Human Resource Management Strategies and Cultural Impact: A Case Study of MTN Group

This report explores the human resource management strategies adopted by MTN Group, a global telecommunications company. It examines the impact of regional and national culture on HRM practices and discusses the organisational model of employment and leverage to create value. The report also highlights the differences between HRM and personnel management and discusses the significance of HRM practices in local culture, transnational, and international business. Additionally, it provides insights into employment laws while entering the international market.

Human resource
management

INTRODUCTION
Human resource management is the integral part of organisation that integrate
performance of workforce to accomplish objective of entity. The department of human resource
appoint best talent who deliver productive value to the enterprise. It is one of the strategic
approach to manage appropriate talented workforce in the organisation who help in achieving
competitive benefit. Human resource established strong relation among management and
workforce to achieve entity goal. In this report the chosen company is MTN Group which was
founded in 1994. The organisation mainly deliver communication services such as internet
network like data, voice. This is one of the global telecommunications company of African
countries. This report aims towards HRM strategies of company. It examine culture of regional
and national in respect of HRM practices. This report includes organisational model of
employment and company leverage to deliver value. It involves difference between HRM
polices and personnel management. This report also describe importance of local culture in HRM
practices of organisation. It evaluate employment laws while entering into international market
from local business. This Report also involves recommendations and suggestion to enhance
organisational performance in respect of HRM practices.
TASK
Human resource strategies adopted by company to create value.
In modern times the role of human resource become most important for the success of
organisation. The department of human resource not only appoint or hire best talented but also
create positive work environment to develop productivity within enterprise. The role of human
resource is most challenging to meet company target (Agarwal, Chawla and Singh, 2017)
(Bentley, Jiang and Jo, 2020). In the company MTN Group has adopted following human
resource strategy to create value in the industry.
Legal requirement- While executing business operations MTN Group has to regulate
legal requirement to facilitate protection of business and employee. MTN Group has created
healthy and positive working environment along with providing compensation to the workforce.
The company provides business insurance for the safety of employee and management (Bibi,
Ahmad and Majid, 2018). This will increase the potential of employee performance.

Employee engagement- MTN Group mainly aim towards participation of employee so
that workforce will contribute the success of company. Participation or engagement of workforce
leads towards productive output of the company. In MTN Group, HR improve employee
engagement by several strategy like gamification, incentives, employee surveys. Gamification
involves gaining achievement of peer competition. Company increase employee engagement by
providing financial and non financial benefits like rewards or recognition (Frangiehvand
Yaacoub, 2019). It facilitates work smoothing in employee actions. Through employee surveys
company will ensure that workforce conflicts is properly heard by the management or not.
Career development programs- One of the precious investment of company is their
employee. MTN Group mainly focus on development of workforce. This will deliver opportunity
for the development of employee. For the career development MTN Group introduce education
training programs and session to upgrade the skills and knowledge of its employee. They must
ensure that employee must achieve attainable goal of company. This will beneficial for both
company and employee.
Corporate image- Improving the image of company is most essential strategy of human
resource. Human resource play important role in uplifting the corporate image of company. This
strategy help company to increase its costumer base of company. This will improves profitability
of company (Gaur and Riaz, 2019). Positive corporate image leads towards overall profitability
of company.
Performance management system- It is one of the best strategy of company of HR as
this system help recording and maintaining performance of workforce. This system facilitate
advance level of performance management. Through this system human resource track the
employee performance and if HR found any problems then they motivate their workforce in
achievement of entity goal. Human resource evaluate the performance of both management and
employee and provide performance appraisal on the basis of their work.
Impact of regional and national culture on HRM practices.
The role of regional and national culture influence human resource practices in large
context. This will also affect the organisation culture and management of company. For example
culture of nationalism affect the decision of HR as well as management, leadership style, policies
and practices of human resources. In the company MTN group several practices of human
resource get affected by the culture of regional and national. MTN Group is the multinational

company which operates globally across the globe that is why its operations and practices of
human resources gets affected in large context (Karam and et.al., 2017). Here are some human
resource practices which gets affected by national and regional culture.
National and regional culture Human resource practices
Religion
social organisation
language
time concept
power distance
collectivist- individualistic
masculinity- femininity
uncertainty avoidance
Decision making
staffing
controlling
time management
employee motivation
role of religion at working environment.
The company operates globally as it is one of the multinational company of communication
services. They have to go through from lots of national and regional practices in its business
process. The culture involves values and believes of regional society and respective national
country that vary from one country to another.
Communication- The communication of HR in this company is not free between
employee and organisation as the management follow rigid structure format in management
policies that affect human resource practices in communicating information from one level to
another within organisation.
Motivation- The regional and national culture influence HR practice of motivation. The
company believe only monetary benefit act as a motivation factor (Kavanagh and Johnson.,
2017). But as per the believe of regional culture time relaxation also act as a motivation factor
along with monetary benefit. This affect or influence the productivity level of company.
Organisational design- The organisational framework and design largely impact due to
regional and national culture. The human resource department implement authoritative
organisational design which leads towards high importance of higher authority in decision
making and discourage low level of management of company.

