Human Resource Management: Challenges and Solutions
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This report analyzes the challenges faced by Adecco in recruiting different generational groups and provides recommendations for effective Human Resource Management strategies.
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Human resource management Contents Introduction------------------------------------------------------------------------------------------------------1 key theories and principles-----------------------------------------------------------------------------------2
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HRM Introduction The ADDECO Group is a global identity who leads the way in Human Resource (HR) services. ADECCO Group recruits for over 1000 organizational clients to help them develop and grow employees suitable to the organization's strategy. The multinational enterprise currently operates in 60 different countries, employing over 34,000 people and recently ‘turned over' a profit of 23.9 Billion EUR (37.8 Billion AUD) in the 2018 financial year. (Adecco Group, 2019). They're also "the world's leading provider of temporary staffing, permanent placement, career transition and talent development" (Adecco Group, 2019). Adecco Human Resource Management (HRM) plays a significant role in meeting organizational standards and executing their strategy. HRM must ensure resource efficiency and service quality, (III, 2008) this includes; hiring, developing, training staff. HRM must have extensive knowledge of strategic goals and the skills needed to achieve these, e.g. ADECCO aiming to employ 10 millennial a month for a 12 month period. They must also identify and apply suitable models and theories (Best Practice Approach, Teamwork Effectiveness Model) develop and implement policies and practices (diversity, equality, performance appraisal, development programs, etc. best suited to ADECCO to overcome the difficulty of recruiting millennial and having a multigenerational workplace. Specific models and theories, as well as correct policies and practices, will enhance the possibility of doing so, hence the extraordinary weight on the role of the HRM. This report analyses those HRM theories and models which include soft Human Resource Management policies as well as the best practice approach, teamwork effectiveness model. The evaluation of current Human Resource (HR) policies which include; workplace diversity, gender equality, professional development and training, healthy and flexible work environments, performance appraisal and maintaining values, as well as the current HR practices including; development programs, adaptation to cultural shifts, internal recruiting, internships, flexibility etc. The overall benefits are broken down into concepts such as; increase in productivity, perspective, and creativity to ultimately display the complete benefit of recruiting different generational groups. We also explore recommendations in which we offer to the ADECCO group to break down the challenges of recruiting different generational groups. 2
HRM Key theories and models One of the main issues faced by Adecco is the challenge of recruiting different age groups such as millennial / graduates. These millennial are said to have different values, learning styles, communication habits and interests than the previous generations (Emerald Group Publishing Limited, 2011). Talent recruitments are harder for Adecco because the job of "recruiter consultant' isn't being sold well to these millennial. In order to solve this issue, Adecco needs to take into account that millennial are job hoppers. These young individuals prefer going from job to job and not be chained to one particular business. Therefore, in order to recruit millennial and keep them intact in the business, Adecco should aim at using Soft HRM policies to treat millennial as their main priority of the business and empower them to seek delegations and take up responsibilities to work in challenging tasks. According to research gathered Soft HRM is associated with human relations movement, the utilization of individual's talents and McGregor's Theory Y perspective on individuals and is equated with a concept of a "high commitment working system" (Bailey, Gratton, Hope-Hailey, McGovern and Stiles, 1997). In addition, Adecco providing programs such as the global CEO of the month will allow millennial to shadow the Adecco Group's CEO whilst getting paid and they're also provided with the chance to participate in executive meetings, travel and also shadow global CEO's in Switzerland. As a result, this will provide them with the opportunity to take up various responsibilities at Adecco and gain knowledge of various skills. Therefore, when they notice that they're gaining a range of experiences in working at Adecco, they'll realize that they don't have to hop from business to business but instead continue to grow in their field of work at Adecco. Moreover, the company should focus on developing a culture of empowerment in the workplace when trying to recruit millennial into the business. They should aim at promoting these new developments through their paid campaigns with Snap-chat or by partnering with universities such as RMIT to help young talent be more aware of what Adecco is providing for millennial in their business. In addition, at moment Adecco has a fear for the graduation programs because it creates a gap in the knowledge and experience between graduates with none to 3 years of experience compared to staff with 6 to 10. Therefore, to overcome this challenge and reduce the gap in knowledge and experience, Adecco should aim at using the "Best Practice" approach