Hrm Issues in the Premium Oil and Gas Case Essay

This essay is based on the Premium Oil and shoot a line Company (POG) case study. POG, as a globular, troupe is functioning in diversified melodic phrase environment. It causes in fact, a necessity to deal with wide-ranging internal and out-of-door environmental be intimates, that occur inwardly the company. Internal vocation environmental issues ar in control of the enterprise. External business environmental issues, on the other hand, ar driven by factors, that are beyond the control of the company (e.g. legal issues). According to the executives, POG company aspires to become a truly global enterprise, known for its modern and meritocratic solicitude, verifyed by outstanding instruction organisation. Nevertheless(prenominal), some major issues can be raise at every last(predicate) levels where company operates.This paper is focused on POG strategic issues, connect to human resources management (HRM) and is divided into leash parts. The number one plane prick of this paper provides a brief overview of the company aims and outlines the essay scheme. The following section bespeaks and analyses two main HRM issues, related to POG case, including general justification of the choice do. At the same time, a series of recommendations for POG is provided, before conclusions will be presented in the third part. Two main issues outlined by the author reach to dialogue and acquaintance sharing aspects. In general, one of the most strong syllabuss for company issues to arise are the culture differences between co-workers. Since internationalisation strategies started organism implemented by enterprises on a large scale and the physical body of multinational companies grew rapidly, besides multi heathenish issues have become the substantial emergence to deal with.For POG case, where westernized culture of the headquarter is confronted with eastern way of thinking in Azeri auxiliary (Hercules Meets Buddha), discourse issue can be named as on e of crucial factors affecting organisational side of the company. The main role of organisational conference (Elving, 2005) is to inform clearly employees about their responsibilities, as well as about company policies and issues. Secondly, intercourse leads to a better integration and comm social unity creation. Hancock and Zayko (1998) in like manner indicate the importance of communication, whereas its lack often provides with resentments between employees. The communication levels in POG whitethorn be distinguished between Azeri employees (trainees) and their trainers/colleagues from headquarter, as also between Azeris at bottom their group, what manifests itself in teamwork tasks.The most appropriate theoretical framework to analyse the communication issues in POG seems to be the concept of Hofstedes five cultural dimensions (Hofstede, 2001) in analogy to Azeri national culture. First dimension in this baby-sit refers to hesitation avoidance, explained by Hofstede (2 001, p.161) as The extent to which the members of a culture feel peril by uncertain or unknown situation. In relation to POG case, thither is a strong alienation, suspiciousness and reluctance of Azeri trainees to westernized corporate culture. These types of behavior seem to be typical reaction on culture shock. In result, high level of uncertainty avoidance successfully reduces the efficiency in communication between them and their western colleagues.The second, and one of the most important dimensions in context of communication is major power distance. Mulder (1977) as cited in Hofstede (2001), explained the meaning of power distance by comparison of power determinacy, which is unequal between less and more(prenominal) powerful members of a particular system. Countries like Azerbaijan, exhibit a high degree of power distance, which means that its citizens are a class-conscious society. As a consequence, several problems can be observed in POG communication skills pedagogys . Firstly, Azeri trainees are afraid of asking questions, as lack of friendship is seen by them as humiliation. Moreover, there is a strong resistance of rising issues with managers in fear of undermining their authority and damaging relationships with them.Also trying to win conclusions from mis acquits is very difficult, as taking responsibility is uncommon for Azeri people. POG trainers find these behaviours in total opposition to the company brainstorming working patterns, consistent with dependent and free to ask POG culture. Another dimension in Hofstedes model is singularism, as opposition to collectivism. There are several main differences between these assumptions (Hofstede, 2011). In individualistic accessible framework, only immediate family is expected to take care of its member (I- consciousness society). Individualistic draw close is pertain with westernized cultures. On the other hand, in collectivist social framework, immediate family is broaden to other rel atives and non-relative in-group members (We- consciousness society). Definition, which more accurately draw and quarters Azeri society is collectivism, what POG trainers assumed to be a solid base to develop team working skills for them.However, as the practice shows, there is a strong recognition of inequality within the group members, resulting from status-conscious society model. In Trompennars and Hampden-Turner seven dimensions model (1997), status-conscious approach is defined as ascription theory, where status is based on position. Communication issues arise, when there is a need from trainers to identify responsibilities and contribution of particular members in a team. Communication within the team is also affected by the social status of its members. Next dimension from Hofstede is a differentiation of social military posture in monetary value of gender. female and Masculine societies can be defined. Feminine society is associated with modest and caring values for tw o genders. There is a balance between family and work (Hofstede, 2011). Good examples of feminine societies are Norse countries, but also Russia, where the role of women is inherently high and influential in social relations (Camiah and Hollinshead, 2003).On the other hand, masculine societies reflect senile and traditional structure with male leadership and domain role (Sikdar and Mitra, 2012). This approach is close to Azeri social behaviours, where women role in society is instead throttle or at least not equal to this of men. In develop to POG case, a significant communication issue arises between Azeri trainees and female L&D officer. Despite her outstanding qualifications, communication barriers are create because of cultural accretions. Male trainees find it insulting to be advised or educated by female. In result, information flow is highly disrupted. The 5th dimension (Long-Term vs. Short-Term Orientation) is not directly linked with communication issues in this c ase, however, in general it may be an important indication for multicultural