International human resource management practices at Almarai Dairy Company

Almarai Dairy Company 1 Almarai Dairy Company 14

Almarai Dairy Company Assignment 1 Almarai Dairy Company International human resource management is a set of activities involved in the human resource unit’s functioning at the international level. Companies must manage their organizational targets and goals by managing employees and operating in international markets. International human resource management entails different functions such as performance appraisal, training, recruitment, and selection. IHRM’s concept is related to the handling and managing of human resources in varying multinational firms. International human resource management has the purpose of raising the competitive advantage of workers within the business environment. This comprises performance appraisal, training of staff, and managing the abilities and skills of workers. The firm which is considered for analyzing the operations of IHRM is Almarai dairy company. This firm began its operations in 1976 by the Irish brothers, Prince Sultan bin Mohammed bin Saud Al-Kabir, Paddy McGuckian, and Alastair McGuckian. Almarai is a Saudi multinational dairy company that specializes in beverage and manufacturing and distribution. The firm’s main offices are situated in Riyadh, Saudi Arabia. Almarai dairy firm entered into a joint venture with drinks giant PepsiCo to invest in juice and dairy processors in Africa, South East Asia, and the Middle East. This paper describes the HRM practices within the firm. IHRM Practices in Almarai Dairy Company Human resource management and functions are crucial for a firm as it assists in enhancing employee satisfaction. It is important to manage all the firm’s activities effectively to outsource different transactional activities. Human resource management practices are involved in the human resource strategy implementation and running the business activities well. Some best practices are defined as human resource systems (Delaney and Huselid 1996, p949). The HR systems have a huge effect on the workforce and company. In Almarai dairy firm, there are a few transactional functions such as employee benefit, processing of payroll, administration, and record-keeping. Here are some of the best human resource practices of Almarai dairy firm: · Benefits and Compensation These two are crucial when it comes to employee motivation. When operating within a business environment, these factors must be followed to offer employees a good environment to work effectively (Delaney and Huselid 1996, p951). This is government regulation for offering health and other benefits to employees so they can work effectively. There are various ways of offering compensation to the workers, which help manage their general performance. · Training and Development These are crucial factors for human resource management. Various elements involve in this are professional development, leadership training, job skills training, and new employee orientation. Such activities are useful in improving employee job skills, especially for those specializing in cross-functional work management and working in their current positions (Delaney and Huselid 1996, p952). Professional development helps in supporting the firm’s succession planning. This is done by preparing future leaders for doing high-level jobs. · Recruitment and Selection The selection and recruitment strategy is based on the firm’s mission. Also, the work culture impacts human resource selection and recruitment policies (Delaney and Huselid 1996, p961). When the firm’s senior executives recognize the value of workplace diversity, recruitment practice is done for attracting a lot of potential candidates who can manage to operate in the firm. In the Almarai dairy firm, human resource management has adopted advanced ways of recruiting employees to offer effective products to all people. How it supports the Firm’s Performance Goals Training and development is a crucial phase of human resources. Some employees can become obsolete if they are not updating themselves with new ways of working methods, skills, and knowledge. In this way, the firm will become rustic, and therefore, there is a need to develop employees’ abilities and skills (Cardon and Stevens 2004, p295). The training programs are known as planned programs of the firm and business environment development. Human resource personnel is responsible for offering training and development practices to do organizational activities rightfully. Training in Almarai dairy firm assists employees in acquiring behavior, knowledge, and skills which allows them to do their job effectively. Training is offered to an employee based on their capabilities (Cardon and Stevens 2004, p297). These are manual or technical skills that are provided to a non-technical employee. Additionally, special training is offered to medical professionals to update them. Development is offered to the employees for improvising intellectual skills, conceptual abilities, and skills used for managing complex situations. Selection and recruitment are two basic functions that enable a candidate who can work within a firm. Companies must focus on enhancing the selection and recruitment process for hiring the best candidate for the firm. There are some benefits offered to the staff in Almarai firm which assists in attaining the organizational goals. · Internet Advertisements This is a common means used by the Almarai Company for hiring the best candidate who can work within the firm. This firm uses the Internet to offer advertisements about the job. Candidates are allowed to apply for suitable jobs in which they can excel. Jobs on the internet are the new trend. Therefore, Almarai firm is placing job advertisements on portals so that the management can reach out to a lot of talented professionals (Cardon and Stevens 2004, p298). · E-recruitment This is the use of technology that increases the staffing process and thus smooth functioning of the company. Individuals can send their applications through emails and upload their CVs on the employment portal (Cardon and Stevens 2004, p299). This way, the management will select the best candidates according to the applicant’s information. This process helps select the best employees who can work within the firm effectively and assist in promoting product delivery to consumers. · Employee Reference This recruitment technique involves candidates being selected based on the reference of the existing staff. Senior employees with good experience could refer their juniors to take high-level positions. · Retired Employees Almarai Company hires professionals who have retired from government parastatals. Such employees have exposure to what the consumers want in the market (Cardon and Stevens 2004, p295). This way, the company can minimize the cost of training and recruitment. Critical Review and Evaluation of the HR Process There are various functions involved in the human resource processes. They are used for attaining organizational goals and managing the firm’s work effectively. The human resource processes involve employee retention, performance management, employee remuneration, and human resource planning (Cardon and Stevens 2004, p294). The human resource process of Almarai firm focuses on employee welfare, offering quality products to consumers, and employee engagement. The following is the definition of the human resource process: · Human Resource Planning This involves forecasting planning regarding workers. It includes the process of the layoff, promotion, and evaluation. In Almarai firm, there are various processes involved in managing employees (Cardon and Stevens 2004, p295). Recruitment This is a means of attracting potential candidates to apply for a job in the company. The company uses new and advanced approaches for recruiting the best candidate for the company.

