IBU5HRM Case Study: Strategic HRM Solutions for 'No-Name' Aircraft

This case study examines the human resource management challenges faced by 'No-Name' Aircraft, an Australian-based company with subsidiaries in China, Singapore, and Vietnam. The report identifies issues such as communication breakdowns between teams, difficulties in managing cultural diversity, and weaknesses in performance management. It proposes strategies to address these challenges, including promoting workplace diversity through partnerships with non-profit organizations, fostering team integration via self-regulating teams, and improving performance management systems by eliminating bias and implementing objective appraisal processes. The analysis emphasizes the importance of aligning HRM strategies with organizational goals to enhance employee engagement and improve overall performance, highlighting the need for companies to embrace diversity, improve communication, and implement fair performance management practices to gain a competitive edge in the global market. Desklib provides students with access to a wealth of solved assignments and resources.

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Executive Summary
Organizational performance has been developing to be more and more important, particularly in
a market with increased level of competition and dynamic. Organizational performance has been
strategically measured through diverse indicators which ensure the stability of the organization to
be economical in the international marketplace. Thus human resources have been identified as
essential factors for sustaining the organization in the industry. These human resources thus
require to be managed successfully in order to attain the required performance of the
organization. As a result it is essential to manage tactically the human resources and further to
acclimatize its strategy with managerial strategy. The paper has offered comprehensive insights
about the issues and challenges regarding employee issues in ‘No-Name’ Aircraft being
headquartered in Australia has subsidiaries in China, Singapore and Vietnam. In addition to this,
the report has provided insights of areas where “No Name’ has been facing challenges and
provide relevant strategies to enable the company improve performance management and gain
competitive advantages in the market.

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Table of Contents
Introduction......................................................................................................................................3
Discussion........................................................................................................................................3
‘No Name’ Aircraft facing Communication Issues among teams...............................................3
‘No Name’ Aircraft facing issues with Cultural Diversity..........................................................4
‘No Name’ Aircraft facing challenges with Performance Management.....................................5
Human Resource Strategies in eliminating aforementioned issues faced by ‘No Name’ Aircraft
.....................................................................................................................................................6
Improving Performance Management System of ‘No-Name’ Aircraft.....................................11
Conclusion.....................................................................................................................................12
References......................................................................................................................................14

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Introduction
One of the core resources in an organization is unquestionably human resources. It is
regarded as the management structure which improves decisions related to the management of
people engaged to the organization starting from employee remuneration, performance
management, job analysis, team development, communication and maintaining workplace
diversity. According to Armstrong and Taylor (2014), in the current competitive business setting,
modern organizations must develop as knowledge-based and workforce must attain integration
among teams, cultural diversity, enhance level of performance management, and identify
strategic functions to increase employee engagement to increase the performance of the
organization. Jackson, Schuler and Jiang (2014) have stated that rapid expansion in technology,
communication network along with multiplying skills have transformed communication and
diversity within and among the organisational settings. Meanwhile, Brewster, Chung and
Sparrow (2016)have observed that companies which operate at global level tend to encounter
issues with cultural diversity along with a significant lack of communication among teams along
with headquarters and its subsidiaries. The following paper will focus on the case of ‘No Name’
Aircraft with headquarter in Australia has subsidiaries in China, Singapore and Vietnam and sell
aircraft to 50 other countries across the world. Additionally, the report will evaluate areas where
“No Name’ has been facing challenges and provide relevant strategies to enable the company
improve performance management and gain competitive advantages in the market.
Discussion
‘No Name’ Aircraft facing Communication Issues among teams
Communication has been regarded as the lifeblood of any organization and without it
desired goals and objectives cannot be accomplished. However, Paillé et al. (2014) have stated

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that organizations and employees exhibit lack of capability to learn, implement good
communication practices. It has been known that organizational ‘grapevine’ has been regarded as
one of the universal and highly reliable forms of communication observed at work (Armstrong
& Taylor, 2014). ‘No Name’ Aircraft currently has been facing certain issues with integration of
teams as employees have adopted the strategy ‘near enough is good enough’. Such a breakdown
between integrated teams and across teams and management has been consequential for
employees to exhibit certain resistance towards any form of change within the organization.
Mathieu et al. (2014) at this juncture have stated that bad communication practices tend to cause
significant amount of work challenges. Furthermore, ‘No Name’ Aircraft’s lack of support to
coordinated efforts, innovation and development have led the company to experience instability
between employees working in headquarter and subsidiaries. These issues have undoubtedly
raised the concerns of No Name’s CEO Adam O’Meara about organizational revenues and
profits.
‘No Name’ Aircraft facing issues with Cultural Diversity
Organizations across the world have been considering cultural diversity within
organization not as a negative aspect but highly essential to facilitate organizational track for
credit. However, in the view of Brewster, Chung and Sparrow (2016), maintaining proper
cultural diversity within the company has several challenges specifically to manage employees
with diverse cultural backgrounds. Similar to the issues of Cultural Diversity, ‘No Name’
Aircraft has been facing immense challenges to retain the diverse workforce. Though the
company’s policy relies on to be considerate towards race, age, ethnicity, gender, sexual
orientation, physical abilities, religious beliefs and other philosophy, CEO has got bothered in
embracing rich value of working with diverse people. At this stage, empirical evidence has

