Organizations require competent and experienced personnel to exploit available resources effectively. Well-managed human resources result to orchestrate teams; human resources department is responsible for planning, deploying, employing, training, retaining, and dismissal of employees.
Although Soap Producers and Distributors Ltd human resources management team have enacted a proper staff compensation policy, the company still suffers high staff turnover. This paper evaluates the company’s current state and gives recommendations on how it can improve its human resources management policies.
Additions that the company needs to enact
The company’s staff compensation policy is said to be 10-11% higher than similar jobs in the same industry; in addition to the high wages and salaries, the company has medical schemes, paid leaves and holidays, and employees enjoy charismas bonus. Despite above package, that is attractive, the company still suffers high staff turnover.
The most probable reason for the high staff turnover is the employment environment that the management has created. To retain employees, management should ensure that the organization has favorable environment that nurtures talents and creates room for innovation, invention, and creativity among staffs.
The human resources management team should focus on the operating environment that employees work in; in this context, the management should ensure that employees enjoy their duties. Some of the policies that the company can implement in that effect include having orchestrated team, involving subordinates in decision making, and developing effective communication strategy with an organization.
Cafeteria Approach
The compensation policy adopted by Soap Producers and Distributors Ltd seems not too commensurate with the kind of requirements that the company’s employees.
The company should consider adopting a cafeteria approach; cafeteria approach encompasses the needs of employees’ preferences for benefits; according to the approach compensation should not be standards but should be based on individual preferences. There are people who would be motivated by monetary compensations while others may need non-monetary benefits like promotions.
With the diversity that the company has when recruiting employees, the human resources department should consider developing an effective cafeteria approach of compensation as it improves the company’s operating environment.
Recruitment program for Soap Producers and Distributors Ltd
Soap Producers and Distributors Ltd management should ensure that employees’ needs at one particular point are known and measures taken to ensure right number are maintained. Ensuring that the right numbers of employees are maintained starts from personnel needs planning; planning involves using past staff needs and predicting the future needs.
Generally, human capital can be sourced internally or externally: the method adopted depends with the availability of the qualifications available. The main aim of human resources planning is to ensure that there is the right number of employees, at the right time, at the right place, and at the right cost. Human resources planning are a continuous process as long an organization is operating.
When recruiting human capital, Soap Producers and Distributors Ltd recruiting team should work closely with departments requiring the capital to devise proper recruitment program. Successful candidates should undergo continuous coaching, mentoring, and training to enable them performs their duties diligently.
Continuous employees performance appraisals assist management enacts training programs; some organizations have employees training as a continuous process to ensure that employees are up-to-date with the changes in the industry. Motivational measures should be put in place to ensure that employees are loyal to the organization and they work efficiently.