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INTRODUCTION TO MANAGING PEOPLE
Managing people, leading them and getting the work done through them is one of the most critical tasks that has to be carried out by authorities of an organization (Alice and Blair, 2009). It is of great importance in terms that human resources lay down the path through which the firm can meet its goals and also survive in market for a long term. This report consists of a recruitment and selection strategy that can be used by management at Renault, along with providing a detailed discussion on skills and attributes which are necessary to become a leader in a multinational organization.
(i) Evaluation of recruitment, selection, and retention procedure
Recruiting, selecting and retaining employees at workplace are a very critical task that management at Renault has to carry out, mainly because of reason that it is the key to their success (Engen, Leeden and Willemsen, 2010). Over the years, numerous theories and principles have been developed so as to aid in this process, but there are many steps which are common in them. This means that regardless of the theory or model adopted by firm, these stages are to be carried as they would help the firm to meet its HR requirements. Recruitment basically is the process through which best suited and well qualified candidates can be identified and hired in an organization (Johannesen and Eagly, 2002). This process entails analyzing and evaluation of requirement of job available in a company, in this case Renault, attracting prospective candidates to the job, screening and selecting applicants, hiring and integrating the new employs in the organization. Very first phase in this context is to prepare a job description. It is a very crucial stage. Since the automobile firm is looking to hire more engineers at workplace, the job description would have to be developed keeping in mind nature of the job and responsibilities which the selected individual would carry out. After this a person specification will have to be prepared. Herein relevant authorities will have to decide and list the qualities and qualifications they want in candidates (Hughes, 2009).
Presently, management of Renault is looking to hire more engineers in the company. Herein, the engineers would be tasked with a lot many roles and responsibilities, one of them being designing and testing different parts for the vehicles, i.e. cars. They also would have to build prototype models for the cars, which effectively would help them to understand how the car would like, decide on its features and also that performance that it would give. At Renault, it is one of the most important jobs, mainly because the engineers contribute in major terms to the process of designing and manufacturing cars (Holland, 2014). Once job description and person specification is prepared, the vacancy for post of engineer in the company would have to be advertised. To do so there are variety of channels which can be used, such as newspaper advertising, posting the job on firm’s website, social networking channels and other job related portals. Main purpose of these advertisements is to invite applications from eligible candidates.
There are various ways through which process of selection can be carried out. For purpose of hiring engineers in the company, managers at Renault can first conduct a written test of the applicants, those who are selected in this stage can move ahead for final round of interview. There are a lot of advantages that company can gain by using this method of selection for hiring and recruiting engineers in the firm. One of them is that through this technique, authorities at Renault would be able to hire the best suited and well qualified engineer in company and try to improve overall performance of the firm. But on the other hand, this method can prove to be very disadvantageous for the organization, because of reason that a lot of time would be consumed in conducting written tests of the engineers (Amabile, 2003). On the other hand, through this method, authorities can also carry out examination of the large numbers of engineers at a single point in time. Many theories of selection opine that companies must use extensive selection procedures, so as to make sure that they hire the right person at workplace. But here in it can be said that the more selection filters are applied, more will be the costs which will have to be borne by the company (Johannesen and Eagly, 2002). Since the people that managers are looking to recruit in company are engineers, it can be said that retention strategies will also have to be thorough. A suggestion can be made to the authorities to use more of non-financial rewards to motivate the engineers and also retain them. This technique can prove to be of great use to the firm, as the motivation that it would give to engineers would be substantial, because of which there would be prominent chances that they will work with the company for longer time duration and also contribute in substantial terms to organizational cause and mission.