Reward- The expectation of workforce and management is different in respect of reward
system. The culture of national and regional influence the level of reward in the MTN group.
This affect the overall performance of company along with productivity.
In MTN Group various human resources practices gets affected by national and regional
culture such as labour laws, industrial practices and standards, training and education programs
of company (Lawler and Boudreau, 2020). It has major impact on the progress of company.
Organisational model of employment and organisational leverage to create value.
There are several organisational model of employment that every company used to
accomplish company goal. The organisational model involves hierarchy along with group
development and behaviour of consumer in operating business process. Organisational model of
employment helps in achieving company and consumer target. This will aids in achieving long
term vision of company.
Line organisational model- This is simplest form of structure in which information from
top to bottom. This will diversified the flow of delegation and authority from top management to
low management (Li and Frenkel, 2017). This model follow rigid set pattern in the organisation
in decision making.
` Functional organisational model- This model is same as with line organisational model
but in this employee have to report not more than two managers. This will help company in
engagement of employee in decision making with appropriate flow of correct information with
managers and subordinates.
Project based model- This is most dynamic model of organisation employee. This
model is applicable in the company which are project oriented. By this model company can
access optimum utilisation at each level of entity. This will leads towards advancement in
technology in the business process.
Matrix model- This model is best for the company who operates dynamic function
while launching multiple products, campaigns and development. This model follow team
building procedure for the growth of the company. Each team has predetermine its own
responsibility to achieve target of company.
MTN group adopted Matrix model as well as project based model for organisational
levers to create value in its business process and operations. Using this model company achieve
organisational lever at their workplace. Using matrix and project based model they improve

organisation leaver by gain situational and actual goal in order t6o improve business
performance. They accomplished objective and its desired impact to improve overall perfrmance
of company (Lin and Sanders, 2017). The matrix model deliver lever by launching and
implementation of multiple communication services with effective marketing campaigns. They
can mange multiple project at same time and improves organisation levers (Martinson and De
Leon, 2018). Where as project based model help MTN Group by developing internet
advancement in its software model of communication services.
Storey's 27 points of difference among HRM and personnel management.
Here is the benchmark of storey's 27 point of difference in HRM and management that is
adopted by the firm MTN Group to improve performance.
Dimension Personnel and IR HRM
Contract In personnel management and
IR contracts are written
carefully in implementation of
decision making.
In HRM practices contract are
applicable beyond contract
within organisation.
Rules Rules are clearly pre determine
in personnel IR and
management.
HRM can overlook and
impatience with the re
determine rules and procedure
of company.
Management actions In this actions and procedure
are properly act as a guidance
for management.
This will act as a business need
in the operations of
management.
Behaviour referent It examine norms, practice and
custom of personnel
management.
It examine values and mission
of the company in achieving
entity goal.
Managerial task They monitor business
operations and process.
They nurturing and provide
guidance to all managerial
task.
Nature of relations This is one of the pluralist They follow unitarist form of

form relation within
organisation.
relation within organisation.
conflict They manage institutionalised
form of conflict.
It manage unitarist form of
conflict.
Key relation In strategic aspect they focus
on labour management.
Where as in HRM they focus
only on customer.
initiatives Personnel management take
initiative on piecemeal basis.
In HRM they take initiative on
integrated basis.
Corporate plan Corporate plan is depend on
marginal basis (Mira band
et.al., 20).
It is depend on basis of central.
Speed of decision The decision making is slow. Here is fast decision making
within organisation.
Management role Line management is
transactional basis.
They adopted form of
transformational leadership.
Key managers These are the specialist in IR
personnel.
It has general form of business
line.
communication They adopted indirect form of
communication.
They adopted direct form of
communication.
standardisation It has high standardisation
(Mishra, 2017).
Thee is low standardisation.
Prized management skills They facilitate negotiation. They practice facilitation.
selection It follow separate marginal
activities
In this only integrated key
activities.
pay Job evaluation on fixed basis On performance basis.
conditions Negotiated on separate basis. They follow harmonised
practices.

Labour management They practice bargaining
contract.
It focus on individual
contracts.
Thrust of relations with
stewards
Govern through training. Marginalised model.
Job categories and grades More less
communication High restricted Enhanced flow
Job design Labour division Teamwork.
Conflict handling Temporary conflicts. Handle culture within
organisation.
Training and development Control education courses. Not controlled any education
course.
Foci of attention for
interventions
Low level of personnel
procedure.
Wide range of structural
strategies.
Significance of HRM practices in local culture, transnational and international.
There is a important role of local culture, transnational and international while hiring and
firing workforce of MTN Group. The HRM practices gets affected by the local culture
transnational and international trade (Nam and Lee2018). Here are some significance or benefits
of recruitment and selection of HRM practices in resect of local culture, transnational, and
international business trade.
Save time- The effective recruitment and selection process can save lots of time period
of company if MTN hire or fire workforce on the basis on its local background, national or
international background (Park and Doo2020). If employee are familiar with local national and
international sentiments it would be easy for company in implementation of business process.
Save money- If MTN Group hire or fire workforce on the basis knowledge and
experience of candidate on the background of local, national or international. This will save
money as they can fill the job vacancy easily without wasting more time and money in hiring
process.

