Category: HR

Human resources development (HRD) has acquired a lot of attention lately as the contemporary highly competitive business world requires 100% productivity of the organisation and each member of the staff. There are a number of issues within the area of HRD which should be addressed.

However, it is possible to single out four major issues which need special attention. These issues are concerned with productivity, training, motivation and diversity of the workforce. Notably, these areas are interrelated, which should be taken into account by HR specialists.

Large amount of literature on development of office workers skills can be found nowadays. As for development of workers of manufacturing organisations (e.g. textile industry), there is certain lack of consistent surveys and research (Ghazali & Halib 2012). It is possible to consider the major HRD issues in terms of manufacturing companies to outline main areas to research.

Executives, managers and researchers agree that productivity is one of the major issues of HRD (Sims 2007). It has been acknowledged that productivity should become a priority for workers to make a manufacturing company profitable (Ghazali & Halib 2012).

Admittedly, workers of a manufacturing company should be motivated to work harder. Each employee should strive for 100% productivity. York (2009) provides an example of the importance of each employees involvement into the development of the companys productivity. Thus, one of the General Motors plants in California experienced various issues concerning productivity. In 1984, the company started:

a joint venture with Toyota& with a focus on teamwork between labor [sic] and management and a collective bargaining agreement that described the workers as professional partners committed to the New United Motors Manufacturing Inc. (York 2009, p. 273)

This incentive proved to be effective as productivity of the new venture was 40 per cent more efficient than a typical productivity of a GM plant (York 2009). The workers were motivated to perform better as they understood that their productivity could be beneficial for them and the overall company. This is only one of many examples that justify the importance of workers productivity as well as importance of motivation.

Workers involved in textile industry can also be motivated in the same way. Though, it is necessary to admit that such measures are quite drastic. As has been mentioned above setting proper standards will be beneficial for any manufacturing company.

High quality of products is crucial for textile manufacturing companies. Workers should understand that only specific quality of products can be regarded as acceptable and such characteristics as speed, amount of the products produced cannot be primary.

Notably, there are many strategies to develop productivity. As has been mentioned above, motivation is one of the most important factors to pay attention to. The example of GM plant represents one of ways to develop motivation.

Apart from making workers professional partners, it is possible to exploit a variety of strategies. Ghazali and Halib (2012) consider effectiveness of a specific incentive implemented on one of Malaysian manufacturing companies. The major motivation strategy was financial reward, i.e. additional payment for enhanced productivity.

Reportedly, this incentive had quite controversial effects. On the one hand, workers were motivated to work harder and produce more. However, such commitment was not very cost-effective as it led to various defects, equipment breakdown, etc. Therefore, it is necessary to note that motivation strategies need to be developed and improved to fit specific industries.

It is important to exploit a variety of motivation incentives, which are not confined to extra payment. Workers can obtain extra days off. It is possible to grant permission to work flexible hours. Promotion is a very potent tool to motivate workers of manufacturing companies. Training is also a very effective incentive to motivate workers.

It is important to understand potential of each worker and if there is a worker who is eager to perform other tasks, supervisors and eventually the companys owners should give this person such an opportunity. When it comes to textile industry, some workers may be interested in developing their skills.

Thus, some may want to develop computer skills and some may have desire to be a designer. All these inclinations and abilities should be taken into account. These workers can become high-skilled professionals, which will be beneficial for the company (and overall industry).

When it comes to a textile manufacturing company, it can be helpful to present products of the company to workers who perform well. This incentive can be regarded as a motivation incentive as workers performance is appreciated and they are praised.

At the same time, this can positively affect products quality as workers will remember that the products they produce can become their reward. Admittedly, people tend to create better things for themselves than for other people.

Nonetheless, motivation is not the only factor that affects productivity, especially when it comes to manufacturing companies. Training plays a very important role in enhancing productivity. Birdi et al. (2008) claim that extensive training, empowerment and development of teamwork skills positively affect productivity of manufacturing companies.

At that, development of training programs requires quite a lot of precision. In the first place, Bayat (2011) notes that it is important to reconsider performance evaluation as existing standards do not meet needs of the modern business environment. Evaluation of productivity should be thoughtful.

Many executives are eager to set quite high productivity standards which are hardly achievable. This strategy is very tempting but it is ineffective and even harmful for a manufacturing company as it leads to lack of motivation in workers.

It is also important to take into account physical and psychological abilities of employees. Supervisors should understand whether a worker can fulfil this or that task. It is important to train workers who will be able to benefit from the training obtained as sometimes all workers take certain courses but never use the knowledge and skills acquired (Werner & DeSimone 2011). Admittedly, this is not cost-efficient.

When it comes to manufacturing companies, training should address specific groups needs. Each workers performance and potential should be taken into account. It is necessary to add that development of proper training strategies is one of the most serious issues in the contemporary business world.

HRD professionals should work out incentives and programs that could address specific issues existing in a particular company. Productivity depends on effectiveness of these programs. Finally, training will positively affect industrial safety as workers should be aware of all standards, requirements and useful strategies.

Sometimes it is believed that only large companies can benefit from training. However, a number of surveys show that small companies can also benefit from training and other HRD strategies (Grigore 2008). Many people deem that only big companies can afford proper training.

Besides, owners of small companies often think training is costly and will not be repaid. However, many researchers provide data which suggest that small companies benefit from training and HR development.

Owners of small manufacturing companies often fail to understand that training can be regarded as one of strategies aimed at development of motivation. Workers will be motivated to improve their skills and develop new ones to increase their productivity, which, in its turn, will lead to financial reward.

Another main issue to be considered is diversity at workplace. It is believed that diversity is a topic that has already been covered and there is no need in considering it. However, there is significant gap in literature on the mater (Curtis & Dreachslin 2008).

The contemporary workplace is highly diverse in terms of age, gender and ethnicity. All these differences can interfere with productivity of each employee and the overall company. Therefore, it is crucial to pay a lot of attention to this issue. Notably, diversity training has become quite popular lately and many companies resort to a variety of strategies to raise diversity awareness among their employees (Werner & DeSimone 2011).

Sims (2007, p. 245) stresses that now the diversity challenge centers [sic] not much on employees and customers but on management itself. The researcher also notes that diversity awareness plays important role in teamwork development.

It is important to note that some people think the best way out to address issues associated with diversity is to diminish it. Of course, this approach is ineffective due to, at least, two factors. First, it is hardly possible to diminish level of diversity in the contemporary world where governments ensure equality and diversity (Idowu 2012).

Secondly, empowerment of women, globalisation, population aging contribute to high level of diversity at workplace. Thus, changing gender roles result in increasing number of women occupying different positions. The number of women in top management and among manufacturing companies workers is steadily increasing. This contributes to high level of gender diversity.

Globalisation is associated with peoples migration, which results in ethnical and cultural diversity at workplace. This is especially true for manufacturing companies where a lot of low-skilled people of different ethnicities are occupied. Population aging leads to quite a significant gap between generations at workplace, which leads to age diversity. Obviously, diversity can hardly be diminished.

It is also necessary to note that researchers still argue about the role diversity plays. Some state that diversity positively affects companies productivity as people of different backgrounds have extensive experience they share to develop the company (Henry & Evans 2007).

At the same time, some researchers claim that diversity negatively affects employees performance as it leads to miscomprehension, misunderstanding and a variety of conflict situations (Jayne & Dipboye 2004). Both viewpoints have the right to exist as diversity can be beneficial for a company, but it can also lead to numerous issues if no diversity training is provided.

Therefore, it is essential to raise diversity awareness among employees. When it comes to manufacturing companies, each employee should be involved in this training. There are numerous strategies to develop diversity awareness these days (Curtis & Dreachslin 2008).

Though major focus is made on such categories as students, top management, salespeople and healthcare professionals, researchers have developed certain strategies for workers of manufacturing companies as well. First, diversity training should address specific aims.

It is necessary to start with particular issues and conflicts existing at workplace. Team building activities should also be a part of this training, or rather teamwork development and diversity awareness training should be incorporated into a single training strategy (Sims 2007). Sometimes language courses can be beneficial for workers as nowadays many people of different ethnicities work in manufacturing companies.

As far as textile industry is concerned, diversity (especially cultural diversity) is a serious issue which should be addressed. Manufacturing companies often employ low-skilled workers who often have different cultural backgrounds. Apart from different ethnicities, workers of textile manufacturing companies are of different age and gender.

Different ages and genders often lead to certain conflicts among workers. Supervisors as well as workers should have the necessary knowledge and skills to be able to solve various problems and avoid conflict situations. Ability to work in teams depends on workers ability to cope with issues associated with diversity.

