Enhancing Farm Productivity Through HRM Strategies Case Study

Introduction

People management is a practice of hiring, engaging, training & retaining the individuals to enhance their talent and increase the productivity. For every organization, people management is significant success factor because thee workforces are the backbones and they play an immersive role in order to achieve the organizational goals and objectives. People management is important because it helps in engaging the employees, enhancing their morale and communication as well as reduce turnover throughout teams. The key purpose of report will to determine possible challenges and appropriate theories and models. Apart from this, the report will highlight the HRM challenges faced by the organization due to COVID-19, recruitment and selection theories or models. This will also confer recommendations regarding HRM procedures and policies to enhance the operational productivity within Josita Farm (JF).

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2. Challenges / Issues

2.1 Josita Farm’s strategic goals and objectives

JF is running the family business from 2019 and it aiming to establish online platform for natural produce and regionally grown products within Enfield, UK. The organization has various goals and objectives to operate the business successfully. From the case study, it has been determined that the long term vision of JF includes developing its business operation in diverse areas to promote the experience of society, minimizing wastes, fostering sustainable farming practices and supporting the biodiversity to improve the experience of the customers.

2.2 Josita Farm HRM challenges \ Issues

At the time of Covid-19 pandemic, JF faced various challenges regarding HRM. Recruitment and on-boarding is one of the biggest HRM challenge that faced by JF during pandemic. The unexpected growth in the employees, it employs more than 300 workers across multiple departments. To overcome this challenge, the organization uses various recruitment and on-boarding methods in order to enhance demand and effectiveness of induction process (Kroon and Paauwe, 2022). This organization also faced issue regarding employee engagement and operational productivity. Due to lack of employee engagement, the orders of JF were grown to be incomplete and late which leads to customer’s complaints and negatively impacts their satisfaction.

2.3 Impacting company productivity\ performance

The HRM challenges have significant impact on the employee and company’s productivity. The decrease in the operational productivity, outcomes in inefficient operation, improved patron complaints and delayed orders. This negatively impacts the customers trust and brand impact which leads to income losses (Al Haziazi et al. 2022).

2.4 Impacting employee productivity\ performance

Decrease in the engagement level and overworked employees lead to increase turnover rates. The longer working hours also lead to worker’s well-being and job satisfaction which ultimately adversely impacts their performance. Consequently, firm’s operations and performance will be affected negatively due to having less motivated workforce.

3. Hrm Models, Concepts, And Theories

3.1 HRM recruitment and selection models, theories, and concepts

The organizations are implemented various theories and models of HRM in order to managing the peoples effectively and efficiently.

AMO is one of the significant theories that are executed by the organization for managing its human resources in effective manner. This theory seeks to illustrate what characteristics lead to high performance in the place of work. The AMO theory consists of ability, motivation and opportunity (Mia et al, 2022). According to this theory, the work performances of the employees are influenced by the capabilities, motivation and chances that are provided by the business. JF implements this theory for evaluating the applicant’s qualification, capabilities, motivation and alignment with the organization’s culture & values.

Ability: JF is a firm that develops and distributes its products with the help of online modes. Thus, firm requires skilled and qualified employees who are able to sell its products to the large number of customers by influencing them digitally. For this, it will be crucial for HR department to conduct training sessions for employees to enhance their capabilities.

Motivation: At the time of pandemic, JF faced various issues such as expanding its employees, unforeseen development, invest in technology etc. To increase the motivation of employees and retain them for long-duration the HR managers of JF will need to cultivate positive thinking, set the incentives for workforce and build the strong relationships with them (Guerrero Alba et al, 2021).

Opportunity: JF provides its new workers the ability to contribute a 20 minute interview by communicating with HR digitally when Covid-19 happens by providing facilities of online CV submission.

Human capital theory

Human capital is another significant theory that is implementing by most of the companies in order to manage the people effectively. This theory is all about increasing efficiency and productivity of the human’s by focusing on training & education. Adoption of this theory can be useful for JF because it helps in maintaining the long-term viability and assists in gaining the competitive advantage over rivals. This in turn ultimately impacts firm’s performance positively. With the help of this theory, the organizations are meeting the requirements of training & development sessions to the employees (Bulina, Mozgovaya and Pakhnin, 2020). As per the case study, JF is capable to gain the workers, attract new workforces, solve their problems and develop their skills.

