Issues Faced by HR Function in an Organisation

This document discusses the issues faced by the HR function in an organisation, such as managing a diverse workforce, maintaining a skilled workforce, managing a remote workforce, training and development, evaluating areas of expertise, and rewarding employees. It also explores the use of HR matrix, measures to solve problems by HRM, and management theories related to HRM. The document includes a small-scale research conducted on Amazon and eBay employees, as well as recommendations based on the findings.

BUSINESS FOCUS REPORT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
HR issues.....................................................................................................................................3
HR matrix....................................................................................................................................5
Measures to solve problems by HRM and HR matrix.................................................................6
Henry Fayol management theory related to HRM......................................................................8
Scientific management theory of Freidrick Taylor......................................................................8
Small scale research.....................................................................................................................9
Analysis.......................................................................................................................................9
Recommendations and link to theory........................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
The file is on issues faced by human resource function in an organisation. Human Resource is
the function in an organisation which recruits and trains people to become successful employees
in an organisation. The organisation being taken in report is Amazon. Amazon is an e-commerce
company based in UK. The functions in organisation face issues, same is the case with HR and
the fie reflects the issue and the use of HR matrix to solve the issues. Small scale research on the
issue, analysis and findings have been highlighted.
HR
The HR function is a vast function which has to find and identify the vacancies existing in
different functions of the organisation. It has to remain in touch with different departments like
Finance, Marketing, Sales, IT department etc. to find out about the vacancies in organisation’s
different departments. They have to take the job descriptions from various departments, assemble
them in points and through means of print and electronic media give advertisements for
recruitment. The method of recruitment has to be set of aptitude test, interviews, group
discussions etc. to choose the best candidate. Apart from this, training and development is also
provided by HR function to employees. The grievances of employees have to be sorted out by
HR and the salary processing is also done by this function (Sato, Kobayashi and Shirasaka,
2019).
HR issues
a) Managing a diverse workforce: This is particularly difficult in multinational corporations
(MNCs), where employees come from a variety of backgrounds and cultures. HR have to
help team members understand one another in order to foster teamwork and allow the
team to concentrate on a common goal. People employed have a variety of perspectives
and skill sets, resulting in disagreements about how to approach the tasks at hand. HR
have to convene meetings to facilitate negotiations in which people may reach an
agreement, and the line manager must then assign various sections of the job based on
skill sets.

b) Maintaining a skilled workforce: HR at Amazon face a difficult task in retaining a
talented pool of employees for long periods of time. Employees are more likely to leave
jobs if they are unable to adapt to their surroundings or if their aspirations are not met. An
employee seeks a work atmosphere that promotes growth and provides exciting
opportunities for advancement in addition to a competitive salary. Employees may
consider changing jobs if one or more of the factors are missing. The line manager must
establish a personal connection with these workers, consider their needs, and provide
them with the atmosphere they want.
c) Managing a remote workforce: HR at Amazon are faced with yet another problem.
People who work in various parts of the world frequently have trouble communicating
with their bosses and airing their complaints with them. Managers are in the same boat.
Due to a lack of communication, problems go unnoticed, resulting in missed deadlines
and unfinished work. HR have to take basic training sessions of the language used
officially (Sato, Kobayashi and Shirasaka, 2019).
d) Training and development: New employees are assigned to departments and supervisors
who must prepare them according to the nature of their jobs and the atmosphere in which
they work. The preparation must be in line with the latest technologies that the business
employs in order to compete in the industry. As a result, administrators in HRM have to
also stay current with current technologies and impart trainings.
e) Evaluating areas of expertise: Various workers with different skill sets, areas of interest,
and expertise must be assigned to their profession by HR, since each employee would
succeed if he is assigned to work in his area of expertise at a regular interval. HR must
control the time interval of this allotment in order to maintain employee productivity
while still achieving the organization's goals. HR hold meetings with staff and evaluate
their skills and success in order to assign the best job to them.

f) Rewarding Employees: HRM function at Amazon reward employees after evaluating their
results. This can take the form of a performance review, a raise, or bonuses. The manager
ensures that workers are given credit for their efforts and that their contributions are recognised
and appreciated by the rest of the team. The performance assessment must be tailored to the
employee's job and aspirations. Employees look forward to this moment, and the manager must
be justifiable in rewarding them (Chakravarti and Bhaduri, 2020).
HR matrix
Human resources matrix is worthy for companies which report through more than one channel or
to more than one leader. Its called a matrix as it is laid in a grid or matrix pattern. For example,
ana ad agency which employs writers, designers have team members who work on different
projects at same time. A matrix structure is used in situations where collaboration between mid-
level management and employees on different teams or when the coordination cannot be done on
an informal means through meetings. The matrix approach sides the effect which can result in
top-down approach to management because of touch points existing (Chakravarti and Bhaduri,
2020). Matrix streamlines the process of approval, which ensures that projects are not held up.
Thee cross-functional management and various areas of organisation interact on regular basis.
The structure allows the team members in managing their progress and growth on balancing of
objectives which are set by various managers. Employees get more autonomy for making
decisions in real time although they have to take upon themselves for interacting with teams to
solve issues which can arise to maintain autonomy.

