Managing The Human Resources Essay

INTRODUCTION: This assignment is based on a case study titled ‘Hot Work at the Aluminium Smelter in Lynmouth’, and it examines the current HRM principles being used within the organisation. The HR values that are being investigated are HRM or people management values, team effectiveness and the effect of motivation, communication and the culture in the organisation, and leadership qualities. The overall aim of this assignment is to provide appropriate business solutions that help in improving the effectiveness of the organisation, from the perspective of a HR consultant. HRM & PEOPLE MANAGEMENT VALUES: Armstrong (2000) argues that personnel practioners are often confused when asked about the difference between HRM and personnel management. According to Storey (1995) HRM is said to be fundamentally unitarist. This makes the management at Lynmouth more HR than personnel, as although the union’s membership levels were low and their influence was weak, they were recognised by management in respect of white-collar staff. Also teamworking was introduced with the cooperation of the plant’s trade union, and they were asked to recommend the number of posts required for the new line that was to open in 2000. This shows that the management did consider the unions before reaching a decision. The climate of employee relations could be characterized as suspicious and mistrustful, indicating to a model of personnel management (Sisson 1994). In HRM, rules, procedures and contracts are an obstruction to effective performances and there is an emphasis on strategy and devolved responsibility to line management (Storey 1996). At Lynemouth, there were rules and guidelines set for the team leaders and employee’s worked according to shifts, and pay was not performance related. Read more:  Personnel vs Human Resources Although these values point towards personnel management (Sisson 1994), Lynemouth also inculcates HRM values. Despite each plant having specialist staff that kept the plant within its operating limits, team leaders worked as line managers (Storey 1996) and were responsible for the coordination and scheduling of work. Also there are few job categories and teamwork is preferred to division of labour (Storey 1995). There is a great deal of task flexibility (Sisson 1994) in the teams, and in 2000 they were given greater autonomy. Boxall & Purcell (2003) states that HRM can be interpreted as having a ‘soft’ developmental humanist approach or a ‘hard’ situational contingent approach. The soft version emphasizes a people-centred approach to HRM, whereas the hard version emphasizes a resource-based approach (Thornhill & Saunders 1998). Although the organisation appears to be soft with the implementation of teams, they can be viewed as being hard economically, as the organisation aims were resource focused, there appeared to be low trust between employees, and there was also functional flexibility within the teams (Kane et al. 1999). Responsibility for hiring new staff, and for assessing applications for internal transfers, were devolved to shop-floor workers, thus making them more flexible. A hard approach is often seen as an essential part of cost-minimization strategy (Kane et al. 1999), which appears to be the situation at Lynemouth. TEAM EFFECTIVENSS & THE EFFECT OF MOTIVATION: A team is a work group or a unit with a common purpose through which members develop mutual relationships for the achievement of goals/tasks (Harris & Harris 1996). Vyakarnam et al (1999) states that a number of studies have confirmed that successful ventures are often established by teams rather than a single person, and the core competence of a successful team is to build and manage relationships around a common vision. The management team at Lynemouth haven’t clearly described the team goals or each individual’s specific task. It is essential that the first step in creating a team is to define the goal or goals that create the direction for the new group (Twomey & Kleiner 1996; Arroba 1996). Harris & Harris (1996) explain that teams are successful and effective when they overcome difficulties, achieved through interdependence. Teams also promote a sense of confidence and direction among the team members and helps becoming more flexible in nature (Arroba 1996). Among shop-floor workers at Lynemouth with regard to satisfaction and commitment, there was a greater sense of autonomy and participation. With regard to work organisation, there was an increase in multi-skilling, and there were clear examples of improved flexibility. For example, team members would work a crane as required, rather than waiting for a dedicated crane driver. The major difference between successful teamwork and unsuccessful teamwork is largely based upon team members sharing common goals and working together to achieve them (Tarricone & Luca 2002). They also state that ineffective communication, lack of resources and lack of trust are the key attributes that hinder the effectiveness of a team. At Lynemouth, the workers were clear that the divide between manager and worker was as sharp as ever and that the enforcement of discipline was not part of the team’s duties. There appeared to be low trust between them, and also communication with regard to specific tasks seems to be lacking. It is also advisable to establish a sense of urgency so that the teams don’t get complacent (Twomey & Kleiner 1996). Ritchie & Martin (2001) states that money and tangible rewards, the physical conditions and the structure are the three key factors motivating people in a working environment. Although teamwork was favourable from a shop-floor point of view, middle managers and technical staff had reservations about teamwork, feeling undervalued and lacking determination. Macaulay & Cook (2001) states that rewards and recognition processes help to focus attention on priorities, thus motivating individuals. Group leaders felt that the work they were being given was not sufficiently demanding, and technical staff felt that that their job territory was under threat. There seems to be a need for rules and guidelines in the work place, for direction and certainty (Ritchie & Martin 2001). Thompson (2004) concludes that people could be motivated further and made more effective if they were given appropriate encouragement and attention. COMMUNICATION & CULTURE: According to Connolly (1996) communication is a critical issue and everyone wants better communication within their team, between teams and across their organization. Employee communication should play a strategic role in an organization to work