Organisational Behaviour and Human Resource Management at Bank Muscat
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This project discusses about organisational behaviour and human resource management in the context of Bank Muscat. It explores the strategic goals, recruitment process, training initiatives, performance management, and employee relations at the bank.
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Running head: BANK MUSCAT Organisational Behaviour and Human Resource Management [Bank Muscat] Name of the student: Name of the university: Author note:
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1BANK MUSCAT Executive summary This project discusses about organisational behaviour and human resource management. It does so in the context of the chosen company Bank Muscat. The study finds that Bank Muscat is the leading banking and financial service providers in the Middle East simply for its excellence in HRM practices and innovation. The HR practice drives employee performance and facilitates a transparent recruitment process at Bank Muscat. It is being found that training and development programs at Bank Muscat are driven by extensive use of strategies and the latest technologies. This study further reflects on the performance management system at Bank Muscat. Performance management as found in this study is driven with technologies such as Citrix and XenApp. The study identifies a few issues concerning employee relationship at Bank Muscat. Employee engagement as found in this study is pretty low at Bank Muscat.
2BANK MUSCAT Table of Contents 1. Strategic goals/objectives towards human resource planning and development of human resources..........................................................................................................................................3 2. Discuss the recruitment and section mechanism.........................................................................4 3. The initiatives adopted for training and development.................................................................7 4. The performance management system........................................................................................8 5. A critical appraisal of employee relationship..............................................................................9 Task 2: A brief report on industry expert talk and reflective learning..........................................11 References......................................................................................................................................14
3BANK MUSCAT 1. Strategic goals/objectives towards human resource planning and development of human resources Bank Muscat is being voted the best bank in Oman for seven years. There are various factors, which enabled Bank Muscat to bag this achievement for consecutive years in a row. One of the factors is itsvisionto provide employment to Omanis. The bank was able to achieve more than 92% Omanis (Bankmuscat.com 2019). There is no stoppage to this as the bank is intended to further this number. The bank was awarded for its national manpower initiatives. It was also voted the best place to work in the Middle East. Themissionis to recruit Omanis and to help them equip with competency required to achieve its strategicbusiness objectivestowards the development of human resources and human resource planning. The strategic business objectives aretocontinuouslyworktowardsimprovingitsproductivityandcustomerservice (Bankmuscat.com 2019). The bank gives high priority to human resources development.Hence, they have identified innovative ways to achieve this goal. Bank Muscat has extensive strategies for training and development of employees. They are intended to develop skills, which are also the requirements of different departments. The multi-skill development programs have proved to be beneficial for many staff of Bank Muscat. The training and development programs are not just in-house oriented but also expanded to external resources. This means Muscat Bank has a collaboration partnership with international institutes specialised in providing skill-based training to professionals. The use of technology for the training and development programs is proving to be beneficial for staff especially the millennials (Bankmuscat.com 2019). Millennialsare increasingly switching to media technology like smartphones for conducting their day-to-day activities (Jha, Sareen and Potnuru 2019). The use of technology indicates the efficiency of
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4BANK MUSCAT human resource management in Bank Muscat. Indeed, the HRM is able to drive the sharing of knowledgethroughtraininganddevelopmentprograms,andthroughadoptingthelatest technology. 2. Discuss the recruitment and selection mechanism The recruitment and selection mechanism at Bank Muscat happens through multiple stages. These are as listed under (Bankmuscat.com 2019); External Recruitment Policy: The external recruitment policy is there to ensure a fair and transparent recruitment process. The human resources department is committed to taking care of all recruiting activities. HR managers take the assistance and guidance of the line manager and divisional head on a regular basis. Strict confidentiality is maintained by each personnel involved directly and indirectly in the recruitment process. Any exception to the range of clauses can only be made and amended by CEO and Managing Director. Educational Qualification: Individuals possessing a graduate degree preferably accounts are eligible to apply for cash and junior officer position. Professionals with a post-graduate degree are hired for clerical and official positions. Recruitment Steps: Candidates applying for temporary and officer level jobs are needed to go through a written test. For executive officer rank, written test is not required. The interview panel consists
