Mid Lancashire Automotive Limited

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Introduction

All businesses have diverse internal organizations with multiple functions. Internal organizations comprise the entire business and they work collaboratively to ensure that the business thrive in the competitive environment. The performance of a specific organization determines the performance of the business as a whole. This grants every business its analogous advantages as well as the benefits from the market.

The human resource management team is an indispensable internal organization of the company and it has a core responsibility of maintaining the employees. For instance, it operates under the principle that value work as well as the interests of the employees. Therefore, the human resource management team engages in activities like performance appraisal, training and staff recruitment.

Besides, it deals with matters concerning the health and the safety of the employees. Similarly, this team is crucial for Mid Lancashire Automotive limited because it has a responsibility of ensuring that workers are physically, mentally, socially and emotionally well via addressing their grievances and ensuring that a good working condition exists in the company.

Since the human resource management team is critical in the organization, it should promote employee development regarding not only job performance but also effectual communication and interrelations.

Therefore, this paper is a report about the human resource management strategy of Mid Lancashire Automotive limited to enhance the growth of the company as well as the development. Besides, the proposal of the short-term and the long-term strategies will take place including the recommendations on the implementation of the strategies.

History of Mid Lancashire Automotive limited

Mid Lancashire Automotive Limited came up through the merging of Halecar and Mid Lans Automotive. The company manufactures automotives because this is what each individual company used to do. Besides, the company sells its vehicles to various countries like the European and America. Therefore, it purpose to produce high quality automobiles so that it gain a market share in the competitive business environment.

To begin with, most of Halecar Company employees are male with low skills. Moreover, the company has a managing director and his personal assistance who deal with personnel and industrial relation issues. For instance, the personal assistance keeps the employees records while the managing director publishes the company’s rules and procedures.

On the contrary, the Mid Lans Automotive employs people of all sexes in approximately the same ratio. The employees’ roles range from technical, professional and managerial. For instance, it has a human resource controller whose duty is to implement procedures and policies. It also has a managing director and a health and safety officer who ensure that the environment is safe for people to work.

Therefore, the manager of the Mid Lancashire Automotive Limited is the manager of the Mid Lans Automotive while the chairperson is the manager of Halecar Company. The mission of the company is to be the market leader in automotive products. Therefore, its new business strategy is to maintain the superior quality 4 X 4 car while concentrating on market exploitation through cost reduction

The current strategy problems of Mid Lancashire Automotive Limited

From the case study, the Halecar Company has few employees in relation to the market share and the world influence. Additionally, they do not possess the basic skills required for someone to produce a quality piece of work. According to the information and technology department, there is a high staff turnover, which the company has not addressed because the company does not have a human resource management team.

Additionally, the company recruits via words of mouth and it does not a have a powerful workers union to fight for the rights of the workers. Lastly, the workers health and safety is not a matter of concern because the company does not have occupation health worker who will ensure that the working environment is safe and workers are healthy.

On the other hand, the Mid Lans Automotive Company has a tough management system that threatens workers and as a result, many workers have resigned. Additionally, the Company lacks a free relationship between workers and the managers as well as among the workers.

For instance, the company does not have an established transport and the workers union. Additionally, the company imposes strict punishment on those who go against the organization policies and procedures.

Since Mid Lancashire Automotive Limited result from the merging up of the two companies, it face the above problems because it has the same personnel who were in the two companies. Therefore, the Mid Lancashire Automotive Limited experience problems concerning the workers, the management and the working environment.

Through identification of these issues, the human resource management team will present suggestion on the suitable human resource strategy to facilitate the company growth and the development as well as its mission of getting the largest market share in a competitive business environment.

Human Resource Management

According to Wood (2009), human resource is a term that refers to the policies and the procedures that relate to the management of the employees of an organization. The policies and the procedures regard the activities that motivate workers to perform well and increase the output while reducing the cost.

Some of these activities are workers appraisals, rewarding workers, creating a safe environment for the workers as well as workers training and development.

Wilkinson et al (2009) state that human resource management focus on organization and the employees’ needs. As a result, the organization has a challenge of creating an organization where the workers can develop fully. As the human resource aspires to make the organization succeed, it focuses at creating strategies for the whole organization that clarify the current and the potential problems.

Besides, it develops solutions for both problems. Ulrich (2008) argues that it is hard for an organization to succeed without efficient and effective human resource management activities. Therefore, the human resource management team should develop actions towards the employees, the world market and the future.

In order to maintain and to implement a balance between the objectives of the employees and the objectives of the organization, the human resource management team of that organization should be proficient (Srinivas, 2007).

Additionally, if the human resource management want to contribute to the goals of the organization, it should integrate planning and the decision making process. This is achievable through implementation of the short-term as well as the long-term strategies.

The short-term strategies

In an organization, strategies are channels through which the organization moves from the current position to the position that it desire to be (Sadler et al., 2009). For that reason, short-term strategies support the strategic areas that include the people, the resources, the partnership, the policy and the leadership.

Therefore, the human resource management team of Mid Lancashire Automotive Limited needs to concentrate on these areas. This will enable the company to triumph in a competitive business organization.

