centercenterLONDON SCHOOL OF COMMERCE COLOMBO CAMPUS SRI LANKA MBA FOR EXECUTIVES MODULE ASSIGNEMENT

centercenterLONDON SCHOOL OF COMMERCE
COLOMBO CAMPUS SRI LANKA
MBA FOR EXECUTIVES
MODULE ASSIGNEMENT: MANAGING HUMAN CAPITAL
STUDENT NAME: DUMINDA NADUNI
STUDENT REGISTRATION NUMBER: 0025cbcb1113
MODULE LECTURER: MERVIN SOOKUN
MODULE TUTOR: APSARA HEWAGE
DATE SUBMITTED: 17th APRIL 2014
TOTAL WORD COUNT: 4469
100000100000LONDON SCHOOL OF COMMERCE
COLOMBO CAMPUS SRI LANKA
MBA FOR EXECUTIVES
MODULE ASSIGNEMENT: MANAGING HUMAN CAPITAL
STUDENT NAME: DUMINDA NADUNI
STUDENT REGISTRATION NUMBER: 0025cbcb1113
MODULE LECTURER: MERVIN SOOKUN
MODULE TUTOR: APSARA HEWAGE
DATE SUBMITTED: 17th APRIL 2014
TOTAL WORD COUNT: 4469

Table of content
Contents
TOC o “1-3” h z u Executive summary PAGEREF _Toc385464044 h 31.Introduction of Cargills Ceylon PLC PAGEREF _Toc385464045 h 41.1.Product and Service assortment PAGEREF _Toc385464046 h 51.2.Customer segmentation PAGEREF _Toc385464047 h 52.Recruitment and selection process PAGEREF _Toc385464048 h 63.Human resource approach and development process in the Cargills Ceylon PLC. PAGEREF _Toc385464049 h 114.Employee Motivation in Cargills Ceylon PLC PAGEREF _Toc385464050 h 144.1.Psychological need PAGEREF _Toc385464051 h 144.2.Security or safety needs PAGEREF _Toc385464052 h 154.3.Social needs. PAGEREF _Toc385464053 h 164.4.Esteem needs PAGEREF _Toc385464054 h 165.Introducing human resource strategy PAGEREF _Toc385464055 h 176.Conclusion PAGEREF _Toc385464056 h 19References PAGEREF _Toc385464057 h 20Bibliography PAGEREF _Toc385464058 h 20
Executive summaryHuman resource management emerged during the 1970’s and has a broad concept which yields both better economic performance and greater human resource development. Therefore it is a vital concept in present organizational cultures .It is an essential tool to thrive competition in an environment where the numbers of people who involve in delivering the services up to levels of organizational expectations are scar. However all organization have a separate division to manage its human resource efficiently up to levels of expectations of both employees and the organization
Established in early 1844Cargills Ceylon PLC presently operates throughout the country managing a massive network of its subsidiary company cargills food city. The company has been maintaining successful business operations professionally and has obtained international quality standards such as HACCP and ISO22000. The company shows a solid establishment in Sri Lanka mainly because of its ethical and professional practices and the techniques practiced for socio economic developments of the country.

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In this assignment, Writer mainly consider about the practices of human resource and practical evaluation of mentioned theories and policies. Here the writer has critically analysed the key functions of Human Resource Management, People Management, Workforce Management and has also been evaluated those functions with knowing the realities of the business. By doing this assignment writer has acknowledged the important area of HRM with using the very valuable theory of Abraham Maslow “Hierarchy of Needs”. As mentioned before Cargills Ceylon PLC is the trustworthy company and it has a strong and well performing HR Department. So writer has analysed the company’s present HR system, Cargills market share, customer base and its segmentation before write this report because these elements are very crucial factors since the work force empowerment is the lifeblood of the company.

If the work force has not been satisfied with their employment, that employee couldn’t satisfy their customers. That’s why the large companies such as cargills Ceylon PLC should pay more attention and extra care about HR Management system.

