Human Resource Management
Human Resource Management is an essential part for any organization. Moreover, development of this department is the first step, the ground on which the future of the company depends. It is essential for every single business unit and especially for such international company as Coca Cola.
It is people, not technology who create the company. Human Resource Management at Coca Cola Company has many advantages as well as disadvantage. It is the global company and it is impossible to create certain policies or procedures applicable in all divisions of the company, cultural and political differences need to be taken into account.
Human Resource Management- is used to describe the function that is concerned with people-the employees. Human resource management is the function performed in organizations that facilitates the most effective use of people (employees) to achieve organizational and individual goals. Human Resource Management consists of numerous activities including: •Equal employment opportunity (EEO) compliance •Job analysis •Human Resource Planning •Employee recruitment, selection, motivation and orientation •Performance evaluation and compensation •Training and development •Labor relations Safety, health and wellness Four Descriptions of HRM 1. It is action oriented. Effective HRM focuses on action rather than on record-keeping, written procedure, or rules. 2. It is individual oriented. Whenever possible, HRM treats each employee as an individual and offers services and programs to meet the individual’s needs. 3. It is globally oriented. HRM is not only an American function or activity 4. It is future oriented. Effective HRM is concerned with helping an organization achieve its objectives in the future by providing for competent, well-motivated employees.
The history of HRM can be traces to England, where masons, carpenters, leather workers and other craftspeople organized themselves into guilds. They used their unity to improve their work conditions these guilds became the forerunners of trade unions. The field further developed with the arrival of the Industrial Revolution in the latter part of the 18th century, which laid the basis for a new and complex industrial society. A new kind of employee, a boss, who wasn’t necessarily the owner as had usually been in the case in the past, became a power broker in the new factory system.
With these changes also came the widening gap between workers and owners. The drastic changes in technology, the growth of organizations, the rise of unions, and government concern and intervention concerning working people resulted in the development of personnel departments. Early personnel administrators were called welfare secretaries. The HRM function today is concerned with much more than simple filing, housekeeping, and record-keeping. When HRM strategies are integrated within the organization, HRM plays a major role in clarifying the firm’s human resource problems and develops solutions to them.
It is oriented toward action, the individual, worldwide interdependence, and the future. Today it would be difficult to imagine any organization achieving and sustaining effectiveness without HRM programs and activities. The strategic and competitive advantage importance of HRM to the survival of an organization will become clearer as we move into the book. For years the HRM function had not been linked to the corporate profit margin or what is referred to as the bottom line. The role of the HRM in the firm’s strategic plan and overall strategy was usually couched in fuzzy terms and abstractions.
HRM was merely a tag-along unit with people-oriented plans, but was not a major part of the planning and strategic thinking process. Today, because of the recognition of the crucial importance of people, HRM has become a major player in developing strategic plans. Organizational and human resource plans and strategies are inextricably linked. The HRM strategies must reflect clearly the organization’s strategy regarding people, profit and overall effectiveness. The human resource manager, as well as any manager, is expected to play a crucial role in improving the skills of employees and the firm’s profitability.
In essence, HRM is now viewed as a “profit center” and not simply a “cost center”. The strategic importance of HRM means that a number of key concepts must be applied. •Analyzing and solving problems from a profit-oriented, not just a service-oriented, point of view. •Assessing and interpreting costs or benefits of such HRM issues as productivity, salaries and benefits, recruitment, training, absenteeism, overseas relocation, layoffs, meetings and attitude surveys. •Using planning models that include realistic, challenging, specific, and meaningful goals. •Preparing repots on HRM solutions to problems encountered by the firm. Training the human resources staff and emphasizing the strategic importance of HRM and the importance of contributing to the firm’s profits. The increased strategic importance of HRM means that human resource specialists must show that they contribute to the goals and mission of the firm. The actins, language, and performance of the HRM function must be measured, precisely communicated and evaluated. Recruitment is the process of identifying that the organization needs to employ someone up to the point at which application forms for the post have arrived at the organization.
