13 Pages
3295 Words
Introduction To HRM Challenges and Strategies at Joista Farm: A Case Study Analysis
Human resources management of company focus towards creating policies and strategies that assists in acquiring, influencing and retaining employees within an organisation. This helps firm in making optimum utilization of resources and helps in reducing overall cost of the organisation. This report is based on case study of Joista farm that aim at providing high quality product by using suitable approach. This report will also discuss on various HRM challenges and issues that has been faced by the firm and its impact on overall working of employees and organisation. This report also includes various theories and models which company is using in its operations considering both positive and negative impact. It will also consist of recommendation regarding models that company should use for improving its HRM efficiency.
Challenges/Issues
Josita Farm's strategic goals and objectives:
Goals and objective of Josita farm is related to provide online platform that aim at high quality farm based product to consumer. Company has been focusing towards creating a community that aim at connecting various stakeholders and concentrated towards using sustainable & environment protected activities.
Josita farm HRM challenges and Issues:
Emphasis has not paid towards conducting appropriate training & development session which creates issues in improving efficiency of employees (AlDhaheri et al, 2023). Work life balance has been ignored which results into increasing burden on employees that further leads decrease in satisfaction level. Firm has also faced challenges in managing operation efficiency.
Impacting company productivity and performance:
Organisational productivity has been reduced as employees are dissatisfied with current polices leading to increases in customer complaints. It has been determined that company is facing difficulty in balancing growth and retention of employee's resulting into decreasing operational efficiency of an organization.
Impact on employees' productivity and performances:
Engagement of employees in the organization has been reduced which indicates decreasing trend in employees satisfaction level. Productivity level of workers has diminished as training and development sessions have not conducted leading to decreases in their efficiency in carrying out their task.
HRM Models, Theories And Concept
HRM recruitment, selection model, theories and concept:
There are various theories and model that has been used by Joista farm in effectively carrying out its operation. Some of theories and concept used by Josita farm are as follows:
- AMO: This theory pays emphasis towards needs of providing 3 ways which helps in improving overall performance of the employees (AMO theory of HRM, 2023). This 3 element are concentrated towards developing ability of the employees, motivating them and providing sufficient opportunity for their betterment. Three components of theory can be understood by following points:
- Ability: Josita farm is focusing towards using online platform to deliver its goods it requires company to hire employees that are having effective skills. For effectively carrying out this process company should focus in conducting training & development session that assist in improving their capabilities.
- Motivation: Josita farm has faced various challenges during Covid time that includes growth of business, increases in demand, investment towards new technology and increases in number of worker (Alfaouri, Mat and Padlee, 2021). Company should focus towards providing various motivational incentives to worker for reducing the rate of employees' turnover. This involves allocating financial benefits, recognition, development sessions etc.
- Opportunity: This includes provide scope and opportunity to employees for their personal development. Josita farm is aimed at conducting online meeting at the time of pandemic that assist employees' in clearing their doubts. This also involves providing opportunity to visit farm and identify the working of organization which leads to enhancing knowledge of employees.
Human capital theory: This theory is related to investing in employees and human resources of company to enhance their capability. This is related to decide on the benefits that company is going to enjoy by investing in the training session and how it will benefit in overall profitability of firm. It has been determined that Joista farm is able to attract and hire new employees and the workforces' increase to 300 workers at time of Covid (Cui and Yu, 2021). For developing their human resources company should target towards conducting various training & development session which helps in improving overall skills of employees.
Michigan framework: This theory of HRM is related to increasing the efficiency of employees that assist in maximising overall working of the company. For improving efficiency of the employees, training & development session should be conducted by organisation which helps in enhancing existing skills and developing new skills within workers. Josita farm has provided opportunity to its employees to work with existing worker that aims at making him aware of rules and regulation. Development session should be provided various times in year which helps in improving efficiency of worker and result in overall increase in performance of company.