Legal issues- while hiring or firing any candidate company must ensure fair and
transparency method of recruitment and selection. Workers must assured that they would not
discriminate any employee on the basis of its locality, transnational and international. This will
bring bring integration and coordination among organisation and leads towards success of
company.
Hiring right employee- MTN group have to hire appropriate candidate who can
perform several function of business on local, transnational and international basis. This
company operates globally so they have to hire highly skilled and qualified employee.
Save time on training- If company appoint appropriate candidate who is familiar with
local, transnational and international culture then they do not need any type of advance training.
It also save lots of time of company (Rana and Sharma, 2019). They can easily perform the
business operations at global level very effectively without training.
Employment laws while entering from local to international business.
There are several laws of employment that MTN Group have to execute in its business
process and operations while operating from local market to international business. They have to
operates its business activities as this company operates globally.
Discrimination law- While entering into the market from local to0 international MTN
group have to govern implement the Discrimination law in its business process. This laws sate
that all the employee in it workforce should not discriminate any employee on the basis of
gender, religion, culture, family background etc. By implementing this laws they can easily
bring integrate in coordination in the actions of workforce. They can deliver productive and
valuable efforts in business operations (Schmidt., Pohlerand Willness., 2018). This will leads
towards overall development of entity in local and international basis.
labour law- MTN group have to ensure all the labour laws such as safety laws,
compensation laws, standards working hours of workforce. In the local or regional business this
laws vary from international business. As while operating globally, MTN Group have to ensure
laws as per countries specific. The different government implement laws as per their own set
pattern such as standard of working hours is eight hours in Asian country where as it is free
working hours in American countries. So company have to regulate labour law as per country
specific.

Equal pay rights law- The equal pay rights of labour is different in local country in
comparison with international business. They must ensure equal pay of wages or salary to their
local employee as well as international employee. All the female and male workers have to
ensure equal pay of salary or wages. This will facilitate productivity of company towards local
and international business.
Local laws are important to implement but international laws are most important as
company have survive in the long run at informational market for the expansion of business.
Corporate example of HR practices.
Here are some good example of HR practices that most of the corporate company like
Google, MTN GROUP, Samsung adopted to improve overall performance of company.
Workplace culture- The positive workplace culture is one of the essential practices of
HR that Google, Samsung and MTN group has adopted to improve efficiency and productivity in
its business operations (Traeger, 2017). This will improve the level of motivation among
workforce who deliver value to the society.
Employee benefits- HR practices deliver several benefits to employee such as monetary
and non monetary benefits that acts as motivation factor among workforce. Lots of company like
MTN group, Samsung etc. deliver to their employee to increase the level of satisfaction among
employee. This will develop overall performance of company and gain in competitive advantage.
Employee development- HR mainly focus on the employee development because they
operate actual business operations of the company. MTN Group, Google etc. execute appropriate
training and development of their workforce. They regulate educational programs and session to
upgrade skills
Talent management- The ultimate aim of human resource is not only hire best talent
workforce but also retain them through training development, promotions, compensation, perks
etc. like multinational companies such as Google, MTN Group e\implement educational session
for upgrading the knowledge of employee (Yap Peng Lokand Chin, 2019). For international
business best talent workforce is necessary because it has to deal with lots of international
market. Whereas local business does not requires that much talented workforce as their
operations activities is not that much complicated.

Recommendations to improves HRM practices for enhancement of company performance.
Here are some recommendations to improve HRM practices for enhancement of MTN
Group performance.
Improve hiring process- Company must improves its HRM practices by improving its
recruitment and selection process. Company must adopting suitable method of recruitment and
selection as per the organisational layout and structure. While screening talented workforce
company must ensure history of candidate so that they can identify best qualified candidate.
Reward programs- Company must ensure appropriate reward in return of work contribution.
This will facilitate motivation factor among management and workforce. They will try to push
their limits to achieve maximum amount of reward. This will improve the performance of
company and upgrade coordination in the actions of workforce to achieve target of company.
Utilize HR software- Human resource must have to keep on upgrading HR software knowledge
because it will help them to manage all records of human resource information. This will
facilitate in the decision making of HRM practices.
CONCLUSION
From the above report it has been concluded that human resource department is crucial for
the business operations. The strategies of human resource improves overall progress of
company. It aids in enhancement of workforce performance. This will facilitate strong
relationship at each level of organisation. It helps in coordination and communication among
the actions of management and employee. Suitable organisational model help company in
creating its brand value. There is a great impact of national and regional culture on the
human resource practices. While shifting local business to international level company have
to govern all the employment laws as per country specific. In recruitment and selection
company have to think about local, transnational and international culture. Using good
human resources Practices Company can raise its productivity level. The human resource
have to execute training programs for the workforce. This will raise the skills and
knowledge of workforce and management.

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