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proposed that many employees and managers view diversity management as being equal in
comprising equal opportunity for any individual to enter the organization. However, according to
Vangen and Winchester (2014), regardless of the increasing rate of financial support along with
simplifying legal provisions related to recruiting people with disabilities, opportunities to
heighten employment of individuals with certain form of disabilities must be determined with
utmost significance. On the other hand, reports of Greene and Kirton (2015) have stated that
companies and managers who do not support recruitment of disabled individuals has been
persuaded by significant lack of avenues of employing such people and unproductive problems
connected with hiring them. Similarly, few HR managers of ‘No Name’ aircraft have been
continuously disregarding application of people with disabilities, even when their skills and
expertise align with the job role. Such an unethical approach of HR managers have raised the
concerns of O’Meara as such conviction prevent them from contributing to the information flow
and in trainings further resulting to reduced efficiency and performance in the market.
‘No Name’ Aircraft facing challenges with Performance Management
Implementing a successful and objective performance management process essentially
enables employers to communicate demands and results to employees. Bednall, Sanders and
Runhaar (2014) have stated that such effective performance management system tends to drive
higher level of performance from them and aid them in mitigating challenges in improving a
performance management process. However in the case of ‘No Name’, the company has been
facing serious issues in conducting successful performance appraisals. Though O’Meara has
noticed performance reviews being conducted by HR in Australia but there cannot be found any
type of performance reviews conducted at any of the subsidiaries of ‘No Name ‘with no formal
performance appraisal process in favour of emigrants. Bias and favouritism have been

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considered to be highly critical in the performance review process of the company. Mathieu et al.
(2014) have mentioned that any form of employee favouritism tend to manipulate the objectivity
of appraisal thus has been highly crucial to ensure that HR managers must disregard such forms
of biasness in order to avoid inconsistencies among diverse employees that is the key element for
acquiring most efficiencies from appraisal. Thus weakened performance management has been
rapidly eroding employee engagement as majority of employees have been showing uncertainty
regarding level of efforts and contribution they are giving to the company. Furthermore, Amin et
al. (2014) have stated that as lack or unfair performance management policies tend to pose
challenges for workers to develop high level of uncertainty related to the future of the company
thus resulting to lower motivation and high employee attrition.
Human Resource Strategies in eliminating aforementioned issues faced by ‘No
Name’ Aircraft
Workplace diversity
Workplace diversity supports the reality that people differ in diverse ways, observable or
non observable, disability, sexual orientation and cultural background. Works of Vangen and
Winchester (2014) have revealed that cross-cultural and multicultural workforce has been
identified as a universal thread not only in workplaces functioning in western financial systems
but further in organizations at a global level. However, there can be witnessed several companies
like No-Name Aircraft who have been showing reluctance in promoting disabled employees and
ethnic minorities. However, studies of authors have found an extensive recognition of the value
of workforce diversity. Furthermore, empirical evidence has explored that effective diversity
management tend to profit through bottom line returns. However, as per Greene and Kirton
(2015), despite several decades of equality legislation along with confirmed commitment

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towards equal opportunities, there can be seen systematic discrimination in the staffing and
selection process. Thus organizations which have been lacking in proper implementation of
employment policies and practices must ensuring efficient developmental chances, reduction of
work-family conflict as well as employing and mentoring disadvantaged groups. Alvesson and
Sveningsson (2015) have found that industries which have been highly accessible to disabled
employees involve education and health services whereas the aviation sector has been recorded
to employ an insignificant rate of working disabled individuals. Thus, to eliminate the perceived
obstacles of participation and further raise the level of visibility of employment prospects for life
success and employment within the aviation sector for disabled individuals No-Name Aircraft
must partner with non-profit organizations to successfully represent disabled individuals to the
aviation sector of Australia. Such exposures however can be accomplished by providing the
prospects for participants to earn private navigator correspondent as well as airframe and power
plant.
Disabled Individuals in Aviation Industry

