Human Resource Management in the Mining Sector: Problems and Strategies
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This essay discusses the problems of human resource management in the mining sector and analyzes the reasons behind the same. It also provides strategies to attract and retain staff in the mining industry.
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Running head: HUMAN RESOURCE MANAGEMENT HUMAN RESOURCE MANAGEMENT Name of the Student Name of the University Author Note
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1HUMAN RESOURCE MANAGEMENT Introduction The power of a good human resource management team in an organization cannot be undermined. An employee forms the backbone of an organization and due to this reason, it becomes extremely important for any firm to have a good employee base or else they might not be successful in the long term (Colleran et al. 2010). The mining sector has been facing certain problems recently relating to the human resource management. Many organizations believe that it is just enough to hire good employees, but it is not the case and although hiring is easy managing of employees is definitely not. Mining industry is relatively a large industry but quite a dangerous one. There are several health hazards associated with the job of mining and this is the primary reason why different organizations find it relatively difficult to attract and retain good employees. The primary objective of the given essay is to examine the problem relating to the human resource management in an organization and analyze the reasons behind the same. This shall be followed by strategies to attract and retain staff in the mining industry (Sadath, 2013).The last part of the essay will be in the form of certain recommendations which shall highlight the ways to foster a good human resource department in an organization. There are various reasons behind the problems of human resource management in the mining sector and those relating to the attraction and retention of employees will be discussed effectively. Current problems in the mining sector
2HUMAN RESOURCE MANAGEMENT Attraction of the new employees is a problem which is deemed to be the largest in the mining sector. The given problem has been prevalent since the last 10 years as a large majority of the workers have resigned and the rest are on a verge of majority. The workers known as baby boomers have reached recruitment and thus a large number of posts are vacant. According to the demographics which was observed considerably showed that in the coming years, around one third of the mining workforce will be retiring and this shall lead to a potential knowledge gap (Nandwani, 2013). This knowledge gap will be prevalent because there will not be enough workers to work in their place. Mostly three types of workers needed in the mining industry which are the baseline, expansionary and the contractionary. It was observed that within these three realms it is the occupation of the heavy equipment operators, surface miners skilled trades and other highly professionals like that of engineers and geo-scientists are the ones who have been facing the most problems. These are highly manual jobs and the employers are thus looking out for those with the minimum current employees. There are several labor market trends such as the availability of the labor and the quality of labor available which acts as a challenge in attracting the new employees (Shen, Messersmith, & Jiang, 2018).The average age of workers in the given industry with respect to the retirement of the employees is 60 years. Hence, alongside these problems which relate to the attraction of the new employees, the retention of the existing staff also tends to serve as a huge problem in the given sector (Kehoe, Collins & Chen, 2017). Due to the highly unsafe working environment in the given industry and the low pay, the employees are unwilling to work in the given company and are looking out for better opportunities in other sectors which will provide them with safety and security as well.
3HUMAN RESOURCE MANAGEMENT For this reason there are several factors leading to the lack of proper attraction and retention of the employees in the mining sector and these factors will be discussed in details in the next section. Reasons behind the problem The given section will be discussing the primary reasons why the attraction and retention of employees is a problem in the given sector. The first reason why the employees are difficult to attract and maintain is the reason related to the unsafe work environment. The unsafe work environment which often leads to blasts and spillage in the mining areas is the cause behind the unwillingness of the different employees to continue working. Furthermore, the employees which are considerably new to the opportunities did not want to get involved in the given field. The second reason behind the human resource problem at the mining sector with respect to the attracting and retaining employees relates to the low compensation package being offered by the different companies (GarcÃa-Lillo, Úbeda-GarcÃa & Marco-Lajara, 2017). Although the companies earn in large scale, they are unwilling to share this with the workers and thus the potential as well as old employees are not willing to work for the sector. Only higher post jobs are provided with good job positioning facilities but the ones involved in the extra mechanical work are not provided with such facilities. Furthermore here does not exist any potential growth prospects in the given sector. The workers who are working in the lower posts receive little or no recognition and continue to work in the given post for a major part of their life (Lord, Jefferson & Eastham, 2012). The other employees who are provided with adequate growth options generally find the mining work
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4HUMAN RESOURCE MANAGEMENT monotonous and thus leave the organization in the mining sector in search of better opportunities and growth. Lastly, the managers and the leadership of the mining sectors is also very weak. The managers only cater and tend to look out for the profit aspects and look for better options to expand the business but for not look out to provide better working environment for their employees. It is due to these reasons that the problem of retaining existing and attracting new employees tends to take place (Scott-Ladd et al., 2010). Strategies to improve the retention and attraction of employees in the mining sector After analyzing the different factors which contribute to the different problems that exist in the given industry, the following strategies are being recommended to improve the current scenario in the given mining sector. The first strategy relates to the Concentration on the organization fit. It is often observed that the given organizations in the mining sector often tend to hire the workers based on the capabilities. In this manner, although good workers are being recruited to the given organization, these workers are not checked and analyzed well to ensure whether they fit in with the strategic objectives and vision of the given organization (Boon et al., 2018). This means that, if the worker tends to be a good one but he is unable to fit well with the structure and the type of work in which the organization engages in then it turns out to be great problem for both the parties and reasons like these increase the turnover (Kramer et al., 2011). Hence, while recruiting the employeesthefocusmustbeontheconcentrationfitofthegivenemployeewiththe organization.