In conclusion, it is possible to note that companies need to address a variety of issues in the contemporary highly competitive business world. Human resources development should be one of the priorities for any company. HR specialists should pay special attention to the following: productivity, motivation, training and diversity. These fields need special attention as they significantly affect profitability of the company.

It is also important to note that these areas are interconnected and interdependent so they should be treated accordingly. It is important to develop training strategies that could address all of the following aspects: productivity, motivation and diversity.

When it comes to textile manufacturing companies, HR specialists should pay special attention to motivation and diversity as these are key factors for this industry. Notably, there are quite many gaps in research and even such serious issues as productivity, motivation, training and diversity are under-developed.

There is need in specific strategies and techniques which could be applicable in particular industries and settings. Of course, every HR specialist should also be ready to introduce effective techniques to enhance profitability of the company.

Reference List

Bayat, RF 2011, Impact on the productivity of human resources management, performance evaluation, Australian Journal of Basic and Applied Sciences 5.12, pp. 1629-1635.

Birdi, K, Clegg, C, Patterson, M, Robinson, A, Stride, CB, Wall, TD, Wood, SJ 2008, The impact of human resource and operational management practices on company productivity: a longitudinal study, Personnel Psychology 61.1, pp. 467-501.

Curtis, EF & Dreachslin, JL 2008, Diversity management interventions and organizational performance: a synthesis of current literature, Human Resource Development Review 7.1, pp. 107-134.

Ghazali, Z & Halib, M 2012, Productivity-based group incentive scheme: a human resource strategy for competitive advantage in a Malaysian manufacturing company, European Journal of Social Sciences 28.1, pp. 101-108.

Grigore, AM 2008, The impact of human resources practices upon small companies performances, Buletinul LX.2/2008, pp. 83-92.

Henry, O & Evans, AJ 2007, Critical review of literature on workforce diversity, African Journal of Business Management, pp. 72-76.

Idowu, OF 2012, Human resource diversity and organizational outcomes: managing differences or organizational culture, Australian Journal of Business and Management Research 1.12, pp. 1-6.

Jayne, MEA & Dipboye, RL 2004, Leveraging diversity to improve business performance: research findings and recommendations for organizations, Human Resource Management 43.4, pp. 409-424.

Sims, RR 2007, Human resource management: contemporary issues, challenges, and opportunities, IAP, USA.

Werner, JM & DeSimone, RL 2011, Human resource development, Cengage Learning, Mason, OH.

York, KM 2009, Applied human resource management: strategic issues and experiential exercises, Sage Publications, Inc., London.

Introduction

This is a report of a learning event assessment practice based on Nuplex Company. The paper focus on the analysis of learning event and assessment practices based on technology advancement in the company, and the measures that the human resources department of the company has taken to address the intriguing issue.

The company offered training to adult employees recently through the human resource department, aimed at equipping the current workforce with the current technology, in a quest of enhancing productivity of the company. Interactive learning model such as classroom model was used to promote success of this training.

Discussion

The purpose of developing this learning activity was to equip the employees with the necessary skills in technology related matters. Therefore, an interactive learning approach was used to deliver the learning experience to the employees.

In the recent past, technology is changing at an alarming rate, most companies have constantly engaged their employees in training programs to instill the necessary knowledge pertaining to the technology available. In Nuplex Company, human resources department created various training programs, aimed at equipping its taskforce with the necessary technology, to match with the rising change in production techniques experienced in the company lately (Black, 1998 Pg. 26).

To ensure that the employees have constantly adapted changes in technology, process assessment strategies were initiated by the human resource department of the company. A panel of specialist members from the training personnel was created to give constant feedback to the management team of the company. The outcome of the training program was tested through measuring of the performance of the employees trained in terms of quality production (Bliss, 1993 Pg 43).

The purpose of the training program in the company was strictly aimed at improving the quality of production by the employees. Therefore, the assessors are mandated to produce an evidence based assessment report. This evidence lies primarily on the learning event involved in the training programs.

For instance, in the Nuplex Company, the main purpose of the training program was to equip the entire workforce of the company to comply with the technological advances that are currently available in the market. In Nuplex Company, the workforce must meet the company requirement in unveiling new technologies that are available in the market. The training program of the company was designated to ensure that it has all it takes for proper learning to take place (Boud, 1990 Pg. 102).

The evidence based assessment is orchestrated on the changing dynamics evident in the workplace of the company. There have been several factors that have been noted in the Nuplex Company: increase in labour mobility, diversification of classification, and an emphasis on the worker to be responsible and maintain their career advancement. This situation has compelled the worker to take initiatives and enhance their work experience and advance their qualifications.

The tremendous change in the employment sector has been propagated by the fact that the current market of employment is more competitive, therefore, leading to individualised demand for new learning opportunities. The workers in many companies who wish to maintain or upgrade in their positions must ensure that they meet the current demand in the market based on their qualification.

In Nuplex Company and the employment market at large, it is evident that knowledge is becoming a crucial tradable product. This implies that, for many employees, knowledge and skills is a fundamental aspect that they are using to safeguard their positions in workplaces. Therefore, most of the companies, for instance Nuplex, have initiated vocational training programs, to ensure that their employees remain primed in their qualification, and are thus able to maintain their job positions.

The company has also set process assessment strategies aimed at constantly evaluating workers performance, and consequently creating training programs, which help and equip the employees with the necessary skills that they require. It is also evident that there are forces operating simultaneously responsible for restructuring the labour force in the entire labour market.

Knowledge is tremendously rising, therefore, employees are demanded to possess with expanded knowledge and conceptual skills than they previously possessed so as to match maintain and enhance their chances of moving upward occupationally. All experiences occurs in individuals world and not the general world we live in, through the learning process, an adult is changed in three ways: self-person, real meaning of the world and ability cope with experiences, therefore, more equipped to handle various task specially.

Various theories of teaching were incorporated in the training program. In Knowless Andragogy theory, it emphasises the fact that adults are self-directed to take responsibilities on their own. The theory suggests that teaching method should not overlook this fundamental aspect. It also highlights that learning in adults is necessitated by changing environment and roles in the society adults dwell.

As people moves to higher positions in their workplace, professionally and personally, they have to advance their education for them to adopt and develop skills required in such positions (Ecclestone, 2002 Pg 398). The theory points out that adults will only accept learning when they perceive it to be applicable in their lives. As people matures, their views on application of knowledge changes from the future to present. This implies that adults will only seek to advance their knowledge when it can be applied at present.

This mode of learning has various social implications to the company and the employees. Nuplex Company gained tremendous improvement despite the high investment made on the training program. Most of the employees of the company have added values after the vocational training; therefore, it is hard for other employers to woe Nuplex employees in their companies.

This ensure that the company maintains its employees, thus, promoting a continuous growth and development of the company (Shepard, 2000 Pg. 9). The process assessment put in place ensures that the learners/employees improve skills and consequently apply the gained knowledge in the work scenarios; therefore, promoting the efficiency of the company.

This implies that after initiating the training program and successively conducting the programs by Nuplex Company, the employees gained technical skills and experience tremendously; hence, they can handle their allocated duty without struggle. It means that, through proper vocational training and assessment methodology, companies are able to produce quality workforce.

Conclusion

Many employees have become more responsible in line of conducting their duties, after undergoing the training program. This have significantly improved their social status as well, since they are more knowledgeable to handle various task efficiently based on the extra knowledge gained in the training. Therefore, proper learning experience and assessment methodology are fundamental in the growth of the employees social, economic and political wellbeing.

Bibliography

Black, P., and Wiliam, D. (1998) Assessment and classroom learning. Assessment in Education, 5(1): 7-74.

Bliss, J., Askew, M., and Macrae, S. (1996) Effective teaching and learning: scaffolding revisited. Oxford Review ofEducation, 22(1): 37-61.

Boud, D. (1990) Assessment and the promotion of academic values. Studies in Higher Education, 15(1): 101-11.

Ecclestone, K. (2002) Learning Autonomy in Post-16 Education: The Politics and Practice of Formative Assessment. London: Routledge Falmer.

Shepard, L. A. (2000) The role of assessment in a learning culture. Educational Researcher, 29(7): 4-14.

The position present requires a person who is hard working and who knows the ways of work of Trianon. Moreover, since the joint venture involves the Hungarian government, somebody with knowledge of the Hungary government will be vital. Consequently, Alistair should choose Janos Gabor for the position in case he is forced to do that. Firstly, Gabor was born, brought up and educated in Hungary. As a result, he has good knowledge of how business is done in Hungary.

