Strategic Leadership & Human Resource Practices EDIBM/101 Assignment

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This report provides an analysis of strategic leadership and human resource practices within organizations, with a specific focus on Etihad Airways and 3M. It details Etihad's HR policies, strategic objectives, and recruitment processes, including workforce demand and supply forecasting for a new location. The report also explores 3M's HRM practices, including recruitment, selection, and employee engagement, highlighting the strengths and weaknesses of their approaches, such as the '15 percent time' initiative. The analysis covers the purpose and functions of HRM, its role in HR planning and resourcing, and its contribution to achieving organizational objectives. The document is intended to provide a comprehensive overview of strategic leadership and HRM in the context of these two companies.
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Running head: MBA ASSIGNMENT
Strategic Leadership and Human Resource Practices in Organizations
Name of the Student
Name of the University
Author Note:
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Table of Contents
Assignment Task 1..........................................................................................................................3
Introduction..................................................................................................................................3
Background of the organization...................................................................................................3
HR policies and Procedures.........................................................................................................3
Strategic Objectives of the organization......................................................................................3
Brief Opinion...............................................................................................................................4
Recruitment and Selection Process and Strategic Recruitment Process Achievement...............4
Workforce Demand and Supply Forecast for a new location......................................................5
Assignment Task 2..........................................................................................................................6
Assignment Task 3........................................................................................................................14
References......................................................................................................................................24
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Assignment Task 1
Introduction
The following assignment is based on the study of the HR objectives and the strategic
goals of Etihad Airways. The report has provided detailed background of the organization and
the way by which it ensures the strategic objectives.
Background of the organization
Etihad Airways is the second largest airline company of the UAE and has its operational
centre in Dubai International Airport. With a fleet size of 113 airlines (+3 order as per plan), the
company flies to over 75 destinations worldwide. The company with a huge workforce of nearly
25,000 employees has annual revenue of around US$6.1billion. Apart from providing core
passenger services, the company is also involved in providing Etihad Holiday services and
Etihad Cargo services.
HR policies and Procedures
The Human resource department of the organization plays a crucial role in the success of
the organization and to ensure its sustainability in the market (Holloway 2017). The company
always looks out for the people who can truly inspire the customers and are quite passionate
about the delivery of the best practices. The 3M workplace is believed to be the best place for the
organization here the employees especially the ones with an innovative mind are best suited.
Strategic Objectives of the organization
The strategic objective of the Etihad Airlines is to deal with international transportation
of passengers and cargo to different global destinations of the world. Apart from this the
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organization also adds tremendous value to the products and services that they offer. Currently
the largest competitor of the business organization is namely Emirates and Gulf Air which have
been dominating a portion of the West Asian aviation market.
Brief Opinion
The mission of the company is to achieve the highest possible growth in business and be
the best Airline in the World, connecting the globe via Abu Dhabi. The airline seeks to provide
its customers the warmth and pleasure of Arabian hospitality and make their travel a memorable
experience. The fierce competition and the struggle to overtake each other in West Asian market
is one of the most important element in the business. The huge market as well as the risks in
investing a huge amount in the market has been one of the most problematic for the organization
in recent times. Therefore a change management procedure can help improve the performance of
the business accordingly.
Recruitment and Selection Process and Strategic Recruitment Process Achievement
The recruitment and selection process of the organization can also be termed under the
HR policies and procedures of the business organization. The recruitment process of the
company is as follows;
Step 1:
Submission of the applications by fulfilling the entire criterion
Step 2:
Scrutiny of the applications against the qualification criterion and the selection of the best and
rejection of the other applications.
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Step 3:
The time if they are successful one would be called for the final assessment day. The interviews
and the final observations can be achieved at the same day.
The recruitment process is thus one of the most critical terms as the organization has to
be on its toes in order to ensure the success of the business accordingly. The recruitment process
has to also be in line with the strategic management process that can be useful for the success of
the business.
Workforce Demand and Supply Forecast for a new location
The workplace demand and supply forecast model has to be implemented during the
establishment of its new hub in Bahrain International Airport (Yilmaz and Flouris 2017). The
new hub at Bahrain International Airport is being established in order to challenge Gulf Air and
other competitors like Emirates in this sector of West Asia. The demand and supply forecasting
model has been the key to establish the new location. There has been a rising demand of
customers from this sector to Europe and other North American countries (Nankervis et al.
2016). The company is in plans of establishment of the new hub in order to capture the market
share of this attractive sector and ensure growth in revenue.
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Assignment Task 2
1. Explain the purpose and functions of HRM with specific reference to Human
Resource Management Practices at 3M. Explain and assess how these functions
assist 3M in their HR planning and resourcing, to eventually help them achieve
their core organizational objectives.