Measures to solve problems by HRM and HR matrix
Induction: When a new employee enters a corporation and is unfamiliar with the culture,
induction helps the employee become acquainted with the organisation, its goals, functions, and
co-workers and superiors. This will serve as the foundation for the employee to get to know his
teammates and his place within the team. This gives him faith and consistency on who he should
report to and what tasks he should perform. HR also introduces the company's policies, which
include leave policies, travel arrangements, and the evaluation of KPIs for bonus purposes,
among other things. This answers a lot of questions that employees might have when they first
start working for the company. This has a positive impact on the employee's motivation to work
and improves their performance. HR matrix sees to it that both the functional manager and
project manager make the employee comfortable in the environment and inform about work
culture and policies (Lei, Khamkhoutlavong and Le, 2021).
Training programs: At this stage, the employee has formed a bond with his or her coworkers and
has a basic understanding of how things work. HR training programs would not only raise

employee morale but also teach them technical aspects of the job are required at this time. The
training sessions would include subjects such as improving the employee's personal qualities,
improving public speaking skills, removing communication barriers through group activities, and
so on. When an employee receives both personal and professional training, he is encouraged to
put his talents to work, thus enhancing his performance. The HR matrix shall ensure that both the
project and departmental training approvals are given by managers and employee is freed for the
training sessions between duty timings.
Performance plan: HR hold a meeting between departmental and project manager and staff to
review and map out the team's and employees' objectives. Employee priorities are aligned with
those of the organisation, and a deadline for achieving these goals is set. Employees are given a
timetable and are assured of any assistance and support they may need to achieve their goals by
appointing mentors.
Performance coaching: This aids in providing guidance and support to workers during the
performance plan's duration. Employees' output is evaluated in terms of which areas they excel
in and which areas they need to develop. Employees are given feedback at regular intervals to
help them understand where they stand and where they can develop. Managers aim to strengthen
the areas where they are missing by providing necessary feedback and preparation (Lei,
Khamkhoutlavong and Le, 2021).
Recognition ceremony: HR at Amazon organise a ceremony in which the whole team gathers,
for example, on the company lawn. Employees who have excelled in their performances, as well
as those who have made a promising start, are recognised and awarded in the form of a
certificate or a prize presented by the executive manager, and the employee is congratulated. The
upbeat ceremony instils faith and enthusiasm in the employee, encouraging employee to keep the
momentum going and improve results for the next goal (Aust, Matthews and Muller-Camen,
2020).

Henry Fayol management theory related to HRM
This philosophy includes 14 management principles that the organization's leadership should
adhere to. Division of labour, authority and obligations, discipline, unity of command,
subordination of individual interests, remuneration, centralization, scalar chain, order, justice,
peace, initiate, and esprit de corps are some of the principles that apply. Adoption of one or more
theories of management values has been believed and responds to more successful leadership.
These values, according to the leader, improve the effectiveness of the workers and the
organization's productivity level. Many companies have incorporated discipline into operations
to strengthen the organization's values. As a result, the organisation is able to concentrate on the
target and lead the organisation towards it. Another effective theory for the company and
employee to be treated fairly by the employer is to promote the team principle, where workers
prioritise the organization's interests over their own. Motivating employees by equal pay is
another effective theory for the business and employee to be treated fairly by the employer
(Edwards, 2018).
Scientific management theory of Freidrick Taylor
Freidrick Taylor proposed a hypothesis in which he and his colleagues conducted experimental
research on work results. Taylor emphasised that putting pressure on workers to work hard was
not the best way to get results. According to Taylor, the easiest way to boost efficiency is to
simplify activities. The technique was distinct from what most companies had been doing
previously. The factory executives did not keep in touch with the management at first, and there
were no regulations in place to standardise the rules at work. Employees were motivated solely
by job security (Hill and Van Buren, 2018.).
According to Taylor, money was previously the only reason to stay on the job, which prompted
him to establish a fair day wage for a fair day's work. Scientific management has been practised
all over the world since then. Employees and management are now in constant contact, and there
has been a paradigm change in employee-employer engagement that did not exist previously.