effectively (Barrett 2002). In the early 1990’s there was a wide perception at Lynemouth that communication was poor, and the climate of employee relations could be characterized as suspicious and mistrustful. Barrett (2002) also emphasizes that without effective employee communication, change is impossible, and in 1997 with Lynemoth’s future in doubt, the management realized the importance of communication and set about to win employee consent by reforming the communication system. With regard to this, teamwork was introduced with the cooperation of the plant’s trade unions, which encouraged further development in employee relations. However, with the success of teamwork, white-collar staff felt undervalued. Peng & Litteljohn (2001) asserts that structural arrangements may facilitate communication on the one hand, and create barriers for communication on the other. Group leaders felt that their status and authority were being eroded, and technical staff felt that their job territory was under threat, and changes were made without consulting the people involved, and there was a feeling that the appraisal system was not adequate, as the management did not seem to listen. Connolly (1996) states that to enhance communication, both the employer and the employee should realize the importance of effective communication. The author concludes by saying that perhaps the most effective ways of improving communication are also the simplest – taking the time to really notice the employees, listening to how they speak and more importantly to what they say. The management could create a system where employees are rewarded for their good work, as Storey (1995) states that the way in which employees are rewarded is central to the regulation of employment relationship. Handy (1986) states that every organization is different, and each organization has a different culture – sets of values and norms and beliefs. In 1990, many workers had been with the plant since it opened, and labour turnover was low. Majority of the workers were male, with few women being employed in clerical posts. There is a close and sometimes unclear relationship between organisational culture and it’s climate (Wallace, J et al. 1999). Although the climate of employee relations could be characterised as suspicious and mistrustful at Lynemouth, work organisation was considered to be fairly conventional. Handy (1986) argues that if organizations are to survive and meaningful jobs are to be created for all those who want to work, then both organizations and individuals will have to change the way they perceive jobs and careers. He also states that fewer, better-motivated people could create much more added value than large groups of unthinking, demotivated individuals. Lynemouth, with the introduction of teamworking could be seen as incorporating these values. However, the management at Lynemouth should create meaningful jobs for all employees. The structure of Lynemouth’s employees could be characterized under senior managers, middle managers and workers. Handy (1986) argues that organizations are not owned by anyone, but are a community of people who could be called citizens of the community rather than employees. Ogbor (2001) asserts that organisational culture should discourage dysfunctional work behaviours, and commit members of the organization to do things for and with one another that are in the best interests of the organization. LEADERSHIP QUALITIES: The American general, Dwight Eisenhower, once said that the essence of leadership is to make people do what you want them to with as much will, determination and enthusiasm as if they had decided for themselves (Popper & Zakkai 1994). Cacioppe (1997) suggests that recent reviews of the research and theories on leadership have consolidated the key areas of leadership into personality, transactional and transformational forms of leadership. He also states that honesty, inspiration, competent, fair-mindedness and supportiveness are the characteristics that people most admire in leaders, where as Tait (1996) suggests that vision, interpersonal skills, character and drive are the four attributes considered to be necessary personality traits for business leadership. Transactional leadership is based on the interplay between the leader’s guidance or direction and socio-emotional support, and the readiness or developmental level that followers exhibit on a particular task, function, or objective (Avery and Ryan 2002). The third major approach is the Transformational leadership which communicates a vision that inspires and motivates people to achieve something extraordinary (Cacioppe 1997). Transactional leadership remains highly popular among practitioners and it could be applied at Lynemouth. It appeals to managers because of its intuitive simplicity, ease of use, and perceived relevance to managerial roles (Avery and Ryan 2002). In 2000, with the end of direct supervision, management appointed team leaders from existing team members, following a formal application procedure. Team leaders were made responsible for team briefing and the coordination and scheduling of work, and they did receive an additional weekly allowance of à ¯Ã‚ ¿Ã‚ ½100. The management at Lynemouth could also try to incorporate the transformational leadership values by providing every individual and team with a vision and also motivating them, thus improving leadership effectiveness at the team levels (Cacioppe 1996). Silverthorne (2000) believes that the readiness and willingness of subordinates to perform tasks are the important aspects that contribute to a leader’s effectiveness. CONCLUSION: This assignment investigated the current HRM principles being used within the organisation. A few key points in improving the effectiveness of an organisation are effective teams, effective communication between the teams and good leadership skills. Lynemouth could improve the effectiveness of their organisation by motivating each individual, improving the communication between the employers and the management, and also by providing individual, team and organisational goals for the leaders to follow. REFERENCE: Armstrong, M 2000, ‘The name has changed but has the game remained the same?’, Journal of Employee Relations, vol. 22, no. 6, pp. 576-593. Arroba, T 1996, ‘Why are common objectives so uncommon in top management teams?’, Journal of Team Performance Management, vol. 2, no. 1, pp 17-21. Avery, G.C & Ryan, J 2002, ‘Applying situational leadership in Australia’, The Journal of Management Development, vol. 21, no. 4, pp 242-262. 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