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Source: (Ancell, 2016)
One of the key functions in disability management in line with more inclusive diversity
management ought to be acquired by auditing that is an evaluation of company and its behaviour
that has been identified as an effective diagnostic tool. Such a tool according to Dietz et al.
(2014), facilitate the establishment of enterprise competence with its inadequacies and strategize
directions of future development. In recent times, the most prominent audits executed at
companies tend to deal with employee satisfaction, organizational culture, and quality excellence
as well as performance management. The growing concern of O’Meara regarding No-Name’s
HR managers’ unethical behaviour clearly has highlighted his inability of progressing about the
evaluation of the organization and actions as well as strategies which would suitably fit the
company’s strategy, demands and expectations of stakeholders as well as legal requisites.
Drawing application from the case of No-Name Ceschi, Dorofeeva and Sartori (2014) have
stated that HR managers in most of cross-cultural companies exhibit high level of incompetence
in acknowledging skills and knowledge of disabled individuals. Thus, analysis of the knowledge
of HR personnel regarding the statutory functioning time of individuals with disabilities revealed
that substantial proportion of them have developed awareness of special rights and authorities
which disabled employees have in the workplace regardless of the fact that their employer does
not employ the disabled (Liu et al., 2015). Thus No-Name Aircraft by implementing designed
tool would act as a source of inspiration to other nations struggling with economic performance
of people with disabilities on one hand and considerable reluctance of employers to recruit them.
Team Integration in ‘No Name’ Aircraft
Shaout and Yousif (2014) have stated that one of the issues which several companies
have been encountering is the implementation of team work vis-à-vis organizational performance

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without considering the structural characteristics of teams and the level of collaboration they
have amongst them. Furthermore, it has been regarded as suitable to categorize teams in a highly
self-regulating matrix whereby at one matrix would be positioned group of workers known as
teams. However as per studies of Pro (2019), self-leading teams must be positioned whose
members comprise of large range of responsibilities along with elevated level of interdependence
and identify with team targets. Furthermore, it has been observed that substantial amount of
researches fail to seek ways in which lack of integration, communication and collaboration tends
to change team performance over time. Such immense deficit of group effort and cooperation
rapidly reduces performance of the company. Evaluating the case of ‘No-Name’ it can has been
identified that critical collapse of communication among teams as well as company’s headquarter
office and subsidiaries has condensed its performance level and increased level of output. For
instance, No-Name Aircraft necessitate small to large adaptations even after the delivery of their
products to customers. However, several customers from government and non-government have
been posing allegations regarding the lack of quality of the company. Thus, establishment of
successful team performance link must be considered as a vital indicator of team maturity which
can be highly indispensible. In addition, Ceschi, Dorofeeva and Sartori (2014) have mentioned
that effective communication within team must not be considered in segregation but as a single
team in an organizational system which if suitably configured can cultivate wide range of
advantages by the means of communicative and collectively strengthening effects. According to
Dietz et al. (2014), such mechanism primarily incorporate employee involvement policies,
knowledge development programmes along with forms of sharing. Accordingly, interaction
between teamwork and proper collaboration must further be evaluated in order to give
companies enhanced consideration of the way collaborated and unified team performance add to

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enhanced organizational performance.
Relationship between teamwork and performance
Source: Procknow & Rocco, 2016)
Meanwhile, studies of Swanepoel, Botha and Mangonyane (2014) have emphasized on
need for a contingency approach which consider that organizations and industry primarily
comprise of teams with highly underpinned operations. Management tactics, competitiveness
along with extensive economic situations in justifying the way teams can constructively
influence organizational efficiency resulting internal contingencies to be highly taken into
consideration. Meanwhile, Khanna and Sharma (2014) have claimed that management-

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employment association (HR policy) or the structure of the division of labour (work system) in
segregation which leverage the interaction between the two.
Improving Performance Management System of ‘No-Name’ Aircraft
The evaluation of the case of ‘No-Name’ Aircraft has exposed that the company’s
management majorly relied on the increase of performance at work to successfully attain as well
as exceed organizational targets and further to ascertain maximum productivity to its customers.
However, according to Amin et al. (2014), organizations operating in the competitive market
comprise of performance appraisals with the supervisor providing comments on employee’s
performance. In addition to this, several leading companies operating in the aviation industry of
Australia have been adopting highly advanced strategy to performance management by
strategically implementing a 360 degree approach or Management by Objectives (MBO). Shaout
and Yousif (2014) further claimed that as performance appraisal system facilitates an employee
to realize areas of strengths and weaknesses, it would successfully help employees in critical
decision making processes related to career preferences.
However, as per the case study of ‘No-Name’ Aircraft, the company has been
encountering several performance management challenges. Even though international
performance has been integrated to a company’s global performance appraisals, No-Name has
been showing immense deficit in that particular area. The case has exposed that although the
corporate branch of No-Name strategically conducts performance appraisals, there cannot be
identified any such action in its other branches with no formal performance appraisal process for
emigrants. At this juncture, Liu et al. (2015) have stated that accomplishment or failure of
performance appraisal programmes depends majorly on the viewpoint fundamental to it, its
correlation with company goal along with the characteristics and skills of employees accountable