(ii) Impact of legal, regulatory and ethical considerations on Renault’s employment practices
There are a wide variety of factors which have to be considered by management of business organizations such as that of Renault for successful working in the market. It includes the likes of ethical, legal and regulatory policies developed by government and other such governing bodies. These are of critical importance in situations of recruiting and hiring a new individual in the organization (Barnard, 2012). There are a number of rules and regulations developed over the period of time in order to ensure that proper employment practices are followed by business firms. One of them is – Safety and health in use of machineries, developed by International Labor Organization. It describes about laws which enable authorities of manufacturing firms, in this case Renault to ensure health and safety of workers who use different kinds of heavy tools and machineries. It defines that it is on part of authorities to ensure that machineries being used at workplace do consist of different safety features and other accessories through which the same can be ensured (Safety and health in the use of machinery, 2013). The impact of this and other such legal laws and regulations can be seen in terms that management in the automobile firm pay special attention to buying process of machineries and equipments. Additionally, a lot of attention is also paid to making sure that workers get ample training as to how these machines have to be used. This way their health and safety is ensured in the firm. Apart from this, ethical aspects such as employing people from different backgrounds and varied ethnicities also have a deep impact on the organization. It can be supported through fact that management at Renault pay attention to recruiting such people in the firm and also making sure that no discriminatory practices, against an individual or a group of people from similar background is followed (Hersey, Blanchard and Johnson, 2009). There are many rules, regulations and laws that govern the working of automotive industry in terms of health and safety requirements in the country. One of them is the Health and Safety at Work etc Act 1974. The act consists of various duties that have to be performed employers, employees, etc in organization for ensuring safety at workplace (Barnard, 2012). It develops and establishes a system of public supervision through which steps can be taken so as to ensure maintenance of health and safety standards in the company. Another such policy is the Data Protection Act 1998, which states that attention should be paid on ensuring that information and data about the employees working in company should not be leaked to any third party, as it can have adverse effect on their health and safety.
(i) Skills and attributes needed to be a leader in an international organization
The roles and responsibilities that have to be carried out by a leader are enormous and extremely complicated, due to which the leader must possess a wide variety of skills and attributes (Bommer and et. al, 2005). Without them, the leader cannot be successful in tasks and duties assigned to him, thus leading to non-attainment of the goals and objectives. There are many such skills and talents which they must possess. This fact becomes all the more important for those business organizations which work in the international arena. One of the most essential skills set which they must have is ‘sensitivity to cultural diversity’ (Tracy, 2012). It was seen in case of Nissan being acquired by Renault that CEO Carlos Gohsn, who was made head of both these companies by the management had no idea about the Japanese culture, traditions and norms, due to which he was not at all sensitive towards the workforce. His main focus was on making sure that Nissan is able to make turnaround and make profits, and he was not at all attentive and inclined towards learning the new culture (Hartline, 2006). Given the situation that firm was in, it was a correct decision. But for global leaders it is imperative that they are sensitive towards culture of the region they work in, as it is a way through which trust of locals can be won. There are a lot many theories and principles which govern different aspects of leadership such as the skills, attributes or talents that they possess. One such theory is that of the trait theory. According to many experts and academicians, trait theory basically discusses about characteristics that leaders must possess so as to effectively survive and lead a group of employees in a company. For leaders to give the most effective performance, especially in an international organization such as that of Renault, it is crucial that they a wide range of skills and attributes in them (ohannesen and Eagly, 2002). There are many qualities that leaders in an international firm such as Renault need to possess. It includes the likes of self-confidence, communication, emotional maturity, cognitive abilities, motivation, etc.
(ii) Difference between leadership and management
For a business organization regardless of the industry that it may be operating in, aspects of leadership management have a very critical role to play, mainly because of reason that they help the firm in fulfilling its aims and objectives (Dolen, Ruytyer and Lemmink, 2004). Though the two of them are extremely different from one another, yet they have a substantial or profound impact on working of the corporation. Many academicians and industry experts have defined management as a process through which the firm\s existence in market can be prolonged and also it can be made to survive the competition. On the other hand, leadership is better known as a system through which an individual tends to lead a group of people towards a common goal by inspiring and motivating them. From case of Renault, this difference can be seen clearly, as it was the CEO Carlos Ghosn interacted with the staff members with main objective to make them comprehend the change and also accept with quiet zeal, which in the end proved to be a very useful and effective option. Ghosn almost single handedly lead Nissan out of tumultuous times that it was facing while incurring huge losses and under extreme burden of debts (Galegher, Krautm and Egido, 2014).
|Provides guidance to employees||Focuses on managing the employees|
|Leader motivates workforce||Sets targets that workforce has to attain during a given time period|
|CEO interacted with employees and encouraged them to bring about the required change in company||Authorities did not pay too much of attention to interacting with the staff members|
(iii) Leadership styles adopted by CEO Carlos Ghosn
One of the most important aspects of an organization’s working is that of the leadership styles adopted and used by leaders in an organization. There are a lot many leadership styles that can be considered by management of a company (Bommer and et. al, 2005). They can be defined as those processes through which a group of employees in an organizational context can be led and also motivated to give their best performance for maximum contribution to organizational cause. Leadership styles have a very important role to play from view point that it lays the foundation on which effectiveness and success of the leader depends. There are many kinds of styles from among which one or many can be chosen by the leader. But this selection has to be done very carefully, as it forms the difference between success and failure of the leader (Connelly and Zaccaro, 2000). During the case study it was seen that leadership style adopted by CEO of Renault and Nissan was that of a democratic mixed with transformational style. On many occasions it was seen that the CEO interacted with the employees so as to make them comprehend the change which was necessary to be brought about in the firm and also gain their support for it. Apart from this, he also asked lower level mangers to freely state their views and opinions regarding the problems which were being faced by the company, even though the managers did not believe in speaking openly in front of the CEO. Furthermore, Carlos Gohsn also adopted transformational leadership style, wherein his main intention was to bring about a radical change in the company, so as to help it make profits and improve its market standing.