Michigan Framework

Michigan Framework is considered as one of the significant method of HRM because it puts all the emphasis on the training and development of employees in order to accomplish the goals & objectives. From the case study, it has been identified that the main focus of JF to help the farmers in meeting and developing their goals for increasing productivity. Providing the training sessions to the employees is beneficial for the organization because it helps them in gaining the vast knowledge and enhances the skills to accomplish goals and objectives. Michigan Framework includes selection process, incentive compensation and performance reviews (Kaufman et al, 2021). Along with this, organization structure, HRM, culture, politics are the significant factors that have massive impact on JF’s operational aspects. With the help of this theory, JF can raise knowledge of its workforces regarding challenges and influence them to adapt new working practices. When staff behaves nicely with the customers then it ultimately helps in increasing the production of JF.

5Ps model

5Ps is another model of HRM that is adapt by the companies to managing their peoples. This model consists of purposes, process, principles, people and performances.

Purposes: This element of model based on the mission, vision and goals of the business. According to the case study, the key goal of JF is to recruit the talent. To do this, firm need to illustrate goals for aligning the human resources according to the strategic and operational needs of business (Shahi and Neloy, 2020).

Process: To retain the employees for long-duration and encourage them JF needs to put all the efforts to provide training to them. The main process of JF is to provide highest-quality, freshest and sustainably grown foods to the customers.

Performance: HR at JF needs to evaluate the performance of the employees at the time of pandemic and provide training to them in order to enhance their performance (Meher, 2021).

Principles: Staff motivation, customer happiness, employee skill development and employee retention are the significant portion of JF’s core business concepts.

People: JF focuses on recruiting the qualified and skilled personnel who have knowledge of digital technologies to attract the customers and retain them for long-time.

Figure 1: 5Ps model of HRM

3.2 Effect on the behaviour of the Staff within the Workplace

Apart from this, AMO theory has significant influence on employee’s behaviour because it helps in motivating them and increases their capabilities to do work. Implementation of all the theories can be beneficial for JF because from this they feel motivate and encourage to do work which ultimately positively impacts on their behaviour. If the employees have positive behaviour within the business then it helps in improving their performance and productivity of business (Cheng and Hackett, 2021).

3.3. Effect on the company performance/productivity

All theories have positive impact the JF performance as it fosters employee’s productivity. Adaption of all the theories and models positively impacts the organizational performance because the employees feel encouraged and put all the efforts in order to accomplish the goals and objectives. On the other hand, in some cases adoption of these theories are disadvantageous for the organizations. Moreover, applicability of these requires effective plan which in turn recognized as costly as well as time consuming process. Hence, all these highly impact business productivity in an adverse manner (Muduli, and Trivedi, 2020)

4. Analysis

AMO theory

4.1 Suitability of HRM models

The HRM models, theories and policies are suitable according the situation of JF. Adoption of all the models is beneficial for the organization to motivate encourages and retains the employees by providing the training and development.

4.2 The positive elements and explain how they can improve i.e., recruitment, organizational culture

The HRM theories & models have both negative and positive consequences as well. Implementation of AMO theory can be beneficial for JF because it permits them to build the effective strategic management tools. This in turn lays more focus on providing training to the employees to perform for accomplishing goals and objectives. The key purpose of JF is providing sustainably, highest quality and freshest grown foods to the customers. To accomplish the organizational goals and objectives, the company will need to provide training and development to its employees (Mia et al, 2022). The AMO theory of HRM plays a crucial role in enhancing the organizational culture, recruitment, cross-department communication and employee engagement. This theory helps in increasing the abilities, motivations and provides opportunity to the employees that ultimately impact the organizational culture as well as employee engagement positively. Adaption of this model can be beneficial for JF to ensure it recruit qualified applicants who have the capability to perform the position’s tasks and duties. In this model, to increase the ability of employees the organization can organize the training for them from which they feel motivate and influence to do work as well as probable to retain with them.

Human capital theory

Human capital is pool of behaviours, characteristics, knowledge, social capital and personality. It demonstrates the people’s capability to create economic values and perform accordingly. Adaption of this theory can be beneficial for JF because it helps in recruiting the talented and skilled employees. Meanwhile, this helps in redressing all the issues which positively impacts employee’s productivity (Mohammed et al, 2020). This theory of HRM is useful for the organization because it helps in employee growth and development, growing profits, developing sales, boosting productivity and fulfils the requirements of customers and employees.