5BANK MUSCAT of at least three members. One member is from the human resource department, one cross- functional and one from the line division. Medical Test: In Bank Muscat, the job is offered to those who pass the medical examination as conducted by the nominated diagnostic center. Reference Check: HR managers can go for reference check wherever they feel necessary to do so. Internal Recruitment Policy: At Bank Muscat, staffs are given adequate opportunity to grow from within. They can apply against any vacancy if they meet the eligibility criteria for each job. The internal job posting is done along with external job advert. It is done to recruit the best of skills. Existing staffs can apply for any suitable position after getting approval on the same from the divisional head and line manager. Existing staffs need to have spent a minimum of six months in their current role to be able to eligible for their desired and relevant job position. However, for a higher position, the experience level should be at least one year. External Recruitment Process: This happens through various steps in Bank Muscat. These are as under; Headcount Planning Manpower Needs Recruitment Requisition Job Posting
6BANK MUSCAT Written Test CV Sourcing Short Listing Interview Job Offer Medical Test Appointment Letter Internal Recruitment Process: ThehumanresourcemanagementatBankMuscatfollowsvariousstepsintheinternal recruitment process. These are as under; Job Posting CV Short Listing Interview Appointment to the New Role Selection Procedure: The selection process is time-consuming. It goes through several stages. All the processes adhere to decisions being made in a decentralised setting. The whole processes consume a huge amount of time. The applicants send or upload their resumes through the dedicated website. This website is dedicated to receiving job applications. Once the resumes are received these are shortlisted to keep only the competent applicant. These sorted resumes are carefully saved in the database to check and eliminate whether any probable mistake has happened during the shortlisting process. The whole process sometimes consumes longer than expected time span for
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7BANK MUSCAT the selection process. It happens in situations when the number of applications has reached a staggering figure. Those who are shortlisted and selected are only contacted and informed about the further formalities (Bankmuscat.com 2019). 3. The initiatives adopted for training and development Bank Muscat is one of the very few banks in the Middle East and also the world to have opened their arm for gender diversity. This is evidenced in the fact that 48% of employees are womenserving itsvariousjob positionsincluding also the senior managementpositions (Bankmuscat.com2019).Apartfromitstransparentrecruitmentprocess,trainingand development programs at Bank Muscat is in fit with its organisational objectives, which is to increase productivity and improve the level of customer service. Human resource management at Bank Muscat uses innovative ways to drive the development of skills. The introduction of a program popularly known as Customised Certified Public Accountant (CPA) is one of these examples(Bankmuscat.com2019).Thisprogramisdesignedandcustomisedfroma collaborative partnership of Grey Matter Academics (GMA) in India and Safety Technical ServicesCompanyinOman(Bankmuscat.com2019).Thisprogramreflectsastrong commitment and dedication from Bank Muscat towards its employees and customer service. Indeed, the learning programs have a fit with its overall strategies. The bank is committed to driving talents from the locals. It creates and provides every possible learning opportunity for its employees. The learning and development programs are designed in such a way that it is both absorbing and path guidance to employees. This is evidenced in the fact that Bank Muscat has been able to achieve qualitative advancement in the human resources sector. It has been able to attract the best of Omani candidates and provided them a platform to grow. Bank Muscat also holds the credit to launch and initiate assessment and