(iv) Different ways to motivate staff
Motivating staff members in an organization is very important for companies, no matter in what kind of environment they may be operating in (Hawkins and Cole, 2008). This is mainly because of reason that motivation level of employees is directly related with attainment of goals and target developed by management. There are plenty of ways through which workforce can be inspired and also motivated. One of the best ways to motivate them is to give appropriate rewards for the hard work they do at workplace. Such rewards majorly can be divided into two – monetary and non monetary. Financial reward is a very good option so as to motivate employees who work at lower levels in the organization. On the other hand, non-monetary rewards are the best way to motivate those employees of the firm who work at higher levels in the corporation. In short it can be said that giving rewards and incentives to workforce of company is a very good option that can be considered by management of the automobile firm. Apart from this, involving those members of workforce who work at lower levels in the company, in decision making process is a very effective way to motivate them (Burke and Dalrymple, 2000). Usually only those who are employed at top positions in the firm are the ones who are included into this process. By including lower level employees into it, management can not only motivate and inspire them, but also gain their commitment as well as loyalty towards workplace. There are many theories of motivation that can be used by management of company in order to encourage their staff members. One of them is the Herzberg’s Two Factor Theory which states that motivation levels of employees, largely is dependent on two factors – Hygiene and motivators. Hygiene factors are those factors, which although do not directly motivate the workforce, but have a very crucial role to play in the whole process. Their absence can lead to adverse effects on motivation levels of the employees. On the other hand, motivating factors are those which directly motivate, inspire or encourage the workforce to become more committed to organizational goals and objectives. Maslow’s Need Hierarchy is another theory of motivation that can be considered by management of a company (Tracy, 2012). According to the model, there are several needs and wants of employees, which largely can be segregated into various stages. If motivation levels are to be increased, then focus of the management would have to be on making sure that employees are made to undergo all the stages suggested in Need Hierarchy Model.
(i) Benefits of team working
A team can be defined as a group of two or more individuals, who come together and join forces for a common goal, aim or objective. For multinational organizations such as that of Renault, it is of great significance that their employees are able to work in different teams and also give their best shot for the team, mainly because of reason that it is a way through which employees can contribute towards achieving targets assigned to them (Ahmad and Schroeder, 2002). Considering nature of operations performed in the company, team working plays a very critical role. It helps the firm in keeping its costs as low as possible and also fulfill the targets that are assigned to them. Further for the company, team working is very important from viewpoint that the automobile industry has become very competitive because of which organizations fight for a place in the market. This means that if the management at Renault wants to prolong existence of firm in industry, then they have to make the employees to work in a team and towards a common objective. Main reason why team working is so very essential for the firm is that it helps the employees to give their best performance and also make sure that company is able to meet its aims and objectives.
One of the major advantages of team working is that it aids management in motivating the employees as well as in inspiring them (Cronin, 2000). This way they can be retained for a longer period of time in the company. This facet becomes all the more important for company from viewpoint that this industry is one of the most volatile ones, meaning that changes happen too frequently and also at a very rapid pace. If employee attrition rate is high because they are not motivated, then not only will it be bad for image of company in the market, but it can also become an expensive affair for the organization.
(ii) Difficulties in team working and how to resolve them
Team working is such a concept of organizational working that has to be paid a lot of attention to mainly because of reason that on it lies chances for the firm to make a mark in the industry and also improve its standing. There can be a lot of difficulties which management may have to face when developing teams and getting the work done through them (Holland, 2014). One of the major problems in this regard is to win trust of the employees and to convince them to work in a group that has been developed by management. This is mainly because of reason that employees at a workplace usually have a tendency to form a group on their own, i.e. informal groups with people whom they like to interact with. But if they are made to work in a team full of individuals whom they might not know, or do not share good reputation with them, then convincing them to do so would become a very difficult task for the authorities, as they would resist to the change (Amabile, 2003). To overcome this problem, though there are a wide variety of methods that can be used, but one of the most effective ones is communication. In such situations, it might prove to be very helpful and effective option for the management, as by interacting with workforce, they will get an idea not only of why they are resisting to work in the decide team, but also find a way to convince them. Over the years, numerous theories have been developed in this context, but they all point to the same solution to this issue. Another difficulty or issue that managers have to face while developing and getting the work done through teams is that there are always significant chances of conflicts among the members. It can be supported through fact that each and every member of the team would have different views, suggestions and opinions as to how the designated task is to be carried out and also that not everyone would agree to their thinking (Engen, Leeden and Willemsen, 2010). This can lead to development of animosity amongst them and also arising of conflicts between them.
