HUMAN RESOURCE MANAGEMENT ASSIGNMENT Essay Example | Topics and Well Written Essays - 2500 words

HUMAN RESOURCE MANAGEMENT ASSIGNMENT - Essay Example This ensures commitment of the staff in achieving company objectives leading to improved performance and productivity and consequently profitability and competitive advantage for the firm. Banco is a medium sized bank with over 300 branches and operates 24hours, seven days thus making its HR function complex. It faces stiff competition from other companies and needs to fulfil the needs of increasing customers prompted by rapid development in service industry of two nearby towns. Being located in an area of low unemployment, Banco needs to formulate policies and strategies that ensure employee retention. Banco policies are formulated at the head office and imposed on the branches despite the difference that exist in different localities and therefore do not consider diversity and cultural issues when making decisions. The management is bureaucratic in nature as no communication channels are available for the staff to communicate with senior administration except through union represen tatives. The company has training and development policy whereby responsibility is put on team leaders. The recruitment policy entails external recruitment by agencies and at the headquarters. Team work is encouraged and performance is measured through set targets which are supposed to be accomplished individually and through team work. The overall goal of the organization is to ensure quality services so as to retain customers and remain competitive in the service industry. Despite all these measures, its HR policies and procedures is not effective leading to labour turnover, absenteeism and declining profitability. The paper will discuss the various HR issues in the bank and appropriate recommendations to ensure the bank achieves its goals. Human Resource Issues and Recommendations Management One of the problems facing Banco is the manner in which it is managed. It is evident that all policies and procedures are formulated at a headquarters and implemented on other branches. The s trategies may be applicable in one branch but not the others due to cultural diversity. For example the rewards given to motivate workers are viewed differently by different individuals and cultures; some appreciate monetary rewards while others may appreciate non monetary rewards such as promotion so as to climb the social class. The local managers are not involved in formulating the policies and therefore they are not committed to implement the same in order to achieve results. The management team is also inexperienced and therefore cannot handle employees at the call centre if they themselves are not confident. The management also does not communicate directly with the staff but does so through the trade union and therefore may not realise the problems the employees are facing and handle them in order to gain loyalty and commitment. Banco can change its management techniques in order to achieve its objectives. It should appreciate diversity at workplace and hence involve local br anch managers in formulating policies and give them autonomy to formulate some policies at branch level in accordance with local needs. This is important in getting the local managers to feel they own the decisions thus are committed to achieving the company objectives. The managers also have knowledge of the area in which the call centres are located and are close to the customers