Strategic HRM Analysis: Alpha Service Case Study & Recommendations

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This report provides a comprehensive analysis of the international human resource management (IHRM) issues faced by Alpha Service, an Indian multinational company. The report begins with an introduction to the company and its business segments, followed by an identification of three dominant IHRM challenges: recruitment and selection, control and coordination between headquarters and subsidiaries, and compensation and benefits. The report then outlines three potential courses of action to address these challenges, including policies and procedures, performance management, and flexible work options. The analysis concludes by recommending that Alpha Service prioritize addressing the recruitment and selection challenges, arguing that effective recruitment is crucial for enhancing productivity and achieving organizational goals. The report highlights the importance of designing attractive job offers, promoting the company's value proposition, and utilizing HR technology to streamline the recruitment process. The report emphasizes the need for Alpha Service to develop a more effective recruitment process to achieve its vision of becoming a top IT service provider.
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Strategic Human Resource Management
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Table of Contents
Introduction.................................................................................................................................................2
Case overview.............................................................................................................................................2
Identification of three dominant IHRM issues.............................................................................................2
Three plausible courses of action.................................................................................................................4
The specific issue company need to focus...................................................................................................5
Reason for selecting the particular issue..................................................................................................6
Recommendation.....................................................................................................................................6
Conclusion...................................................................................................................................................7
References...................................................................................................................................................8
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Introduction
The primary purpose of the paper is to develop an understanding regarding the international
human resource management within the organisation. The paper even discusses the issues or the
challenges that have been faced by the firm along with the suitable recommendations to
overcome the situation. To effectively discuss the challenges, the case study on Alpha Service
has been selected. Furthermore, the paper discusses the primary challenge that the organisation
needs to focus on developing its business value and the productivity level within the market.
Case overview
The Alpha Service is the publicly listed organisation in Mumbai and New York Stock Exchange,
and it was established in the year 1987. The business segment primarily involves the It service
along with the business process outsourcing then the software products. The vision statement of
the company is to be in the top five companies of IT service and BPO sector. They have a
suitable international business strategy to develop their firm, and the structure of the organisation
is decentralised then distributed leadership along with employee empowerment. The organisation
follow the HRM policy that deals with the facts where every employee is an associate, then they
follow the Alpha Way for doing their business which is primarily followed by each of the
members within the organisation. The Global HR policies, as well as practices, are also
maintained within the organisation where it can be seen that 80 percent of the compensation is
highly related to the policies.
Furthermore, it can be also seen that performance pay is also a common practice within the HR
policies. One of the primary policy is that 20percent local staff needs to be present within the
firm. The organisation in most of their cases tried to maintain the activity and the business value
according to the Global HR policies and practices.
Identification of three dominant IHRM issues
Recruitment, selection and training
Recruitment, selection as well as training are one of the most vital as well as the effective part
for human resource management (Albrecht et al., 2015). The process of recruitment within the
organisation is almost similar all over the world where the organisation needs to accommodate a
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minimum of 20 percent of the local members. The organisation is situated in India, and for that,
it is highly essential to get the local people for the recruitment process, which sometimes creates
a problem as most of the employees within the firm are Indian. In other parts of the world, it can
be seen that every country has their value where in China most of the company is filled with 98
percent of Chinese people (Collings, Wood, & Szamosi, 2018). In the case of Australia, the
organisation is filled with almost 50 percent, local people. The organisation Alpha Service faces
the issue for recruiting a maximum number of Indian staff within the organisation due to the
choice of employers within the Indian companies.
Control and Coordination
Control and coordination are one of the most effective challenges that have been faced by human
resource management within the organisation. It can be effectively viewed that the primary issue
of control, as well as coordination, is among the headquarters and the subsidiaries (Reiche et al.,
2016). The communication system within the organisation is not highly effective, and for that,
the issue in control and coordination took place. In most of the cases, it is related to the poor
practice of HR policies within the firm and also due to the lack of communication. This issue
could be viewed more in India as the communication level is usually performed through the
English language which most of the time create an issue in India for the lower class people
associated with the organisation (Vidgen, Shaw, & Grant, 2017). The organisation in this
situation also finds it difficult to maintain the law and the value of the people for dealing with the
firm and communicating effectively with the staff members.