Selection then consists of the processes involved in choosing from applicants a suitable candidate to fill a post. Training consists of a range of processes involved in making sure that job holders have the right skills, knowledge and attitudes required to help the organization to achieve its objectives. Recruiting individuals to fill particular posts within a business can be done either internally by recruitment within the firm, or externally by recruiting people from outside. With regards to the Coca Cola Company, recruitment and selection there does not come easy.
An applicant would have to go through a lot of tests and interviews. But according to the HR head Mr. Paulo Vergara, the company just usually train “employed” members already to be in a position rather than hiring new ones. Because according to him “why hire and train new ones if there is already someone who already know the job”? But the person must of course be deserving and competitive as well. It is important for a company to have guidelines with recruitment and selection processes and as to the Coca cola company, they sure are following these guidelines to prevent hiring the wrong ones.
As far as the company is concerned, fortunately, they have no record of hiring the wrong person yet. As I remember these were the steps being followed by the company with regards to recruitment and selection: 1. Initial Interview- I guess all companies have this “initial interviews” with the applicants. If they are able to pass, then they move on to the next level. 2. Battery of Tests- in this part, the applicants who were able to pass the initial interview would have to take these tests in the form of questionnaires. 3.
Panel Interview- after passing the exam, the applicant will now have to face the “panel interview” where he/she will be interviewed by the head officers in each department to test and see her ability and skills. 4. Physical Exam- after passing all the tests and interviews the applicant will now be ready for a physical exam. This is to determine whether the person is capable and healthy. Because according to sir Vergara, “why would we hire a liability in the first place”? They see to it that their workers would be healthy and physically fit in doing their jobs.
Because after a person is hired all expenses and accountabilities will be of the company. After all these, the applicant will be observed for six months and if they performed well they would get the job. Passing all 4 steps will not guarantee that the person will be hired but it gives them hope and a chance. HR planning, recruitment and selection therefore is very useful and significant in every organization. Background checks are a critical component in hiring. When it comes to your business, you cannot afford to make a poor hiring decision.
In fact, for most businesses, one bad hire can make the difference between success and failure. Though Coca Cola is now the largest soft drink bottler in the world, each of their local bottling operations represents several decades of success in building the strongest brands in the world. Maintaining the local aspect of their business continues to be an integral part of their success. With regards to their placement and utilization, they are doing well very well actually. They are very organized and specific. Coca Cola placement services include: •Work with clients to identify human resources needs. Screen and interview applicants. •Make a selection of appropriate resources available for client approval. •Conduct security checks and security clearance processing. •Maintain regular communication throughout the placement to ensure client satisfaction. They were able to do some research, evaluation, and have made recommendations regarding current and state of their organization. They are able to see the big picture and helps implement the vision by creating a longer-range perspective, and improved solutions that help create incremental gains in business results.
Generates opinions and choose actions that take facts, resources, constraints, and organizational values into consideration, and does so in a timely manner. They have the ability to affect or sway a course of action by using strong perceptive skills and leadership traits to reach and build consensus in diverse groups. Create a desire in others to execute change. Establishes clear performance expectations needed to achieve the vision. The company is really working effectively and efficiently with others to accomplish results. Coca-Cola is an equal opportunity employer, which means they offer equal treatment to all applicants.
Coca-Cola does not discriminate, either directly or indirectly, on the grounds of sex, sexual orientation, trans-sexuality, race, ethnic origin, religion, religious belief, disability, marital status, creed, nationality, national origin, color, age, or any other legally protected category (“Protected Information”) in any area of recruitment. Company Orientation is the part of the familiarization process in which a new employee is told of the firm’s history, its beliefs and cherished values, long term goals, and management structure.
He or she is given specific information, such as about the firm’s products and markets in which it competes, the behavior patterns it views as desirable or undesirable. Company’s policies regarding discipline, information access, promotions, quality, and vacations, and regulations regarding health, safety, and security rules are also made known during the orientation process. We all know how critical first impressions are. They establish a foundation for everything that follows. New staffs are forming an impression of you, just as you are of them.
