sony evolving human resource challenge_1

1

SONY EVOLVING HUMAN RESOURCE CHALLENGE

Participants : Pradeep Sharma, Aniket Kadekar, Aniruddh Kendurkar, Santosh Mane, Makrand Kulkarni, Naresh Balasubramanian & Saifudeen Khan, Vinod Singh

2

Facts

Sony was established in 1946 in Tokyo by Masaru Ibuka and Akio Morita.

Sony is producing and marketing Play Station (home video game system), TV, digital and video cameras, computers and music players.

They have manufacturing plants in China, Japan and Malaysia. Other Plants in Britain, Mexico, Spain and US

3

Facts

4

Facts

In 2001, the Japanese yen’s appreciation against the dollar and euro leads high cost for sony and that decreased profitability of the company and Sony closed 16 plants from 70 to 54.

Sony hired Sir Howard Stringer as chairman and CEO has to close 11 plants, cut more than 10,000 jobs and shifts component manufacturing to low cost locations.

Sony operates in many countries, so national environment of sony differs in terms of culture, legal system, economic conditions, technology levels and infrastructure.

5

Facts

HR philosophy -> Entrepreneurial spirit, creative thinking and strong communications skills, diverse talent (example – former chairman Norio Ohga – an opera singer, a licensed jet pilot and an orchestral conductor).

Ohga’s education of arts helped Sony to introduce it’s first tape recorder, firm’s most successful product.

Sony uses online training system for easy development of personnels all around the world.

Sony follows an “integrity approach” to foreign manufacturing operations and attempts to maintain work place standarts that exceed local requirements.

6

Interpretations

The main aim of Sony is to be progressive in international human resource management.

Criterias of Sony are entrepreneurial spirit, thinking creatively and strong communication skills when Sony is recruiting new employees.

HR managers of Sony are spending much time with employees,linking firm’s objectives and strategies in order to achieve important tasks.

Firstly managers are identifying the jobs and then they are looking for talents that they need to hire for the job.

7

Interpretations

Trainees are on duty to find ways to use their talents to advance the company.

Sony is attempting to establish a universial standard of employement, offering superior working conditions and locally relevant wages and benefits at all locations.

At the corporate social responsiblity, sony is focusing on creating link between its business and the environment.

8

Interpretations

Sony has code of conduct which sets the basic internal standards to be observed by all directors, officers and employees in order to make strong corporate governance, business ethics.

Sony’s basic policies are concerning ethical business practices and activities, including respect for human rights

9

Assumptions

Sony takes action on social, environmental and financial performance.

At the social level, Sony improves the quality of life standards by providing better educational systems.

At the environmental level, Sony avoids air pollution by using less harmfull raw materials.

At the financial level, sony provides better wages and salaries to its employees.

At workforce, Sony came up with new and innovative alignment strategy. Ex – Britain CRT factory

10

Three Key Learnings

From International Business point of view, organization's HR should focus on entrepreneurial spirit, creative thinking , strong communications skills & diverse talent

Sony’s CSR policy -> Sony has code of conduct which sets the basic internal standards to be observed by all directors, officers and employees in order to make strong corporate governance and business ethics.

Sony operates in many countries; so national environment of Sony, differs in terms of culture, legal system, economic conditions, technology levels and infrastructure.

11

Case Related Questions

Q1. Japanese MNEs usually follow an ethnocentric orientation in international staffing in which manager’s from headquarters hold key subsidiaries positions. Sony is shifting away from this model. What approach should Sony follow for staffing its subsidiaries? When recruiting expatriates for foreign operations, what characteristics should Sony emphasize in order to ensure it has managers who are most adept at working abroad? What steps should the firm take to ensure its expatriate candidates are adequately prepared for long term international assignments?

.

12


Ans. 1 Sony should follow the below mentioned

points for staffing its subsidiaries - Provide positive working environment- Recognize, reward and reinforce right

behavior- Involve and engage resources linking

the firm’s objectives and strategies- Develop the skills and potential for

achieving important tasks- Evaluate and Measure.

13


Ans. 1 Characteristics which should Sony

emphasize in order to ensure it has managers who are most adept at working abroad provide positive working environment for long term duration

Set up strategic long term job objectives Have individual motivation with linking

professional goals Training and Talent development

programs.

14


Q2. Sony face challenges in finding suitable talent for its operations in China and Europe. What steps should Sony take to ensure it has an adequate pool of international managers and other talent for world wide operation? What should Sony do to promote global mind sets?Ans 2.• Identifying most promising recruits• Counsel to do what they are passionate about• Qualified candidates to be offered 2 years

formal course

.

15


Ans. 2• Modules of firms operations and business practices. • Through On-line training, TrainNet.• Coaching and mentoring through established

network.• Mgmt. interviews internally to identify potential

managers.• Executive fast-track candidates – must be fluent in

English + 2 more languages, international experience and passion to take an international roles.

• Sony’s Mgmt. identifies the right candidate and recruit/ promote at the right place and the right job.

.

16


Q3. What is your view of Sony’s training efforts? What steps could Sony take to improve its training in light of its multi-country operations?

Ans3. The current training system for trainees with online system like TrainNet and highly customizable training packages which includes multi-lingual trainings, for building up future senior managers, we feel that current training system is comprehensive enough to cater the future needs

17


Q4. Sony has experienced labor relations problems in Indonesia and elsewhere. What strategy should management follow to improve labor relations? What can top management do to reduce the number and severity of labor difficulties that Sony might face in the future?

18


Ans4. To reduce the number and severity of labor difficulties that Sony might face in the future, it should apply similar strategy which was followed in Britain during shut dows of couple of factories for CRTs. They applied following techniques – a. Worked with Unions to create enhanced

packagesb. Find new job opportunities in the regionc. Align and Train employees for newer

technologies

19


Q5. What is your view of Sony’s efforts at coporate social responsibiliy(CSR) in international operating? What steps can Sony take to improve CSR in organizing and managing its operations around the world particularly in developing countries and emerging markets?

20


Ans5. At the corporate social responsibility, Sony is focusing on creating link between its business and the environment. Sony has code of conduct which sets the

basic internal standards to be observed by all directors, officers and employees in order to make strong corporate governance and business ethics.

Sony’s basic policies are concerning ethical business practices and activities, including respect for human rights.

Managers are researching the standards of all countries that it operates and it gives value its employees according to the standards.

21


Ans5. Sony can take action on social,

environmental and financial performance.

At the social level, Sony can improve the quality of life standards by providing better educational systems.

At the environmental level, Sony can avoid air pollution by using less harmful row materials.

At the financial level, Sony can provide better wages and salaries to its employees.

22

Three Key Perceptions as an International Business Manager

1.Reflective Thinking – Management should know that actions today may be crucial for entry to new markets tomorrow. Exploiting low workplace standards in one country can ruin reputation and jeo-paradize entry to new markets

23

Three Key Perceptions as an International Business Manager

1.Ethical Reasoning - 1.Managers ensure that wages in

foreign factories provide viable, fair standard of living

2.Sony provides all facilites to temporary employees too which is a good ethical practice

2.Multicultural and Diversity

sony evolving human resource challenge_1

Documents