The main purpose of the intended project report is to analyze evaluate the systems which are used in HR Department of Cargills Ceylon PLC and for identify the interpretation of HR Management theories in practice. In this project report writer has mentioned further implementations which should be used in HR Management system. It will provide effective employment relationship between the employer and employee and finally it will lean to sustain the company growth.

Introduction of Cargills Ceylon PLC32956502718435Source: http://www.ipaustralia.com.au/applicant/cargills-ceylon-plc/trademarks/1296526/
00Source: http://www.ipaustralia.com.au/applicant/cargills-ceylon-plc/trademarks/1296526/
3295650127635Being one of the most prestigious countries in the region Sri Lankans now have the opportunity to expand their businesses much more efficiently and effectively. The present infra-structure developments and lower lending rates have increased investments in business development. These have shown a sharp growth in the country. Job opportunities have been created and the need for professional and nonprofessional labor has increased. Yet due to lack of understanding and due to the impacts of globalization and lack of understanding of prevailing opportunities and the gap between the labor requirement and availability of skilled professionals.

In this backdrop, Sri Lankans use to depart from the motherland for many reasons such as, social insecurity, job opportunity and permanent residences etc. Sri Lanka has started so many developing projects such as “wander of Asia, Nation’s vision as soon as finished of 3 decades war. To meet the set targets the Sri Lankan government has taken various measures in various aspects since 2009. Further, measures have been taken to uplift the levels of life standards by providing them with fundamental need requirements.

Cargills Food City is a subsidiary Super market chain of Cargills Ceylon PLC. Cargills Food City is rated the fourth most valuable Brand in Sri Lanka and the most valued Retail Brand in the island. It has the largest supermarket network in Sri Lanka with more than 200 outlets in 23 districts. By enabling more middle income earned customers to shop at supermarkets, Cargills Food City changed the super market culture in Sri Lanka, which previously had been limited to a particular segment of customers in the society. It has directed more of its operations towards empowering local farmers through their CSR projects.
Product and Service assortmentCargills Food City as a super market chain has to decide on three major product variables which are product assortment, service mix and store atmosphere. Product assortment referred to the various product categories that the retailer is carrying. Cargill’s product assortment has been decided in a way that it meets the expectations of the target group. At the same time it differentiates themselves from other retailers who are also in the same business.
Customer segmentationCargills Food City, as a supermarket chain divides its market based on several segmentation bases which have been briefly explained below.

Geographical segmentation – Its geographic segmentation is carried out in 3 phases. In the first phase it segments the market based on district basis. Then in the second phase, segmented distract areas are further divided into main city areas. Segmentation goes further into deep in which they divide each of those city areas in to relatively high populated small geographical areas. When they are expanding its branch network they go through these 3 phases in which they first start up operations in a selected distract and then further expands by establishing branches covering major city areas in the districts, and finally still if there is a gap to be filled, they further expands by locating new branches in high populated areas in a given city.

Income segmentation – Income segmentation is one of the highly used method in many kinds of products and services. Income decides the capability to participate in the market exchange and so this is an essential segmentation variable. Sri Lankan households have been segmented based on their monthly income.

Another major segmentation basis is social class. In all most all the countries social class is a factor that is mainly determined based on education level and the occupation. But in countries such as India, even caste is a factor that determines a person’s social class. So the market segmentation is as follows.

Low
Middle
Upper
Above mentioned factors are commonly used segmentation bases which can be seen in most of the products and services. However, a market research conducted by Nielson has revealed some interesting points which are currently used by Cargills for their market segmentation. In that segmentation, company focuses on multiple factors such as buying behavior of shoppers, items purchased, frequency of doing shopping at Cargills, and the basket value and etc.