He will therefore advice the company in case there are legal issues that need to be addressed. He is also well placed to easily adapt the culture of Hungary. Moreover, Gabor has the technical knowledge about cathode ray tube which is critical for the assignment. On the same note, he has additional knowledge on systems technology which is an additional advantage.

In addition, he has worked with the company for some time and his performance is good depicted by the recent promotion that he was given. Furthermore, Gabor is single and can therefore be willing to travel without any hindrance. It should be noted that one of the requirements of the position is extensive travelling especially for the first year. Though not very vital, the connection of Gabors family with the government can be very crucial in ensuring that the venture goes on smoothly.

For recruitment to this position, highest degree of integrity is required. Therefore, Trianon will have to come up with the job description first. The job description needs to be detailed outlining what is expected of the person who will fill the position. It should be noted, that the position is not only technical but also administrative. As a result, somebody with knowledge of managing people will be the best option.

After having the job description Trianon will then have to advertise the position and give both internal and external people opportunities. Selection will have to be done strictly following the job description. There should be interviews both oral and over the phone to ensure that the selected candidate has the required qualities.

Questions of the interview should be based not only on the duties that the person is going to execute, but also on the general knowledge that the candidate will require during his or her duty. It is important to have the oral interview conducted by a panel of people so as to eliminate subjectivity in candidate recruitment. This procedure will ensure that the best talent is tapped into the company. It is needless to say that Trianon will need to advertise itself as the employer of choice to attract many qualified applicants.

Joint ventures involve management of people sometimes from other firms which have different operational guidelines. On the same note, by entering into a joint venture, a firm should be ready to rearrange its operations. All this will affect the mode of operations of a firm in one way or the other.

Consequently, inclusion of human resource staff will be very important. The new roles that come with joint ventures will have to be filled with qualified people. The duty of recruiting new staff to the firm rests with the human resource department. On the same note, any reorganization as far as human capital is concerned that may be required to set a joint venture into motion will have to be done by the human resource department. Consequently, human resource staff should be an integral part in finalization of joint venture agreements.

Employees in any organization go about their tasks motivated by various drivers. The primary drivers of motivation may be as simple as discomfort or hunger. They may as well be influenced by drivers that are conceptual, such as the desire to hit a target or to handle a challenging assignment.

Depending on the conditions at the moment, the range of motivators may alter over time. The change may stretch to months, years, or even on a daily basis. Managers should therefore fully understand which theory to is to be applied in order to create a fruitful teamwork that makes it possible and easy to attain the organizational objectives. Many HR performance issues result from underlying motivational problems that are external to the work environment, such as health.

Health as an employee performance motivator

Maintenance of programs that promote health among employees is a major way to motivate them. Such programs prevent illnesses among the workers and also help manage chronic diseases. Apart from motivating workers to extend their abilities towards the attainment of objectives, they also play a major role in controlling the health care costs within an organization. Human beings usually find it difficult to keep up with proper health maintenance.

Sometimes it gets more convenient to eat junk food and drive even within short distances. Wellness programs motivate employees through elimination of unhealthy habits and practices (Lerberghe, Adams, & Ferrinho, 2002). Their focus on tasks and targets gets improved and this increases their general effectiveness.

The employer benefits from improved employee productivity, lower absenteeism and employee turnover, as well as reduced on-the-job injuries and accidents. A healthy pool of employees possesses the productivity required to create a sustainable return on investment because health and safety policies make people more effective when performing their tasks. In addition, it ensures that an employee is not overburdened in the event that a fellow worker fails to perform due to a health-related complication.

Wellness and health programs offer help to employees who suffer an addiction to smoking, drug and alcohol abuse. Instead of getting punished, they get rewarded by enrolling in counseling sessions which address their causes of addiction, whether physical or psychological.

They get assisted to curtail their drug and substance use which eventually improves their health. Counseling sessions also address other compulsions such as overeating. Through it, employees get enabled to lose weight through relevant support medical procedures.

Another group of employees who get assisted by the wellness programs are those suffering hopelessness, depression and denial. These are the kind to easily indulge in unhealthy lifestyles. They may experience loneliness and personality issues which make them feel unconfident and non-optimistic about living a healthy life.

They eventually become less productive. Even when it is clear to them that their health risks can be fatal, they live in denial because acknowledging such a thought would be emotionally painful. Motivating such people therefore would involve showing them the joy in life and not the fear of death (Pfeffer, 1994).

Their motivation incentive involves transforming their mental framework for productive and joyful life through counseling. Another category of employees that would benefit from a wellness program are those facing very serious financial difficulties. This denies them the ability to buy food that is healthy, enroll in a gym membership or even afford diagnostic tests.

Hierarchy of needs theory

The hierarchy of needs theory was formulated by Abraham Maslow in the 20^th century. He developed a hierarchy of needs and argued that the motivation of people is driven by the need to rise up the hierarchy. The most basic motivators at the base of the hierarchy are food, shelter, clothing, sex ad health. The higher the hierarchy, the more conceptual the needs become, the ultimate being self actualization.

This theory is based on the point that people usually progress and should not stagnate at one level. Even as we strive towards improving ourselves through our jobs and other projects, the biggest instinct is to satisfy our basic needs. We need good clothing for the job, food for the energy, a shelter to rest after a long days work and health care to keep us in working condition.

It is impossible to focus on the complex demands of the workplace when the basic ones have not been taken care of. Providing health programs in the workplace ensures that the health of employees, being a basic need, is well addressed. An unhealthy worker lacks the efficiency required to perform well at work. In addition, the provision of insurance covers is essential so that employees can have access to medical care service from various medical centers at the organizations cost (Diallo, Zurn, & Gupta, 2003).

This is designed to leave the employees with a higher disposable income. Medical bills are usually very high, and when an organization provides this to workers, it makes it easier for them to take care of their basic personal needs.

Actions to improve health care and motivate employees

Going by the hierarchy of needs theory, it is clear that the provision of health benefits in an organization leads to the motivation of employees and better productivity in the long run. The health benefits offered help workers save a lot of money and use it to satisfy their basic needs, as well as the needs of their families. Welfare programs and other health-related policies create job satisfaction and loyalty within the organization (Martinez & Martineau, 1998).

It is essential for the employers to work in cooperation with their employees so that they can detect and address their workers needs when it is necessary. A good employer-employee cohesion gives the employees the courage to voice their concerns regarding different issues. One mistake that many employers do is bossing over their workers. This forces the workers to keep working in uncomfortable conditions without raising their concerns in fear of losing their jobs.

It is good for employers to keep in mind that the employees represent families as they work, and that providing a nice employment package is actually benefiting the community at large. In this regard, extending health benefits like insurance policies to not only the employees but also to their families offers a great benefit.

This is because when an employees family member is having health complications, he or she cannot perform optimally. Many employees have family members that they feed, clothe, shelter and keep healthy. Punishing employees who have health issues such as addiction and hopelessness is foolhardy. Instead, they should be offered the relevant counseling and medication if need be. Health programs are about keeping employees in the right physical and psychological state for optimum productivity.

Reference List

Diallo, K., Zurn, P., & Gupta, N. (2003). Monitoring and Evaluation of Human Resources for Health: An International Perspective. Boston, MA: The Boston Consulting Group.

Lerberghe, W., Adams, G., & Ferrinho, P. (2002). Human Resources Impact Assessment. Bulletin of the World Health Organization. 80(7):525.

Martinez, J., & Martineau, T. (1998): Human Resources in Healthcare Reform: A Review of Current Issues. Health Policy and Planning. 13(4):345-358.

Pfeffer, J. (1994). Competitive Advantage through People. Boston, MA: Havard Business School Publishing.

Introduction

In modern business environment, employees compensation stands out as an important component of every organization. The rationale is that it shapes other aspects of an organization including productivity and strategy. Compensation has the main aim of attracting and enhancing companys ability to retain employees.

A firm that retains employees through competitive compensation benefits from high productivity and increased job satisfaction among employees. Ioana & Raluca (2011) explicate that competitive compensation is important for organizations and subsequently, it constitutes the largest single cost for many companies in the world. Pamela (2012) articulates that there are many ways of compensating employees in both the private and public organizations although there is none that is generally practiced across the business environment.

This research paper discusses the advantages of pay for performance as a way of motivating and retaining employees. In addition, it will explore theories that surround pay for performance as the best system of retaining and motivating employees.

