Managing People Case Study

1. Introduction - HRM Models to Overcome Employee Turnover & Low Productivity

Managing a people is regarded as the core responsibility of HR professionals which contributes in the attainment of organizational goals. It consists of training, recruiting, influencing and retaining the employees in order to grow and develop their talent as well as enhance the productivity. People management is beneficial for the business because it enhances the process of selection, increase motivation, productivity and improve work environment. The report is based the case scenario of Josita Farm which reflects the critical position of HRM in redressing the challenges faced by the firm. This report will highlight the HRM challenges faced by JF during pandemic. Additionally, this report will also integrate the various theories and models of HRM in order to enhance employee relation and increase operational productivity.

2. Challenges \ Issues

2.1 Josita Farm’s strategic goals and objectives

In 2019, JF started a family commercial business and the key strategic goals and objectives of this organization to provide freshest, sustainably and highest-quality of grown food to the customers. The given company also committed to deliver its products with the definite organizational values. JF is also concerned with improving products offerings, scaling-up operations and online platforms in order to satisfy the customers.

2.2 Josita Farm HRM challenges\ Issues

At the time of pandemic, this organization faces numerous HRM challenges regarding workforce engagement, retention and productivity. Due to rapid growth and unforeseen challenges the staff of JF working for long hours due to which they feel demotivated and discouraged to perform their work. The employee engagement directly impacts the operational productivity and employee turnover ratio (Hoffman and Tadelis, 2021). The employees started to leave the organization and from which it is unable to complete the orders of the customers which directly impacts their satisfaction and organizational productivity.

2.3 Impacting company productivity\ performance

The decrease in productivity level resulted into delayed orders, unproductive operations and more customers’ complaints. Lower employee engagement and retention directly impacts the brand image of business and trust of customers. This leads to loss and fail to accomplish the strategic goals and objectives (Sharma and Kumar, 2022).

2.4 Impacting employee productivity\ performance

Decline the engagement level of employees and overworked increase the employee turnover rates. The employees are looking towards the better employment so JF losing the skilled and talented workforces which directly impacts the performance and productivity.

3. Hrm Models, Concepts, And Theories

3.1 Define HRM recruitment and selection models, theories, and concepts.

In the context of HRM, the recruitment and selection model includes creation of job description, screening candidates, organizing interviews and choosing the successful applicant (Jeronimo, de Lacerda and Henriques, 2020). To hire the right applicant at right time, JF can implement various HRM recruitment and selection theories as well as models.

Human capital theory

It is regarded as one of the significant recruitment & selection theory that can be adapted by the organization to hire the right candidate. After facing the HRM challenges, due to pandemic, JF is also implementing this theory to redress all the issues. As per the view of Latov and Tikhonova (2021), implementation of HRM theory is beneficial for company because it helps in improving the efficiency and productivity of human by putting emphasis on training & development. To improve the operational productivity and increase the efficiency it is crucial for the organization to provide training to them. Due to Covid-19, JF failed to deliver its products on time which decrease the operational productivity. Therefore, this theory helps in motivate the employees to do work (Submitter, Somrit and Romprasert, 2022).

5P’s HR Model

5P’s HR model is recognized as significant factor of performance management and organizational development. This model of HRM is based on the people, principles, purpose, process and performance. According to Shahi and Neloy (2020), adaption of this model is valuable for organization because it helps in meeting the organizations and employee’s needs. With the help of this model, JF can retain the talented people by satisfying their needs and objectives. The purpose of business includes mission, vision and primary objectives to make the effective decisions. In addition, the principles include operational guidelines and protocols that perform as a foundation to achieve target outcomes. The process confers rules and regulations, methods and systems of operating the business operation. If the organization has clear and reliable process then the employees are put more efforts to achieve the organizational objectives and likely to retain with business. People are recognized as most significant asset within the business and it includes their knowledge, skills and hard work that plays an immersive role in order to increase operational productivity (Jiaping, 2022). Performance is regard as one of the significant factor of this model and it is crucial for organization to take corrective actions to enhance the performance of employees which ultimately positively impacts the operational productivity.