Recruitment and selection processProf. Jim Collins in his ‘first who’ concept, shares an important aspect of getting the right people in the right seats before you consider where you should drive the bus. Next important thing in human resource field is selections and giving new employments and it is related to managing human resource capital in the current businesses.190503479800 Source: http://archives.dailynews.lk/2009/08/08/bus45.asp
00 Source: http://archives.dailynews.lk/2009/08/08/bus45.asp
190501050925 It is essential to fulfil requirements of both parties that is both employee and the employer, hence a better employment and selection brought into practice. If not it will give a bad impact to the organization and its operational process finally. Therefore Cargills Ceylon PLC practices an effective and efficient selection and recruitment method. The human resource division holds the sole responsibility of managing and developing and fixing the correct person in the correct position, in Cargills Ceylon PLC, the collaboration of the finance department in HRM decisions is part of the process. In the structure of the human resource department of Cargills PLC have got one human resource manager and five human resource executives.

Human resource manager should ensure the compliance and the efficiency of the whole process and otherwise it will decrease the effectiveness and the efficiency in whole business. Moreover, to achieve company mile stones such as vision, mission, goals and objectives, it is necessary to have an effective and efficient recruitment process. The recruitment and selection process comprises of the steps mentioned below.
First step of this recruitment process is initiating the job functions to the identified job positions. This is really a important instrument when filling the said job positions and also it has to detail the duties, responsibilities, reporting hierarchy of the job position in a particular vacancy and also to identify the qualification level to fulfil the position.
Second step of this process is to build up the person specification report. This facilitates to identify the most appropriate employee for the available job. This particular report is being mentioned and explained about knowledge and skills, required attitudes expected from relevant candidate. As a general rule the human resource management division holds the responsibility of preparing the person specification and if organization wants to keep on their operations in a superiority way, it is compulsory to develop an perfect person specification.

4762502297430Source: http://www.cargillsceylon.com
00Source: http://www.cargillsceylon.com
476250411480Next step in the selection and recruitment process is Single Recruitment Specification. This document gives the opportunity to select the exactly correct person for the particular job position. In addition it facilitates companies to appraise candidate by candidate moderately as well as impartially. To have superiority results through the person specification, it is key need to act in accordance with three practises mentioned below. Job description should be specific and measurable, criteria have to be reasonably, acceptable and related and all the recruitments are classed as essential or desirable.

Above mentioned are the finest organizational practices should follow when developing the personal specification.

Identify appropriate Candidates, Review their applications and Shortlist them to Select the best Candidate and Negotiate ; agreed on Employment Contract are the next steps. Human resource department of the Cargills Ceylon PLC responsible for above process and currently they strictly follows that. the most important part in recruiting process the Job description, this should be developed in a proper manner ; this is one of main responsibility of Human resource department of the Cargill’s. As a result managing director, human resource manger and the fiancé Director should corporate in sequence to build up the job description. Based on the job description, The human resource department is responsible in publishing the job vacancies. After receiving the applications they evaluate the applicants’ and inviting them for the interview for the applicable vacancy. Normally the exam evaluates the IQ knowledge and Basic English knowledge of the interviewee. Based on their Performance at the exam, HR department select best applicants and forward them to the manager. HR manager evaluate the performances and qualifications by using various methods. After this process, the final step is the discussion of employee contract with the applicants for the position. This covers all the employee benefits, responsibilities, rules and regulations related to Cargills Ceylon PLC. This is thewhole process related to recruitments in the Cargills Ceylon PLC.

Figure: Recruitment ; Selection process

Human resource approach and development process in the Cargills Ceylon PLC.Managing, learning and development in groups is very important topic. Any group represents different type of people with different type of experiences, cultures, nations, religions etc. Therefore it is important to understanding the principles and practices of managing learning and development in groups. When work with a group, there are some strategies to follow in order to improve the team dynamics. Know the team, sending feedback, create a team charter, use team building exercises and forces on the communication are the strategies that can be used for improving the team dynamics.

Establishing clear objectives and expectations, encouraging the group throughout the meetings, providing different group working methods are the management techniques that facilitate the delivery of learning and development in groups. Managing, learning and development in groups, it is important to identify the barriers of this work. Lack of importunacy, hard to achieve the learning goal, doubts about the success and lack of control are the examples for barriers in this process.