(iii) How effective are teams in achieving goals of the company
Group effort can be described as the result which is obtained when a particular team or group of employees work towards a common goal or target during their tenure with the company. It is a well known fact that team working is very essential and critical for business firms; no matter in what kind of market they operate in or what is its nature. For the modern age companies, team working is the key through which they can not only survive in the industry, but also make sure that they are able to meet competition present in the sector (Compton and et. al, 2009). In recent some years, team working has proved to be very beneficial for organizations such as that of Renault and Nissan, as they have been able to make major turnarounds and strengthen their image as well as position in the market. Goals decided by Carlos Ghosn, were basically in two phases. The first phase was related to cost cutting, while the second one was related to increasing sales of the company. Company was able to achieve both these objectives very easily and effectively through help of various teams working towards it. This can be supported through fact that the CEO had developed special ‘cross functional teams’ which consisted of employees from various departments as well as lower level managers to find ways and areas where costs could be cut down. The decision to do so proved to be successful, as firm’s costs and overhead expenditures were reduced quickly (Amour and et. al, 2003). On the other hand, a team of another set of managers was also prepared who were tasked with the responsibility to launch new products, i.e. the new cars in market and increase overall sales of firm. Thus it can be said that team working has been very helpful and effective for the automobile firm.
(i) Factors involved in assessing work performance of employees at Renault
In an organizational setting it is of great importance that management is able to assess and evaluate performance of their workforce, mainly because of reason that it is a way through which steps can be taken so as to improve conduct as well as performance of the workforce. There are a lot of factors that have to be kept in mind by management of the company so as to evaluate as well as assess performance of the employees (Dale, 2003). One of the main factors in this context is the training and development sessions they have been made to undergo. This is the first point through which authorities can decide on how performance of the employees is to be assessed. It is mainly because of reason that through it they get an idea about how much knowledge the workforce possesses in terms of the job they have to do. The more such sessions they are made to attend, the easy will be review their performance and vice-versa. Apart from this, their behavior towards the company as well as other members of workforce can also be considered as a factor to review and evaluate their performance in the company. This is a very effective source with help of which the management can evaluate as well as assess performance of the employees at workplace (Hughes, 2009). Learning styles have a very critical role to play in the process of assessing work performance of employees and also the way in which they carry out different tasks and duties that are assigned to them.
(ii) Plan and deliver assessment of development needs of employees
For management of companies it is imperative that they are able to identify and evaluate development needs of the employees, as it is directly related with their performance in the company and also their satisfaction as well as dedication towards the workplace. To be able to plan and deliver assessment of development of the employees, feedbacks can be very helpful. This is mainly because of reason that it will provide the authorities with a view as to what are their development needs and also how they can be fulfilled. Apart from this, communication and interactive sessions may also prove to be very useful in this context. Development Plans for employees has a very crucial role to play in the process of motivating employees and giving the best performance for company. Through such plans, management can get the work done through employees in the most efficient and effective of methods. There are a variety of ways that can be used in the same context; one of them is that of the 360 degree feedbacks. Herein, authorities can carry out a complete evaluation of the work done by workforce during a stipulated or given time period. Information in this regard, essentially is collected from colleagues, superiors, subordinates, etc (Hughes, 2009). This way complete information pack about performance of employees can be developed and then necessary development plans can be created. At Renault, a large variety of methods and techniques are used by authorities so as to motivate the employees. One of them is that they are given both financial and non-financial rewards at regular intervals.
Working with and leading a group of people is a very complex set tedious task that has to be carried out by authorities of an organization. During the course of report it was noted that Carlos Ghosn is responsible for single handedly turning fortunes of Nissan Car Company, as he very effectively led employees at the Japanese car manufacturer and motivated them to such an extent that they were able to give their best performance. Additionally the report also shed light on two leadership styles that were used by the CEO – democratic and transformational, with the help of which he was able to motivate employees and gained their commitment towards workplace.
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