8BANK MUSCAT developmentcenterstogroomtalents.TheinitiativewasfirstofitskindinOman (Bankmuscat.com 2019). These programs helped Bank Muscat to groom nationals for various posts like critical senior management, international appointments for both branch network and head office, and middle management. The impact of and return on investment (ROI) from these developmentcentersareevidencedinnewheightsthatBankMuscathasmountedto (Bankmuscat.com 2019). Bank Muscat provides training on various skills and expertise. These include but not limited to like Induction training, Risk management, Credit, IS-Audit, CBS-IT, Accounts, Recovery, and Foreign Exchange, etc. 4. The performance management system Bank Muscat apart from following traditional methods of knowledge sharing in the workplace also uses technology to manage employee performance. Citrix is one of these technologies that help the bank developing, supporting and engaging its widely dispersed staff (Bankmuscat.com 2019). Any event such as the chairman addressing to all staff is made available to employees through this technology. This consumes fewer data and provides viewing even on slower connections. Citrix app is highly secured. The app dramatically reduces the chance of any compromises. It is more user-friendly than many other apps available. Indeed, it gives features, which is unmatched by many other apps of the same genre. Citrix, indeed, is leading the transition to a software-defined workplace (Dahari, Abduh and Fam 2015). This facilitates mobility management, uniting virtualisation, networking and SaaS solutions. These solutions enable new ways impacting the businesses and helping the staff to work better. The technology also powers business mobility through secure mobile workspaces. This provides staff with instant access to a wide array of things like apps, data, desktops and communications. Communications whether established on any device, any network or cloud can be accessed
9BANK MUSCAT securely using Citrix solution (Dahari, Abduh and Fam 2015). On a similar note, XenApp is used to deliver e-learning facility to staffs (Bankmuscat.com 2019). This e-learning site contains tutorials in the form of audio and video materials. This can be accessed from anywhere across the globe. This enables employees working in different locations at the different branches of Bank Muscat to learn things that they require. The automation and digitised work environment at Bank Muscat provide automation to HR processes, minimise human intervention, brings transparency to the processes and make processes intuitive. The automationof HR and other processes has done wonder to the performance of Bank Muscat. It has helped the bank to improve its customer service standard, lower the cost of the operations and improve the service speed. Performance management is challenging in the banking sector. However, Bank Muscat has been able to drive employee performance through technologies such as Citrix and XenApp. The use of technology is influencingemployees,leadersandmanagers.Indeed,atechnology-orientedperformance management system is holistic and focuses on driving employee performance and maximising employee development (Alalwan, Dwivedi and Rana 2017). The digital transformation is proving helpful for Bank Muscat in regards to increased collaboration between management and employees. This is enabling employees with performance tools and helping them develop leadership skills. Indeed, a technology-driven workforce is a solid answer to rising millennials’ participation in the workplace. Millennials spend too much of their time on smartphones and also prefer being connected to digital technology to be updated with the world around them (Stewart et al.2017). The use of an innovative piece of technology is not just impacting the costs but also improving the process efficiency and accuracy (Tam and Oliveira 2016). 5. A critical appraisal of employee relationship
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10BANK MUSCAT Maintaining healthy employee relations is an utter need of an organisation. This is more important for a bank. Indeed, strong employee relations generate high productivity and increased human satisfaction. Strong employee relations promote safe and healthy work environment, high employeeengagement,effectiveorganisationalcommunicationandincreasedemployee motivation. Good employee relations indicate that employees have a positive look towards their job responsibilities, and organisational goals and objectives (Conwayet al.2016). Bank Muscat also gives emphasis on strengthening employee relations in the workplace. However, there are a few areas that need a revisit from the management teams. For good employee relations, it is important that there is equality spread in the workplace, and that all employees irrespective of their gender and culture are treated on the same ground in a fair manner. This means employee favouritism should be avoided (Abdullah 2017). Indeed, Bank Muscat has been able to drive diversity in the workplace. There are 48% women in the bank representing all positions including also the managerial positions (Bankmuscat.com 2019). This is indeed a feat being achieved by Bank Muscat considering a low women participation in the workplace in the Middle East and across the globe (Schultz 2018). Employees are given a competitive salary, which has no biases for gender and culture. Rather, salary is decided based on skills, talents and competencies. This is one of the reasons why Bank Muscat has been the leading banking and financial solution providers in Sultanate of Oman. However, the nature of the job becomes monotonous for employees at some point in time when they are two or three years old to the system. The job nature is not very engaging though the Bank Muscat incentiviseemployees to increase their motivation level. Motivation according to Mikkelsen, Jacobsen and Andersen (2017) is not just about creating monetary solutions to employees but also fostering many other things. Job satisfaction is one of those things. It boosts