Michigan Framework

This framework is engaged in structure of company, strategic control and management of human system. The major element of this framework is to put emphasis on the importance of rewarding and influencing the workforces. Execution of this framework can be useful for JF in order to manage the employees effectively. The companies are use this framework to meet the customer’s demand, recruit more employees and invest in equipment to improve their productivity (Kaufman et al, 2021). Furthermore, this model helps the business in aligning the formal structure, new policies and strategies with the human resource system which positively impacts the recruitment. This framework assists JF in driving its strategic objectives in effective way

5Ps model

Implementation of 5Ps model can also be beneficial for the organizations in order to manage the people effectively. 5Ps model aids the management of JF to ensure the workforces operations. The main purpose of this organization is to sell the products through internet (Bahuguna, Srivastava and Tiwari, 2023). For doing this, the organization will need to evaluate the performance and capabilities of workers as well as offering training to improve the skills to use the new technologies.

4.3 limitations/areas of improvement of the current Josita Farm HRM model

Sometimes, AMO theory negatively impacts the employee engagement, recruitment, job satisfaction and organizational culture of business which directly influence the overall operation and efficiency. The company will face issues related to the trained employees, bad management, employee turnover, overworked employees. On the other hand, if organization is not implementing human capital theory in effective way then it directly decreases capital, productivity, growth and increases employee turnover rate (Kroon and Paauwe, 2022). Improper adaption of human capital theory also negatively impacts the employee engagement, recruitment, job-satisfaction etc. To retain the employees for long duration with the company JF will need to offer incentives and other benefits to them.

However, Michigan framework ignores the notion of strategic choice and interest of stakeholders which negatively impacts the organizational culture, employee engagement etc. Without implementation of this framework JF is unable to monitor the productivity level of its employees and maintain the abilities as well as skills according to the business requirements (Al Haziazi et al, 2022). Without implementation of 5Ps model, JF will unable to build the skills, evaluate the performance of employees and conduct the training sessions which ultimately adverse impacts on employee motivation, engagement, job satisfaction, organizational cultures etc. Without adaption of this model, the company will unable to examine the market’s reputation and growth.

5. Recommendation

5.1 Recommending HRM models, policies, and procedures.

JF can implement various HRM procedures and policies in order to improve the relationships with employees and operational productivity through effective HRM talent management.

• It has been recommended that, JF can use Formburn model of HRM in order to enhance workforce’s relations and operational productivity. Adaptation of this theory can be beneficial for JF because it mainly put emphasis on the development, selection, reward and assessment. This model is recognized as significant part of the HRM. Along with this, this model helps in illustrate the strategic HRM that majorly focuses on professional groups, management and emerging employees (Maheshwari, Samal and Bhamoriya, 2020). This model also enables achievement of business strategic goals and objectives which positively impacts the operational productivity. With the help of this model, the given company can influence the employees to raise their production levels and adapt the new behaviours by motivating them.
• JF can also use guest model of HRM to build the strong relationships with employees and improve the operational productivity. This model put emphasis on that the HR managers use various techniques to meet the demand of customers and increase the production. With the help of this model JF can focus on the way of providing training to its workforce to develop their competency and expertise from which they effectively carry out the business mission (Budrienė and Diskienė, 2020). The key goal of JF is to increase the productivity and growth by bringing the best people in the industry. To achieve this goal, the organization can require meeting parties, strategy, and behaviour and performance objectives in order to achieve the results.
• It has been suggested that, JF can also use Warwick model of HRM to improve the operational productivity and employee’s relations. This is regard as one of the significant approach of HRM which includes business strategy and internal and external environments. Execution of this model can be beneficial for JF because it helps in gaining the competitive advantage. By providing employees with positive feedback regarding their work the company can improve the productivity and morale of employees (Díaz-Fernández, López-Cabrales and Valle-Cabrera, 2023). With the help of this model, the company can advise the undertrained employees and determine the working hours for them. This model can also help the business in managing its internal operation which involves selection and recruitment of talented and skilled workforces in future. This model helps the organizations in enhancing relationships with employees and improves the operational productivity.