Pay for Performance and Theories discussed

According to Edralin (2010), numerous theorists have proposed many arguments relating to pay for performance employees compensation method. Although there is no consensus on the theories, pay for performance has various organizational benefits. Ioana & Raluca (2011) say that pay for performance assists many organizations to achieve the goal of recruiting qualified employees who are interested in earning increased wages and salaries out of their hard work.

The compensation policy allows employees who do not meet the set objectives to quit the organization voluntarily. The reason is that employees who fail to earn an extra income tend to search for other employment opportunities that have higher fixed salaries and wages.

To that end, pay for performance helps organizations to retain and recruit highly qualified employees who are able to offer their skills for improved performance of the company (Edralin, 2010). Highly qualified and skilled employees are directly related to positive performance of an organization. They translate to increased productivity and revenues.

In his study, Chen (2011) found that pay for performance method of compensating employees encourages group and team work in all organizations. Employees tend to cooperate with others for improved achievement of a specific goal if they stand to gain. Besides, Gruman & Saks (2011) assert that the method of compensation allows members of the staff to interact closely with their supervisors and managers.

This allows employees to avoid mistakes and risks since they seek for advice from the entire team (Pamela, 2012). This way, managers are able to understand the progress of a specific project, which in turn leads to improved teamwork. Gruman & Saks (2011) articulate that over half of the employees who took part in the study earned increased bonuses and extra pay through teamwork.

Most of them agreed to have asked for help and advice from their colleagues in order to improve on performance. In an environment marked with companies seeking to have a competitive edge over others, pay for performance is a strategic tool that facilitates organizations to achieve its set objectives and goals.

Pay for performance provides a company with the ability to predict its financial performance in the short run (Ghazi et al., 2010). Companies that use the policy attract qualified employees who are able to surpass expectations. In case of increased projects and scheduled goals, an organization is able to place increased motivation on bonuses to lure employees to accomplish the tasks (Galanou et al., 2011).

Organizations are therefore able to forecast their sales and productivity. According to Chen (2011), predictability of an organization increases investors confidence due to the stability of the organization. As such, it is only obvious to conclude that pay for performance leads to organizational stability and value.

Many social scientists have proposed theories that attempt to explain the psychological, behavioral and economic perspectives of pay for performance. Outstandingly, cognitive theories articulate that human beings are solely driven by the urge to get rewards. They say that human beings tend to repeat actions that yield them highest level of happiness. This crosscuts across all societies, organizations and countries.

In organizations particularly, pay for performance tends to reward hard work. Cognitive theorists argue that employees interpret hard work as an action that when repeated, will increase their rewards and happiness (Ioana & Raluca, 2011; Erdogan, 2002). The reward theory postulates that individuals ability to be consistent is a motivational factor.

In the business contexts, a motivated team of staff is an asset for the company. It gives the organization a competitive edge over the rivals and competitors. When the employees are motivated to work due to pay for performance, the organization retains them with ease.

Agency theory is central to any compensation method applicable to the modern business environment. It proposes that compensation of employees is an organizations strategy (Gruman & Saks, 2011). A firm uses a compensation method stands to gain optimized profits due to its costs and perceived benefits. Agency theorists argue that organizational costs come about due to the apparent differences of employees and the firms.

One source of costs for organization is when employees fail to put maximum effort in their productivity leading to reduced efficiency. The rationale is that an organization pays more number of hours than when the employees put their maximum effort on the work (Edralin, 2010).

Further, the theory says that firms seek to optimize their revenues and profit margins by motivating, recruiting, and acquiring high skilled and qualified employees. Nonetheless, the employees are consumers. They therefore seek to maximize utility (Chiang & Birtch, 2008; Galanou et al., 2011). This is through increased income that affects the utility in a positive way.

The theory however cautions that employees who seek to maximize their utility to strike a balance between disutility and utility. Employees are likely to assume that the increased effort that is synonymous to pay for performance is costless. To the contrary, the increased effort only seems to benefit both the firm and the employee marginally.

Chen (2011) says that the employees under pay for performance are likely to put effort into fulfilling small tasks. In fact, the study showed that many employees are unlikely to take up huge and difficult tasks. The theory also posits that extra work for the employees may affect his or her abilities and motivation in the long term.

Due to the risks that are apparent for the employees, agency theory articulates that firms have an obligation to pay the employees a premium (Gruman & Saks, 2011). This creates even more costs for the organization, which aims at retaining such employees. The theory has empirical foundations owing to the amount of literature in the world of business.

It is apparent that agency theorys core is in the differences between the employees and the firms. For instance, Chen (2011) pinpoints that employees are well aware of their full potential, skills and abilities. On the other hand, the firm knows little if anything about the ability and full productivity of the employees.

This information asymmetry between employees and organizations leads to erection of measures by the organization to unleash employees full productivity. For example, if a firm decides to offer low and guaranteed pay to all workers upon large organizational performance, it is likely that the organization will record improved performance across all the departments.

Psychologists have also come up with a theory that seeks to explain pay for performance for individuals in organization (Chen, 2011). Social comparison theory posits that employees and all other members of the society evaluate their productivity and abilities through comparison. Employees tend to compare their productivity depending on the opinions of referent groups.

Danish & Usman (2010) assert that the theory is anchored in the belief that human beings have the desire to evaluate themselves using the opinions held by others. The rationale is that there is no standard assessment of abilities and as such, people tend to look to others (Ioana & Raluca, 2011 Danish & Usman, 2010).

To this end, the theory argues that individuals engage in social comparisons with people who are close and have similarities with them. This is the most common way of gaining information on individual performance in many contexts.

Further, the theory proposes that employees exude effort comparable to their peers. This is despite the notion that an increase in individual earnings may result to increase in productivity. Social comparison theorists say that employees do not work in a vacuum (Erdogan, 2002). This implies that they will be influenced by the amount of effort that other employees put in their work and tasks.

Chen (2011) argues that many employees who work under the context of pay for performance policies do not consider the differences in their incomes but instead, they emphasize on comparison of effort at work place. This is in line with equity theory that says that workers perspective on the inequality in pay is justifiable (Chiang & Birtch, 2008; Chen, 2011).

This is because they perceive the pay as objective due to the clear and observable differences in their productivity and effort. These minute details according to the proponents do not necessarily result to psychological costs for the other employees. This theory seeks to appraise the conventional pay for performance method of compensating employees.

Other theories that attempt to explain motovation and pay for performance include Abraham Maslow theory of motivation. The theory asserts that the employees will attempt to increase their productivity depending on the position they occupy in Maslows hierarchy of needs (Erdogan, 2002). Chen (2011) says that an increase in income due to hard work may lead to satisfaction leading to motivation.

Contingency fit theory is also applicable to pay for performance. It states that human resource practices must be in line with internal and external contingencies for the performance to affect the company or organization.

Application of the Theories to the Business World

The aforementioned theories are instrumental in informing many organizations and businesses about the most appropriate method of compensating employees. Social comparison theory is applicable in organizations that desire to harness increased productivity from performance-based compensation. Danish & Usman (2010) say that organizations use unconventional and other forms of compensation.

Indeed, they combine it with fixed salaries. As such, the employees become motivated by the fact that they all have a fixed salary despite differences in their intermediate incomes from pay for performance.

Organizations use the pay for performance as a way of rewarding employees who surpass expectations (Ghazi et al., 2010). The reward theory discussed earlier is important in the pay scheme in all organizations. The firms expect that an increase in incentives will consequently result to an increase in the output of the company. On the other hand, employees expect a reward for increased productivity.

Danish & Usman (2010) elucidate that this interplay between input and output among the employees leads to a reinforced behavior of hard work and competency. Reward theory also applies to firms that use pay for performance to assist the employees to increase their disposable income and as such, maximize their utility.

However, increase in effort that each employee put into a task is marginal. Chen (2011) asserts that disutility might increase among the employees in case the bonuses they receive for their exemplar performance is high. As such, firms tend to balance the extra income with the base salary rates to avert such risks. This way, employees remain committed to the organization.

According to Chiang & Birtch (2008), agency theory posits that every member of the organization is placed in the organization for the sake of increasing the value of the shareholders. As such, the managers and employees represent the company in all decision and policymaking processes. To maximize on profits therefore, managers adopt a compensation scheme that leads to maximization of profits.

Given the advantages of pay for performance, the agents (managers) are able to entice the employees to increase their productivity and ultimately, increase the profit margins of the company (Danish & Usman, 2010). In addition, it is important to note that agency theory projects a direct relationship between individual pay for performance and productivity (Erdogan, 2002).