11BANK MUSCAT employee motivation in the long-term. Bank Muscat should focus on increasing employee engagement. They should assign greater responsibilities to employees to keep them engaged with their job. They should feel the difference every day they come to the office (Porter, Riesenmy and Fields 2016). If this could happen, will impact on their interest level for their participation with Bank Muscat. There should be training programs on a regular basis as this will create the opportunity to interact with the employees and come closer to form a lasting relationship with them. Task 2: A brief report on industry expert talk and reflective learning I as the industry expert in the banking sector feeling like have learned quite a thing about organisationalbehaviourandhumanresourcemanagement.Anorganisationalstructure according to my understanding is a road map, which is being followed to perform daily workplace activities. This includes but not limited to communication between personnel sitting at the different levels of an organisational structure. There are commonly four widely used organisational structures like administrative structures, divisional structure, functional structure and matrix structure (Coccia 2015). Each structure is different from the others in regards to the efficiency of tasks handling and organisational communication. Management practices, which I have understood is their working styles that vary from one to another manager. It usually and broadly refers to innovations and working methods that managers implement to train staff, empower staff, introduce various latest and emerging technologies, and introduce a various policy to improve the service quality level. Effective leaders as I have understood from working on Bank Muscat capably handles management practices like those mentioned below (Donate and de Pablo 2015);
12BANK MUSCAT Model the way Inspire a shared vision Challenge the process Enable others to act Encourage the participation As long as I have understood by working on this project, bothpersonnel management and human resource managementserve alike purposes. Personnel management is a traditional approach to manage people in organisations. It focusses on a few things like labour relation, personneladministrationandemployeewelfare.Ontheotherhand,humanresources management focusses on the development of skills, acquisition of talents, employee motivation, and of course maintenance of human resources in the organisations (Noeet al.2017). However, the global human resources management is facing challenges in acquiring talented and skilled people, creating ways to promote employee motivation and employee engagement and retention of human resources. There are various reasons that make these factors challenging human resources management. This includes but not limited to gender and generations diversity in the workplace. Gender diversity requires diverse work setting to diverse gender group. Similarly, Millennials want a more engaging and cultural workplace whereas baby boomers have the least interest for an engaging workplace (Hall 2016). The project on Bank Muscat helped me learn a few key areas of HR practice. These are strategic planning, development, resourcing, motivation and reward (Conwayet al.2016). Strategic planningas I have understood from this study is linking human resources practices with organisational goals and objectives. This requires a strategically-driven approach towards countering barriers and strengthening strategic plans. As per my understanding of resourcing, it
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13BANK MUSCAT is to be able to attract and recruit talents possessing diverse skills.Resourcingshould be a transparent process supporting both gender and generations diversity in the workplace (Boroughs and Rickard, 2017).Developmentof skills is one of the core HR activities (Bellet al.2017). I have found the development of skills as benefitting to the organisations considering that it trains people on the different expertise and create assets for them. I have found motivation and reward both as interrelated factors. When employees are rewarded they possess high motivation for work. Motivation can be either intrinsic or extrinsic (Albalooshi, Ali and Al-Ansi 2017). Many researchers have identified intrinsic motivation as the most effective of all forms of motivation. Toconclude, it can be said that HR practice has a bigger role in contemporary work situations. The contemporary HRM is not just dealing with one city or a nation but the whole world. They are bound to face people from different cultural and ethnic groups. There are gender and generation-based diversity in the workplace. One universal solution is no longer fitting the workplace. Instead, there are growing needs for customised practices that fit with a diverse workforce. Despite so much of innovation and hard works from the global HRM, they face distinguished challenges n efficiently managing the workforce. Even in this project on Bank Muscat, I have found that the HRM of the company has so far struggled to make workplace engaging for their employees. On arecommendingnote, the global HRM should practicestrategic organisational changeto boost productivity, enhance quality and employee satisfaction. They should also devise aneffective training program. They should promote thereward systemto drive employee motivation. The HRM should alsodesign benefit packagesto the employees. The values of these packages should be evaluated appropriately before implementing these to practice.
