This ‘soft’ HRM approach aims to promote Job secure, Team work and linking high wages to organizational performance. Just like the Harvard model best practice promotes competence through extensive training, narrowing status differentials and two way communication between managers and subordinates. • Best fit /Contingency Model Unlike the previous 2 models, this model focuses on the reward system to unleash the full potential of each employee in the organization. As oppose to the best practice model, Best fit model asserts that what might work well in an organization may not work in another. The model has two key elements the External Fit where the business strategy will be linked to the HRM practices to create a competitive advantage.
Providing employees with opportunities for on the job training, tuition reimbursement, and professional development will increase the human capital of individual employees. Human capital is gained through education, which is divided into two different categories: general and firm-specific education. The difference between these two types is not based on the type of education that an employee receives, but whether the skills that an employee gains are transferable to another firm. The theory of human capital suggests that a firm will only provide firm-specific education to its employees, as this type will be the most beneficial for the firm (Kessler & Lülfesmann, 2006). Contrary to the theory of human capital, would investment in general education
The term labour division, which means separation of work to increase efficiency of workforce, was introduced by Adam Smith. This paper states that the concept is very useful and still applicable to modern societies. Although there might be some disadvantages of its application in practice, the benefits it brings overweighs its downsides. To prove that, first there will be more explanation about Smith’s labour division, then there will be real life example and finally there will be given disadvantage of labour division as a risk of unemployment. To illustrate how labour division works in practice Smith provides example with pin.
He contends that people will be motivated to do things to attain a goal if they believe in the worth of that goal and if they can perceive that what they do will help them in achieving it. The theory contends that motivational force is a function of the value of money to a person multiplied by his subjective estimate that equitable amount will be forth coming should he perform in a desired way. The Equity Theory It was developed by Stacy J. Adams (1967) and it refers to an individual’s subjective judgment about the fairness of the rewards she receives relative to inputs such as effort, experience and education, in comparison with the rewards of others who fall under the same group. If the relation is not equal, then inequality shall be perceived and will reduce the morale of the affected employee. As a researcher, I have noted with concern that it’s important for employees to balance between intrinsic and extrinsic types of motivation as they deal with employees and that one should first find out what particular motivation practice will motivate a given employee as advanced by Maslow, A.
P. Christopher Earley conducted a study on the belief of employees ' capabilities and productivity in workplace. Result found if employees were given better production techniques and high production goals, their belief in the capabilities increased. When the self-efficacy of employees increased, they would accept high production goals and result in high level of productivity (Early, 1986, cited as Bandura 1988). Another study which carried by Eden & Aviram (1993) evaluated the influences of providing intensive trainings to the unemployed workers and found workers with low self-efficacy were able to develop higher
First, in research on mobility, the rate of future job change has been predictable from the rate of past job change (Anderson, Milkovich, & Tsui, 1981; Forbes, 1987; Rosenbaum, 1979). Second, work on mobility and executive development implies that number of job experiences is important to career attainment (Gabarro, 1987; McCall et al., 1988). Third, work on promotion proposes that broad experience within a company is linked to promotion as a result of employees ' acquisition of organization-specific skills and the consequent incentive to organizations to promote from within (Markham et al., 1987). Similarly, if job rotation is related to promotion, it may also be related to salary growth because promotions are usually defined in part as increases in compensation grade level. Researchers have advocated frequent rotation (e.g., daily) among production jobs as a means of reducing boredom and fatigue (Miller, Dhaliwal, & Magas, 1973; Walker & Guest, 1952).
It is depends on the existing firms and the “height” of barriers to entry that attributes of an industry’s structure. The threat of new entrants will affect by: Firstly, the economics of scale as “high” barriers to entry into the industry that can make the industry more attractive because of the existing firms can earn expect above normal profits. Secondly, the product differentiations that the existing firms have their own brand identification and customer loyalty that will lead to new entrants use more costs to start other industry and then reduce their potential return. Thirdly, cost advantages independent of scale mean that the existing firms have a whole range of cost advantages. There are proprietary technology, managerial know-how, favorable access to raw materials, and learning-curve cost advantages.
The result show three generic managerial issue on new product development: the inﬂuence of a dominant owner/manager, a focus on time and cost ahead of other key factors, and a failure to understand the importance of product design. UK government strategy suggest the manufacturing companies to improve the value-added chain in order to generate a clear competitive advantage. Previous research shown that successful new product development provides higher returns than any other similar investment. Small company often have more advantages to identify new product opportunities due to the close working relationships with customers and
Human capital investment is the process companies use to develop employees. Human capital investment relates to the theory of skilled versus unskilled labor. Unterhalter in Deneulin and shahani (2009 pp.201) states that Education is an investment in human capital that pays off in terms of higher productivity. Without education, people can be subject to abuses by the most powerful, without education, people may be constrained to find menial jobs that do not fulfill them, without education, those who are marginalized or oppressed may not have the resources to denounce the injustices they suffer from and to claim their rights. Therefore Education can be viewed as investment, an agent of economic stability, and a discipline.
It means that the achievement of learning process is measured by the knowledge and skills that the learner has. Then, empiric theory has more substantial point a view in seeing the learning achievement. This theory has perception that learning not only has correlation with developing of economy but also as a way toward cultural mobilization (Tilaar & suryadi, 1993:33). It means that learning achievement is not only focussing in helping economical aspects but also touch substantial aspect. The substantial aspect is to make the learners have more quality in change and increase their live in all