It is important to maintain perfect communication, collaboration and learning facilities to achieve the objectives of this process. Building the trust among group members, allowing them for open communication, developing group goals and establish flexible group norms are the communication and collaboration methods that are used to improve the group learning activities. When working with a group, so many conflicts can be arisen. Therefore it is important to use motivational techniques to encourage the people in the group. Appropriate lecture behavior and well relationship between the lecture and the student, pleasant and supportive classroom environment and encouraging self evaluations are the motivational techniques in class room management. CITATION wiknd l 1033 (wikihow, n.d.)Risk is common factor for any process. Therefore it is important to identify the risk factors that involve with group learning and development process. Size risk, process risk, technology risk, tool risk, organizational and managerial risk and customer risks are the main things that involve in group learning and development process. Continuous group meetings with members, comparison with past projects are the strategies that can apply to reduce the risk proposition.

Next important part of this is to apply methodologies to manage learning and developments in groups. Allowed group members to present their capabilities and interest is one of major method that can be used in group learning and development process. Preparing objectives, deciding a way to achieve objectives are the two methods that can be used in group learning and development process. Self concept of the learners, the role of the learners’ experiences, orientation to learning and motivation are the factors that should consider in deciding the future learning needs. CITATION arind l 1033 (arim, n.d.)-3526790-202501500412432555245Work preferences
Information, Control, Action.

00Work preferences
Information, Control, Action.

16319544450Abilities
Skills, Knowledge, experiences, qualifications.

00Abilities
Skills, Knowledge, experiences, qualifications.

346265539370000238379044323000
2558415173355Development of individual performances.

00Development of individual performances.

4132580183515Personality factors
Habits, character. Self-beliefs.

00Personality factors
Habits, character. Self-beliefs.

115570187325Job duty
Job description, role negotiation, likes
00Job duty
Job description, role negotiation, likes

391096512573000227203012572900
366839515621000238379015621000
4124960328295Life Objectives
Life mission, life objectives, Life balanced.

00Life Objectives
Life mission, life objectives, Life balanced.

115570352425Motivation factors
Professionalism, enthusiasm, self-confidence.

00Motivation factors
Professionalism, enthusiasm, self-confidence.

2383790357505004485640177800Personal factors
00Personal factors
225425177800Work related factors.

00Work related factors.

Cargills Ceylon PLC mainly focuses on developing both work related factors as well as personal factors. They are using in bound training as well as out bound training in order to develop their human resource. Managing director and the human resource development department are responsible for trainings programs. In their training modules, they should mainly focus to develop the abilities, job duty, motivation factors, work preferences, personality factors and life objectives. In abilities category, Cargills Ceylon PLC should mainly focus on developing Skills, Knowledge, experiences, and qualifications. They must use in bound training in order to develop the personal abilities of the employees. Not only about that but also they should encourage their employees to continue their professional studies. Finally these experiences will help particular employee to work effectively and efficiently by adapting their developed capabilities. Job duty and work preferences will be guided by human resource department of Cargills Ceylon PLC. They will focus on Job description, role negotiation, likes,Information, control, action etc. Finally all the effects will enhance the effectiveness, capabilities and talents of Cargills Ceylon PLC.

Employee Motivation in Cargills Ceylon PLCMaslow’s pyramid of human needs can be illustrated as follows.