Selection It is known as the filtration process. When the potential candidates give their CV and biodata on the employment portals, the company’s management team filters the candidates based on the selection criteria.

Hiring It is the process of determining the selected final candidate.

Training and development Training and development sessions are given to non-technical employees to manage the general operations of the firm.

· Benefits Administration and Employee Remuneration It is a process that entails the management of decisions related to perquisites, incentives, wages, and salaries. The firm’s employees are given incentives and bonuses to make it easy for them to work effectively. · Performance Management This helps firms give employees incentives, motivate and train them (Cardon and Stevens 2004, p299). The organization goals of Almarai Company are achieved efficiently by increasing the employees’ working skills. · Employee Relation In the Almarai Company, the human resource is involved in sustaining employee relations. It is achieved through some team-building activities. In the firm, the workers are allowed to work in teams to interact with each other and enhance their connection. This is beneficial for the firm to enhance employee relations for managing the achievement of the organizational goals within a short period (Cardon and Stevens 2004, p295). How HRM Practices Influence Organizational Behavior Almarai Company has proper human resource management within this firm that allows all employees’ benefit and welfare in the organization. Human resource development entails HR’s main functions, and it assists in improving an organization’s functional abilities. This allows organizational and self-development (Jiang et al. 2012, p1265). It allows various functions such as motivation, sense of belonging, employee relation, and teamwork. A firm needs to manage the workforce’s efficiency for quality product provision. Organizational behavior is how individuals working in the firm behave while making decisions in the firm. Human resource development prepares different people for the firm’s competitiveness by offering effective training. This way, Almarai Company can enhance the employees’ operations’ efficiency as each firm has to focus on creating a human resource to grow in the market successfully. This is a crucial role of a firm as it assists in human resource management’s growth and survival (Jiang et al. 2012, p1267). The Almarai Company production includes a range of juice and dairy products set up during the early 1990s. The firm has been thriving to adapt to the changes of reinvesting and reconstructing its production plants. The company has invested in a central processing plant to attain a low-cost production (Jiang et al. 2012, p1269). This way, consumers can enjoy high-quality products at a low cost. They were also able to replace their small dairy firms with six large ones. In 2005, the firm moved from being privately owned to a publicly listed firm. In 2009, the company expanded its profile through the Hail Agriculture Development Company’s acquisition and re-launched it as Alyoum, a fresh poultry brand. In 2013, the firm announced getting the International Pediatric Nutrition Company’s stakes to be Saudi Arabia’s first baby formula producer. The firm’s organizational structure has six elements: formalization, centralization and decentralization, span of control, chain of command, departmentalization, and work specialization (Jiang et al., 2012, p1280). The firm’s departmental unit includes functional and product departments. Functional departments include finance, marketing, human resources, procurement, and production department. The product department includes poultry, dairy, and bakery. The managers are grouped with similar skills and expertise. Two HRM Practices and their Influence on Behavioral and Performance Outcomes · Training and Development This is the ideal human resource practice used to improve the current workforce. Its main aim is to focus on skill-specific training. The staff has to realize what is to be done to enhance employees’ learning and knowledge (Cardon and Stevens 2004, p294). The company has increased the operations over the years. Almarai Company should improve the present workforce and create different factors to enhance its knowledge and skills. Almarai Company invests in training employees, which helps in their growth and development. Training cost in the firm is minimized by hiring interns and offering them free training. During the training period, the best workers are picked and hired as permanent employees (Cardon and Stevens 2004, p294). Skill-specific training is a