14BANK MUSCAT
15BANK MUSCAT References Abdullah, A. B. M. (2017).Managing the Psychological Contract: Employee Relations in South Asia. Springer. Alalwan, A. A., Dwivedi, Y. K., and Rana, N. P. (2017). Factors influencing adoption of mobile banking by Jordanian bank customers: Extending UTAUT2 with trust.International Journal of Information Management,37(3), 99-110. Albalooshi, A. M., Ali, A. B., and Al-Ansi, A. A. (2017). TheEffect of Job Loyalty, ManagementPerformanceandRewardsandRecognitiononProfitabilityofIslamicand Conventional Banks: Evidence from UAE.International Business Management,100(3), 721- 728. Bankmuscat.com.(2019).bankmuscat.Retrievedfrom https://www.bankmuscat.com/en/Pages/default.aspx Bankmuscat.com.(2019).bankmuscat.Retrievedfrom https://www.bankmuscat.com/en/about/humanresources/Pages/default.aspx Bell, B. S., Tannenbaum, S. I., Ford, J. K., Noe, R. A., and Kraiger, K. (2017). 100 years of training and development research: What we know and where we should go.Journal of Applied Psychology,102(3), 305. Boroughs, A., and Rickard, C. (2017).Using technology to create value: designing the tools for the new HR function. Routledge. Coccia, M. (2015). Structure and organisational behaviour of public research institutions under unstable growth of human resources.Coccia, M.(2014)‘Structure and organisational behaviour
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16BANK MUSCAT of public research institutions under unstable growth of human resources’, Int. J. Services Technology and Management,20(4/5), 6. Conway, E., Fu, N., Monks, K., Alfes, K., and Bailey, C. (2016). Demands or resources? The relationship between HR practices, employee engagement, and emotional exhaustion within a hybrid model of employment relations.Human Resource Management,55(5), 901-917. Dahari, Z., Abduh, M., and Fam, K. S. (2015). Measuring service quality in Islamic banking: Importance-performance analysis approach.Asian Journal of Business Research ISSN,1178, 8933. Donate, M. J., and de Pablo, J. D. S. (2015). The role of knowledge-oriented leadership in knowledge management practices and innovation.Journal of Business Research,68(2), 360-370. Hall, A. (2016). Exploring the workplace communication preferences of millennials.Journal of Organizational Culture, Communications and Conflict,20, 35. Jha, N., Sareen, P., and Potnuru, R. K. G. (2019). Employee engagement for millennials: consideringtechnologyasanenabler.DevelopmentandLearninginOrganizations:An International Journal,33(1), 9-11. Mikkelsen, M. F., Jacobsen, C. B., and Andersen, L. B. (2017). Managing employee motivation: Exploring the connections between managers’ enforcement actions, employee perceptions, and employee intrinsic motivation.International Public Management Journal,20(2), 183-205. Noe, R. A., Hollenbeck, J. R., Gerhart, B., and Wright, P. M. (2017).Human resource management: Gaining a competitive advantage. New York, NY: McGraw-Hill Education.
17BANK MUSCAT Porter, T. H., Riesenmy, K. D., and Fields, D. (2016). Work environment and employee motivation to lead: Moderating effects of personal characteristics.American Journal of Business, 31(2), 66-84. Schultz, V. (2018). Telling Stories About Women and Work: Judicial Interpretations of Sex Segregation in the Workplace in Title VII Cases Raising the Lack of Interest Argument [1990]. InFeminist legal theory(pp. 124-155). Routledge. Stewart, J. S., Oliver, E. G., Cravens, K. S., and Oishi, S. (2017). Managing millennials: Embracing generational differences.Business Horizons,60(1), 45-54. Tam, C., and Oliveira, T. (2016). Performance impact of mobile banking: using the task- technology fit (TTF) approach.International Journal of Bank Marketing,34(4), 434-457.