Source: Maslow’s Hierarchy of Needs and your Finances: VIICG VIICG. 2014.. Available at: http://viicg.com/uncategorized/new-post. Accessed 05 April 2014
Psychological needMaslow’s theory physiological needs talks about fundamental needs (called biological needs) that vital for the survival of human being. Under physiological needs he thrash out, food, shelter, clothing, Test, air, Water, sleep ; sexual satisfaction etc. Usually this biological needs stand at the lower level of his pyramid as they are the most important for survival of human beings. Compared with all other needs, these needs cannot be postponed from time to time ; satisfactions of these needs are very important for the survival. Until the satisfaction of above biological needs the employees do not motivate for requirement of other needs. That must these physiologic needs are important for human being the first expectation of man is to fulfill his basic or physiological needs. For an example it the person is in hunger his expectation is to fulfill his hunger by taking some foods. So for the above person food is the fundamental need at that time. So according to Maslow’s law man tries to satisfy his basic needs & which satisfaction them he expect to have other needs as well. Cargills Ceylon PLC uses physiological needs in order to motivate the employees. They provide maximum salary for their employees. Not only that but also they are providing salary advances, bonus payments and other additional payments for their employees. Therefore Cargills Ceylon PLC uses the mallows motivational factors in order to increase the efficiency and effectiveness of the employees.

Security or safety needsUnder safety needs categorize the needs that are connected with the psychological fear of loss of job, loss property, natural calamities or hazards etc. When consider about the employee it is important to have protection from such types of tear. As an employee he needs to have a protection from physical danger, Security of job. At the same time after the working time he need to have pension for old age, insurance cover for life etc. In Maslow’s pyramid, safety need comes after physiological needs. Once the physiological needs are fulfilled employee pay their attention toward the safety needs. So the Safety needs replace the physiologies needs. Once the psychological needs are satisfied, employees motivate to expect for safety needs. These safety needs act as a motivational forces only if they are unsatisfied. Cargills Ceylon PLC is a well-established company. Therefore they need to maintain high level of skills employees. Cargills Ceylon PLC provides a high level of job security for their employees. Recruitment process is very transparent and human resource department responsible for every disciplinary actions of the organization. Not only that some of employee deals with some chemical works. ThereforeCargills Ceylon PLC has provided all the safety equipment for their employees.

Social needs.After the physiological needs, safety needs, social needs comes as the third category of the Maslow’s Pyramid. As you are aware man is a social animal. So as man, employee also belongs to a group of people that cares about love & attention of himself as well as others. So he wishes to treat others with love and at the same time expect others will also treat him as it is. So this is very important for the positive communication among the group of people. Then only they can develop their good qualities among each other & can be a good citizen. So the employees need to make interaction with his fellow employees as well as superiors. So in Maslow’s pyramid social needs come in to third category. Social need is the next important need in the Maslow’s hierarchy. Cargills Ceylon PLC is a very different company when comparing to the other organizations. It maintains well socialized internal environment. There are no any gender differentiations in the Cargills Ceylon PLC. This platform has facilitated very friendly and attractive working environment for their employees. Not only that but also Cargills Ceylon PLC encourage employees to maintain a proper family life too.

Esteem needsWithin this category employees expect the respect, compliments appreciation and at the same time perspiration position among others, these are expected from all employees despite the levels of employment they have been recruited. On fulfillment of physiological, safety& social needs employees pay their consideration towards esteem needs, Esteem needs can be classified in two. Under the self-esteem needs workers expect self-respect, competence self-confidence, etc. The Cargills Ceylon PLC has taken several actions to improve the self-esteem needs of their employees. (Business balls, n.d.).

In the other classification he expects needs that are related to one’s status, reputation, recognition ; appreciation by others. These needs can be satisfied by the organization by giving recognition to employees who have been identified for their contribution to the organization. Moreover, esteem needs become an essential need after the employee satisfied with physiological, safety ; social needs. The next important concept in the Maslow’s hierarchy of needs are .Love and belonging . Therefore the human resource department of the Cargills Ceylon PLC considers Friendship, intimacy and family as the factors are to be considered under the needs of belonging. Self actualization needs
Self actualization needs are the highest category of need in the pyramid that is introduced by Maslow. Self actualization needs are growth need & is the desire to become what one is capable of becoming. It the employee is capable of doing something he tries to reach to that target. By reaching that target he shows his area of specialization on work & at the same time it is something special in his life. Though most of the employees are capable of self actualization, most of them are difficult to reach to that target. So this need is fully satisfied in few occasions. Finally, the Cargills Ceylon PLC should take necessary arrangements in order to motivate their employees by using the esteem needs as well as the self-actualization and self-transcendence needs. Hence it is needed to get the direct involvement of the top level management. At present several top level managers have resigned from their positions because of this need. Managing directors centralized decision making have restricted the top level managers’ implementation of their strategies directly to this organization. Therefore human resource department of the Cargills Ceylon PLC should take measures on employee needs of self-confidence, morality, attainments, creativity, and respect by others, admiration, problem solving opportunities and acceptance of facts. This will ensure better employee contribution in achievement of set objectives.