The people

Nelarine (2000) explains that people are valuable asset of an organization. This is because through them an organization achieves its mission and vision. Therefore, an organization should strive to ensure that the needs of the workers receive attention.

In the Mid Lancashire Automotive Limited, the problem of the employees is on the verity that they do not have adequate training and information about their work. For instance, the company employs inexperienced people via a word of mouth. Moreover, the employees have an obnoxious attitude towards their leaders.

Concerning the above problem, the company strategy is to ensure that employees access the training and the development opportunities. Mabey et al (2003) states that training of the employees enables them to acquire the necessary skills that help them increase their performance thus producing quality products. Hence, the company should organize for on job training and outside the job training.

Training, help workers advance on the knowledge that they already have as they learn new ways of doing things (Lepack et al., 2008). Therefore, workers with experience should teach new workers how to perform activities in the best way. On the other hand, managers should organize for outside job training where workers go for seminars or conferences and learn how different organizations perform their activities.

Another strategy that addresses the people problem is the development and maintenance of a performance management system. Performance management systems ensure that there is effective and efficient interaction between the employees and the management (Kerzner, 2009).

The free interactions decrease the obnoxious attitude that the employees have towards their managers. For example, monitoring and evaluation is an example of such system. Through the monitoring and evaluation process, the employees interact with the manager as they analyze the company activities while proposing the way forward.

Lastly, the company must strategize on the ways of meeting the employees demand through rewards and formulation of a framework that satisfy their career as well as their personal development. According to Hoskison (2005), rewards motivate workers and increase their working ability resulting to a successful organization.

Therefore, an organization should learn to reward its employees through recognition and remunerations. On the other hand, the company should formulate a framework where workers have a study leaf so that they concentrate on advancing the knowledge and skills that they have. Additionally, the company can give employees some amount of money to facilitate their study.

The resources

The Mid Lancashire Automotive Limited must be in a position of allocating the resources effectively. This is because effective allocation of resources ensures that the needs of the company receive satisfaction (Graeme, 2005).

Therefore, the company must include strategies like identification of priority functions in line with the company objectives, the plans and the services. For example, the company can focus on increasing the output while reducing the cost through effective supply and management chain.

Another strategy is to develop the employees’ engagement in delivery of services via promotion of a working environment that is safe and healthy. According to Gareth (2009), people work best when they know that they are free from the risk of any hazard like accidents, fire, injury and explosion.

Hence, the Mid Lancashire Automotive Limited need to employ sufficient health and safety workers who will cater for the employees needs. The health workers may include doctors, nurses and occupation health specialists.

The partnership

Partnership entails establishing a good relationship with the suppliers (Duane et al., 2010). A good relationship is imperative because it helps the company get supplies at affordable prices and this lead to production of products that most customers can afford because the prices are low.

Therefore, the Mid Lancashire Automotive Limited must strategize by developing a policy that facilitates a free interaction between the company and the suppliers.

The policy

The broad policy of Mid Lancashire Automotive Limited requires improvement. Additionally, it must include a variety of aspects like employees training, the managers as well as the employees’ development, budget allocation and employment as well as the recruitment of the human resource management team and safety health workers.

Policies and procedures give a company a direction of how it should achieve its mission and reach its vision (Drucker, 2008). Therefore, companies should have policies and procedures that govern their activities.

The Mid Lancashire Automotive Limited must guarantee the safety of the employees via a policy that endorse paramount practice. Secondly, the company must ensure that everyone in the company is familiar with the policies.

Dowling et al (2006) explains that people can only follow and adhere to something that they know is of benefit to them. Therefore, the company should make an effort of teaching everyone about the policies, their meaning and their implementation. Finally, the company must monitor the implementation of the policies to ensure that they facilitate the achievement of the company mission and vision.

The leadership

Dale (2007) explains that effective leadership style is a key factor in the success of an organization. The predicament concerning leadership is on the reality that the managing director of Mid Lancashire Automotive Limited lack employee management skills.

Due to this problem, a variety of proposal can improve the skills of the managing director. For instance, the company should ensure that the human resource management leaders have knowledge, skills and support to enable them achieve their responsibilities.

Furthermore, leaders can improve their effectiveness through full involvement in the organization activities (Bohlander et al., 2005). Therefore, Mid Lancashire Automotive Limited must make certain that leaders develop as well as deploy the company objective by organization plans and engagement in the measurement, review and improvement process. These processes help leaders to notice their mistakes and rectify.

According to Backer (2007), effective communication allows free interaction between the employees and the managers leading to collaborative and coordinated work resulting to the achievement of the organization goals and objectives.

As a result, the Mid Lancashire Automotive Limited must promote a free communication that flows vertically, horizontally and diagonally. This means that the managers can communicate freely with the employees and vice versa thus facilitating easy resolution of any problem that can interfere with the mission and the vision of the company.

Finally, Bohlander et al (2005) states that research is a vital element in organizations and organizations should strive to research on relevant issues that affect them. Thus, Mid Lancashire Automotive Limited must research on the best management practices.

For instance, it can research on leadership style, management systems as well as resource management. This research will help the company improve on its leadership style leading to triumph in a competitive business environment.