AMO model

Employees are considered as significant aspect of any business and their performance affects the growth as well as business success. AMO model is widely used by the HR professionals to illustrate the comprehensive relationships between the employees in the place of work and their results. This model is based on abilities, motivation and opportunities. As critically said by Bos?Nehles et al, (2023), it is significant for the organization to focus on these factors in order to build the strong relationships with the employees and retain them with it. To ensure the capabilities of workforce, JF can use selective recruitment and employment methods. To ensure the capabilities of applicants it is important for the HR professionals of JF to review existing information and develop internal policies. As contended by Ferrarini and Curzi (2023), to increase the motivation of workers companies can use work-life-balance, compensation, performance evaluation and performance based pay. Along with this, if the organization provides opportunities to employees then they feel motivate and encourage to do work which helps in improve their performance and productivity as well.

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3.2 Effect on the behaviour of the Staff within the Workplace

Anwar and Abdullah (2021) stated that all models, policies and procedures of HRM have positive impact on the behaviour of the staff. The human capital put more emphasis on the training and development to the employees to increase their skills and knowledge. If JF is provide training to its workforces then they feel motivate and influenced to do work which positively impacts their behaviour. As critically argued by Alshammari (2020), if the organizations not have effective principles, policies, process then the employees are unable to put all the efforts to achieve the organizational goals and objectives which adversely impact their performance.

3.3. Effect on the company performance/productivity

Adaption of all theories and models are beneficial for JF because it helps in enhancing the productivity and productivity of business. On the critical note Troth and Guest (2020), the AMO theory helps in increase the capabilities and motivation as well as provide the opportunities to the employees from which they put all the emphasis on achieving the organizational goals and objectives which results in enhance productivity. However, it is challenging task for the business to implement 5Ps model because it require careful coordination, planning and collaboration which pose issue in context of resource allocation and complexity which negatively impacts the JF’s productivity.

4. Analysis

4.1 Suitability of Current HRM Models and Concepts

From the case study, it has been determined that JF faced various issues such as employee engagement, retention and operational productivity due to pandemic. So, to combat all the challenges these models of HRM are suitable for JF. In contrast to this, Omar et al, (2023) entailed that execution of AMO theory is beneficial for JF because it is suitable according to its situations. This theory of HRM plays an immersive role in increasing the motivation & capabilities of the employees from which they feel valued and encouraged while performing the roles. If the workforces are motivated then then it is beneficial for the organization because it helps in increase productivity, manage unforeseen challenges and improve the overall productivity and efficiency. On the other hand, 5Ps model is also suitable for JF situation and adaption of this model can be useful for the business because it helps in improving employee motivation (Bozhinovska, Eftimov and Nakov, 2023).

Promoting the positive working environment and striving for high performance are the significant aspect of this model. By emphasizing employee development, recognition and engagement HRM can considerably improve the employee satisfaction and motivation. Hoffman and Tadelis (2021) argued that human capital theory of HRM is also suitable for business to motivate and retain the employees for the longer duration. It is vital for the business to make the huge investment on the human capital by providing training and development sessions that helps in increase the productivity and improve performance.

4.2 The positive elements and explain how they can improve i.e., recruitment, organizational culture

The HRM models play an immersive role in enhancing organizational culture, recruitment, job satisfaction, cross-department communication and employee engagement. Implementation of AMO theory is beneficial for JF because it helps in developing the tools and techniques of strategic management in order to provide training to them. From this, the employees feel engaged and motivated to do work. The influence people are helps in creating the positive working environment which directly impacts the organization’s culture (Sharma and Kumar, 2022). The key purpose of JF is to offer sustainable, freshest and high-quality of grown foods to the customers so it can be crucial to provide training to the workforce to achieve this goal. Adaption of human capital theory is also beneficial for the JF because it majorly focuses on education. If the employees are well-trained and educated then they are less likely to leave the company and become more productive in the workplace. According to this theory, if the employees are more productive and better trained then it increases their morale and engagement.