Effect on behaviour of employees:
Joista farm has successfully implemented this theory in their operation which is impacting Working of employees. These theories have created both positive and negative impact on employee's behaviours. Some o the impact is as follows:
Positive Impact:
- Improve satisfaction of employees: All these theories has targeted towards improving motivational level of employees that assist in improving overall satisfaction level of the workers (Faggian, Modrego and McCann, 2019). This has been achieved by providing various financial and non financial incentives to employees.
- Improving efficiency: Josita farm have paid emphasis towards conducting training and development session to its employees. This helps in learning and developing new skills that support in increasing overall efficiency of employees.
- Encourage employee's engagement: These theories are focusing towards providing opportunity for overall development of employees. This leads to creating positive working environment resulting in improving employee's engagement within organisation.
Negative impact:
- Avoiding personal goals: Training & development session are provided according to objective of firm. This leads to ignoring personal objective of employees resulting into creating dissatisfaction among them.
- Lacking humanist edge: As the work increases, company forces its employees to work extra time. This leads to reduction in motivationl level of employees and overburden leads to decrease in work efficiency.
Effect on Josita's farm performances:
These theories have created both positive and negative impact on overall functioning of the organisation. Some of their impacts are as follows:
Positive impact:
- Increases in employee's retention: Josita farm has provided various type of training session to employees that help in increasing their satisfaction level (Ferrarini and Curzi, 2023). They also concentrate towards implementing retention strategies leading to lowering employee's turnover rate.
- Quick adaptability: Resistance to changes by employees has been reduces as employees are trained in a way which helps them in effectively adapt to changing environment. This helps company in planning and implements new strategies easily.
Negative impact:
- Increase in expenses: Implementing these theories requires firm to focus towards conducting various session that results in increases overall cost for firm. This impact on the financial position of company and creates issue in efficiently carrying out its operations.
- Decreases in operational efficiency: It has been identify that demand for company's products has increased that results in increases in burden for employees (Kinnie and Swart, 2020). This pressure creates dissatisfaction among employees leading to reducing overall operations efficiency of firm.
Analysis
Assessing the suitability of HRM model, concept and theories:
Josita farm has used different model in diffident circumstances to gain effective outcomes form the theories and concepts. Suitability of Human capital, Michigan and AMO theory are as follows:
AMO theory:
This has been used by company to establish cause and affect relationship between HRM strategies and organizational performances. Joista farm has used this to motivate employees which will help in increasing overall organizational performances (Knowles et al, 2019). This also assists company in providing opportunity to worker that helps in their overall development.
Human capital theory:
This theory is implementing by the company to increase overall performance of employees that helps in enhancing productivity. By using this theory company would become able to predict the benefit which firm is going to enjoy through incurring cost. This theory is used when firm is concentrated towards developing human capital for increasing overall productivity and profitability of firm.
Michigan framework:
This framework is being used by company while deciding on the training and development session that needs to conducted within organisation (Larson et al, 2019). This helps company in determining appropriate training session that helps in increasing efficiency of worker under set budget.
4.2 Positive impact of theories on recruitment, employee's engagement and organizational cultures:
AMO Theories;
This theory helps in improving employee's engagement by creating an optimum working environment. This helps firm in developing their capability by determining them measures by for achieving organisation objective. Firm has provided them opportunity to grow by providing training related to customer retention at time of Covid. For increasing retention of employee's motivational incentives has been provided leading to reducing employee's turnover rate.
Human capital theories:
Productivity, sales and profit of Josita farm has been increased by implementing this theory in their operations. It has been identified that company is able hire talented and skilled worker within its firm that helps in increasing overall efficiency of organization (Marginson, 2019). By using this theory Josita farm can increase the satisfaction level of employees as this ensures the growth and development of each worker. Implementing this theory helps in enhancing organizational culture by valuing human resources within firm. This creates sense of belongingness among workers lead to higher retention rate and employees engagement.