According to, Dickmann and Piacentini (2017) Human Resource Management of an
organization can be termed as a strategic and coherent approach to the management of an
organization’s most valuable assets. The most valuable assets are considered to be the people
who work for the company. The employees of the company individually and collectively
contribute to the achievement of the different types of the business objectives. The management
of the human resources is based on the efficient utilization of the employees of the organization
for the achievement of two main goals within the business enterprise (Sparrow and Otaye-Ebede
2017). The first goal of the company is to effectively make use of the different kind of talents
and the abilities of the employees to achieve the operational objectives that can be termed as the
ultimate aim of the business organization. The main purpose and task of the human resource
management is to ensure the satisfaction of the individual employee while they work for the
company and are also happy for the benefits that he receives (Crawshaw Budhwar and Davis
2017). There are certain instances when the aims of the company clashes directly with the desires
of the employees. Such cases requires special attention as because there can be cases when the
management is unable to come up with proper and effective solutions that can be helpful for both
the parties. In such crisis period the Human Resource Management is faced with the task of
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finding a clear and easy solution that can help in protecting the rights of the company. The
process will however, take a great deal of expertise from the part of the Human Resource
Personnel but ultimately will help in the establishment of the best solution for both the parties.
According to, Wilton (2016) the main purpose of the human resource management is to
coordinate people and bring all the ideas of the people under one umbrella in order to have a
better and productive business workforce. Apart from this the management of the HRM is also
aligned for the re-engineering of the organization processes and the management and transferring
of the different changes within the company (Brewster 2016). Like the other multinational
companies of the globe, 3M Corporation of USA has also a dedicated HRM department that
takes care of all the different kinds of the organizational procedures as stated by the management
of the company. The staffing program of the company has enabled the organization to develop a
loyal and productive workforce (Wilton 2016). A variety of programs exist within the company
that provides the organization with the perfect set up for the management of the employees as
well as the management of the company in a proper and efficient manner. The “15 percent time”
initiative created by the organization can be termed as one of such initiatives where the company
allows the employees to use apportion of their paid time to innovate their own ideas. Such
innovations have been highly successful as a number of world class global products and ideas
have been developed and marketed by 3M in this process. The following process usually helps
the company to allow the necessary freedom to the employees to innovate different ideas. The
strategic framework of the business organization provides legitimacy for the different kinds of
organizational activities and creates ownership and loyalty along with motivates creative ideas
and innovative products and services (Nankervis et al. 2016). The strategic framework of 3M has
established HR strategies that are tied to its mission, vision and values. The HR management of
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the company uses both employees as well as paid non employees to execute their 15 percent
program. For example the HR management of 3M uses medical experts like nurses, doctors,
physicians for carrying on the operations of their medical business. Such kind of unique and
innovative leading models clearly depicts the process by which the management of 3M
implements its HR strategies.
2. Explain different approaches to recruitment & selection, as well as employee
engagement practiced at 3M, and state the observed strengths and weaknesses of
such approaches.
The recruitment drive for 3M is one of the most important and interesting perspectives of the
business organization (Brewster Chung and Sparrow 2016). The employees are recruited and
retained on the basis of their ability to provide innovative ideas that leads to highly successful
business solutions and other discoveries. Specialized workers of the business are heavily prized
for and fought for by the management of the business organization. There are few perspectives
that determine the process of recruitment and selection in 3M. This includes salary, expertise and
most importantly innovation (Brewster Mayrhofer and Farndale 2018). There are not many
companies in the market that generally offers freedom to the employees and also pay attractive
salaries to the employees. The management of 3M allows huge freedom to the employees in
these regards and provides them with attractive salary and other monetary or other benefits that
can be helpful for their success in the business.
According to, Slavić Bjekić and Berber (2017) the management of 3M Corporation has to
focus on the strengthening of the recruitment and the selection process in order to ensure the
selection of the best employees in the market. The more the focus of the organization in hiring,
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the more will be the benefit of the organization. The HR management of the business
organization by means of finding, hiring and retaining the right candidates for the different kinds
of positions has to ensure the sustainability and success of the business. As the management of
the company refines the hiring process to bring on the best candidates, it becomes increasingly
self-sustaining. Apart from that the team’s commitment and an increased focus on engaging staff
throughout the employee lifecycle will lead to the building of a strong workforce for the years to
come (Ekwoab,Ikeije and Ufoma 2015). The management of 3M has to also review the needs of
the position before reaching out to the candidates and also check the performance of the tracking
metrics of the former employees who held the position to gauge the previous approach to it, as
well as the results that other employees delivered. The greater preparation in these cases will
help the organization to ensure the avoidance of any kind of misunderstandings. The
management of 3M Corporation also has a fixed screening committee to analyze the employees
and recruit them in the organization (Preenen Vergeer Kraan and Dhondt 2017). The selection is
done totally on the basis of the merit of a person. The screening committee ensures that the
candidate has a sound idea or knowledge about the organization and also an idea of the
organization according to the organization.