It is suggested that new staff receive a thorough orientation to their new job and the organization for which they will be working. In this way they will get a good impression of you, and you will provide them with the initial information and tools they need to be successful. What follows is a list of activities and/or topics which should help new staff become productive colleagues. Each organization should tailor these lists to their own unique situation and to the new staff member, and decide who will take responsibility for each item.
Here are some activities being done by Coca cola regarding Orientation Before new staff member arrives: •Distribute an announcement to current staff, including a photograph if possible •Send the new staff member: oA welcome letter oA job description oInstructions for first day and week oWhen & where to arrive, who to ask for oWhere to park oSuggested office attire oWhat to expect for the first few days oOrientation to people, job, office, department, and organization oWhat to expect regarding meals, breaks, and time for personal business oInitial work responsibilities Required or recommended reading, such as any publications created by your department oOther advance preparation First day of work •Meet with supervisor (and others as appropriate) for office orientation oOffice goals and objectives oPrimary activities oRelationship to rest of organization oOffice organization oOffice and culture, such as oService culture oConfidentiality oEthics oWorking with supervisors, colleagues, assistants, and/or volunteers oManaging office conflicts oReview and discuss questions about job description and evaluation criteria oPolicies and procedures specific to office, for example Working hours oTelephone techniques and etiquette oCorrespondence styles oStaff meetings oBudget and accountability •Get assigned work space •Meet with colleagues and support staff oBrief overview of their responsibilities and assignments oHow they relate to or support the new staff member •Meet with assigned support staff (if appropriate) or “buddy” * •Office organization (files, supplies, etc. ) •Handling incoming and outgoing mail •Office circulation files •Office resources (directories, dictionaries, style manuals, computer program manuals, staff listing, etc. •Using the telephone •Meet assigned “buddy” for orientation to the environment and for informal help •Office dress code •Where to put coat and personal belongings •Restrooms •Refreshment area, lounges •Office supplies •Copy machines oHow to use oRefilling paper supply oPolicies about number of copies and making personal copies •Fax machines •Calendars •Coffee/coffee fund, gift fund •Where to go for lunch, breaks •End-of-day routine: lights, telephones, doors, computer, etc. Within first week of arrival •Set up work area •Start work Supervisor checks in frequently to clarify expectations and answer questions •Colleagues check in to answer questions and offer support •”Buddy” checks in daily to answer questions and offer support •Meet with department business manager to cover, as appropriate oTimecards oVacation/sick/personal leave policies oKeys oAccess to the office on nights and weekends oTelephone: access code, personal calls, paying for personal long-distance calls oStamps, parking permits •Meet with company Human Resources Services oComplete all necessary paperwork oReview company personnel policies and procedures Learn about benefits (health & life insurance, retirement, select benefits, etc. ) oLearn about company orientation •Get company ID •Get company parking permit (if appropriate) •Meet with MIS personnel for computer assistance oOverview of policies & procedures, including confidentiality and piracy oAssessment of knowledge of and comfort with computer hardware and software oHardware: turning on, backing up, printing, shutting down, etc. oSoftware: wordprocessing, dataprocessing, e-mail, etc. as needed oArrange further training and support as needed Tour the building and immediate area Within six months of starting •Meet key people and offices within the company •Meet on a regular basis with supervisor to discuss issues, and review job description, expectations, and performance •”Buddy” checks in on a regular basis to answer questions and offer support •Attend company’s new staff orientation (provides an overview of company people, departments, policies, and procedures, and includes a tour of the company facilities) Health and Safety at work is an important aspect of the social policy.
It is not directly part of the fundamental freedoms but accompanies the rules establishing these freedoms in order to provide for their proper functioning. The company feels the need to promote improved working conditions and an improved standard of living for workers. They have committed themselves to paying particular attention to encouraging improvements in health and safety aspects of the working environment. Minimum requirements shall be applied for gradual implementation of these aims, but this shall not prevent any State from maintaining or introducing more stringent measures for the protection of working conditions.
