This case study focuses on the issues with Human Resource in Huntsman Hotel
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Human resource management serves as the roots for the management of operation of the services and products offered by the organisations. Importance of human resource management has gained major realisation in the organisations (Business Management (Human Resource Management) (Bsc), 2017). The role and responsibilities of human resource managers have grown other than recruitments and termination of the employees. Many companies are focusing on the training and development of the workers in order to increase their productivity and efficiency. Moreover, HR's are also responsible to create an environment in office such that the employees are happy by working in the firm and retain in the firm. The report spotlights the key issues faced in the human resource management. The report is drawn in context to Huntsman Hotels plc. They are known for their reasonable price, functions, and clean hotels. It owns more than 60 hotels. Analysis of management of people is done and suggestions for rewarding workers are also provided in the report (Armstrong and Taylor, 2014).
Issues of HR in context to Huntsman Hotels plc
Human resource management plays a key role in the development of the cited hotel. However, the work oh HR in the hotel is not so easy. They are not only responsible for the recruitment of the staff members but also performs many other duties such as training and development of the staff, creating an environment for reducing resignations of the workers, terminating the unfit workers, etc. The HR's faces many issues while performing these functionalities. Some challenges faced by the HRM of the quoted company are as follows:
1.Flat organisational structure – The cited organisation is facing the major issue of flat structure because all the decisions are being made by the managing director himself. The MD of the hotel takes all the decisions without consulting it with any of the other leaders, managers or staff members (Sparrow, Brewster and Chung, 2016). The staff are recruited on the basis of their degrees and carry no role in the policies, strategies and functionality of the hotel. This has resulted in disputes and conflicts among the workers of the hotel. The management skills of the MD are weak and hence the decisions are not efficient in the management of staff members and operations (Messersmith and Wales, 2013).
2.Blaming culture practised in the hotel – The quoted hotel carries a blaming culture which results in conflicts and resignations. All the workers including ground staff, heads, managers, higher authorities etc. tend to blame and accuse each other for the mismanagement or other problems arising in the hotel. This leads to conflicts and as a result many of the top level authorities and employees are leaving the hotel. The type of culture makes it difficult for the workers to work in a team. Resignations of the top level workers moreover has increased work pressure on lower level members. It has become difficult to manage the operations and handling the lower level staff members.
3.Absence of formalised wage structure – Irregular structure of the wages is another issue of HR. There is no provision of awards and rewards. They follow ad hoc basis hikes in the wages (Renwick, Redman and Maguire, 2013). This means that the rewards or increments are given on particular circumstances like if someone has to appreciated for his loyalty or in case of some other situations. This results in demotivation in the workers and many employees think about the option of quitting the job.
4.Discrimination and partiality among the work force – Many staff members have accused the higher authorities of the elected hotel that they favour some workers and are partial towards them. The top positions in the hotel are mainly occupied by the friends and family members or to the inner circle of the managing director. This in turn seeds the plant of jealousy and insecurity in the staff members leading to disputes and personal grudges. Other workers specially the junior workers in the hotel are blamed every time when things go wrong. This reduces the efficiency of the performances of the employees and the services and operations are suffered.
HR's in the company can practice the theory of Blooms's taxonomy to resolve the issues and deal with the staff members. The approach will help the HR to develop the employee retention and improve the work culture so that a proper management of services could be obtained. Moreover, it will eliminate the lack of cooperation and disputes in the workers. For this the HR's must need to gain the complete knowledge about the issues existing in the hotel. First treatment is identification of the problem (Jackson, Schuler and Jiang, 2014). Gaining knowledge is the first step of resolving issues. Once the issues are identified complete understanding of the issues is to be done which involves understanding the cause of the issue, facts, principles, formulations, graphs, charts etc. This is followed by application of the plans and then analysing the outcomes of the strategy. After analysis synthesis and evaluation is done.
