SUMMARYJennifer Lau and Pierre LeBlanc wanted to start their own business after graduating from their university. They were project partners during their last semester in university in creating a business plan related to technology. This idea turned into their own business as LearnInMotion.com.
The main aim of their firm was to provide continuous work-based education for people who cannot go to school or college and can learn from anywhere in their own comfort. Their business plan was to provide Web-based education either by online or downloadable contents or by getting a copy through CDs/books delivered directly to them. They knew this industry is a booming and they were on the right path at the right time. Initially, Jennifer’s father helped them with $45K and some office space for them to start their business.With the initial investment, they hired an independent programmer, a web designer, and a content manager. Their main problem was the lack of proper Human Resources to their firm. From hiring people to final career development for their employees are important for their organization.
They proposed the idea of their firm to several venture capitalists to expand their business, but none showed up. But at the end of May 2016, they got their funding from a venture capitalist with a whopping $1 Million towards their businesses growth. Their main aim is to hire 7 more people, redesign their website, to move to a larger office and thereby expanding their business. Question 1. What is human resource management, and does it have a role to play in this organization? If so, in what ways specifically?Answer:What is human resource management?Background:The Human Resources field developed first in eighteenth century in Europe. It is based on a straightforward thought by Robert Owen and Charles Babbage during the industrial revolution.
They realized that individuals were critical for the accomplishment of an organization work. They communicated the possibility that the prosperity of employees led to perfect work. Without sound laborers, the organization would not survive. Introduction:Human Resource Management (HRM) is the term used to represent formal frameworks required for the administration of people inside an organization. Human resource management is universally acknowledged for the organisation. The duties of a human resource manager fall into three noteworthy areas: staffing, employee compensation and benefits and defining/planning work.
Basically, the purpose for HRM is to boost the productivity of an organization by improving the effectiveness of its employees. Principles of Human Resource Management:Business specialists take note of that advanced human resource management is guided by a few overriding principles. May be the vital standard is a straightforward recognition that human resource are the most important assets of an organization. A business cannot be successful without effectively managing this resource.Small Business and Human Resource Management:A small business’s human resource management needs are not as complex as large firm. Regardless, even a business that carries only two or three employees, face staff administration issues.
Surely, the stakes are very high in small business when it comes to employee’s recruitment and management. None of the businesses need workers who are lazy or incompetent or dishonest. Some small business owners also need to consider preparing and other improvement needs in dealing with their organization’s employees. At long last, the small business owners need to build up and keep up profitable working environment for his or her work force.Does human resource management have a role to play in the LearnInMotion.com organization? If so, in what ways specifically.
Yes, human resource management does have roles to play in the LearnInMotion.com organization.The main goals of the organisation were not being accomplished without Human resource management.Redesigning and expanding the websiteHiring more 7 peopleMoving to large officeDesigning and implementing personal information managerDriving up sales1. Credible ActivistHR role is to play credible and activist part in the organisation. In LearInMotion.com, Jennifer and Pierre are working as a sole proprietor.
So, they have taken active part in the business for example hiring the new people, expanding the business, arranging capital and dealing with outsiders.2. Talent ManagerJennifer and Pierre are planning to hire 7 more people to expand their business as well as for more contents for different topics of education.3. Business AllyHR role is to do environmental scanning and identify market opportunities and threats for the organisation. Jennifer and Pierre knew that they were at right place at right time. Building a website for online education are increasing day by day and competition in that market is being increased.
To tackle that, Jennifer and Pierre hired 7 more people and also placed a deal to add contents on website as well as for sponsorship, they made a deal with customers to place an advertisement on the website. 4. Hiring skilled employees Pierre and Jennifer wanted employees for web designing and content providing. These positions are essential as most of the services were provided from website.
For redesigning and expanding the website, organisation needs skilled employees. And to have skilled employees, organisation recruitment policy and human resource managers play an important role in it. That is the reason why they want to hire more people.5.
PlanningPierre and Jennifer want to move to a large office for expansion of business, also helps the employees to get motivated by the working environment. Personal Information Manager (PIM) is one of the best ways to store schedule of work as well as personal calendar. It helps employees to organise their time accurately. The last goal is connected with employees as how efficient human resource management is of the organisation.6. Risk managementThey showed up the plan to many companies but no one replied on it but still Pierre & Jennifer kept going and got people to place advertisements on website. Almost 30 content providers got ready to place advertisement.7.
