HUMAN RESOURCE MANAGEMENT Case study assignment

UNIT: LEADING PEOPLE IN ORGANISATION

BY

SAMUVEL ALSEMERO THOMAS

(1515775)

SUBMITTED TO

DR. PAULINE LOEWENBERGER

EXECUTIVE SUMMARY

This report is done to analyse the HR practices and the internal consis-

tency of both the companies, both companies have very unique strategy

which proves they are the market leader in their respective business,

since their strategies can be copied by their competitors they must keep

updating it so that their competitors will never gain their market positions

the theories and model which are referenced in the analysis appears to

be true in both of the companies ,and this proves their hr practices and

their internal consistency are better when compared to other airline and

rail industry

TABLE OF CONTENT

TITLE PAGE

EXECUTIVE SUMMARY

INTRODUCTION

ANALYSIS

CONCLUSION

RECOMMENDATION

1 INTRODUCTION

Human resource management plays an important role in an organisa-

tion ,it aims to bring the best out of employees,the sense of human re-

source management is hiring training and managing interchange

thoughts with all employees , important roles of hr in an organisation are

recruiting ,safety , employee relations, compliance. The major aim of this

report is to explain how hr practices are going to help an organisation to

achieve their goals, and similarities between SA and AET with respect of

their HR issues, according to( armstrong handbook of human resource

management ) “HRM is concerned with all aspects of how people are

employed and mangled in organisation”. another main aim to this report

is understanding of internal consistency in HR and how is it demon-

strated in the case,the approach of this report is to prove how internal

consistency in hr of both SA and AET has helped these companies to

attain success

2 .0 ANALYSIS

similar sets of HR practice between SA and AET

2.1 job security

According to the case study both companies SA and AET has provided

job security to their employees , through this way both companies have

protected their important assets(employees), as it is mentioned in the

case it is easy to achieve flexibility and cooperation by providing job se-

curity the employees in other words giving assurance to the employee

for the continuity of his work ,but AET does not provide job security

according to (shanthi nadarajah) “employment security maintains com-

mitment among employees and creates a climate of confidence of the

workforce”

2.2 selective hiring

According to the case study SA spent a lot of time screening and hires

primarily for attitudinal fir for SA culture,that happens the same with AET

they are very distinct about recruiting their employees , this is one of the

huge advantage for the company According to (christian merkly thijs van

rens) “ The most direct evidence comes from the distribution of job find-

ing rates.If hiring is perfectly random,then all workers have the same

probability of finding a job if hiring is selective then god workers find jobs

immediately”

2.3 Training

According to the case study both SA and AET spend a lot in training

their employees, so that their employees can excel on their jobs SA

trains their employees in a way that they can provide faster and cheaper

customer service and AET has 3 day training programme for the begin-

ners and even the CEO welcome the new comers , a five week work

programme is give which trains them for instant security and to get

adopted with AET culture,this has a great impact which keeps the em-

ployee updated , according to Beardwell and holden “that human re-

source management concept as commitment to the company have

made the senior manager realise the importance of training a employee”

this clearly states that for the betterment of the company and to achieve

the goal employee training is very important

2.4 REDUCTION OF STATUS AND DIFFERENCES

Many companies don't treat their subordinates very well some are

treated like slaves and the employee becomes indolent, but there is a

great difference SA and AET treat all their subordinates equally this

keeps the employee motivated according to the case study in SA the at-

mosphere is very informal and work is done point to point ,AET empha-

sis few hierarchical level and informal communication between all the

employees , the case clearly states they treat their employees equally

which is impossible in this human world , according to (jeffery pfeffer and

john f.veiga )“the idea of using reduction of status and difference is to

make all employees feel confident and committed “

2.5 SHARING INFORMATION

According to the case study widespread of sharing information is an-

other strategy to keep the employees motivated SA and AET share their

financial position and their business strategies with their employees ac-

cording to (jeffery pfeffer and john f.veiga) “information sharing is an es-

sential component because it makes the employee trusted”

2.6 SELF MANAGED TEAMS

According to the case study SA operates in teams, boarding baggage

mechanism are done by everyone , which leads to get the work done in

a short period of time According to john p millikin peter w.hom charles

C.Manz “ Self managed teams proves that working in teams bring better

customer satisfaction “

2.7 COMPETITIVE STRATEGY

according to the case SA provides job security for the employees which

is one the most intellectual strategy used by SA , as no other airline in-

dustry in U.S provide job security to their employees , according to the

case SA makes the highest profit in airline industry even after the 9/11

attacks they managed to be at the where as rest of all other airline faced

huge loses according to “t’he us labour law “the employee can be termi-

nated in his absence” but SA provide their employees job securities

which make them to be more loyal to the company, according to the

case SA believes employees are the biggest assets to the company ,

and their unique strategy makes their employees feel confident as no

other company in U.S provide job security. this is one the key factor

which makes SA a successful airline industry

According to the case AET does not provide any job security to their

employees and yet it is successful , AET charges more compared to all

other trains yet they are more profitable than other air rail industry, ac-

cording to the norway government they provide all kind of security to the

citizen they are provided free education till master levels and pensions

are provided to all retired workers

3 CONCLUSION

The case clearly states that two companies have been successful in

their hr practices which resulted in making their employee loyal to there

company and they are completely successful in gaining their advantage

over them.through their unique hr practices both companies managed to

provide the best customer satisfaction ,they even made huge profits ac-

cording to stain nadarajah “hr practices can help to improve the job per-

formance and career development and this paper has helped us to un-

derstand relationship between hr with job performance and career devel-

opment”, according to the case it clearly states how hr practices and

their unique strategies has helped the company to improve their perfor-

mance which has helped to provide best customer satisfaction and

make huge profits when compared to other airline and rail industry

4 RECOMMENDATIONS

even the companies unique hr practices which helped them to provide

job security , trust to their employees, this strategy cannot be adopted

for so long, because its a very competitive world,as SA and AET strate-

gics are discussed around the globe people can steal their ideas which

might result a competitive threat to them. as the world is ready to steal

other ideas to make money,both SA and AET must keep updating their

strategy and hr practices, so that they will still remain a challenge to their

competitors ,as both company have financial advantage when compared

to any other airline and rail industry this would be the best time to oper-

ate their services globally so they can make huge profits

5 REFERENCES

The relationship of HR practices and job performance of Academicians

towards career development in malaysian private institution 2012 au-

thors Shanthi nadarajah viral kadiresan ramesh kumar nurul nissa ah-

mad kamil and dr Yusliza mohd . yusoff ( used the same article twice for

referencing )

selective hiring and welfare analysis in labour market models authors

christian merl thijs van rens january 2012

putting people first for organisational success (management executive

1999 volume 13 no:2) author jeffrey pfeffer and john F. veiga (used the

article twice for referencing )

The leadership quarterly authors john .millikin peter w.hom charles C.-

manz

Armstrong hand book of human resource management

US labour laws from google

norway labour laws from google