Strategic reward is based on design as well as implementation of long term reward policies along with the practices which provides support and advance business or the objectives of organisation and aspirations of employees (Manuti and et.al., 2015). The concept of total rewards encompasses all the aspects of work which are valued by employees and it include the different elements like learning and development opportunities so that they can attain maximum benefit. The staff members have to use total reward which may be a part of strategic approach to the reward for many employers. This helps in recruiting, retaining as well as engaging high quality staff which assist in attaining goals and objectives.
There are some issues which are facing in Huntsman Hotels PLC related to structure, recruitment as well as selection process etc. The organisation is using flat structure by which some conflicts occur in entity. Also by this they can not make proper decisions (Meglio, King and Risberg, 2015). The staff members of Huntsman Hotels PLC is facing a problem to do internal communication and by that relation among employees also not improving. For removing this problem they have to use tall structure which is having a many levels of hierarchy. In the enterprise, when managers using this structure then each and every manager having a small span of control and they are having a charge of small group of people. By using tall structure, manager of Huntsman Hotels PLC can make a proper and appropriate decision which helps in doing betterment in the company. As this structure having many hierarchy levels then they can do proper and effective communication and by that they can easily share and convey the correct information or message. Along with this it helps in improving the relations of employees, employers as well as managers so that they can not face any issue and attain goals and objectives (Cousins and Robey, 2015).
They are not using formalised wage structure so that they can not get any reward loyalty. Giuseppe has main aims which needs to be achieved and they are increase in competitive advantage, expand into Europe, develop strategic partnership. For attaining these aims they have to use proper structure which is functional structure as it is a important type of organisational structure which is divided into smaller groups which is based on specialised functional areas like IT, finance as well as marketing (Bello‐Pintado, 2015). This structure helps in doing proper and appropriate functions so that they can attain goals and objectives can give to rewards to the employees of Huntsman Hotels PLC. The employees of business entity have to use appropriate leadership style so that they can do qualitative work and provide best services.
Another issue is Discrimination and partiality among the workers. In the Huntsman Hotels PLC top positions in the business entity are occupied by friends along with family members as well as those person who are inner circle of managing director. For removing this issue manager have to provide bonus, schemes as well as incentives to those person who are having good performance and who are providing best services (Jamali, El Dirani and Harwood, 2015).
The main risk which are found by analysing that it significance the technical challenges. Along with this it requires the significant change in the system and processes. The changes involves the new ways of thinking and the different ways to do the best things. Moreover, implementation cost of the project are high. But these changes should be implemented for a long term not for short as well as medium term. For these risk some rewards are that they have to achieve vision and values. By taking the challenges for completing work in a best and qualitative way and also in time then it improves the performance as well as productivity. The staff members of Huntsman Hotels PLC have to use proper and appropriate theory so that they can attain goals and objectives (Schauppenlehner-Kloyber and Penker, 2015).
The manager and higher authorities have to provide proper pay along with the incentives and bonus which will aid in retention of employees for a long term. Total rewards helps in enhancing recruitment, retention and performance levels. Total reward is associated with the desire so that they can do effective communication to attain the value which assist in attaining targets. Higher authorities of Huntsman Hotels PLC facing a difficulty in developing a total reward package which are provided than the others. For this they have to use appropriate resources. It is a temptation for employees that they have to shift reward mix from a pay to the benefits of lower cost as well as non-financial rewards. Along with this they can share the wealth which helps in satisfying the needs of employees (Kirton and Greene, 2015).
Analyse implications related to management of people at Huntsman
Change management is a approach which assist in transitioning individuals, teams by using the methods which are intended to re-direct by using appropriate resources, business process, budget allocation which assist in doing proper operations. The employees of Huntsman Hotels PLC have to do proper work and for doing qualitative work they need some motivation which helps in attaining goals and objectives (Vomberg, Homburg and Bornemann, 2015). For providing the encouragement as well as motivation to the employees the manager of Huntsman Hotels PLC can use two factor theory which helps in improving performance and productivity.