Additionally, 5Ps model also plays massive role in improving the recruitment process, employee engagement, organizational culture and cross-department communication. Adaption of this model is useful for JF due to its holistic approach. This model ensures all the HRM aspects which are aligned with the JF’s strategic goals and objectives. This model is a solid structure for data-driven decision-making in the HRM (Jeronimo, de Lacerda and Henriques, 2020). By developing clear performance metrics, processes and feedback mechanism, the HR professionals can make the potential decisions in order optimize talent management which positively impacts the employee engagement, organizational culture etc.

4.3 limitations/areas of improvement of the current Josita Farm HRM model

In many cases, these HRM models impact negatively on the JF’s recruitment process, employee engagement, job satisfaction etc. According to AMO theory, if the organization is not having idea then it face various challenges regarding training to employees, ineffective management, employee turnover and overworked workforce (Latov and Tikhonova, 2021). The main objective of JF is to motivate the workforces to increase the growth and efficiency so it is crucial to encourage them otherwise it negatively impacts the employee engagement or organizational culture.

However, if JF is not executing human capital theory effectively then it increases the chance of incurring losses for them. Improper implementation of this theory leads to decrease growth and development, capital and productivity. From the case study, it has been determined that staff is working for long-hours which is critical factor for disengaging then employees and decrease their job-satisfaction (Submitter, Somrit and Romprasert, 2022). To retain the employees for long period of time, the given organization can require providing flexible working hours to them from which they feel encourage and motivate.

Potential resistance to change is one of the limitations of 5Ps HR model because it encounters the resistance from the management and employees who are familiarized to the traditional HR practices which directly affects the organizational culture and cross-departmental communication.

5. Recommendations

5.1 Recommending HRM models, policies, and procedures

To build the relations with the employees and enhance the operational productivity the management of JF can adapt several HRM policies, models and procedures.

• JF can focus on Guest model to improve the relations with the employees and increase the operational productivity. Adaption of this model can be useful for the business because it assist in positioning the strategic roles of the HR professionals and differentiates with traditional personnel activities. This model plays crucial role for the business to increase the operational productivity because it includes HRM practices, strategies, outcomes, financial outcomes and performance outcomes (Troth and Guest, 2020). This model can be useful for JF because it aligning the HR policies with the business goals and objectives, promoting competence and commitment which encouraging the business performance positively.
• It has been recommended that, JF can also use Ulrich model to build the employee relations and increase operational productivity. Execution of this model can be useful for the business because it helps in managing all the internal operations by overseeing the HR strategies and processes for people management. This model can also be useful for the business to combat all the issues related to HRM faced due to pandemic (Omar et al, 2023). This model also assists the company in managing engagement level and competency of employees in order to improve productivity. This model aligns the HR strategies with the business goals and objectives so it aids in create the best ways to develop and manage the employees to support the success. Along with this, Ulrich model of HRM encouraging more support the workforces to increase their engagement.
• To increase the operational productivity and enhance employee relation, JF can focus on Warwick model of HRM. This model includes HR practices and strategies as well as internal and external areas in which all the activities take place (Bozhinovska Eftimov and Nakov, 2023). Adoption of this model can be useful for the organization because it helps in managing to determine synchronization between the internal and external environment which can certainly achieve the growth and efficiency.

5.2 Impact of suggested HRM models, procedures and models

Guest model plays crucial role in improving the effectiveness of talent management, employee relations, operational productivity and organizational overall performance. In this model the organization is majorly focusing on providing training to the employees which helps in increase their capabilities and motivations from which they feel encourage to do work. The training sessions helps in building the stronger relationships among the employees and HR professionals from which they influence and give their best (Anwar and Abdullah, 2021). In addition, adoption of Warwick model can be valuable for JF because it helps in gaining the competitive advantage by evaluating the internal and external factors. Ulrich model of HRM is also helps in boosting the morale of employees from which they are less likely to leave the company and manage the unforeseen challenges.