Introducing human resource strategyHuman resource strategy explains what a company anticipates to achieve by using their human resource throughout the year. Usually these strategies are outlined by business owner’s objectives and goals, employee’s objectives and goals and customer’s objectives and goals. So many companies use specific measurements for the intention of keeping track of their business goals and objectives.

Human resource strategy is the most important part of the study, because it explains the overall process in achieving mission and organizational objectives. We can describe human resource strategy as organization’s process of defining its strategy and making decisions on distributing its resources to pursue this strategy. Human resource strategy defines the future direction of the organization and it works as a road map for the organization. Many organizations’ describe human resource strategy involves with the future direction of a particular company. This describe human resource strategy can be a short term plan as well as a long term plan. Therefore it is important to have a well strategic plan in order to continue their business in a successful manner.

The vision, mission and the strategies are main components which are included in the strategic plan. Organizations sometimes include their goals and objectives into a mission statement. Other companies formulate goals and objectives as well as mission and objectives. Visual strategic plan is the newly emerging approach which is used in strategic action plan. These strategic action plans are mainly involve with outcome theories and measuring company’s performances by using outcome theories.

Figure: Human Resource Strategy of the company
Above process can be identified as the human resource strategy of Cargills Ceylon PLC. This process includes the overall human resource planning process and human resource recruitment process. Not only that but also they are keeping track with human resource and business planning. Human resource director is responsible for above process and it is important to evaluate above process in director meetings. Finally this effective mechanism will help Cargills Ceylon PLC to achieve its mission, vision and objectives.

ConclusionIn this assignment, mainly forces on human resource theories and practices that regard with the Cargills Ceylon PLC. Cargills Ceylon PLC is a well established company which is located in island wide with more than 200 outlets. By enabling more middle income earned customers to shop at supermarkets, Cargills Food City changed the super market culture in Sri Lanka, which previously had been limited to a particular segment of customers in the society. In this assignment, mainly consider about the company profile, market position and customer segmentation. Not only that but also, consider about the recruitment process of Cargills Ceylon PLC, human resource development process motivational theory of Maslow and finally introduced a human resource strategy for Cargills Ceylon PLC in order to ensure the involvement of the integration of personnel and other HRM considerations into the company’s overall planning and strategy.

ReferencesMickMarchington, 2012. Human Resource Management at Work. 5th Revised edition Edition. Chartered Institute of Personnel and Developm.

John L Martin, 2008. Human Resource Management (SAGE Course Companions series). Edition. SAGE Publications Ltd.

Jac Fitz-enz, 2001. How to Measure Human Resource Management (3rd Edition). 3 Edition. McGraw-Hill.

David Ulrich, 2005. The HR Value Proposition. 1 Edition. Harvard Business Review Press.

Brian E. Becker, 2009. The Differentiated Workforce: Transforming Talent into Strategic Impact. 1 Edition. Harvard Business Press.

Nina Rakowski, 2013. Maslow’s Hierarchy of Needs Model – The Difference of the Chinese and the Western Pyramid on the Example of Purchasing Luxurious Products. Edition. GRIN Verlag.

Stephen Taylor, 2002. People Resourcing (People ;organisations). 2 Edition. Beekman Books Inc.

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