they should stand to benefit. In this regard, the cited the existing statistics on the high rates of unemployment in the region. Therefore, they argued that through their inclusion in the organizational workforce they would earn a living. A personal professional evaluation of this argument is based on the theoretical underpinning developed by Porter and Kramer (2011, p.64). In their argument, the authors argued on the role of enhancing community economic performances through direct involvement in tapping available natural resources. Therefore, based on this argument, it is highly recommended that the organization should consider incorporating the local employees onto the workforce. However, this recommendation should be implemented under a range of consideration. One of the most important issues to consider in this case is the low educational levels in the market. Therefore, the employees cannot be recruited in the management levels but only in the low employee levels. However, in order to enhance their development in the long run, recruited low level employees who demonstrate competitiveness and commitment should be invariably trained at the expense of the organization. The move although expensive will ensure that the community is incorporated at all levels thus stimulating overall support in the long run by the community. Environment Conservation program A second strategic program floated for consideration by the management is the rolling out of environmental conservation scheme. Based on the workshops discussions, it emerged that one of the fundamental concerns by the community and other interest groups was the environmental implications of the oil extraction and drilling process by Shell. Therefore, the participants argued on the need for the organization to develop alternative environmental control and preservation practices. Thus based on the argument developed by Senge, Lichtenstein, Kaeufer, Bradbury and Carroll (2007, p.46), I recommend to the management that it should consider rolling out environmental conservation programs. In this regard, in order to ensure that the programs are effective and promote a preservation culture, it would be imperative to work with learning institutions especially the secondary and tertiary learning institutions in the region. In this case, the programs should include training and workshops to the students on proper environmental conservation processes. Moreover, through this program, the organization should finance corporate social programs initiated by the institutions such as on scientific research programs involving environmental conservation as well as direct activities such as tree planting among others. Production Efficiency Finally, as a move to increase and enhance the organizational reputation in the market and reduce environmental pollution, there was a general emphasis on the need for the venture to adopt relevant and appropriate technology. In this case and based on the review developed by Shell (2014) I argue on the need for the management to consider systems efficiency development. In particular, the management should consider the alternatives of increasing production efficiency and reduce carbon emissions onto the environment through the incorporation of modern technology in its extraction and drilling process in Ogoni Nigeria. With the application of this program although lacking direct implication and connection with the community. Would boast the overall community confidence on the organisation. Consequently, this would in the long run enable the organization overcome the risk and challenge of revolt and resistance by interest groups in the market. Recommendations This evaluation recommends that the management should Recruit employees form the Ogoni society Finance environmental CSR programs Increase operational efficiency in the oil mines in Ogoni region References Pilkington, E. 2009, 'Shell pays out $15.5m over Saro-Wiwa killing', The Guardian, 9 June, viewed 26 October 2013, http://www.theguardian.com/world/2009/jun/08/nigeria-usa. Porter, M.E. and Kramer, M.R. 2011, 'Creating shared value', Harvard Business Review, vol. 89, no.1/2, pp. 62-77. Senge, P. M., Lichtenstein, B. B., Kaeufer, K., Bradbury, H. & Carroll, J. S. 2007, 'Collaborating for systemic change.' MIT Sloan Management Review, vol. 48, no. 20, pp. 44-53. Shell, 2014, Shell in Nigeria: Developing Nigerian skills, talent and capacity, http://www.shellnigeria.com, viewed 25 August 2014. Shell, 2014, Shell in Nigeria: Our economic contribution, http://www.shellnigeria.com, viewed 25 August 2014 Question2: Sustainability Strategy and Organizational Change Introduction Following your request for my input on avenues and approaches through which to increase the HR and employees’ involvement and engagement in the organizational long-term strategies, I conducted an extensive employee involvement and motivation studies and theories. Consequently, I developed the alternatives listed below for your evaluation and consideration. Strategies Motivate Employees On one hand, it is imperative that the program starts off with shaking off the current euphorbia within the workforce following the retrenchment and dismissal of their various colleagues. The approach and practice has ultimately led to increased job insecurity where the employees are not assured of their current jobs. Therefore, the organization