Small scale research
A research conducted on sample random sampling basis on 30 employees of Amazon and eBay
helped in knowing the issues employees have.
Amazon employees said that they were not able to achieve work life balance during time of
festive season. On being questioned about job environment, the answer was in positive which
revealed a nice and cooperative work culture but with deadlines to achieve every quarter.
The question about training and development revealed that employees were mostly satisfied with
the training given and also gave suggestions on how it could be made better by incorporating
more tools. Employee retention was however an issue as answered in the research and advice to
management to take measures to retain talent were given (Stahl and et.al., 2020) .
Half of the employees were happy about their performance appraisal and half were uncontented.
This shows that improvement with less of biasness is required in appraisal segment by the
management.
eBay employees on being questioned about work atmosphere were positive in answer and said
that work life balance could be maintained due to less of work pressure and encouraging
atmosphere was being provided at the company. On being questioned about freedom to voice
opinions, it was revealed that suggestions of employees were being taken and creativity was
supported in the company.
On being asked about training and development measures, majority of the employees were
satisfied with the sessions provided. Some said that more of technical sessions can boost
productivity. It was also revealed that measures were being taken by the company that employee
retention rate increases with giving rewards if employee completes a fixed duration at the
company.
Performance appraisal although was needed to improve as per employees and more of credit to
be given to employees was suggested.
Analysis
The analysis of the research shows that there are some issues to be addressed in both the
companies while on some parameters company has performed well. The simple random
sampling method is one of the accurate result giving method as it is done in a surprise way where
there is less chances of fabricated answers. There is no pressure on the employees or to whom

the questions are put up to answer in a certain way or manner. The research revealed that
employees were happy with the work culture although at Amazon, the work life balance not
being able to maintain by the employees was a finding. Training and development measures
were found satisfactory at both the companies with a bit of suggestions from employees at eBay.
Employee retention was an issue found at Amazon and there has to be reforms being done to
improve the current position. Performance appraisal was another issue which needed to be
addressed at both the companies with incorporation of suggestions from the employees and being
flexible in approach.
Recommendations and link to theory
It can be recommended that company utilises the theory of Henry Fayol and Friedrick Taylor
that employees have to be treated as a worthy member of the organisation and needs of
employees have to be taken care of. The recommendations of Friedrick that employees have to
be given their choice of work and have their interests known. Also not over burdening them with
work and letting them maintain work life balance is required by Amazon to follow. Amazon does
follow the theory’s principle of fair wages for fair work and pays the employees salary up to the
industry standards. Company has to look after employee retention facts and provide incentivised
career growth for employees. Performance appraisal is required to be more employee specific
and incorporate their suggestions with fair judgement on their work.
CONCLUSION
It can be concluded that the HRM function is a one with responsibilities to manage the human
resources and it is necessary to utilise HR matrix so that there is a system which can solve the
issues quickly and employees can continue hassle free in their work. The HRM is also then less
burdened, use of appropriate theory as discussed above can lead to employee satisfaction and
help in employee retention measures.

REFERENCES
Books and journals
Sato, Y., Kobayashi, N. and Shirasaka, S., 2019. Deriving Challenges through Clarification of
Areas to Strengthen the HR System Using A Matrix with the Three Axes of Target Employee,
Life Cycle Stage, and HRM Policy Choices. International Journal of Japan Association for
Management Systems, 11(1), pp.91-101.
Chakravarti, R. and Bhaduri, N., 2020. Redesigning Matrixed Organisations: HR
Responsibilities. NHRD Network Journal, 13(2), pp.197-202.
Lei, H., Khamkhoutlavong, M. and Le, P.B., 2021. Fostering exploitative and exploratory
innovation through HRM practices and knowledge management capability: the moderating effect
of knowledge-centered culture. Journal of Knowledge Management.
Aust, I., Matthews, B. and Muller-Camen, M., 2020. Common Good HRM: A paradigm shift in
Sustainable HRM?. Human Resource Management Review, 30(3), p.100705.
Stahl, G.K., Brewster, C.J., Collings, D.G. and Hajro, A., 2020. Enhancing the role of human
resource management in corporate sustainability and social responsibility: A multi-stakeholder,
multidimensional approach to HRM. Human Resource Management Review, 30(3), p.100708.
Godwin, A., Handsome, O., Ayomide, W., Enobong, A. and Johnson, F., 2017. Application of
the Henri Fayol principles of management in startup organizations. Journal of Business and
Management, 19(10), pp.78-85.
Edwards, R., 2018. An elaboration of the administrative theory of the 14 principles of
management by Henri Fayol. International journal for empirical education and Research, 1(1),
pp.41-51.

Hill, V. and Van Buren, H., 2018. Taylor won: the triumph of scientific management and its
meaning for business and society. In Corporate Social Responsibility. Emerald Publishing
Limited.

1

2

3