Two factor theory also known as Herzberg motivation hygiene theory refers to that there are some factors in the workplace which cause job satisfaction but if there is a separate set of factors which cause dissatisfaction. Two factor theory provides the satisfaction and motivation to the employees by which they can provide qualitative products and services to consumers. This theory is divided into two factors that is hygiene factors and motivators. Hygiene factors includes the policies of Huntsman Hotels PLC, supervision by managers, working conditions, salary, safety as well as security on job (Abdullah and Zulkifli, 2015). Where as motivators are factors which are intrinsic to the job which includes achievement, recognition, interesting work. Along with this it helps in increasing responsibilities, advancement as well as growth opportunities. Motivators are the condition which succour in encouraging employees to do work harder and by that they can attain success in competitive market. This theory includes some factors which provides satisfactions and some provides dissatisfaction. Achievement, recognition, work itself, responsibility, advancement as well as growth are the factors for satisfaction. Working conditions, salary, bonuses, status, security etc. are the factors for dissatisfaction.
By using two factor theory employees of Huntsman Hotels PLC are satisfied as they may attribute the causes of satisfaction. The classification of factors as hygiene or motivator is not simple. For example, two factor theory pay for a hygiene factor as pay having a symbolic value by showing the employees that are recognised for making some contributions (Gafiyatullina and et.al., 2015). Along with this they have to do effective communication. Moreover, quality of supervision by manager or the type of relationship of employees form with their supervisors which aid in assigning and interesting work and the workers have to do that by using their potential, capability. Along with this staff members having a responsibility that they have to provide best services which helps in improving performance as well as productivity (Quigley and Hambrick, 2015).
But, on the other hand this theory having some limitations also. Two factor theory aid to managers because it assist in improving the performance by providing the proper motivation and encouragement to them. These are the contextual factors which does not present in this theory so this cause the dissatisfaction (Lassi and et.al., 2016). Managers of Huntsman Hotels PLC have to focus on hygiene factors and have to enrich the jobs by providing the opportunities to the employees for doing challenging work, greater responsibilities, advancement opportunities and a job in which subordinates become successful. In this theory some factors are included which cause dissatisfaction and it will not create satisfaction. Two factor theory having a assumption that is a correlation between satisfaction along with the productivity (Cristiani and Peiró, 2015). This theory is not free from bias as it is based on natural reaction of employees when they are enquired the sources of satisfaction as well as dissatisfaction in doing the work. Two factor theory implies that managers must stress upon the adequacy of the hygiene factors which provides the satisfaction to staff members of Huntsman Hotels PLC.
Besides that, the managers as well as higher authorities of Huntsman Hotels PLC can use different type of tools and techniques so that they can make changes and by that they can improve performance along with the productivity. They can use Maslow's theory, reinforcement theory which helps in providing encouragement to staff members and on the basis of that they can reap their goals and objectives (Should human resources be managing human rights?, 2017). Along with this they can use this for rewarding for the employees for doing best work and improve performance.
The report reveals the human resource management functionalities with reference to the Huntsman Hotels plc, a popular chain of hotels in UK. Issues faced by the HRM of the hotel like discriminations in the employees, irregular wages, blaming culture practised, etc. are evaluated in the report. Application of management of the employees in the hotel are described in broader view. The report shows that the HR's of the hotel is in need to apply the different theories like Blooms's taxonomy theory etc. for managing the operations of the firm and resolve the current issues of the hotel. Every organisation could practice these theories to improve the efficiency of operations and workers. Recommendations for rewarding the people in the organisation are also provided which could help the company to improve.
Organisation could apply the theories of motivation to motivate and encourage the employees. They could set benchmarks to improve the performances and the deserved workers should be rewarded. Regular conduction of meetings must take place. These meetings should involve taking the suggestions of all the staff members and involving them in the decision making procedures. Proper framework for wages should be formed. Culture of no discrimination and blaming should be practised.
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