should consider involving the employees in the current practice. Thus, as Fryer (2009, p.37) stated, the employees should be offered the alternative of salaries reduction on all the employees in order to retain the extra workforce the management seeks to reduce. Through this approach, although reducing their wages, their overall job security would be boated and they would be ultimately motivated to work hard to increase productivity and subsequently their earnings into the future. Termination Program In addition, I recommend a change of the current employee termination programs. The current last I first out approach requires the employees who joined the organization recently to be the first to leave in case of employee reduction needs. Although the approach is imperative in rewarding long time serving employees in the organization, it has its numerous draw backs. The organizational long term strategy is to increase employee engagement. However, it is imperative to note that this can only be successful if the employees are qualified. One of the strategic demerits of the process is the failure to evaluate employee performances and qualifications. As such, through the system, it is possible for employees to with right qualifications to be dismissed. Therefore, I recommend the application of an employee appraisal management approach. Through the management process, it is imperative for the organization to dismiss of the employees through an appraisal system based on their actual performance and perceived potential of individual employees into the future. The approach would have two strategic benefits. On one hand, it would guarantee the organization of the retention and acquisition of a viable and qualified workforce for quality engagement. Moreover, it will boast the employment attractiveness of the organization to new employees. Therefore, although it will be dismissing of employees, it will still attract qualified workforce. This will serve in improving its overall workforce quality as desired into the future (Cohen, 2010, p.15). Reward System Change An additional alternative for consideration by the organization is the development and establishment of employee reward system. Currently, the organization only rewards its employee workforce through a financial wage system. This is based on a permanent basis. This leads to laxed employee workforce as the financial rewards are guaranteed despite the level of work or performance in the market. Therefore based on this argument, I recommend the application of an alternative payment and reward system under the piece reward system. The approach is concerned with allocating employees respective work responsibilities. Consequently, Roe (2011, p.544) stated that the employees are paid and rewarded on the basis of the completed. The approach has a wide range of merits. On one hand, it ensures that the organization successfully matches its revenues with actual employees’ efforts. Therefore, employees are only rewarded on the basis of their actual contributions in revenues development and generation. Moreover, the approach ensures on increased employee motivation. The fact that employees are only paid for work done, ensures that the employees are actively involved in the production process. Thus, this increases their productivity in the long run. As such, this will ensure that the organizational employees are motivated to deliver. This will be a major approach to enhancing employee engagement and involvement as per the organizational plans as the practice will facilitate increased need for productivity as t forms a vital aspect in employee appraisal programs. Further, the approach application as Lam and Harcourt (2007, p.233) argued will enable the organization reduce on the need to dismiss off its employees. Currently, the organization is dismissing off its employees due to a mismatch between the organizational performances, employees number wages and the ultimate productive and market performance levels in the economy. However, the application of the approach will ensure an ultimate correction of the behaviour. In this regard, through a piece base system, the employees will only be compensated for actual revenues generated. Therefore, the overall wage bill will be invariably reduced in the market. Moreover, the approach will serve as a remedy to retrenching employees. Through this practice the organization and still retain its large workforce as well as reduce its wage bill in the long run. Recommendations This evaluation recommends that the organisation should Terminate its current termination system of last in first out Include appraisal system as the termination criteria Include the piece rate reward system References Cohen, E. 2010, 'HR meets CSR', in CSR for HR: A necessary partnership for advancing responsible business practices, Sheffield: Greenleaf, pp.12-25. Fryer, B. 2009, 'The layoff', Harvard Business Review, www.hbr.org.Pfeffer, J. 2010, 'Building sustainable organizations: The human factor', Academy of Management Perspectives, vol. 24, no. 1, pp. 34-45. Lam, H. & Harcourt, M. 2007, "A New Approach to Resolving the Right-to-work Ethical Dilemma", Journal of Business Ethics, vol. 73, no. 3, pp. 231-243. Roe, M.J. 2011, "The Derivatives Market's Payment Priorities as Financial Crisis Accelerator", Stanford law review, vol. 63, no. 3, pp. 539-590. Read More