5HUMAN RESOURCE MANAGEMENT The next strategy which should be employed by the companies are the implementation of safety in the given sector. This means that the different workers who are engaged in the in the given industry should be ensured that their safety is ensured and various safety measures will be taken up by the organization to manage the emergency crisis and other situations which may cause problem to the given employees (Colleran et al., 2010). If the organization is able to do that successfully then it would go a long way in ensuring that the workers entrust their life in the employers and work efficiently. The third strategy through which the companies in the mining sector can adopt is ensuring talent management program for the different employees. As stated earlier, there does exist a problem of talent management, retention and attraction of the new employees in the given organization, it can be stated that there also exists a problem of talent management (McKenzie, 2011). When a new talent tends to get associated with the organization they need to ensure that the talent is managed effectively. These steps involve ensuring that the workers are provided with an induction program that fits well with the company policies, provided with help from peers and leaders alike. If the talent in the organization is managed well then the firm will be able to see to it that the turnover costs of the organization decrease considerably. Thefourthstrategywhichhasbeenrecommendedforthegivensector–mining, employee’s id the balance of the work life balance. The work life balance tends to form an essential component of employee life. If the worker of an organization is not provided with a work life balance, this shall have an impact on the morale of the employee which in turn will have a negative impact on the productivity of the organization (Hargis & Bradley, 2011). The workers who feel that the organization provides adequate work life balance to them, tend to perform better for the welfare of the organization.
6HUMAN RESOURCE MANAGEMENT Medical aid and assistance also play a great role on the motivating the different workers and instigating them to work for the welfare of the organization. Hence if the given employee is provided with relevant insurance and medical aid, he may want to work for the welfare of the firm and ensure that they can do one step towards organizational welfare. Although it is often ignored, the orientation program of the organization taken prior to the wok commences has a crucial role to play. The roles played by the proper induction program are varied (Kramar, 2014).The induction programs along with the orientation program tends to help the different employees to get to the single vision of the organization and to also understand the team dynamics. Lastly, they also assist in policy and practices for better quality products. Another strategy which may be adopting by the firm is the fostering of peer groups. The peer groups comprise of the different groups which exist indirectly in an organization. They tend to have an everlasting impact on the employees and tend to bring up their motivational levels. Hence, to assist the given employee and to encourage them to performbetter,themining companies should be providing proper peer assistant to the employees who would then be able to work well and work in a group (Gurská & Válová, 2013).Group works tend out to be better results as compared to the working in private. Furthermore, the new employee can learn successfully through the member’s advices given by the peers. The last strategy being suggested for the welfare of the organization is the strategy related to the provision of a good compensation scheme and recognition of the achievements (Jenkins & Yakovleva, 2006).They tend to boost up the demand of the organization from the supplier side of the Human resource Management. When the employees are recognized they perform well and are able to successfully deliver organizational goals and objectives.