key factor in the human resource department. It is implemented to enhance the skill-specific kind of training. The firm has a training program that focuses on enhancing the skills of the employees. Talent workers value learning. This human resource practice involves offering training to skilled and talented employees. This helps in the talent and skill management of the employees. When employees are given proper training, they will work efficiently, thus achieving the organizational goals. If the employees are talented, then the firm has more opportunities to succeed. · Recruitment and Selection The Almarai Company uses new techniques to hire workers, influencing their performances and the organization’s (Cardon and Stevens 2004, p295). The various approaches used by this firm for recruiting workers are better job opening advertisements and panel-based interviews. When this process ends, the best candidate is hired to work for the firm. Hardworking employees who will help attain the organizational goals are the ones who are selected. The best advertisements help organizations get good candidates who can be hired, increasing the firm’s performance. Assignment 2 Global Staffing Policies Enterprise resource planning is software that firms utilize to manage their daily activities such as supply chain operations, compliance and risk management, project management, procurement, and accounting (Chen et al., 2018, p125). A complete enterprise resource planning suite also entails performance management software that assists in reporting, predict, budget, and plan the financial results of an organization. Enterprise resource planning systems incorporate several business processes and allow data flow between them. By gathering a firm’s shared transactional data from several sources, ERP systems remove data duplication and offer data integrity. For enterprises, retiring on-premise systems and moving to the cloud at once is not possible. Staying the course and ignoring all the pros of enterprise resource planning as a cloud solution is not the best path. A robust enterprise resource planning system can help improve internal business practices and help earn new clients (Chen et al., 2018, p126). Moving my customer service operations to the Philippines from Dubai comes with a lot of benefits, including; · Sales Provide Answers on Demand An ERP system enables clients to access data on their computers from any place. Therefore, when the sales force is out talking with potential buyers and clients, they can get immediate responses to questions about incoming supplies, order shipments, production schedules, and inventory. They also form quotes accurately and faster by having access to quote history. This improves their chances of acquiring RFQs approved and turned around (Chen et al. 2018, p127). This kind of responsiveness nurtures existing customer relationships and makes a positive impression on new ones. Accurate Orders Accurately fulfilling orders needs a cross-functional connection between shipping, packaging, inventory, production, billing, and sales. With ERP, information is shared among different departments, boosting insights and keeping everybody informed about an order’s status. The system can automatically trigger orders and schedule alerts depending on the inventory. When orders are fulfilled on time and accurately, client satisfaction is boosted, and expenses related to errors are reduced (Chen et al., 2018, p130). Lower Costs ERP software minimizes operational and administrative costs by reducing excess inventory, duplicate tasks, and errors. Managing operations helps prevent downtime and disruptions and boost employee scheduling and management (Chen et al., 2018, p129). An enterprise can prioritize its best clients and reward them with automated discounts, thus increasing ROI from the streamlined processes. Improve Client Service When client services representatives have access to detailed customer information such as previous issues, item fill rates, shipping, order history, and billing all in one portal, they can meet the clients’ needs faster (Chen et al., 2018, p130). An ERP system can be mapped so that a client sees the most relevant data on their customized dashboard, such as the whole system’s data versus the client-related data, making it simple to access the data they require. ERP software also seamlessly incorporates the most sales systems and CRM to view the customer relationship’s big picture. Faster Service Delivery When the inventory information is easily accessible and accurate, orders get out faster. An ERP system facilitates real-time updates to sustain precise inventory information (Chen et al. 2018, p130).