Michigan theory:
This theory helps company in creating competitive edge in market by developing skills of employees. This theory is related to maintain employee's engagement with firm by providing them effective growth and development opportunities. This theory helps in effective human resources management by conducting training session that will help in satisfying needs and wants of employees. This theory is being used by firm for making employees familiar with new technology, acquiring more employees and decreasing resistance of employees. Josita farm is creating competitive edge by determining the demand of healthier and sustainable product and work towards fulfilling the same.
Negative impact of theories on employee's engagement, recruitment and organisational cultures:
AMO theory:
This theory is not effectively implementing by company that result in increasing turnover rate within firm. To increases ability of worker firm is targeting towards providing same session to each worker results in ignoring their personal objective (Mia et al, 2022.). As the company started growing then the emphasis towards employee's welfare has been avoided. Firm has started pressurising its employees for extra work and did not provide strategies to create balance between work and life of employees. This results in increases in dissatisfaction among employees resulting in reducing rate of employees retentions.
Human capital theories:
It has been identified that company has received client complaints for the first time and the operational efficiency of organisation has been reduced. This indicates inefficiency of Joista farm in adequately and effectively implementing human capital theories in their operation. Operational efficiency has been decreased as manager has not focus towards ability of employees and burdens them with extra work. This has also identify that working hours of employees has been increased leading to decreases in their satisfaction level results in reducing overall motivation of workers. It also creates negative impact on reducing employee's engagement and cross department communication within entity.
Michigan Framework:
This theory includes training session according to needs and objectives of employees. Manger in Joista farm are only concentrates towards developing skill which helps in better organizational productivity does not focus on the preference of employees (Samson and Bhanugopan, 2022). This results in decreasing interest of employee's towards session leading to decreasing effectiveness of development session within firm.
Recommend And Justify
Models organisation needs to implement:
After evaluating current models and theories that has been used by Josita farm it has been determined that company is not able to gain optimum results from such theories. Firm should focus towards implementing different theories and models that will help in increasing overall performance of employees. The guest mode, Formburn and Warwick are the three models that Joista farm should utilize for increasing productivity of employees (The Guest theory of HRM, 2021). Guest model involve forming policies that helps in compiling HR strategies with organizational objective. This model has been divided into four core element that includes HRM practices, polices, outcome and its long term impact. Formburn model is concentrates towards increasing and adopting strategies that help in enhancing the efficiency of employees. Focus has been paid towards four components that include selection, assessment, development and retention of employees. Warwick model includes establishing connection between organizational polices and external environment for effectively adapt changing environment. Inner content, outer context HRM content and business storey content are four crucial part of Warwick model.
Impact of the model on firm's productivity:
Using Guest model of HRM, company will be able to form strategies that helps in providing positive outcome. These results are related with increasing motivation level of employees, higher employee's engagement and reducing conflicts within organizational working. This is focused towards forming strategies after evaluating employee's needs that helps in improving overall satisfaction level of employees. This model also assists in reducing employee's turnover rate as it concentrated towards boosting employee's engagement within the firm.
Formburn model of HRM is concentrated towards effective recruitment and selection process. Joista farm has been faced challenges in maintaining balance between growth and retention of employees. As company is growing, it is necessary for the firm to adopt measures that help in acquiring skilled and talented employees (Sneed 2020). This model will help company in determining strategies that facilitates employee retention. This model will also assist manager in establishing training & development session for improving overall functioning of employees and efficiently achieving objective of firm.
Efficiency and effectiveness of strategies and policies within firm will be improved by using Warwick model in the company (Impact of Warwick theory on organisational success, 2023). Theses model is related with analysis internal and external environment which helps in forming polices that are best suitable for current scenario. Organization productivity and operational efficiency will be enhanced as firm will able to establish appropriate strategies. This Theory will also help in decided on training & development sessions based on current needs and preferences of market. Competitive edge can be created in market as this theory aims at defining the opportunity that is prevailing in market and strategies are formed to get benefits from such opportunities.
