Human Resource Management and Theories

Running head: HUMAN RESOURCE MANAGEMENT AND THEORIES
Human Resource Management and Theories
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1HUMAN RESOURCE MANAGEMENT AND THEORIES
A recent media event hinted at Pandora’s lay off 5 percent of its employees in order to
save $45 million annually as reported on January 4, 2018, in Variety online portal. The massive
elimination has no doubt set a particularly bad example to the other employees aspiring to start
off their careers with Pandora (Spangler, 2018). Market analysts have pointed towards their poor
management system which is propelling them to incorporate the step in order to save operational
costs. One of the most revolutionized aspects would be that the company would now be
concentrating more in technology and innovation. One of the essential concepts illustrated as a
result of Pandora’s decision is restructuring of employees in order to adjust to the first changing
pattern of consumer demands. However, the restructuring of employees would help them to
partner and promote their products in a more efficient manner to increase its global sale.
According to researchers, employee restructuring can have an adverse impact on employer
branding which conveys career expectations to the outer community in the light of work,
employer relationships and the like. It is also a breach in the organizational commitment. The
concept restructuring of employees is inter-related with the organizational theory which is
concerned with the internal proceedings of an organization for instance whether it is acting in
sync with its long-term organizational goals (Shah, Irani & Sharif, 2017). Results have shown
that restructuring is crucial to implement new programs and reshuffle priorities, modify growth
strategy and grow revenue.
A number of HRM issues come to the forefront at this stage in the organizational
culture of Pandora which is the de-motivation of the remaining employees and a diminished
sense of commitment towards the organization. However, the same can led to a number of
unfavorable results like employee disagreement and intolerance to adapt to the new change. It