Through the scheme, the employees are able to augment their efforts for the organization. Since the sole objective of a business is to increase profits, the extra effort that employees put into their work reflects in the companys financials.

All the above theories work differently in various contexts. According to equity theory, employees may not increase their productivity merely because the pay for performance policy promises more income (Danish & Usman, 2010). The rationale is that the employees seem to overlook the small differences in their pay.

They believe that the pay is justifiable due to the increased individual effort and does not necessarily imply a source of discrimination. To that end, employers use equity theory to appraise the performance of the employees when they introduce such a compensation policy or method. It serves to explain why many companies may have failed to get the benefits that are associated with pay for performance.

Conclusion

In essence, there are various ways of compensating employees for their work. While we recognize that employers and their objectives are different, compensation methods differ across the wide spectrum of business. One of the most renowned methods of compensation is pay for performance. It refers to a bonus wage increase that a company gives to an employee due to his or her exceptional performance or ability to meet the objectives of the company.

Pay for performance increases motivation among the employees leading to high level of retention (Danish & Usman, 2010). This allows an organization to exploit the skills and talents that the employees possess. To explain the impact of pay for performance among employees, various theories are imperative. First, cognitive and behavior theorists argue that reward theory is central in pay for performance scheme of compensation.

Employees are likely to repeat an action that yields them high benefits. Agency theory argue that firms and employees are distinct in the sense that the former aim at maximizing profits while the latter aim at maximizing utility.

Other theories include social comparison that projects that employees performance is relational to the opinions and information that they have about their abilities especially from their peers (Erdogan, 2002; Danish & Usman, 2010). Contingency and equity theories also provide insights in the way pay for performance method of compensation affects the employees.

The theories that relate to pay for performance are applicable to the contemporary business contexts. Reward theory serves to inform the managers on the choices they make on the appropriate way to compensate the employees. Social comparison theory assists them to anticipate the effect of pay for performance on the increase in productivity.

Agency theory on the other hand allows organizations to strike a balance between maximization of profits and utility for the employees and the firm (Danish & Usman, 2010). It is worth mentioning that pay for performance has immense benefits for an organization if well implemented.

References

Chen, D. (2011). Research of Performance Management on Chinese SME. International Journal of Business and Management, 6(4), 263265.

Chiang, F. & Birtch, T. (2008). Achieving Task and Extra-Task-Related Behaviors: A Case of Gender and Position Differences in the Perceived Role of Rewards in the Hotel Industry. International Journal of Hospitality Management, 27(1), 491503.

Danish, R. & Usman, A. (2010). Impact of Reward and Recognition on Job Satisfaction and Motivation: An Empirical Study from Pakistan. International Journal of Business and Management, 5 (2), 159167.

Edralin, D. (2010). Human Resource Management Practices: Drivers for Stimulating Corporate Entrepreneurship in Large Companies in the Philippines. DLSU Business & Economics Review, 19(4), 2541.

Erdogan, B. (2002). Antecedents and Consequences of Justice Perceptions in Performance Appraisals. Human Resource Management Review, 12 (2), 555578.

Galanou, E., Sotiropoulos, I., Georgakopoulos, G. & Vasilopoulos, D. (2011). The Effect of Reward System on Job Satisfaction in an Organizational Chart of Four Hierarchical Levels: A Qualitative Study. International Journal of Human Sciences, 8 (7), 485520.

Ghazi, S., Ali, R., Shahzada, G. & Israr, M. (2010). University Teachers Job Satisfaction in the North West Frontier Province of Pakistan. Asian Social Science, 6 (3), 188-192.

Gruman, J. & Saks, A. (2011). Performance Management and Employee Engagement. Human Resource Management Review, 21(5), 123136.

Ioana, S. & Raluca, R. (2011). General Considerations Regarding the Evaluation of Performances of Employees in a SME. Economic Science, 1 (3), 719722.

Pamela, F. (2012). Performance Management and Compensation as drivers of organizational competitiveness The Philippine perspective. International Journal of Business and Social Science, 3(21), 1-11.

For an organization to optimize its performance effectively, it is crucial to define the roles of HR within the organizational context, as it may influence the elements of the organization. Considered as a driver to the success of the organization, the HR profession covers both diversity and leadership aspects of success that varies considerably in all the levels of the organization.

The future of HR is a factor of creativity and innovation, which traditionally take place specifically and in a given sequential process to produce tangible results. Organizations are shifting from traditional methods of coining creativity to embracing the fact that it can come from anyone or anywhere. From this argument, job roles are no longer the only repository of creativity.

In addition, creativity is currently becoming ownership-based  meaning it can occur either in or out of an organization though in a non-sequential manner (Boudreau and Ziskin 2011). Today there is no much engagement between employees and the HR, which the article refers to almost impossible, especially for those in the profession of sciences and engineering. The future leaders in the HR profession should take notice however much they wish to safeguard the editorial power within the organizational context

Organizations are currently using internet techniques such as crowdsourcing to collect intelligence information to help in solving a wide range of issues. From these sites, the organizations get various solutions to the problems facing them even though the credibility of the answers given are questionable since some are given by those lacking adequate information.

These activities risk the future of HR as a profession and its effectiveness in an organization since most of the implementations that organizations perform were collected from social media.

Social media is also responsible for various changes of the hierarchy in workplaces, as most organizations prefer fetching information directly from the internet, instead of waiting for those in charge like the HR or any other person in senior management to give them directives (Boudreau and Ziskin 2011). Many organizations are willing to risk a lot in trying to bring change using social networking as a tool for communication and creating flexibility within the company rather than relying on HRs creativity and leadership techniques.

There is the need for future HR leaders to think and act properly past the traditional boundaries of their roles, which encourage them to migrate from programs that focus on traditional ways of suggesting ideas and encouraging new technological platforms. Moreover, they will need to address the factors influencing the definition and extraction of innovative culture through the identification of periods to encourage innovation within the organization.

If successful, employment value proposition may extend beyond employment, as most customers will view employees as an organizations extension. Embracing the reality of demands and mass customization ability will allow benefits from several choices. The evolutional challenge may occur due to the creation of a suitable employment brand, causing a dilemma in the identification of a brand with the highest impact (Boudreau and Ziskin 2011).

Therefore, future HR will have to acquire expertise in marketing tools and analysis of consumers behaviors in a bid to solve these dilemmas. The most important mission will be to break HRs traditional tendency of always preferring to standardization and similarity on the assumption that equal action is fair, hence the notion of sameness to segmentation.

Cited Reference

Boudreau J. W., Ziskin I. 2011. The future of HR and effective organizations. Organizational Dynamics 40(4): 255-266.

Purpose

Saudi Arabian Mining Company (Maaden) was formed in 1997 with the aim of facilitating the development of mineral resources in Saudi Arabia. Therefore, Maaden is involved in the mining business, which entails exploration, development, and production of minerals. Initially, the company focused on gold mining, but it has expanded its scope to cover aluminum, phosphate, and other industrial minerals.

Vision

To be a world-class minerals enterprise (Maaden: Saudi Arabian Mining Company par. 1)

Our mission

Champion the responsible development of the mining sector as the third pillar of the Saudi economy by maximizing the value of the mineral resources for our stakeholders and adopting best in class practices (Maaden: Saudi Arabian Mining Company par. 2).

Our core values

To achieve our mission and realize our vision, Maaden has adopted a set of core values, which reinforce a culture that fosters growth and development in all areas of our operations. The core values propel the company towards becoming an excellent enterprise coupled with achieving operational efficiency and sustainable development by considering social and environmental aspects. The core values include

• Integrity  We seek to act with integrity by maintaining the highest ethical standards in our interactions with all stakeholders.
• Care  Maaden promotes sustained care, which entails being fair to its employees, communities, and the environment.
• Teamwork  Our success hinges on collaborating with one another and all the involved stakeholders to achieve the set goals.
• Ownership  We take personal responsibility coupled with empowering others to achieve quality and ensure progress.

Our Business

As mentioned earlier, Maaden initially focused on the mining of gold, but we have widened our scope of operation to include phosphate and aluminum. Besides, the company is in the process of exploring other industrial minerals like magnesite, kaolin, caustic soda, and dichloride ethylene. The following is a breakdown of the companys businesses

Gold & Base Metals

The mining and exploration of gold and base metals are undertaken through Maaden Gold and Base Metals (MGBM), which is a subsidiary of the parent company. This subsidiary oversees six gold mines spread across Saudi Arabia.