The field of health and safety at work covers the most numerous, detailed and technical legislation. The legislation in the field of health and safety (in Coca Cola) at work concerns: •Organization of the workplace •Chemical, physical and biological agents •Special occupational activities or groups at risk Sir Paul said, that “The people of Coca-Cola are the heart and soul of our business building relationships with our customers and consumers in the communities we serve”. By putting people first, the organization hopes to create value for everyone touched by the Company.
That’s why they make sure that health and safety is always assured. They strive for an atmosphere in which all employees are comfortable being themselves – offering ideas, making suggestions, expressing views, and appreciating our shared and unshared differences – regardless of their age, race, gender, nationality, ethnicity, religion or sexual orientation. Coca-Cola offers a benefit program that provides the protection employees need plus the choices employees want. The company has a commitment to its employees to deliver security, value, and choice in an all-encompassing benefits package. Security provided by benefits that are available and usable when needed. •Value by offering competitive rates. •Choice by offering different plans with multiple options. Every person has different reasons for working. The reasons for working are as individual as the person. But, we all work because we obtain something that we need from work. The something obtained from work impacts morale, employee motivation, and the quality of life. To create positive employee motivation, treat employees as if they matter – because employees matter. These ideas will help fulfill what people want from work and create employee motivation.
Some people work for love; others work for personal fulfillment. Others like to accomplish goals and feel as if they are contributing to something larger than themselves, something important. Some people have personal missions they accomplish through meaningful work. Others truly love what they do or the clients they serve. Some like the camaraderie and interaction with customers and coworkers. Other people like to fill their time with activity. Some workers like change, challenge, and diverse problems to solve. Whatever your personal reasons for working, the bottom line, however, is that almost everyone works for money.
Whatever you call it: compensation, salary, bonuses, benefits or remuneration, money pays the bills. Money provides housing, gives children clothing and food, sends teens to college, and allows leisure activities, and eventually, retirement. To underplay the importance of money and benefits to people who work is a mistake. Fair benefits and pay are the cornerstone of a successful company that recruits and retains committed workers. If you provide a living wage for your employees, you can then work on motivational issues. Without the fair, living wage, however, you risk losing your best people to a better-paying employer.
Coca-Cola Company benefits are an important and valuable component of the total compensation package offered to employees. These benefits encourage employees to be motivated with their work and have good morale as well. Listed below is an overview of the total benefits package available. PERSONAL CHOICE BENEFITS: Personal Choice Plans are designed to help employees select the most suitable benefit plan for them and their dependents. •Medical Coverage •Vision Coverage •Prescription Drug Program •Dental Coverage •Life Insurance/Dependant Life Insurance •Short Term/Long Term Disability Reimbursement Accounts – Health Care and Dependant Care RETIREMENT BENEFITS: •Pension Plan •Retiree Medical/ Retiree Life Insurance ADDITIONAL BENEFITS: •Sick Pay/Short-Term Disability •Vacation: •Holidays: •Employee Assistance Program The manager plays the most important role in successful employee motivation. As a manager or supervisor, their impact on employee motivation is immeasurable. By their words, body language, and the expression on their face, as a manager, supervisor, or leader, they telegraph their opinion of their value to the people they employ. Feeling valued by their supervisor in the workplace is key to high employee motivation and morale”, Mr. Vergara insisted. He continued that, “feeling valued ranks right up there for most people with liking the work, competitive pay, opportunities for training and advancement, and feeling “in” on the latest news” are also the factors. Building high employee motivation and morale is both challenging and yet supremely simple. Building high employee motivation and morale requires that managers pay attention every day to profoundly meaningful aspects of their impact on life at work.
Executive staff compensation: salary, benefits, and perks, needs special attention in recruiting and hiring executives. Executive staff are further along in their careers and they have a standard of expected benefits and compensation beyond the norm – and rightly so. The role of the HR manager must parallel the needs of his or her changing organization. Successful organizations are becoming more adaptive, resilient, quick to change direction and customer-centered. Within this environment, the HR professional, who is considered necessary by line managers, is a strategic partner, an employee sponsor or advocate and a change mentor.
