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Showing posts with label International Business Help. Show all posts
Showing posts with label International Business Help. Show all posts

Tuesday, 1 January 2013

Globalization and effect on workplace environment



Gone were the thoughts that the managerial personnel were the only drivers, instrumental in driving the company along a pre-decided course. They are replaced to a large extent by the workforce, who have to put their shoulders to the wheel. The companies realized this aspect and began paying attention to the role of workforce and that led to the evolution of the concept of workforce welfare and the Human Relations policies. (Jex , 2002) There is no surprise that in the present day corporate world, there is no corporate entity without a clear HR policy. The importance given by Management experts to focus more and more on improving HR policies tell the story behind the importance of workforce (Aamodt,2004).

One needs to understand fully the concept of human relations in Industry to realize the importance of workforce in the development of industry.(Berry,1998). For long unfortunately humans are considered to be some machines which can be used when needed and thrown when not. The situation did not fare well for the industry as there was no commitment and motivation among the workers to deliver more. They were mechanical in their approach and worked for a living with no attachment to their entity and no dedication to their work. (Greenberg & Baron, 2003).


A peep into history of industry reveals that this attitude towards workforce is an outgrowth of too much of capitalism and human egoism. There was a time nearly a century ago, the workers were treated well and handed out a much better treatment. ”Eight hours to work, eight hours to sleep, eight hours to be a human being”, was the slogan of Abbe, the founder of the Carl Zeiss Stiftung foundation, with which he introduced eight-hour day work in the Zeiss optical Factory in Jena ,Germany in 1900(Abbe,1906). But subsequent developments in Industrial sector made the work’s position weak and managerial positions strong. But subsequent developments in Industrial sector made the worker’s position weak and managerial positions strong. But the issue of Industrial relations and worker’s welfare could not be kept in cold storage for long because it was realized that for success of a business, productivity is one of the main factors and that productivity is linked to Industrial relations and worker welfare. The aspect attracted the attention of premier Management institutes which conducted extensive studies on the aspect. In the 1920s and 30’s F.J.Roethlisberger and Elton Mayo of Harvard University(Roethlisberger & Dickson,1939) conducted Industrial experiments at Western Electric Company’s Hawthorne plant to study human behaviour at work and found a positive correlation between productivity  and worker participation. They concluded that workers are the most important part of an organization. (Roethlisberger & Dickson,1939) The research continued in 1940s and 50’s when several organizations continued studies on human behaviour at work. The Research for Group dynamics, University ofMichigan and Personnel Research Board, Ohio State University conducted research in motivation and leadership (Leadership Behavior and Motivation,2010). The Tavistock Institute of Human Relations inLondon carried out research on various subjects relating to workers. (Human Relations Movement, 1998).The National Training Laboratories in Bethel Maine, focused on Group dynamics (The National Training Laboratory and the Overseas Education Association,2010). The findings from all these studies helped managerial personnel to understand human behaviour at work and the importance of human relations in work place.

The importance of worker welfare, thus being realized as a paramount factor for productivity, it is quite but natural that the common habitat for the workforce becomes the focal point for implementation of various measures for worker welfare. By common habitat, we mean the workplace, where the workers spend nearly 50% of their time. Before going further into discussion about the betterment of workplace environment, let us first discuss about what it means. (Bowditch,  & Buono,2001).

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Friday, 5 October 2012

Globalization and effect on companies


Globalization, improvement in communication and technological development have totally metamorphised the international trade and business in new millennium. (Albrow, 1997).Competition in all aspects of business hotted up and need to spruce up all operations became the imminent need. The competition this time is not like during the earlier periods where wings of protectionism by local governments, geographical barriers like distance between countries, competition only from domestic peers saved the companies.(Robinson,1996 ). But protectionism has now become a thing of the past, as economies are opened up, geographical barrier removed by improvements in transportation and communication facilities and competition from domestic peers replaced by competition from international giants. (Robinson,1996 ). The advent of internet and e-commerce further hotted up the competition. It is a no-holds barred competition, where everything is considered fair in love and war. This time around there is no escape for competitions, but only two outlets –“fight or perish”. (Robinson, 1996).

The industry’s response to the competition is equally challenging.They did not sit idle waiting for the competition to soften as in earlier times. They realized that this time the competition is totally different this time, fierce and cut throat. The Globalization and global competition is here to stay. (Albrow,1997).

The companies and entities reviewed various aspects of their businesses and came up with new strategies in various areas which were unheard of before. There were structural adjustments, product quality improvement strategies, supply chain improvement strategies, backward integrations, forward integrations, collaborations, mergers and acquisitions. Marketing strategies became innovative and ad-campaigns became mind-boggling for sheer variety. There were diversifications and expansions. Product specializations became obsolete and diversification became the new keyword. (Robinson, 1996).

Whatever be the response of the companies to the new challenges of modern competition, there is one thing that needs utmost attention to be paid. There may be strategies to implement, there may be methods of implementation of the same, but implementers are the most important of the overall strategy. The company may be like an overhauled machine with new strategies, but unless there is a skilled and committed driver, there is no use of the machine. In a similar way, the company needs competent and committed drivers to drive the company in the desired path. (Robinson,1996).

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