Phosphate

This mineral is critical in the production of fertilizers and given the growing global population, food production should be enhanced to meet the surging demand. This understanding prompted Maaden to start the production of Diammonium Phosphate (DAP) and Monoammonium Phosphate (MAP). Currently, the phosphate business is run under Maaden Phosphate Company (MPC) and Maaden Waad Al-Shamal Phosphate Company (MWSPC). Maaden owns 70% of the MPC and the remaining 30% belong to Saudi Basic Industries Corporation (SABIC). Maaden, Mosaic, and SABIC own 60%, 25%, and 15% of MWSPC respectively.

Aluminum

The aluminum project falls under Maaden Aluminum (MA), which is a joint venture between Maaden and Alcoa. MA produces and supplies aluminum products to both local and international customers in the packaging, automotive, and construction industries.

Industrial minerals

Maaden has initiated different projects for the exploration and mining of different industrial mines including low-grade bauxite and kaolin, caustic soda, and dichloride ethylene.

The main customers

The companys main customers include local and international companies that deal with its products, which include gold, phosphate, aluminum, and other industrial minerals. Besides, the company sells finished products like DAP and MAP to the local and international agricultural sector. The aluminum subsidiary of the company targets customers in the construction, automotive, and packaging industries.

External factors that affect a company

Political factors

The political environment under which a company function shapes its operations. For instance, the government in a given region of operation may come up with different tax policies, trade tariffs, or incentives that affect how a company operates (Morrison 112). Besides, the political stability in the country or region of operation affects a companys performance significantly. In the case of Maaden, the Saudi Arabian government has been supportive of the company.

Maaden was formed through a Royal Decree and currently, the government owns 50% of the companys shares. In 2004, the cabinet passed the Mineral Investment Law, which facilitated the development of key infrastructures like railway and a port, thus facilitating the transfer of the companys products to the market (Maaden: Saudi Arabian Mining Company par. 11). Besides, the political stability in the country has been favorable, which creates an enabling working environment for the company.

Economic factors

These factors involve economic determinants that affect a companys operations directly or indirectly. Some of these factors include inflation rate, economic growth trends, foreign exchange rates, and interest rates among others (Morrison 119). For instance, a high inflation rate reduces the consumers purchasing power, which affects the pricing of goods and services together with revenue returns for the company.

The Saudi Arabian economy has been growing steadily over the years due to the availability of plenty of oil reserves in the country. With unemployment and inflation rates of 5.6% and 2.7% coupled with an annual FDI inflow of $ 8.0 billion, the economy can be said to be doing well (El-Katiri par. 19). Therefore, Maaden is likely to thrive under such circumstances.

Technological factors

These factors refer to technological innovations that can affect a companys operations in different ways (Morrison 120). For instance, the automation of services may increase profitability due to the efficiency and speed of accomplishing tasks. Technological factors are likely to bring positive effects to Maaden given its nature of business. For example, technological developments have assisted significantly in the exploration and mining of minerals for Maaden.

Environmental factors

Environmental factors play a key role in determining how an organization operates. Some of the environmental factors include geographical location, climate, and global weather patterns and changes among others (Morrison 120). In Maadens case, geographical location is one of the major challenges facing its operations. For instance, the development of the Central Arabian Gold Region (CAGR) was the main challenge for MGBM due to the remoteness of the area. Additionally, the area lacked a sufficient supply of water, which forced the company to make a 450km pipeline to ensure a steady supply of water. Such challenges slow down the operations of a company, which ultimately leads to reduced revenues.

Organizational structure

Maaden has a board of directors, which primarily oversees the overall strategies in place and the direction of the company. Currently, H.E. Eng. Khalid Bin Abdulaziz Al-Falih leads the board, which has nine members all working under a 3-year term. Eng. Khalid bin Saleh Al-Mudaifer is the current President and CEO of the company. Under the president are Senior Vice Presidents, which include Mr. Bruce Kirk, the Senior Vice President for exploration, and Mr. Tom Walpole, the Senior Vice President for Aluminum SBU.

Different vice presidents follow in the hierarchy, including Mr. Khaled bin Salem Al-Rowa, Vice President, Phosphate, Engr. Khalil I. Al-Watban, Vice President, Strategy and Development, Eng. Riyadh bin Saad Al Nassar, Vice President, Project Management and Engineering, Eng. Yahia Mohammed Al-Shangiti Vice President, Gold and Base Metals, and Engr. Khaled S. Alohali Vice President, Aluminum Strategy and Development. The vice presidents act as the general managers for each arm of the company. Mr. Darren Davis is the overall Chief Financial Officer. Under each branch of the company, the vice presidents have individuals working in the human resources and administration, finance, legal affairs, and supply chain among other departments.

The functioning of the organizational structure

Miles and Snow assert that effective organizational structure facilitates proper working relationships among the various sub-units in an organization to achieve the set objectives (73). For instance, the chief executive officer (CEO) or the President oversees the day-to-day decision-making process coupled with implementing both long-term and short-term plans to create the shareholders value.

In the case of Maaden, the President sits in the board of management and communicates with the Senior Vice Presidents and Vice Presidents to ensure that the company is moving in the right direction. On the other side, the human resources manager ensures that the organization recruits and retains the best employees for the execution of the set duties. Besides, HR managers come up with training and development strategies to ensure that the workforce is prepared to function optimally for maximum returns.

The Chief Financial Officer (CFO) manages the financial risks of an organization coupled with financial planning, reporting, and bookkeeping. CFOs ensure the financial health of a company and they report to the CEO directly. On the other hand, the supply chain managers plan and manage the movement of goods and services to the consumers and materials from suppliers. All units in an organization work in concert to achieve the set common goals (Miles and Snow 95).

Organizational culture

Connors and Smith posit that organizational culture is a system of shared assumptions, values, and beliefs, which governs how people behave in organizations (131). For instance, in Maaden, the organizations culture is governed by stipulated core values. Employees know that they have to ensure integrity, care, and teamwork in the execution of their duties. At Maaden, teamwork forms the core of the companys operations, as employees understand they have to work in teams to achieve a common goal.

This understanding creates a favorable working environment whereby workers perform optimally by appreciating that they form part of a system, which cannot function without the proper input from the different players. Second, integrity, which is an integral part of Maadens organizational culture, ensures that employees execute their duties ethically. This aspect prevents corruption and malpractices within the organization, which leads to optimal output.

HR activities support the organizations strategy

Recruitment and selection

Employees are the engine that propels organizations towards the realizations of the set strategies (Ulrich et al. 216). Therefore, the achievement of an organizations strategy is subject to the quality and effectiveness of the workforce. The HR department is tasked with the duty of ensuring that the right individuals join the workforce to execute the available tasks. The individuals skill sets should match available job positions. Maaden hires individuals with the capability and skills to support and foster their operations.

Training and development

Training and development are part of the processes involved in the prosperity and posterity of an organization. The HR department makes sure that the employees undergo continuous training and development to keep abreast of the changing and competitive business environment on top of ensuring optimal performance. Maaden has a training and development program for its employees. This aspect ensures that the workforce is prepared to face the challenging work environment in the mining sector, which requires creativity and endurance.

Performance appraisal and remuneration

The HR department ensures that employees are remunerated according to their performance, skills, and experience. Employees get into employment as a way of earning a living, which comes in the form of salaries. To hire and keep the best employees,

Maaden strives to ensure unparalleled job security, a high level of job satisfaction, strong relationships and teamwork, attractive remuneration and other benefits and attractive lifestyle opportunities (Maaden: Saudi Arabian Mining Company par. 8).

HR professionals support line managers and their staff

Department staffing

The HR professionals support line managers by ensuring that each department is staffed sufficiently. The HR professionals also advise the line managers on the different skill sets required for a certain job role in a given department.

Conflict resolution

HR professionals are trained on different and effective ways of resolving conflict in the workplace. Therefore, given the inevitability of such conflicts in different departments, HR professionals can help line managers in ensuring healthy working relationships amongst the employees. This aspect fosters teamwork, which leads to optimal performance.

Performance management

Performance is the key to the success of any department within an organization. Therefore, line managers need to monitor and appraise the employees performance within their departments. HR professionals come in handy to advise and assist line managers to ensure the maintenance of sound, fair, and consistent performance appraisals within different departments.

Works Cited

Connors, Roger, and Tom Smith. Change the Culture, Change the Game: The Breakthrough Strategy for Energizing Your Organization and Creating Accountability for Results, London: Portfolio Publishing, 2012. Print.

El-Katiri, Laura. Saudi Arabias New Economic Reforms: A Concise Explainer. Harvard Business Review 2016. Web.