The long-term strategies

Dale (2007) states that long term strategies and plans help an organization to remain on the road of achieving its vision. In response to Mid Lancashire Automotive Limited’s new strategy of production of cars that gain the largest market share, formulation of a variety of long-term plans must take place.

As a result, the strategy must include development of skilled employees. This is because people with the required skills will always produce quality products using minimal resources.

Moreover, the company should provide counseling services that address the employees’ issues and grievances. This is because people work best when they know that they are valued (Dowling et al., 2006). For instance, if an employee has a conflict with the management process and the human resource management resolves the problem, the employee will be motivated to work hard and produce more.

People usually strive to meet their physiological needs before satisfying other needs (Drucker, 2008). Therefore, Mid Lancashire Automotive Limited must uphold the healthy living of the employees both on the job and outside the job.

The company can achieve this through employment of health and safety workers who will provide the health services to the employees. Additionally, the company can provide a health insurance cover to the employees as well as their families.

Finally, the Mid Lancashire Automotive Limited must ensure that its employees always have current news about the company. This is because information empower people with knowledge and skills of performing activities in different ways that are effective and efficient (Duane et al., 2010).

Therefore, the company should develop strategies of empowering its employees. This may include creation of newsletters, emailing the employees, writing letters or organizing for meetings and conferences.

Recommendations

Mid Lancashire Automotive Limited can implement the above strategies via formulation of goals and objectives. Through identification of the problems, the human resource management team can come up with the solutions. For instance, motivated employees always possess drive to produce more (Gareth, 2009).

As a result, to enhance the employees’ motivation, the Mid Lancashire Automotive Limited must implement the reward and recognition system. Moreover, the company must have appraisal systems that measure the performance of the company.

This is because if an organization is aware of its problem it will solve it and move forward (Graeme, 2005). Therefore, the company should train its workers so that they know their expectations as well as their task.

Additionally, the implementation of the proposed strategies can be through redesigning of the jobs. According to Hoskison (2005), some people get tired and loose psyche when they do the same things repeatedly. As a result, Kerzner (2009) developed a model that link a task to a job as well as the procedures of performing the task. This model helps to improve the employees’ motivation and performance.

Moreover, this process entails scientific management of work, job rotation, enlargement and enrichment. Job rotation involves shifting people from one job to another so that they do not get tired of the same activities. On the other hand, enlargement is provision of more tasks to the employees to make work interesting.

Finally, enrichment gives employees control of their work making them responsible and accountable. As a result, the Mid Lancashire Automotive Limited should adapt the above approach in order to increase the employees’ motivation.

Furthermore, excellent motivation will help the human resource management team to implement other plans that will help the company develop. For instance, motivation improves the communication within an organization hence facilitating achievement of objectives and goals (Lepack et al., 2008). Hence, Mid Lancashire Automotive Limited should motivate its workers.

This motivation will facilitate easier initiation of leadership training as well as employees’ development conferences. These strategies allow the managers as well as the employees to have an equal chance of gaining knowledge. Additionally, the Mid Lancashire Automotive Limited managing director can put his knowledge into practice during the training.

Furthermore, while addressing the issues affecting the Mid Lancashire Automotive Limited, the human resource management team should concentrate on enhancing employee communication. This is because communication is the only means that help people relate with each other as they solve the conflicts that occur in the process of their relationship (Mabey et al., 2003).

Thus, communication is a vital element in an organization and it helps the company to solve conflicts. On the other hand, the company can improve employee performance through improving their attitudes via training as well as the self-improvement conferences (Nelarine, 2000). This training helps the employees and the managers to improve the bond that subsist between them.

Finally, in order for the Mid Lancashire Automotive Limited to fulfill its strategy of gaining a large share of the market, the company should concentrate on improving the policies, the leadership as well as the employee management. This will help the company to handle many employees in future.

Concerning the business strategy of the Mid Lancashire Automotive Limited, the company should develop an information system that will advance its technology as well as facilitating effective communication. Excellent information system is mandatory for effective running of an organization (Sadler et al., 2009). Hence, effective information system will help the Mid Lancashire Automotive Limited to function effectively.

For instance, the company can introduce the products as well as the services to the customers via development of the website. This will increase the popularity of the company’s products and services. Besides, the company can sell its products to the customers through the website. Additionally, technologies allow companies advertise their products (Srinivas, 2007).

This is important to the company because through advertisement it will improve the sale of the products thus an increase in the profit margin. Finally, an effective information system will allow employees to communicate easily with each other regarding work or any other arising matter. Therefore, effective information system will help Mid Lancashire Automotive Limited survive in a competitive business environment.

Conclusion

The Mid Lancashire Automotive Limited is a company that should concentrate on improvement and the development of the human resource management team. The focus on the human resource management team will help the company succeed.

For example, the short-term strategies will help the company concentrate on the development of employees, the development of policies, improving communications as well as proper allocation of resources.

On the other hand, the long-term strategies will help the Mid Lancashire Automotive Limited concentrate on improvement of the company and increasing the profit margin. Finally, the company should maximize on the use of technology so that it triumph in the competitive business environment.

References

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