Project Management and HRM: A Comprehensive Case Study Analysis

This case study analyzes project management and Human Resource Management (HRM) within the context of a company, AMC. It explores the importance of a single project contributing significantly to the company's turnover, emphasizing the role of project management in focusing on processes and aligning with functional management. The study delves into the project-based organizational structure suitable for AMC, advocating for project managers responsible for product groups and reporting to senior executives. Furthermore, the case study examines HRM functions, including recruitment, compensation, employee relations, training, and workforce safety, addressing challenges in recruitment, particularly retaining talented candidates and managing international teams. It also proposes a personal development project for the sales team, incorporating on-the-job and off-the-job training to enhance their product knowledge. The document concludes with a bibliography of relevant sources.

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Case Study

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Case 1.7 Project Management
Importance of one single project
The success of the entire corporation is highly dependent on one single project of product
group number 1 because it makes 60 percent of its turnover. There are fewer competitors in
this product group which provides various advantages to AMC in order to diversify its
products. The turnover of company is 75,000,000 (500*150,000) and the turnover of product
group number 1 is 45,000,000 (75,000,000*60/100). The minimum turnover is 75,000 and
the maximum turnover is 10 million.
The role of project management is to focus on processes, whereas, the functional
management focuses on people. The functional management manages resources and budgets,
and the project manager works with those resources. In the case of AMC, the role of project
management is linked with the functional management because the project management of
both projects has to work accordingly to resources provided by the functional management.
Project Management Structure
Figure 1: Line Chart
(Source: By Author)

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In the case of AMC, the above-mentioned project-based structure is suitable. Each product
group should be handled by project manager who is responsible for working collaboratively
with the staff members. Each project manager should send a report to the senior executives
regarding staff productivity to monitor the performance of the company.
The advantage of this solution is that it will be an efficient solution for the company to
increase its focus on project development and market expansion. The disadvantage of this
solution is that it is not an employee based approach and it may lead to employee
dissatisfaction.
Case 1.8 HRM and Organisational Development
Functions of HRM department
 Recruitment
 Compensation and benefits
 Employee relations
 Training and development
 Workforce safety

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General Organisational chart of HRM department
Figure 2: General Organisational Chart of HRM Department
(Source: By Author)
Recruitment Challenge
The key challenge faced by the HRM department in the recruitment of employees is retailing
and rewarding talented candidates for their performance in the company.1 The corporation
also finds it difficult to find talented workers and give them flexible working arrangement
while maintaining coordination between both teams.
Challenges for International Companies
International corporations find it challenging to comply with local laws and regulations
relating to employment law, and they find it difficult to implement changes in the
management without resistance from employees. The multinational enterprises also find it
difficult to adapt as per innovation in technological advancements.2 Coordination is a major
challenge for the HRM department to ensure that all departments are working together to
1 David Guest, Jaap Paauwe and Patrick Wright, HRM and performance: Achievements and challenges (John
Wiley & Sons, 2012).
2 Joana Story, et al., ‘Meeting the challenges of effective international HRM: Analysis of the antecedents of
global mindset’, 2014 53 (1) Human Resource Management 131-155.

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achieve a common objective. The company also have to manage cultural factors while
managing international teams.
Personal development project
The personal development project should focus on providing both on-the-job and off-the-job
training to the sales team to ensure that they have appropriate knowledge regarding technical
products. The project should have a clear vision, and the management should outline the
strengths and areas for improvement. During the on-the-job training, a technical expert
should help the sales team to understand the features of the products to help them explain to
the clients. During off-the-job training practices, classroom training should be given to sales
team to teach them about different features of the product and how they solve the problem of
the client.

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Bibliography
Articles/Books/Reports
Guest, David, Jaap Paauwe and Patrick Wright, HRM and performance: Achievements and
challenges (John Wiley & Sons, 2012).
Story, Joana, John E. Barbuto Jr, Fred Luthans, and James A. Bovaird, ‘Meeting the
challenges of effective international HRM: Analysis of the antecedents of global mindset’,
2014 53 (1) Human Resource Management 131-155.