issues based on behavioural patterns. Another issue related to communication is language.However, this aspect is also highly linked with acquaintance sharing issue and will be explained later on in this paper. Considering the main issues related to the communication in POG, identified in this paper, some changes should be provided in order to cope with these issues. A comparison can be made to Elite Hotel case, where cultural differences had also a strong impact on communication between co-workers. Although some recommendations may be covered in both cases. Firstly, the performance for Communication and Team Working staff should be customized. This module, as a key tool of communication, does not suit to cultural differences between Azeri co-workers and company culture management scheme.Practical implementation of company rules will not succeed without understanding of these cultural differences by both sides. Taking into account POGs aspirations to become a truly global and meritocratic company, responsibility and flexibility in management unconscious processes should be embedded. In practice, unhomogeneous cultural trainings, as well as cultural events to class up coherent relations, should be provided at the beginning of the training programs. much(prenominal) cognitive steps ought to improve communication and become a platform to implement practical aspects of the training programme. Communication and Team Working module modifications shall focus on overcoming of power distance influences, through engaging trainees to an mobile involvement in discussion and problem solving proposals. Also individual tutorials for Azeri trainees might help them to overcome communication barriers.Inequity in footing of team working need to be suspended by close of organizational culture, in order to enhance intercultural and intra-cultural communication. Underestimation of female as a teac her should be confronted with a huge, direct and continuous support from high male authorities to break the stereotypes and teach trainees how to overcome them without losing reckon in their own environment. Nevertheless, the competences of L&D officer must(prenominal) be proved by this young female. Knowledge sharing process is concerned as another significant issue related to POG case. Whereas uttered companionship can be formalized, tacit knowledge is strongly attached with communication. Moving further, communication issues have impact on knowledge deputes. Processes of creating knowledge and its management in organizational level have been studied by many authors. Most of them emphasize the importance of potentiality to transfer knowledge, as a pivotal factor in fields of organizational learning processes (Goh, 2002).The process of sharing knowledge may be considered from different contexts. transfer of trainings may take place within the same unit in organization, end-to-end different departments, or between subsidiaries. Knowledge can be also shared between individuals, communities and groups locally, nationally or worldwide. Argote and Ingram (2000, p.151) link these partitions with experience and describe knowledge transfer as the process through which one unit (e.g., group, department, or division) is affected by the experience of another. There are several ways of how knowledge is shared. According to Taylor et al. (1996), there are three main strategies for transferring HRM knowledge. POG strategy characterizes high internal but low external consistency, what indicates centralized HRM system and strong domination of headquarter over its Azeri subsidiary.There are several important individual factors, affecting knowledge transfer. Integrated capability of these factors may either expedite or impede the HR knowledge transfer (Lecture 2, Knowledge Transfer and Sharing, Figure 2). Accordingly, some issues related to knowledge transfer in P OG case are connected and complemented by communication issues, however they demonstrate problems from different view. Firstly, culture differences between co-workers have a large impact on knowledge transfer. The example of female L&D officer is the most appropriate one to adopt, when knowledge absorption is limited by cultural ties. Another issue is connected with motivation and willingness for cooperation, required to achieve mutual benefits. Lack of co-operative behaviours can be observed in terms of sharing opinions or involving into discussion during the meetings with management board.Finally, language skills can determine processes of acquiring knowledge, when Azeri workers need to learn side of meat as an operative language in the company. However, English is not the first language for Dutch workers either, who stand for the majority of the company staff. In terms of recommendations, knowledge sharing issues must be solved by POG executives quite fast, bearing in mind th e company staffing plans for the next five years. chiefly speaking, POG strategy of HRM should become more integrative (rather than exportive) with high internal and prevail external consistency, in order to optimize solutions for subsidiaries like Azerbaijan. There is also a significant role of trainers and expatiate managers for knowledge transfer capabilities.Country-specific, intercultural training should be conducted for them, as part of their preparation for the job. The Robert Bosh GmbH case is a good example for POG, how to achieve intercultural proximity to improve knowledge transfer. HRM issues in POG company simply highlight, that it is not sufficient for organizations to get adopted to business environment without respecting individuals from different cultures (Trompennars and Hampden-Turner, 1997). Hofstedes framework clearly indicates these differences, which affect HRM, not only in communication, but also in knowledge transfer.The deeper the differences, the more co mplex management issues arise. Communication and Team Working module should be customized in respect to Azeri culture, rather than be left unified for all subsidiaries. Also implementation of integrative HRM strategy, jointly with higher intercultural sensitiveness of trainers and expatriates could facilitate knowledge absorption capacities of Azeris. Nevertheless, core values of the company management ought to die hard unchanged. There are no simple decisions without both positive and electronegative consequences involved. In fact, there is no single box with tools to fix problems, and various ways may be chosen to follow.List of referencesARGOTE, L., and INGRAM, P., 2000. Knowledge Transfer A Basis For Competitive Advantages in Firms. Organizational Behaviour and forgiving Decision Processes online, 82(1), p. 150-169. open at http//www.columbia.edu/pi17/2893a.pdf Accessed 1 declination 2012.CAMIAH, N., and HOLLINSHEAD, G., 2003. Assessing the potential for impelling cross-cul tural working between new Russian Managers and western expatriates. ledger of World Business online 38, 245-261. 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