Maaden: Saudi Arabian Mining Company. 2016. Web.

Miles, Raymond, and Charles Snow. Organizational Strategy, Structure, and Process, Stanford: Stanford University Press, 2003. Print.

Morrison, Mike. Strategic Business Diagnostic Tools  Theory and Practice, Durham: HLS Publishing, 2013. Print.

Ulrich, Dave, Jon Younger, Wayne Brockbank, and Mike Ulrich. HR from the Outside In: Six Competencies for the Future of Human Resources, New York: McGraw-Hill, 2012. Print.

Introduction

The term human resources (HR) in the organizational sphere refers to the manpower or workforce of an organization be it one that is profit oriented or non-profit. The term gained prominence in the 1960s and presently, it is used in almost all organizations worldwide. Human resource education refers to the teaching of human resource management which is actually the profession that handles employees issues and all key areas in the organization that deal with the interaction between people.

The reason why human resource education is important is that human capital is the most basic asset of any organization and its success is dependent on the motivation and zeal of employees to achieve set goals and objectives. Human resource education therefore has various aspects that can be said to relate to the motivation and welfare of workers.

However, this is not the only role of the HR manager. Other important duties include recruitment and ensuring that selection of employees complies with the local and national labor laws; keeping employees records; managing employee behavior; organizational design; industrial relations; running compensation and employee benefit schemes and training employees where necessary.

It is the first role of recruitment and ensuring legal selection methods that is relevant to this research. It is vital that human resource managers learn that the recruitment and selection processes of an organization have provisions in law especially on issues of discrimination. This research paper shall consider what the HR student needs to learn that pertains to legal selection and recruitment methods.

Discussion

Arnold (2004) states that there are several principles that must guide human resource managers when it comes to selection and recruitment of employees according to the law. These principles are; fairness, standardization, appropriateness and objectivity. Fairness is definitely the most important aspect in selection especially due to the provisions that the law has provided against discrimination.

In EEOC v. EchoStar Communications Corp. (2005), a jury verdict harshly punished the defendant company for overlooking the needs of a blind person during the recruitment process. The company had failed to acquire equipment that could be used by blind customer care staff and worse still, they had given him a Braille test that was three times bigger than the test they were giving to other applicants.

Using the case of EEOC v, EchoStar (2005) as an example, there is need for HR students to be taught the value of fairness in recruitment and selection. The principle of standardization enables the HR office to adopt a uniform recruitment policy which has been adopted by the organization for all selection and recruitment needs. Standardization of the process cushions the organization from the risk of allowing recruiting staff and managers to make arbitrary decisions.

Objectivity allows the HR manager to analyze situations rationally such that even where the law has not made a provision, the manager can tell what the right course of action should be. This would save the organization from any lawsuits that may arise from subjective-mindedness of the manager. Finally appropriateness helps the HR manager in deciding the right decision to make where there is an unclear situation during recruitment. The decision must be within the spirit of the law and must shield the company from any liability.

In educating HR students on the legal issues that come up in selection and recruitment processes; two contexts come up. First, there is the legal context that is obviously relevant to the discourse and then there is the issue of perception. While the legal context is quite clear on the issue of discrimination, negligent hiring and other unfair practices, the perception context is much more complex and students need to be sufficiently instructed on this topic.

According to Arnold (2004), HR managers seem to be ignorant of the relevance of learning the law and other legal aspects concerning hiring of employees. This is because of the high number of successful litigants all claiming from organizations for unfair or illegal recruitment practices. In 2003 alone, there were 81, 293 cases brought in the US all dealing with unfair selection practices.

Most of the cases were based on unfair hiring practices, lack of reasonable accommodation (such as the EchoStar case) and privacy issues. Privacy seems to have become a major litigation issue since employers usually require too much personal information from the applicants. It is therefore reasonable that HR students become aware of the areas of risk in recruitment and selection.

In the case of Staples v. Rent-A-Center, U.S. District Court for the Northern District of California (1999), Rent-A-Center was sued for having used two clinical instruments for an overall testing program in the recruitment of management candidates. The plaintiff was awarded damages of $2 million and the company forced to discontinue its screening methods. It was determined that a company does not need too much private information for a management candidate.

Conclusion

Human Resource is a major pillar in the success of any organization. It is however critical for a company to operate within certain confines so as not to expose itself to losses arising from court cases and the payment of damages for matters arising from the privacy of recruits. HR managers, therefore, need to be sensitive of the law and the manner in which they are perceived for the success of the company.

References

Arnold, D. (2004). Legal Issues in Employment Selection. London. Pearson Reid London House.

EEOC v. EchoStar Communications Corp. (2005). No. 02-CV-00581 Staples v. Rent-A-Center (1999) C 99- 2987.

Introduction

Business research is a wide area whose literature is overwhelming. It includes various sub-disciplines under business-like management, human resources, and marketing. Marketing, in particular, is facing a lot of dynamism especially with the increased competition among business entities in the twenty-first century. In research, research questions guide researchers.

Research questions can be defined as statements that identify and state phenomena to be studies. With the guidance of research questions, answers are sought on problems that are prevalent in the respective field of study concerned. There is an elaborate process that is to be considered when formulating research questions. This, therefore, underscores the importance of research questions especially in business research and particularly in marketing where principles need to be updated all the time to meet the ever-changing customer needs and demands.

This research paper will focus on the analysis of two articles; Theory and Research in Strategic Management: Swings of a Pendulum and The 2004 AMA Definition of Marketing and its Relationship to a Market Orientation: An Extension of Cooke, Rayburn, & Abercrombie. The main research questions in these articles will be examined and analyzed against the literature and empirical information that the authors have presented. Additionally, every identified research question will be subjected to a framework that is used to generate research questions. The research questions will then be analyzed to determine the type of innovation that they generate within their respective area of research.

Research questions

In The 2004 AMA Definition of Marketing and its Relationship to a Market Orientation: An Extension of Cooke, Rayburn, & Abercrombie the definition of marketing is especially given impetus. The entire article is full of literature that addresses various aspects of the definition of marketing. The main research question therefore in this article will be; what is the definition of marketing? Besides there are other aspects such as schools of marketing though whose literature and view seek to answer the question; what are the various schools of marketing though and how are they related to the definition of marketing?

An in-depth analysis and research is undertaken in the article Theory and Research in Strategic Management: Swings of a Pendulum. Especially given emphasis is the historical development of the field of business management and the numerous transformations that it had to go through. The main research question, therefore, the article addresses is; what are the origins and evolutionary aspects of the field of business management? Additionally, the issues of methodology have been given impetus in the article. Its therefore imperative to include the question, what are the main methodological ways that have been used over the years in the evolution of business management?

Lack of consensus on the real definition of marketing is the main theme in the article The History of Marketing Thought as Reflected in the Definitions of Marketing. An examination of the different meanings of marketing is undertaken through the various schools of thought in the field. Given the possibility of the meaning of marketing changing again with time, the main question, therefore, should be; what is the comprehensive meaning and definition of marketing and how has it evolved? Additionally, it will be prudent to include the question; which is the most appropriate school of thought through which consensus on the definition of marketing can be reached?

Research Questions and Empirical and Theoretical research Content (Synopsis)

What is the definition of marketing?

In The 2004 AMA Definition of Marketing and its Relationship to a Market Orientation: An Extension of Cooke, Rayburn, & Abercrombie, the three authors examine historical definitions of marketing in a bid to define and explore four main schools of thought of marketing. The theory and empirical research that is presented in the article seeks to suggest that a new school of thought that encompasses the stakeholder point of view be incorporated into the marketing schools of thought.

What are the various schools of marketing thought and how are they related to the definition of marketing?

The article highlights the four major schools of thought of marketing, that include, economic utility, consumer, societal and managerial viewpoints and schools of thought. Through the marketing schools of thought analysis, the question seeks to prove the point that the marketing concept has largely remained more or less the same while its definition has changed radically. It, therefore, calls for the incorporation of new viewpoints such as the stakeholder viewpoint.

What are the origins and evolutionary aspects of the field of business management?

The question aims at uncovering the humble beginnings of the discipline of business management to the more established discipline that it is in business and organizations today. The questions aim at addressing research on the core area of business management that is applied to strategic management that focuses on business concepts affecting the performance of the firm.

What are the main methodological ways that have been used over the years in the evolution of business management?

This question is used to determine the main methods used in the study of business management. Question especially leads to the review of the use of qualitative measures in determining a firms resources and the way they are used.

