Human Resource Management in a Global Economy

Running head: HUMAN RESOURCE MANAGEMENT IN A GLOBAL ECONOMY
HUMAN RESOURCE MANAGEMENT IN A GLOBAL ECONOMY
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1HUMAN RESOURCE MANAGEMENT IN A GLOBAL ECONOMY
Introduction
This paper discusses about the case study of ‘No Name’ Aircraft which is
facing problems with the HR functions in areas such as training and development process,
organisational culture, diversity management and performance management. It analyses that
there is a need to maximise productivity so as to compete in the global world. The Australian
aircraft is expanding in three countries which provide different products and services to
Australia. The countries are Vietnam, China and Singapore where the airline services are
provided but it is facing lack of quality. This lack in quality is a big issue as after delivery of
services to the customers, there is still a need of quality management in the aircraft process.
This problem can only be solved if the training and development process is managed
properly. Training efficient employees results in effective outcome, helps to minimize cost
and builds cost effective protocol. Training and development process involves many steps to
identify, analyse, monitor, and implement the training program. Employees needs to be
motivated through the training program which helps to sustain an employee in the
organisation. The performance management is also focused on the internal and external
growth of an individual. It is essential to give a feedback for the employee to detail all the
improvements in the training period. There is also communication problem between the all
the levels. It needs to be managed so as to establish good communication and understand
each other to work as a unit. The organisation is not recruiting eligible candidates from china
as they are disabled candidates. This is also a big problem to avoid efficient candidates for
the job. The diverse management of the organisation provides equal respect to individuals
with regard to age, race, value, religious beliefs and gender. It can end up in legal actions
taken by china if they are not given equal opportunity to work in the organisation. The
organisation is also facing low managing strategies of HR functions. HR functions such as

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training and development, employee benefit, payroll, handling compensation, employee
relations, record keeping and legal responsibilities are to be managed properly by developing
a strategy. The performance appraisal is practiced to appraise the skills and knowledge of the
employee to switch to higher post valuing the interest of the individuals. The feedback of the
employees is done to make them understand the performance of each individual which helps
to rate the performance (Altman, 2009 ; Barreto, Ryan & Schmitt, 2009 ; Noe et al., 2017).
Diversity management and culture
Diverse management means the organisation practices some process which aims to
promote high recruitment of efficient employees from different background in the
organisational structure. Diverse management strategies are adopted in the organisation in
order to increase the growth of diversity of the workplace globally. The characteristics of
Diversity Management are- voluntary, provides tangible benefits, broad definition. The best
practices of Diversity Management are commitment from top management, identify new
talent pools, diversity is a part of company’s objective (Ozbilgin & Tatli, 2008 ; Schlaerth,
Ensari & Christian, 2013).
There are different types of diversity management-
Intranational diversity management- Intranational diversity management helps to manage
a workforce in same national context. It helps to give employment to minority groups and
implement policies and programs in the country.
Cross national diversity management- This is to manage the workforce which involves
citizens from different countries who seek for employment. It is important for the parent
company to understand the legislation and cultural laws of the host country.

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Theories of diversity management
Institutional theory of Diversity Management- This theory recognizes to determine an
organisational structure where social environment cannot be separated from the organisation.
There is a need to understand the behaviour of the employees and organisation consists of
limiting factors like legislation, rules, professional norms, laws and regulations. The
legitimacy is provided through the actions and laws are required for the organisations to
become more diverse which confirms other individuals about the laws and norms (Skalsky &
McCarthy, 2009).
Resource Based Theory of Diversity Management- This theory helps to analyse how
diversity will affect organisational resources. The physical capital, human capital, financial
capital and corporate capital resources helps to assist the organisation and improve its
profitability.
Organisational culture is the belief, values and the way one possess to bring social and
psychological environment within an organisation. The organisational culture is a set of
guiding principles which affects the operations of the organisation. The strategies are made to
increase the cultural value through structures and different operations involved in it.
Organisational value constitutes business ethics. The organisational culture has impact on
structure, strategy and operations influenced by internal and external environments. The
organisational culture maintains a unique culture which provides the organisation with
legislative approach, laws and regulations formed for the behaviour of the individual needs to
be followed and provides a boundary to operate (Boedker, 2014 ; Manetje, & Martins, 2009 ;
Scott, Mannion, Davies & Marshall, 2018).