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7HUMAN RESOURCE MANAGEMENT Conclusion Therefore from the given analysis it could be observed that although the mining industry faces several problems relating to the human resource in an organization it can also be stated that there are several measures which a company can take up to ensure that the firms in the mining sector perform well. The strategies intended to remove the barriers needs to be adopted by the firm which will lead to a better relationship between the employee and the organization. The given essay threw light ton the various aspects of the human resource management and policies of the organizations in the mining sector. The organizations tend to create an atmosphere which is not suitable for the employees. The essay has discussed the problem relating to the attraction and the retention of the employees in the mining sector followed by the reasons behind the same. The latter half of the essay discusses the various strategies which may be adapted by an organization to ensure successful retention and attraction of the employees. Hence, it can be stated that although the various companies in the mining sector have a long way to go, engagement in these strategies would ensure success. The next section will be discussing certain recommendations regarding the same. Recommendations Although several strategies have been provided above for the welfare of the firm and they have been provided with the guidance to perform well. The given section has recommended certain solutions for the successful attraction and retention of the different organizations and their employees.
8HUMAN RESOURCE MANAGEMENT Good HR team. The first and foremost step which needs to be adopted by the mining sector companies is to hire a good human resource manager (Oppong, 2013).Although the task involved involves standing and working overtime, in addition to this, the current employees are not provided with appreciation and compensational benefits. For this reason, if the mining sector invests in a good HR team then that will go a long way in contributing towards the welfare of the firm in the long run. Non-monetary benefits.It is often believed that only monetary benefits work towards the welfare of the workers, it is the non-monetary benefits which actually tend to motivate the employees to join the firm in case they are new or to retain themselves in the organization (Mariri& Chipunza, 2011).The non-monetary benefits in an organization may come in the form of providing educational, health, food and travel benefits to its employees. Performance management. The performance management of the employees tends to play a crucial role in the management of the current employees in an organization and contribute towards their retention in the mining sector. The performance management goes a long way in assisting the employers to understand these workers who have been performing well and rewarding them. Furthermore, it also assist the organization in identifying the weak employees who exist in the organization and conducting programs for their improvement and wellbeing. Security.Job security plays a crucial role in the welfare of the employees. There are many employees present in the organization who are willing to take up any difficult task in order to ensure that their job is secure. Although the employee market is very efficient, a simple practice of job security would go a long way in motivating the employees and ensuring that they stay. There are several ways in which an organization can secure the jobs (Krishnamoorthy & Mani,
9HUMAN RESOURCE MANAGEMENT 2013). Hence, following this, the firms in the mining sector should be provided with job security aspects. Compensation package. Lastly as stated earlier, compensation tends to play a key role in the process of attracting a new employee in an organization and motivating an existing one to stay with the organization. The compensation policy of the various companies in the mining sector is not very good and this is the underlying reason behind their failure. Hence, although the work is highly mechanical in nature, the firms in the minor sector need to ensure that the different employees are paid well and are given other benefits to ensure long term success (Oppong, 2016). Hence, if the mining sector takes up the recommendations and makes considerable changes they will be able to ace the competitive advantage.
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10HUMAN RESOURCE MANAGEMENT References Boon, C., Eckardt, R., Lepak, D., & Boselie, P. (2018). Integrating strategic human capital and strategic human resource management. The International Journal of Human Resource Management, 29(1), 34-67. Colleran, Nurdan, Gilchrist, David J., & Morris, C. Lucy. (2010). Staff retention factors in the non-profit sector: An examination of a West Australian community organisation.(Report) (Survey). Third Sector Review, 16(3), 43-61. Cooney, R., Jerrard, M., Donohue, R., & Kimberley, N. (2010). Exploring Skill Ecosystems in the Australian Meat Processing Industry: Unions, Employers and Institutional Change. The Economic and Labour Relations Review : ELRR, 21(2), 121-138. GarcÃa-Lillo, F., Úbeda-GarcÃa, M., & Marco-Lajara, B. (2017). The intellectual structure of human resource management research: A bibliometric study of the international journal of human resource management , 2000–2012. The International Journal of Human Resource Management, 28(13), 1786-1815. Gurská, S., & Válová, A. (2013). Corporate social responsibility in mining industry.Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis,61(7), 2163-2170. Hargis, M., & Bradley, D. (2011). STRATEGIC HUMAN RESOURCE MANAGEMENT IN SMALL AND GROWING FIRMS: ALIGNING VALUABLE RESOURCES. Academy of Strategic Management Journal, 10(2), 105-125.
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