of HRM. This approach can be best described using 3 models that include the High Commitment Management Model (HCM), High Involvement Work Systems (HIWs) and High-Performance Work Systems (HPWSs). According to Stephan Wood High, Commitment Management Model is considered to be a key element in the increasingly salient discussions of Human Resource Management (Wood, 1995). Thus the HCM model will help Adecco to encourage millennial commitment towards the business goal through positive incentives and help better recognize the company's culture rather than monitoring their behavior through the number of hours they spent at their desk. Furthermore, millennial are said to learn best by collaborating with others, thus the use of the HIWS's model will help Adecco involve millennial in the decision-making process and therefore this will help these young employees to feel a part of the business and help learn 3
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HRM from others and contribute their opinions into Adecco's decision-making process. In addition, this can be supported by their increased intentions that will help millennial become more involved in quality internship experiences. Finally, building a High-Performance Work System creates a competitive benefit to the business. This is because the HPWS model helps increase the involvement of millennial and invests in their skills and the changes in their performance incentives. Therefore, Adecco will be able to judge these young individuals on their level of productivity in the workplace and thus attracting them to join the business. In addition, using this model will help make employees become happier with their workplace, thus Adecco will be able to increase their ranked position from 5th to 1st in the world for how happy their employees/millennial will become by using these strategies. Furthermore, Adecco should aim at creating a destination workplace that enables collaborations when trying to recruit millennial. This is because millennial enjoy working in teams and learning from one another. Therefore, Adecco should focus on using the Work Team Effectiveness model to help form effective teams amongst these millennial. Using this model will help Adecco to form teams based on different organizational context, which could either be Leadership, reward conflict system, culture, strategy or environment. In addition, this model will also help Adecco to form teams by distinguishing the team type (Formal, Self-managed and Virtual), team characteristics (size, diversity, and roles) and also the team compositions (knowledge and skills). Furthermore, this will provide millennial with the opportunity to share information and thus Adecco will be able to educate them on team cohesiveness, team norms and conflict resolutions a team would face. As a result, this model will enable millennial to benefit from productive outputs, personal satisfaction and the ability to adapt and learn. Introducing this model will attract millennial and make it easy for Adecco to recruit them into the business, as conducting this model will help these young workers to feel more challenged in the workplace and as result would give them an opportunity to grow. As millennial want to be judged on the results they produce, rather than the number of hours they slogged at the office. Evaluation The overall evaluation is evident through Angus. Discussion Human Resource Management solving the challenges of recruiting multigenerational groups will have a significantly positive impact on the company overall, both externally and internally. Internally, there are a huge plethora of benefits. Millennials bring a fresh perspective to the workplace which allows ADECCO to get feedback from a different point of view, helping employees understand ‘the other side' (Myers, 2010). This will boost team morale as well as boost the overall culture of the workplace as per (Swan, 2012). Feedback may also mean learning, understanding and maximizing technology for the earlier generations as millennials have a better grasp on the modern age technology. This allows for a creative environment for different employee generations to ‘bounce' off each other, creating a much more effective and productive organization. (Espinoza, 2012) The internal benefits will then have an overall impact on the external benefits, as the company is successfully acquiring temporary staffing, career transition, and permanent placement for their clients. This leads to a steep incline of trust of the ADECCO group from clients and external 4
HRM stakeholders. Therefore, increasing the reputation can help in offering internal benefits of higher wages for employees, higher revenue and profitability. Conclusions & Recommendations Most of the management teams have the perception that young workers have different aspirations, ideas, aspirations, and working styles that are different compared to older employees. The Adecco Group is one of the companies that recruit employees from different generations. Adecco has faced several challenges emerging from its team due to generational gaps (Guillot-Soulez and Soulez, 2014, pp.319). It can be observed that the first challenge that Adecco experiences relates with the communication style. The communication styles between young and older people are different. The generation y is fond of communicating via tweets, instant messages, and text messages while the older Gen X prefer using phone calls and emails (Festing and Schäfer, 2014, pp.262). On the other hand, Gen Y mostly uses abbreviations, colloquialisms, and informal language (Schullery, 2013, pp.252). This may lead to communication breakdown when Adecco recruits and employees from different