6. Conclusion

By summing up this report, it has been articulated that it is crucial for all the organizations to manage the people properly because it helps in improve selection process, working environment, increase productivity and motivation. During pandemic JF faced various challenges such as employee retention, engagement and operational productivity. To combat all the challenges it is crucial for business to hire best talent. For recruiting best talent, JF is focusing on human capital theory, 5Ps model and AMO model that affect workforce behavior and organization’s productivity. The all HRM models plays massive role in enhancing organizational culture, increase employee engagement and job satisfaction. Furthermore, to increase operational productivity and employee relation, JF can also focus on Ulrich and Guest models.

References

Books and journals

• Alshammari, A.A., 2020. The impact of human resource management practices, organizational learning, organizational culture and knowledge management capabilities on organizational performance in Saudi organizations: a conceptual framework.Revista Argentina de Clínica Psicológica,29(4), p.714.
• Anwar, G. and Abdullah, N.N., 2021. The impact of Human resource management practice on Organizational performance.International journal of Engineering, Business and Management (IJEBM),5.
• Bos?Nehles, A., Townsend, K., Cafferkey, K. and Trullen, J., 2023. Examining the Ability, Motivation and Opportunity (AMO) framework in HRM research: Conceptualization, measurement and interactions.International Journal of Management Reviews.
• Bozhinovska, T., Eftimov, L. and Nakov, L., 2023. Contemporary managerial analysis of multi-stakeholder perspective in human resource management: Towards a new conceptual framework.Management: Journal of Contemporary Management Issues,28(Special Issue), pp.13-27.
• 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.
• Hoffman, M. and Tadelis, S., 2021. People management skills, employee attrition, and manager rewards: An empirical analysis.Journal of Political Economy,129(1), pp.243-285.
• Jeronimo, H.M., de Lacerda, T.C. and Henriques, P.L., 2020. From sustainable HRM to employee performance: A complex and intertwined road.European Management Review,17(4), pp.871-884.
• Jiaping, Y., 2022. Enterprise Human Resource Management Model by Artificial Intelligence Digital Technology.Computational Intelligence and Neuroscience,2022.
• Latov, Y.V. and Tikhonova, N.E., 2021. A new society, a new resource, a new social class?(60th anniversary of the human capital theory).Terra Economicus,19(2), pp.6-27.
• Omar, S.S., Aris, N.F.M., Alias, S., Mu'min, R. and Arokiasamy, L., 2023. Assessing the Disparities Between Strategic Human Resource Management and Conventional Human Resource Management: A Theory-Based Review.KnE Social Sciences, pp.588-613.
• Shahi, K. and Neloy, H., 2020. Global transition of HR practices in covid-19 pandemic situation: a systematic review through 5P's model of HRM.Management and Human Resource Research Journal,9(6), pp.50-57.
• Sharma, D.N.K. and Kumar, N., 2022.Post-Pandemic Human Resource Management: Challenges and Opportunities. SSRN.
• Submitter, G.A.T.R., Somrit, K. and Romprasert, D.S., 2022. Human capital and two factor theories on job satisfaction.Journals and Somrit, Kanokwan and Romprasert, Dr. Suppanunta, Human Capital and Two Factor Theories on Job Satisfaction (March 31, 2022). Reference to this paper should be made as follows: Somrit, K, pp.33-41.
• Troth, A.C. and Guest, D.E., 2020. The case for psychology in human resource management research.Human Resource Management Journal,30(1), pp.34-48.

Online

• Total Success, 2024. AMO Model. [Online].Available through:< https://totalsuccessmq.com/science/>. [Accessed on: 25th January,2024.