The observed approaches of 3M Business Corporation is quite attractive and proven in
the business market. The 15 percent program and the college campus program of 3M have huge
advantages. The program has been emulated by large scale business organizations like Google
and Hewlett Packard (Ferguson 2018). However, the absence of the skills can be a negative point
for implementing innovation in the organization. Apart from this there are times when some
ideas fail to bloom at the particular moment just because of the absence of proper technology.
This is one of the largest disadvantages of the process.
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3. Analyze the importance of employees’ relations in 3M organization, as well as
identify the key elements of employment legislation in the organization; discuss their
influence and impact on HRM decision making in 3M.
The management of 3M has a unique advantage of bringing in new products in the
market. The innovative 15 percent program of the company has been one of the major inventions
that has been the source for major discoveries and smart business solutions since the last few
decades. The main motto of the management of the company has been to provide the employees
with the proper and necessary benefits s they are the ones who come up with the latest innovative
ideas that can lead to unique innovations (Huang et al. 2016). The management of the
organization also has other plans to survive during the crisis period. In those particular times, the
management continues to increase their market shares by innovating and further developing new
and existing products that are important for the business to ensure success. The trust and
dedication of the employees working for 3M has been achieved only by means of extreme
innovative ideas. Some of the major areas that need to be addressed are as follows;
a. Providing the employees with challenging and meaningful work
b. Teaching basic supervisory practices
c. Involvement of different kind of stakeholders
d. Improvement in communication and collaboration
e. Teaching basic supervisory practices
f. Making the employees understand the pay and benefits scheme of the organization
g. Re-emphasizing the role of the supervisors as the people developers
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According to, Huang et al. (2016) the management of 3M trust is one of the key elements
that help in the creation and development of the employee relationship in between the
organization and the employees. Trust can be defined as the feeling when one can count others in
a relationship. Trust is totally dependent on relationship. The better the trust, the better will be
the chances for the company to ensure sustainability of the business organization. Trust allows
the parties in a relationship to take the necessary risks as such a situation helps both the parties to
believe in each other as they think that neither of them will be acting without any prior thinking
of the possible impact of such an action on the relationship (Jackson Kim and Schuler 2018). The
importance of employee relationship can be determined by a number of key perspectives. This
includes;
a. There are several issues are there on which individual cannot take the risks alone. There
are times when the employee misses out on important points which can be raised by
fellow workers of the company. Apart from this a process or innovation might need the
help of others or consultation with others for proper and effective implementation.
b. Work becomes quite easier when it is shared by all of the people. A healthy relation
with the fellow workers will easily reduce the load of the other people and will help in
the proper and effective productivity for the business.
c. The friendly working environment of 3M has been one of the greatest achievements of
the business. The freedom for the employees to think and innovate new ideas and
products has helped the organization to ensure healthy productivity for the business.
d. Healthy employee relation reduces the problem of absenteeism and engages employees to
work together in a better and friendly manner. The presence of healthy employee
relationship is another major positive for the following business
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Employment Legislation is one of the key factors to the success of the business organization.
The federal employment laws govern the major issues of the business organization. Some of the
major issues that are generally addressed by the management of 3M are;
a. Job Discrimination- The Title VII of the Civil Rights Act of 1964 prohibits the
organization from the discrimination of the employees of the organization during hiring,
firing or any pay related issues based on the race, religion, sex and origin of a particular
person.
b. Minimum Wage and Overtime- The Fair Labor Standards Act (FLSA) is the nation’s
main wage law. It sets the federal minimum wage (Jackson Kim and Schuler 2018). The
law must be followed in order to provide the minimum wage to the employees of the
organization.
c. Age Discrimination- Age Discrimination must be followed as the management must go
by the rules of the terms and guidelines of the age discrimination act.
d. Diversity in work place- Workplace diversity is another major area that has been
addressed by the business organization. Workplace diversity must be maintained to
support culture and good values.
4. Illustrate at least two, or more specific examples of HRM practices followed by 3M,
and provide a rationale of their application in the organization’s work environment.
Different reports related to the business enterprise and Human Resource Management of
the business organizations has suggested that there has been a radical shift in the employer/work
relationship in the recent times. There has also been a change in the concept of the employment.
The more the changes, the more will be the innovation that will ultimately lead to the
sustainability of the business organization. The changing concept of employment has also led to
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