Strategy:Human resource management enhances the organization’s main concern with its learning of how human capital influences organizational success. Human resource management takes corporate decision making that underlines current staffing evaluation and projection for future workforce needs based on current business demand. Human resource experts can diminish the organization’s expenses related with turnover of hiring and replacement workers. They play vital role in the organization because they have the skills and expertise necessary to negotiate for the group benefit packages for employees within the organization’s financial plan and consistent with the economic conditions of the organization. Additionally, they know about employee benefits most likely to attract and retain workers.Here, Pierre and Jennifer want to hire 7 more people for their project work and what will be the criteria and conditions are there to employ people is a strategic human resource management. 8. Training and Development:Human recourse management introduce work to the new employees with the help of training and development.
Human recourse management also provides organization’s reasonable business practices and employee development. They give direction to supervisors who aren’t familiar with human recourse or standard hiring processes to ensure that the company extends offers to suitable candidates. Recommendations to LarningMotion.com Hiring: For hiring, human recourse deal with the work procedure from screening resumes to scheduling interviews to processing new employees. Commonly, they decide the best strategies for recruiting applicants, including surveying which candidate tracking methods are best suited for the organization’s need.
Compensation: human recourse compensation experts create sensible pay structure that set organization compensation focused with different organizations on the region, in similar industry or organizations seeking employees with similar skills. They direct wage and salary surveys to maintain compensation costs in line with the organization’s present monetary status and anticipated income.Employee Satisfaction: The organization should achieve high performance, morale and satisfaction in employees by making ways to strengthen the employer-employee relationship.
They should control employee opinion surveys, conduct focus group and seek employee input in regard to work fulfillment and ways the business can maintain great working connections. Question 2 What environmental influences will affect the roles that human resource management play within the organisation?The Human Resource Management of an organization plays a basic role in response to the environmental change. The major issue with this organization is the lack of a discrete Human Resource team focusing on the hiring process. Jennifer Lau and Pierre LeBlanc were responsible for HRM activities since it was a small-scale business.
1. Economic Condition:Economic conditions are very crucial for every organization. The organization could either succeed or fail with the economic impact. When the economy is good, an organization could implement new strategies towards their growth and when the economy is bad, the organization face problems like laying off employees, reducing their wages and may cut off some benefits. But with LeanInMotion.com, it’s not a case of failure, the economy for this type of industry was booming. They can implement new strategies towards their organization’s growth.
But without proper HRM functions and initial investment, they couldn’t proceed further with their website. With proper funding and economic conditions, LeanInMotion.com could hire more people, propose new strategies and grow their business.Jennifer and Pierre, even though they’re from a business background, they don’t have the right skills that an HR person possess. They’re hiring process are entirely vague. A human resource management plays a vital role in the hiring process, hiring the right person with the right skill for the right job. Their organization has found a perfect venture capital firm and got their funding required for their organization’s growth with a deal of $1 million.
So, it is crucial to set up a human resource management, so that Jennifer and Pierre can involve in planning their organization’s growth and not focusing on the hiring process.2. Technology:There is been a rapid change in technology over the course of years.
Technology has been growing at great speed in the field of computers, particularly in work-related learning fields. It’s a huge market with a lot of customers who needs these services through internet. The human resources management has a vital role in the technology changes. They must implement new strategies in their hiring process and their training methodologies to keep with this current process and technologies. New recruitments for content provider also plays major role as competition is high in the market for online education.
So, to build a strong content and design are crucial. Fortunately, for LearnInMotion.com, with the given funds, they can evolve with the current changes in technology which is extremely needed for their customers.
3. Globalisation:The current business trends are being rapidly changed according to the customer needs. These changes provide both opportunities and threats to the human resource management of this organization. The HRM activities of LearnInMotion.com should use the opportunities and avoid the threats.