5.2 Impact of suggested HRM models, procedures and models

The HRM models, policies and procedures play a crucial role in enhancing the talent management effectiveness, employee’s relations, operational productivity and organizational overall performance. Formburn model is mainly focusing on selection and development as well as reward for the employees from which they feel motivate and improve the relationships with them which ultimately positively impact the overall operational productivity. In addition, in the guest model, the flexibility has direct relations with the organizations and its employee’s capability to familiarize the working environment. If the organization provides flexibility to its employees then they feel encourage to perform the work which ultimately positively impacts the operational productivity, overall performance and employee relations within the business. Furthermore, adaption of Warwick’s model of HRM can also be beneficial for the JF because it consider and categorize the significant impact of the environment of the human resource which results in enhance the operational productivity and build strong relationships with employees.

Conclusion

From the report, it has been analysed that to improve the productivity it can be crucial for JF to hire the talented employees. This objective can be achieved by adopting the various theories and models of HRM such as 5Ps model, Michigan Framework, human capital theory etc. Due to pandemic this organization faced various challenges related to HRM such as recruitment and on-boarding, employee engagement as well as operational productivity. To improve the relations with the employees and operational productivity JF can also use Formburn model, Warwick model and guest model.

References

Books and journals

Al Haziazi, M., Muthuraman, S., Al Yahyaei, N. and Al Balushi, A., 2022. Opportunities and challenges in digitalizing the HRM in Middle East. Webology (Issn: 1735-188x), 19(2), pp.6611-6617.

Bahuguna, P.C., Srivastava, R. and Tiwari, S., 2023. Two-decade journey of green human resource management research: a bibliometric analysis. Benchmarking: An International Journal, 30(2), pp.585-602.

Budrienė, D. and Diskienė, D., 2020. Employee engagement: Types, levels and relationship with practice of HRM. Malaysian e commerce journal, 4(2), pp.42-47.

Bulina, A.O., Mozgovaya, K.A. and Pakhnin, M.A., 2020. Human capital in economic growth theory: Classical models and new approaches.

Cheng, M.M. and Hackett, R.D., 2021. A critical review of algorithms in HRM: Definition, theory, and practice. Human Resource Management Review, 31(1), p.100698.

Díaz-Fernández, M., López-Cabrales, A. and Valle-Cabrera, R., 2023. Strength of HRM systems and perceived organizational support as determinants of employment relationships: The perspective of HR managers and workers’ representatives. BRQ Business Research Quarterly, 26(2), pp.121-135.

Guerrero Alba, F., Martín Alcázar, F. and Sánchez Gardey, G., 2021. Identifying the determinants of individual scientific performance: A perspective focused on AMO theory.

Kaufman, B.E., Barry, M., Wilkinson, A. and Gomez, R., 2021. Alternative balanced scorecards built from paradigm models in strategic HRM and employment/industrial relations and used to measure the state of employment relations and HR system performance across US workplaces. Human Resource Management Journal, 31(1), pp.65-92.

Kroon, B. and Paauwe, J., 2022. HRM in 21st century small organizations: a midrange typology to describe, contrast and contextualize the phenomenon. The International Journal of Human Resource Management, 33(16), pp.3224-3251.

Maheshwari, M., Samal, A. and Bhamoriya, V., 2020. Role of employee relations and HRM in driving commitment to sustainability in MSME firms. International Journal of Productivity and Performance Management, 69(8), pp.1743-1764.

Meher, F., 2021. Linkage between strategic human resource management and operational aspects of human resource management.

Mia, M.M., Rizwan, S., Zayed, N.M., Nitsenko, V., Miroshnyk, O., Kryshtal, H. and Ostapenko, R., 2022. The impact of green entrepreneurship on social change and factors influencing AMO theory. Systems, 10(5), p.132.

Mohammed, S.A., Abdullah, S., Ghawanmeh, D.F. and Alqaadan, D.F., 2020. Theory of Planned Behavior, Human Capital Theory, and Social Learning Theory Towards Entrepreneurial Intention. The Role of Islamic Perspective Entrepreneurship, An Attempt Towards Discussion: A General-Review Paper. International Journal of Management, 11(11).

Muduli, A. and Trivedi, J.J., 2020. Recruitment methods, recruitment outcomes and information credibility and sufficiency. Benchmarking: An International Journal, 27(4), pp.1615-1631.

Shahi, K. and Neloy, H., 2020. Global transition of HR practices in covid-19 pandemic situation: a systematic review through 5P's model of HRM. Management and Human Resource Research Journal, 9(6), pp.50-57.

Online

Thakur, S., 2023. 5Ps model of HRM. [Online]. Available through:< https://101hrm.com/5p-model-of-hrm/ >. [Accessed On: 25th January, 2024].