Managing Human Capital in a Glass Company

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MANAGING HUMAN CAPITAL IN A GLASS COMPANY

Research conducted into the Human Resource Management of an organisation

Based on the author’s choice of organisation:
TASK 1 Evolution of Human Resource Management And Current Market Context Within A Selected Organisation TASK 2Recruitment & Selection – Strategic Human Resource Initiatives - Recommendations TASK 3Approach to HRD – Improvements

TASK 4Classical Motivation Theories – Hybrid Theory Tailored To The Organisation TASK 5Change Of Management
REFERENCES

TASK 1 Evolution of Human Resource Management And Current Market Context Within A Selected Organisation

Due to confidentiality agreements, the author chooses not to reveal the identity of the chosen organisation. The company is a newly established entity with an inherited business from a recently liquidated company. Simultaneously the company has brought some staff from the liquidated company and has embraced some staff as a result of a merge with an existing business. The organisation is a glass processing company with 25 employees and 4 directors with equal share of the business. Their mission is to satisfy the demand of bespoke and standard glass products in the interiors marketplace at a competitive price, mainly selling to the kitchen trade, as well as building contractors, distributors, kitchen furniture manufacturers and end users direct.

In the period that went from the ‘closed-for-business’ day, when the former company had gone into administration to the day in which the newly established company had resumed business, few weeks had gone by without serving existing orders due to lack of systems, untrained new staff, unorganised stocks, un-serviced machinery, lack of quality control systems, etc... resulting in the loss of confidence of many existing clients as well as loss of some key accounts...In the first two months of trading under the newly formed ‘roof’, the company decides to change the business strategy from national to regional coverage.

From day 1 of the newly formed company, some of the management commit to the following retribution and benefits structure: * Company profit share to all employees
* Stair-case salary increases when hitting very aggressive sales figures * High commission structure based on very big sales figures * Travel expenses reimbursement
* Mileage based on current market context
* Possibility of quick promotion due to big national sales program implementation * MBA sponsorship

Some of the most experienced employees get recruited with the above conditions.

As the business started turning itself around due to the above mentioned lack of systems and untrained factory and office staff, but especially without the presence of a real ‘leader’ manager/director that wishes to take control of the ‘sinking boat’, the business gets hit badly, suffering with tight cash-flows.

Due to the small size of the company the task of Human Resource Management is undertaken by one of the 4 directors. This director is in charge of sales, marketing, accounting and selection and recruit of new staff.

The company had clearly started a HRM Harvard model, where the level of commitment of the most experienced employees is key in the success of management the lower tier of employees. These experienced employees are extremely competence, carrying out training, managing and motivating the newer employees on a daily basis. Sharing the visions of the management with the entire workforce, both at office level as well as factory floor level, establishing the right attitude towards work, making everyone involved in achieving the company’s number one goal, profitable customer satisfaction..

The company’s main competitive advantage was the cleverly recruit of a mixture of very experienced employees coupled with great fits for some of the jobs to be filled. This was achieved by offering a positive, supportive and energetic company’s culture attracting the...
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