The major obstacle for this firm is to retain the existing customers and attract new customers to their website since it’s a huge market with a lot of competitors. The Human resource management implements various strategies by hiring skilled web designers and programmers to design their website to attract new customers and retaining the existing customers by including lot of contents provided by the content providers.4. GovernmentIn small scale business as well as large scale business, government policies play a vital role. The rules and regulations of government regarding labour laws for example minimum wage pay, vacation pay, overtime pay, unemployment pay, insurance of employees, health and safety measures etc. affect the business. Online and offline businesses have different restrictions which affect the business. In LearnInmotion.
com, HR role to tackle these restrictions and run their business legally.Question 3What specific HR functions should be set up as the organization expands? Answer:LearnInMotion.com – owned and managed by Jennifer and Pierre is on the high growth path. They have successfully acquired venture fund needed for the expansion. Their business plan has following top priority goals: As the organization expands, Jennifer and Pierre should set up some specific HR functions which will assist in responding to the environmental influences. It is important firstly to split various functions between Jennifer and Pierre so that each of them can focus efficiently on her specific functions and related goals.
They have already hired two people – a web designer to create the graphics for the website and a content manager. Additional seven people which they intend to hire should have skills and experience as follows: PERFORMANCE MEASUREMENT AND EVALUATION:HR Professionals having academic track records which will be useful in enriching business courses for working people based on various media- web, CD, Textbooks. This person will also be useful in redesigning and expanding the website. The person will report either to Jennifer or Pierre.
LEGAL ISSUES AND PERSONAL POLICIES: One of the vital duties of HR Professionals is to having knowledge and experience in Legal terms and to make sure that the business works in compliance with all work laws. There will be voluminous disclosure documents and agreements, including legal formalities for tech-company staff. The person will report either to Jennifer or Pierre. COMPENSATION AND BENEFITS: The regulations of finance go under the obligations of the HR. While payroll often exists as a separate division in huge organization but in small organization such as LearnInMotion.com it is handled by HR. RECRUITMENT: Recruitment is one of the primary duties of the HR team. HR plays vital role in advertising open positions, interviewing and hiring candidates and putting aside hours committed to preparing the new comers.
TRAINING, DEVELOPMENT AND CAREER MANAGEMENT: To maintain competitive edge in the market place the HR should focus on training and development of their employees. HR should focus on both training employees for their current job and developing skills for their future endeavours. HR activities include training for managers, supervisors and teams.TERMINATION AND TRANSITION: Few employees leave the organization through retirement while some of them leave to proceed to different opportunities. The role of HR in this function is to work with the change by ensuring that all preparations and method are taken after, doing a post-employment survey if necessary. These stages can be taken care of or with the assistance of the organizations that give administration to deal with life cycle. How will these functions assist in responding to the environmental influences discussed in question2? Explain your answerGOVERNMENT INFLUENCELEGAL ISSUES AND PERSONNEL POLICIES LearInMotion.
com is an online business where people can access the website and take education on various provided topics. Governments has many rules and regulation regarding business and online contents also. COMPENSATION AND BENEFITSLabour law is also depending upon Government policies. Health and safety, minimum wage rate, insurance of employees all are influenced by Government. HR has to take care and work according to the Government regulations.ECONOMIC CONDITIONS RECRUITMENTIn this case study, Jennifer and Pierre have done some research and on the basis of this research, they found that market-related learning was booming. So, they had the opportunity to expand their business. So, we can say that demand for skilled people will be increased as an expansion of the business.
Therefore, HR will perform Learning and development function for orientation of roles and responsibilities of the new employees towards the organization.TECHNOLOGICAL CHANGESRECRUITMENTOne of the external influences is technology. Rapid technological changes and advancement are occurring everywhere throughout the world. As a result of these, professional staff is increasingly required.
Subsequently, procurement of technically skilled employee is necessary to match the changing job requirements. So, here workforce planning and talent management HR function will help in responding to technology. One of the goals of LearnInMotion.com is hiring employees for redesigning and expanding the website. Therefore, as a HR of this organization, he/she can plan about how much workforce require in designing and expanding the website and can hire technologically skilled people to cope-up with future changes in technology as a part of talent management.GLOBALISATION CHANGESTRAINING, DEVELOPMENT AND CAREER MANAGEMENTWith the changes in economic condition, HR has to see whether their employees are up to date with the technology or not and training should be done as per the current scenario of the market.
Career development of employees are also play vital role. The employees are the real people who will work to convert on paper goals to real action. With the changes in market conditions, training and career development change. ReferencesZkjadoon. (2015, September 25).
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