Conclusion
By summing up the report, it has been determined that human resources of company should be effectively managed for increasing operational efficiency of firm. It has been determine that company is facing huge challenges in providing appropriate training and development session to its employees which leads to decreases operational efficiency of firm. AMO, Michigan and human capital theory has been implemented by Joista farm for managing employees within organization. It has been identified that company is insufficient in adequately using theories leading to decreases in employee's engagement, increases in burden and employees turnover rate. It has been depict that Guest, Warwick and Formburn theory of HRM should be used by Joista farm that helps in optimum strategies formulation and results in improving overall performance of organisation.
References
Books and Journals
- AlDhaheri, H., Hilmi, M.F., Abudaqa, A., Alzahmi, R.A. and Ahmed, G., 2023. The relationship between HRM practices, innovation, and employee productivity in UAE public sector: a structural equation modelling approach. International Journal of Process Management and Benchmarking, 13(2), pp.157-176.
- Alfaouri, L., Mat, N.H.N. and Padlee, S.F., 2021. HRM practices, organizational commitment and employees' satisfaction through the lens of AMO theory: The Jordanian Universities Perspective. Turkish Online Journal of Qualitative Inquiry, 12(6).
- Cui, Y. and Yu, G., 2021. A cross-level examination of team-directed empowering leadership and subordinates' innovative performance: an AMO theory perspective. International Journal of Manpower, 42(7), pp.1257-1278.
- Faggian, A., Modrego, F. and McCann, P., 2019. Human capital and regional development. Handbook of regional growth and development theories, pp.149-171.
- Ferrarini, F. and Curzi, Y., 2023. AMO-enhancing practices, open innovation and organizations' innovation in the European context: Testing a mediation model. European Journal of Innovation Management, 26(6), pp.1697-1720.
- Kinnie, N. and Swart, J., 2020. Cross?boundary working: Implications for HRM theory, methods, and practice. Human Resource Management Journal, 30(1), pp.86-99.
- Knowles, K.A., Sripada, R.K., Defever, M. and Rauch, S.A., 2019. Comorbid mood and anxiety disorders and severity of posttraumatic stress disorder symptoms in treatment-seeking veterans. Psychological Trauma: Theory, Research, Practice, and Policy, 11(4), p.451.
- Larson, M., Xu, Y., Ouellet, L. and Klahm IV, C.F., 2019. Exploring the impact of 9398 demolitions on neighborhood-level crime in Detroit, Michigan. Journal of Criminal Justice, 60, pp.57-63.
- Marginson, S., 2019. Limitations of human capital theory. Studies in higher education, 44(2), pp.287-301.
- Mia, M.M., Rizwan, S., Zayed, N.M., Nitsenko, V., Miroshnyk, O., Kryshtal, H. and Ostapenko, R., 2022. The impact of green entrepreneurship on social change and factors influencing AMO theory. Systems, 10(5), p.132.
- Samson, K. and Bhanugopan, R., 2022. Strategic human capital analytics and organisation performance: The mediating effects of managerial decision-making. Journal of Business Research, 144, pp.637-649.
- Sneed, R.S., Key, K., Bailey, S. and Johnson-Lawrence, V., 2020. Social and psychological consequences of the COVID-19 pandemic in African-American communities: Lessons from Michigan. Psychological Trauma: Theory, Research, Practice, and Policy, 12(5), p.446.
Online
- AMO theory of HRM. 2023. Online Available through: < https://study.com/academy/lesson/amo-theory-ability-motivation-opportunities.html#:~:text=The%20AMO%20theory%20suggests%20that,%2C%20and%20opportunity%20(AMO).>
- Impact of Warwick theory on organisational success. 2023. Online Available through: < https://www.protouchpro.com/warwick-model-of-hrm/#:~:text=The%20Warwick%20Model%20of%20HRM%20is%20divided%20into%3A%20outer%20context,effective%20implementation%20of%20HR%20policies.>
- The Guest theory of HRM. 2021. Online Available through: < https://101hrm.com/guest-model/>