generations. Since different generations' value different communication styles, job sparks, team structures, it has been a challenge for Adecco to understand what motivates the employees and what they value. Therefore, Adecco has faced the challenge of communicating its job expectations effectively. Another challenge that Adecco has faced in recruiting from different generations is negative stereotypes. Adecco has faced challenges in overcoming the existing stereotypes since employees need to align their visions and success with ethics in the workplace. This takes quite some time and has a challenge to the organization that Adecco has sent the recruits (Cogin, 2012, pp.2268). The stereotypes have caused generational judgments and misunderstanding among the employees that Adecco has recruited. Some organization that depends on Adecco for sourcing has gad issues to do with young employees. It is perceived that young people know less and has less experience in the job market. However, according to Adecco, age does not matter as long as a person has the required skills and can deliver quality work. Cultural expectation is another challenge facing Adecco recruitment firms. The changing mobile trends and technologies in organizations has made the workplaces places to change and caused a change in the cultural expectations of people. The older generation has been affected a lot compared to the young generation. The family backgrounds may influence the work expected of the young generation and the old generation. The young generation aims at balancing work and outside life while the old generation may sacrifice their personal time for a job since they have seen loyal workers losing their jobs. This challenge has affected the recruitment process at Adecco. Recommendations The leaders of Adecco should design should utilize soft human resource management techniques so that employees are treated as their main priority and so that they may be 5
HRM empowered and encourages to take up responsibility. I would recommend Adecco do this by rewarding staff with incentives such as employees of the month for those completing challenging tasks. In order to have both generations to work in a style that suits and acknowledge the efforts of each employee irrespective of their work styles, I recommend Adecco incorporate the best practice approach. This consists of 3 models being high commitment management model, high involvement work systems and high-performance work systems. Adecco should utilize the high commitment management model by allowing A more fluid managerial structure with laissez-faire management enhancing responsibility and undependability, working to reduce the communication barrier (Costanza, et al., 2012, pp.375). Adecco should educate and help employees to adopt the team effective which enhances team leadership, team problem solving, team relationship, and organization environment with the right culture. This assists Adecco to reduce the challenges that come as a result of generational recruitment, align the organizational objectives with employees and enhance overall key performance indicators for Adecco allowing in to overcome its problem with hiring different generational groups. 6
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HRM Referencelist Adecco Group, 2019. [Online]. Available at:https://www.adeccogroup.com/ Bailey, C, Gratton, L, Hope-Hailey, V, McGovern, P & Siles, P 1997, 2019.Soft and Hard modelsofHumanResourceManagement:AReappraisal”.[Online].Availableat: https://www.researchgate.net/publication/38176140_Soft_and_Hard_Models_of_Human_Res ource_Management_A_Reappraisal[Accessed on 11 May 2019]. Cogin, J., 2012. Are generational differences in work values fact or fiction? Multi-country evidence and implications.The International Journal of Human Resource Management,23(11), pp.2268-2294. Costanza, D.P., Badger, J.M., Fraser, R.L., Severt, J.B. and Gade, P.A., 2012. Generational differences in work-related attitudes: A meta-analysis.Journal of Business and Psychology,27(4), pp.375-394. Emerald, 2019.Special Issues on marketing challenges in serving millennials”,.[Online]. Availableat:https://www-emeraldinsight-com.ezproxy.lib.rmit.edu.au/doi/full/10.1108/ jcm.2011.07728aaa.003[Accessed on 11 May 2019]. Festing, M. and Schäfer, L., 2014. Generational challenges to talent management: A framework for talent retention based on the psychological-contract perspective.Journal of World Business,49(2), pp.262-271. Guillot-Soulez, C. and Soulez, S., 2014. On the heterogeneity of Generation Y job preferences.Employee Relations,36(4), pp.319-332. III, E. L., 2008. Handbook of Organization Development. In: T. G. Cummings, ed.Handbook of Organization Development.s.l.:Sage Publications, Inc., p. 354. 7
HRM Myers, K.K. and Sadaghiani, K., 2010. Millennials in the workplace: A communication perspective on millennials’ organizational relationships and performance.Journal of Business and Psychology,25(2), pp.225-238. Schullery, N.M., 2013. Workplace engagement and generational differences in values.Business Communication Quarterly,76(2), pp.252-265. Swan, J., 2012. Why are multigenerational wokrplaces important. In:Quality in Ageing and Older Adults Vol.13 Issue.4.s.l.:Emerald Insight, pp. 220-240. Wood, S., 1995.Can we speak of a High Commitment Management on the shop floor. [Online].Availableat: https://onlinelibrary-wiley-com.ezproxy.lib.rmit.edu.au/doi/epdf/10.1111/j.1467- 6486.1995.tb00341.x[Accessed on 11 May 2019]. Wood, S., 1995.Can we speak of a High Commitment Management on the shop floor. [Online].Availableat: https://onlinelibrary-wiley-com.ezproxy.lib.rmit.edu.au/doi/epdf/10.1111/j.1467- 6486.1995.tb00341.x[Accessed on 11 May 2019]. 8