Compensation and benefits
Compensation and the wages of the organisation are considered to be another issue that human
resource management had to face within the organisation. The policies for compensation are
almost the same for the entire world, but there are some cases where the compensation entirely
depends on the company and their activity (Stone, & Deadrick, 2015). The organisation also
follows the performance pay for their staff members which in most cases, create an issue for the
organisation. It can be seen that the staff members of Alpha Service is offered with the fixed as
well as the variable pay along with the performance pay but have the diverse impact of the
human resource management as the employees are unable to maintain the activity and the staff
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members according to their performance level (Bratton, & Gold, 2017). The organisation faced
the issue in their wages system due to the working function and the productivity level of the firm
for analysing the view of the firm. The compensation and benefits are highly associated with the
acidity of the staff members to achieve the organisational goal.
Three plausible courses of action
Policies as well as procedures
The policy, along with the procedures in term of the recruitment and selection process is highly
essential for the business. This needs to be defined as well as adhered to by the organisation for
their selection as well as recruitment procedure. It is also essential for the firm to ensure that
each of the staff members within the organisation needs to have the knowledge and they should
have adhered to the local than the state as well as the federal regulations (Sparrow, Brewster, &
Chung, 2016). The policies effectively provide the guiding principles for hiring the candidates
within the organisation to avoid the issues that have been faced within the organisation. The
procedure effectively allows the firm to maintain the steps and the process for the recruitment of
the appropriate candidate for the organisation (Noe, Hollenbeck, Gerhart, & Wright, 2015). The
entire process needs to be effectively followed by analysing the situation and developing the
value for the firm while recruiting the best candidate for the organisation.
Performance management
The performance management mostly the observation then the feedback primarily focus on the
performance of the entire organisation, and this eventually helps the firm to strengthen its control
as well as coordination level. The performance management involves the department then the
program for maintaining their value and their business process within the organisation (Taylor,
Doherty, & McGraw, 2015). The performance review within the firm is highly essential, which
provides an opportunity for the supervisor as well as the staff members for maintaining the
regular communication regarding the organisational goal. Maintaining the standard of the firm
and the performance level can be effectively done with the help of communication and the
business process. The performance management also helps to develop the communication level
which is highly essential for the control as well as the coordination among the HQ and the
subsidiaries (Berman, Bowman, West, & Van Wart, 2019). The supervisor, along with the
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managers maintains the communication level for dealing with the situation and providing
effective coordination among the staff members and the management.
Flexible as well as collaborative work options
The employees are looking for ways for improving the work-life balance and even offering the
ability to working as a flexible schedule. The collaborative working environment within the
workplace is highly essential for maintaining the compensation as well as the benefits that have
been provided to the staff members within the firm (Brewster, Vernon, Sparrow, & Houldsworth,
2016). The flexible working environment within the organisation effectively helps the staff
members to provide their strength and their total focus on the working function to achieve the
organisational goal (Hecklau, Galeitzke, Flachs, & Kohl, 2016). In the organisation, it is highly
essential for dealing with the situation and provides some of the most valuable activity to
maintain the staff members as well as deal with the business value within the field. The
organisational goal is effectively achieved with the help of the flexible working environment
where the staff members are provided with suitable compensation as well as the benefits for
maintaining the activity of the people within the field. The human resource management needs to
develop the value for maintaining the flexible working function within the firm.
The specific issue company need to focus
The recruitment and selection, along with the training challenges faced by the organisation, is
considered to be highly essential for maintaining productivity as well as achieving the
organisation goal. The organisation performs campus recruitment, then the lateral recruitment to
get the best candidates from the market (Pudelko, Reiche, & Carr, 2015). The issue is having the
most effective impact on the organisation to get the right candidate and perform the work most
suitable. Focusing on the issue of recruitment and selection procedure allow the business to
enhance their productivity level and also their business value all over the world. In most of the
cases, it could be seen that the improper recruitment leads to the destruction of the company. In
the case of Alpha Service, they also need to develop an effective recruitment process so that the
organisation can achieve its vision statement within the market.
