ABC Systems

Strategic Administration of Human Resources, Knowledge and Change



1.Introduction3

2.Organisational Structure and Processes for ABC3

2.1The Current External Environment4

Political Factors4

Economic Factors4

Social Factors5

Technological Factors5

2.2Theories of Management5

2.3Theories of Organisational Behaviour7

2.4Quality Improvement Techniques to Increase Competitive Advantage8

3.Approaches of Personnel, Human Resource and Strategic Human Resource Management9

3.1Implementing Change10

3.2Overcoming Resistance to Change11

4.ABC Systems' Human Resource Planning, Recruitment and Selection Processes12

4.1Suggestions for Further Enhancement12

4.2Capability to Deal with Planned Expansion13

5.The Contribution of Human Resource Development and Knowledge Management14

5.1Enhancing Individual and Organisational Performance14

5.2Alleviating Current Human Resource Difficulties15

6.A Recommended Performance and Reward Strategy16

7.Recommended Initiatives for Building a Harmonious and Trusting Employment Relationship17

8.Conclusion / Recommendations18

References19

Strategic Administration of Human Resources, Knowledge and Change

1.Introduction

This report examined human resources issues faced by ABC Systems, which have a negative impact on company's performance, along with an increase in absenteeism and employee turnover. ABC is a growing but small company; however, despite difficult economic environment has experienced growth. ABC Systems has determined the need to diversify its portfolio, along with market expansion to remain competitive. The aim of this report is to address issues of human resources faced by the organisation due to flaws in the organisational structure, processes and practices. The CEO has recognised that these HR issues will require to be fixed if the company is to expand. In order to do so, this report examined organisational structure and processes; approaches of personnel, human resource and strategic human resource management; human resource planning, recruitment and selection processes; and the contribution of human resource development and knowledge management for ABC Systems; as well as offer a recommended performance and reward strategy, along with initiatives for building a harmonious and trusting among employees working at ABC Systems.

2.Organisational Structure and Processes for ABC

ABC System is a growing IT company and has an adhocracy organisational structure. ABC Systems uses mutual adjustment as a means of communication and holds selective decentralisation patterns. This type of organisational structure tends to be decentralised and low in formalisation. The absence of strict organisational paths directs ABC Systems with the ability to adjust rapidly with changing market environment. However, the company adopting adhocracies leads to problems due to lack of formalised procedures that result in lack of consistency, which creates frustration among employees, and thereby, impact business and employee performance.

ABC System has adapted ad hoc organisational structure; thus, does not plan proactively to carry out risk assessment to mitigate business risk. The company also lacks in risk planning and management because of its reactionary business and management style where ABC System act in response to problems after they arise rather than plan in advance to mitigate risk impact or to avoid these problems.

2.1The Current External Environment

Political Factors

Several countries have strict trade quotas and government regulations that are maintained to shield domestic production and manufacturers. Therefore, ABC systems should assess the political environment in which they want to penetrate.

Economic Factors

ABC operates in a highly competitive market. It is expected that IT industry will growth over 10% in the next few ...