Framework for formulating interesting marketing research questions

Through the framework shown in the figure below, innovations in marketing research are realized. The process of researching, developing and commercializing an idea can be described as an invention (Mazzucato, 2000, p. 102). It revolves around the contexts of newness, changes, opportunities, creativity and value creation.

The method developed below has four types of innovation namely: incremental, radical, modular and architectural. A brief look into each one of them will be necessary for a better understanding of the type of innovation that the research questions discussed above generate.

Incremental innovation occurs when improvements take place at the component level only. The architecture of the components is left unchanged most of the time. There is refining and extension of established designs with improvements occurring in individual components while the prototypes remain the same (Leifer, 2000, p. 81).

Radical innovation, on the other hand, establishes entirely new and different designs. The concepts linking components are embodied through new architecture that has significant variation from the original (Shavinina, 2003, p. 67). There is a complete makeover of the structure.

Modular innovation changes the concepts of the original works while the relationship between them remains the same. The best illustration of this innovation is the introduction of digital television sets replacing analog ones. The core concept is the same only the relationship has changed (Beall & Beall, 2010, p. 23).

Architectural innovation modifies the architecture of the product while the components of the core design remain the same (Drucker, 2009, p. 190). There is a complete makeover of the structure but the vital organs that make it remain the same with little or no differentiation.

Incremental and modular changes are also referred to as evolutionary changes while radical and architectural changes are referred to as revolutionary. The references represent the magnitudes of changes that take place in each within each type of innovational change (Drucker, 2009, p. 191).

According to Hague, the innovations described above can be looked at from numerous perspectives depending on the subject matter under study (2002, p. 83).

Research questions and Innovation Framework

What is the definition of marketing?

There are both incremental and architectural innovations represented through this question. According to the article, the definition of marketing has radically changed while the concepts have remained the same. Marketing has remained and will remain the same in the foreseeable future. However, according to Cooke, Raybum and Abercrombies (1992), there needs to be changes that will reflect the current thinking and that conforms to the new environment that is as a result of the 21^st business innovations and developments. Its however important to note that the authors operate on the premise that the basic principles of marketing dont need to change. They have not changed at all like definition has.

What are the various schools of marketing thought and how are they related to the definition of marketing?

An analysis of the existing schools of thought in marketing reveals the need for an addition of another one. The various viewpoints that support the establishment and existence of the schools of thought have evolved and added as need be. They have reflected the evolution of the discipline. The suggestion therefore that another school of thought that is supported by the stakeholder viewpoint reflects incremental change. The addition of the new viewpoint essentially means that an improvement of the components is necessary. However, the architecture of the marketing concept and the schools of thought remain the same. Additionally, there is modular innovation in that the relationship between the components remains the same despite the development of new ideas.

What are the origins and evolutionary aspects of the field of business management?

This question dwells on the historical perspective of the field of business management. The research literature presented shows an architectural innovation in the field. The field has gone through drastic changes in industrial organization in economics to a swing back to the organization of the firm. Additionally, the methodologies used to study the discipline have drastically over time. However, despite the changes in the components of the overall business management, the overall components remain the same. To a limited extent bits of radical innovation can be identified as evidenced by the back and forth swings in terms of management.

What are the main methodological ways that have been used over the years in the evolution of business management?

There is an evolution of methodology in the field of business management. According to Hoskisson et al, 2005, over time there has been a need for the development of methodologies that support empirical research in business management. This is in response to the need to satisfy the requirements of creating concrete concepts in the field. The shift from theoretical to mathematical orientation, especially in the economics bit of business management, represents a radical shift in innovation. Its important to note that the shift has borne fruit as evidenced by the development of empirical concepts.

Conclusion

When looked at in detail, the types of innovation covered above explain the changes that have taken place in the disciplines discussed. There are many more research questions that could have helped uncover the innovations. However, the ones dealt with here provide a summary in a big picture of the changes that espoused by the innovations.

References

Beall, E.A. & Beall, E.A. (2010). Strategic Market Research: A Guide to Conducting Research. London: Sage Publications.

Drucker, F. P. (2009). Innovation and Entrepreneurship. NY: Cengage Learning.

Hague, N.P. (2002). Market research: a guide to planning, methodology & evaluation. NY: Routledge.

Leifer, R. (2000). Radical innovation: how mature companies can outsmart upstarts. Berlin: Springer.

Mazzucato, M. (2000). Firm size, innovation, and market structure. London: Thomsons learning.

Shavinina, V.L. (2003). The international handbook on innovation. NJ: Infobase Publishers.

Introduction

Corporate social responsibility (CSR) has often been left to the marketing department. However, the human resource department has a very active role to play in CSR. Cooke (2011) explains that many managers are of the opinion that HR managers should not be involved in activities that touch on leadership. However, there are scholars who have linked the two concepts. This essay analyses the relationship between human resources and corporate social responsibility. In addition, it highlights the importance of CSR to a company.

The Role of Culture

One of the issues that link human resources with corporate social responsibility is culture. Organizational culture determines whether the company will be successful or not. The culture is created and spread by people, and the human resource department is responsible for the people who work for the company. Grimshaw, Rubery, and Almond (2011) argue that HR can determine the organizational culture by hiring the right people for the company. This can be done by aligning the personalities of the employees with the culture of the company (Shen 2011). For example, if the company likes the 8 AM to 5 PM culture, then all employees should agree with this culture. Any employee who describes himself or herself as a nocturnal will not fit in the company.

Guest and Woodrow (2012) also add that leadership links HR with CSR. HR chooses people for every job position in the company. If there is a vacancy in the company, then it is up to HR to determine the best candidate for the job. Kotler and Keller (2009) assert that HR affects leadership through the selection of leaders. CSR, on the other hand, affects leadership. Gond et al. (2014) explain that CSR builds on the public image; the way people look at the company. In turn, the public image reflects on the leadership of the company. If the image is good, then people will believe that the leaders in the company are good. In fact, potential employees will want to join a company that is perceived to have good leadership.

Strategic Goals and CSR

A third factor that can be cited is the companys strategic goals. Both CSR and HR affect the strategic goals set by the company. Caldwell et al. (2011) reveal that HR is regularly consulted in the drafting of strategic goals. These are guidelines that allow the workers to work in a particular direction, which fulfills the stakeholders desires. In the same breath, CSR allows the company to achieve its goals (Yang, Colvin & Wong 2013).

At this juncture, it is important to highlight the importance of corporate social responsibility. The biggest advantage is that CSR creates a magnificent public image for the company. This image is then used to lure clients and more business, thereby adding more profits for the company. In addition, CSR allows the company to interact freely with the public. Thus, it can fit the expectations of the customers into the companys strategic plan.

Conclusion

In conclusion, HR and CSR have a strong connection. There are scholars who argue that HR should not be involved in detailed corporate activities. However, it is almost impossible to separate the two. Three major components link the two concepts. These are leadership, strategic goals, and culture. Whereas the HR chooses leaders, CSR ensures that the leaders stay on top. On the other hand, CSR helps the company realize its strategic goals while HR facilitates the realization of the set goals. Lastly, CSR develops the culture for the public, whereas HR determines the organizational culture.

Reference List

Caldwell, C, Truong, DX, Linh PT, & Tuan A, 2011, Strategic human resource management as ethical stewardship, Journal of Business Ethics, vol. 98, pp. 171182. Web.

Cooke, FL 2011, Social responsibility, sustainability and diversity of human resources, In AW Harzing & AH Pinnington (Eds.), International human resources management, 3rd ed., Sage, London. Web.

Gond, J, Igalens, J, Swaen, V, & El Akremi, A 2011, The human resources contribution to responsible leadership: An exploration of the CSRHR interface Journal of Bussiness Ethics, vol. 98, pp. 115132. Web.

Grimshaw, D, Rubery, J, & Almond, P, 2011, Multinational companies and the host country environment, In: AW Harzing & AH Pinnington (Eds.), International human resources management, 3rd ed., Sage, London. Web.

Guest, D. E, & Woodrow, C, 2012, Exploring the boundaries of human resource managers responsibilities, Journal of Bus Ethics, vol. 111, pp. 109119. Web.

Kotler, P, & Keller, KL 2009, A framework for marketing management (4th ed.), Prentice Hall, New York, NY. Web.

Shen, J 2011, Developing the concept of socially responsible international human resource management, The International Journal of Human Resource Management, vol. 22, no. 6, pp. 13511363. Web.

Yang, N, Colvin, C, & Wong, Y 2013, Navigating corporate social responsibility components and strategic options: the IHR perspective, Academy of Strategic Management Journal, vol. 12, no 1, pp. 3956. Web.