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Reason for selecting the particular issue
The issue of recruitment and selection is highly essential for the business attracting the right
candidates is one of the biggest challenges for the firm. It can also be seen that engaging the
qualified candidates within the organisation is highly essential for developing the business value,
which became a challenge for the firm (Morgeson, Brannick, & Levine, 2019). Furthermore, it
can also be seen that the hiring team always wanted to hire the candidates as fast as possible as
the vacant position eventually cost money along with delay operation. The process of hiring the
right candidates can take for months and for that the organisation has to face many challenges in
term of their productivity and even for achieving the organisational goal (Nankervis, Baird,
Coffey, & Shields, 2016). In the business activity getting the right people helps them to develop
their market value, and for that, the business needs to maintain the policies as well as the
procedure in term of international activity along with the local law to get the most suitable
candidates for the firm. It is one of the most effective values for the firm so that they can
maintain their activity and also develop an effective communication level within the market.
Recommendation
The recommendations for achieving the effective process regarding the recruitment and selection
process are as follows;
It is highly essential to design the job offer in the most visible as well as the accessible
way. It helps to grab the attention of the best candidates within the market for getting the
right job.
It is also essential for the business to develop as well as publicize the value proposition
for getting the right people within the firm. The candidates effectively check the offers as
well as the benefits that have been provided to them by the organisation.
It is also essential to use HR technology for the enhancement of the recruitment process
within the firm. The use of recruitment software is considered to be the easiest way for
the recruiter to analyse the resume of the candidates to select them for the interview and
select them further for the firm.
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Conclusion
The paper eventually concludes the fact that the organisation Alpha Service faces some of the
Human Resource Management issues at the international level. The organisation had faced their
issues in term of the recruitment and selection process than the control and coordination among
the headquarters and the subsidiaries along with the compensation and the benefits that have
been provided to the candidates. The primary challenge that the organisation needs to focus more
on recruitment and the selection process. It can be concluded from the paper that the proper
recruitment process is highly essential to get the right and the best candidate for the organisation.
It is highly essential for maintaining the value of the firm and also to develop the productivity of
the business within the market. The organisation can effectively develop their recruitment
process with the help of suitable policies and procedures and also by the help of effective
technology in getting the best candidates.
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References
Albrecht, S. L., Bakker, A. B., Gruman, J. A., Macey, W. H., & Saks, A. M. (2015). Employee
engagement, human resource management practices and competitive advantage: An
integrated approach. Journal of Organizational Effectiveness: People and
Performance, 2(1), 7-35.
Berman, E. M., Bowman, J. S., West, J. P., & Van Wart, M. R. (2019). Human resource
management in public service: Paradoxes, processes, and problems. CQ Press.
Bratton, J., & Gold, J. (2017). Human resource management: theory and practice. Palgrave.
Brewster, C., Vernon, G., Sparrow, P., & Houldsworth, E. (2016). International human resource
management. Kogan Page Publishers.
Collings, D. G., Wood, G. T., & Szamosi, L. T. (2018). Human resource management: A critical
approach. In Human Resource Management (pp. 1-23). Routledge.
Hecklau, F., Galeitzke, M., Flachs, S., & Kohl, H. (2016). Holistic approach for human resource
management in Industry 4.0. Procedia Cirp, 54, 1-6.
Morgeson, F. P., Brannick, M. T., & Levine, E. L. (2019). Job and work analysis: Methods,
research, and applications for human resource management. Sage Publications.
Nankervis, A. R., Baird, M., Coffey, J., & Shields, J. (2016). Human resource management:
strategy and practice. Cengage AU.
Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2015). Human resources
management. Instructor, 2015.
Pudelko, M., Reiche, B. S., & Carr, C. (2015). Recent developments and emerging challenges in
international human resource management.
Reiche, B. S., Stahl, G. K., Mendenhall, M. E., & Oddou, G. R. (Eds.). (2016). Readings and
cases in international human resource management. Taylor & Francis.
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Sparrow, P., Brewster, C., & Chung, C. (2016). Globalizing human resource management.
Routledge.
Stone, D. L., & Deadrick, D. L. (2015). Challenges and opportunities are affecting the future of
human resource management. Human Resource Management Review, 25(2), 139-145.
Taylor, T., Doherty, A., & McGraw, P. (2015). Managing people in sport organizations: A
strategic human resource management perspective. Routledge.
Vidgen, R., Shaw, S., & Grant, D. B. (2017). Management challenges in creating value from
business analytics. European Journal of Operational Research, 261(2), 626-639.
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