In today’s organizations, to guarantee their viability and ability to contribute, HR managers need to think of themselves as strategic partners. In this role, the HR person contributes to the development of and the accomplishment of the organization-wide business plan and objectives. The HR business objectives are established to support the attainment of the overall strategic business plan and objectives. The tactical HR representative is deeply knowledgeable about the design of work systems in which people succeed and contribute.
This strategic partnership impacts HR services such as the design of work positions; hiring; reward, recognition and strategic pay; performance development and appraisal systems; career and succession planning; and employee development. As an employee sponsor or advocate, the HR manager plays an integral role in organizational success via his knowledge about and advocacy of people. This advocacy includes expertise in how to create a work environment in which people will choose to be motivated, contributing, and happy.
Fostering effective methods of goal setting, communication and empowerment through responsibility, builds employee ownership of the organization. The HR professional helps establish the organizational culture and climate in which people have the competency, concern and commitment to serve customers well. “If you want to improve employee performance, think about your daily conversations with employees. No better opportunity exists to reinforce and help refine excellent employee performance. You discuss new projects, talk about overdue assignments, give updates about completed tasks, and more.
Use these conversations to reinforce the importance of doing a great job”, said Mr. Vergara. Managers cite performance appraisals or annual reviews as one of their most disliked tasks. Performance management eliminates the performance appraisal or annual review and evaluation as the focus and concentrates instead on the entire spectrum of performance management and improvement strategies. These include employee performance improvement, performance development, training, cross-training, challenging assignments, 360 degree feedback and regular performance feedback. Employees want to feel that what they do is important.
Doing more challenging work or working with different employees are just two examples. Investigate things employees like about where they work. Determine what makes them excited and use this information to explain how effective employee performance can lead to greater job enrichment. The company thinks about how certain actions give employees greater opportunities for advancement on the job. They consider possibilities for a job rotation or a high-profile assignment. They use this information to connect employee interests to performance, highlighting the impact on upward mobility or desired lateral moves.
Consider managerial staff, technical staff, support staff, and others. Use this information to emphasize how one employee’s performance can positively or negatively impact another employee’s performance and results. One key factor in employee motivation and retention is the opportunity employees want to continue to grow and develop job and career enhancing skills. In fact, this opportunity to continue to grow and develop through training and development is one of the most important factors in employee motivation.
The organization (Coca Cola) impacts training and development significantly through the responsibilities in an employee’s current job. As follows, they: •Expand the job to include new, higher level responsibilities. •Reassign responsibilities that the employee does not like or that are routine. •Provide more authority for the employee to self-manage and make decisions. •Invite the employee to contribute to more important, department or company-wide decisions and planning. •Provide more access to important and desirable meetings. Provide more information by including the employee on specific mailing lists, in company briefings, and in your confidence. •Provide more opportunity to establish goals, priorities, and measurements. •Assign reporting staff members to his or her leadership or supervision. •Assign the employee to head up projects or teams. •Enable the employee to spend more time with his or her boss. •Provide the opportunity for the employee to cross-train in other roles and responsibilities. The development of a life-long engaged learner is a positive factor for the organization no matter how long the employee chooses to stay in your employ.
If an organization use these training and development activities it will surely optimize the employee’s motivation and potential retention. Mr. Vergara said, “Think about how your organization measures success. Some organizations use sales quotas as a guide. Others track the acquisition of new customers. But we look at strategic plans and operational goals for direct or indirect links and we use this information to explain the broad-level impact of doing or not doing certain activities. ” I do believe that organizations must look at their organization’s vision, mission, and values statements.
This information will be evidence for the kind of fundamental practices that are important. Organizations must be able to examine instructions on “how” employees should do things as well as “what” they should do and also consider rules, regulations, and policies. This information will be a tool to support the importance of certain types of employee performance. Most of all, talking about employee performance and performance results is something that the organization must do everyday. Making the most of these discussions and giving employees a reason in your conversations for doing a great job and they will surely produce results for you.