Arabtec Company in Abu Dhabi - Case Study Example

Management Report of Arabtec company in Abu Dhabi Student’s Name Institution Affiliation Table of Contents Arabtec Company Profile 3 Organizational Structure 3 Vision, Mission, and Strategic Plan 3 Human Resource Plan 5 Relationship between Strategic Plan, HR Plan, and Organizational Structure 6 HR Challenges from Company Strategic Plans 6 Factors influencing the Workforce Profile and Future Human Resource Requirements 7 HR Trends 8 Long-term issue in Human Resource Plan 9 Diagram 1.2: Arabtec organizational structure 9 References 10 Arabtec Company Profile Arabtec is a construction company in the United Arab Emirates that was started in 1975, and that has been foremost in real estates and infrastructure. A company has more than 40,000 vastly skilled personnel with ultramodern plant and equipments. Clients have recognized it by offering quality services at reasonable costs. Arabtec is an expert in civil engineering, maritime, rentals of tools, general infrastructure, and steel systems. It took part in the construction of Burj Khalifa, which is the worlds’ tallest building. Arabtech has also been considerate of the surroundings, safety, and wellbeing of people around the company. It has gained recognition worldwide and has won various awards like ISO certification for its efforts in protecting the environment, and as a top contractor in the UAE for 2008. The oxford business group (2007) stated that Arabtec has continued to win over many tenders due to its timely delivery of services and consistency in quality service provision. Organizational Structure Arabtec is headed by the board of directors, which composes of the chairperson, chief executive officer, and the executive officer. Arabtec encourages teamwork guided by the top management and the project managers. The flow of information flows from top to the bottom as the chain of command is followed from the senior most to the least. At the last page is the organizational structure of Arabtec. Vision, Mission, and Strategic Plan Arabtec’ vision is ‘‘To be the leading provider of quality construction and engineering services in the Middle East, North Africa and across the globe.’’ A vision statement is the ambition or aim that a company looks forward to achieving in the future. A vision is therefore a dream that a company hopes and works towards achieving. For Arabtech, being the leading company in construction and engineering, not only in UAE but universally is their major goal that they are working towards achieving. The vision statement propels the company towards expansion and growth to achieve the international standards. Arabtech construction already has plans of expansion through partnership with other companies with similar interests in different countries, and who have good record of accomplishment in building and engineering .Arabtec has continued to explore new markets and introducing their projects in diverse countries as means of expansion. All this is working towards realization of its vision of becoming internationally recognized in construction and engineering. Their mission states, “To form long-term relationships of value with our clients and partners by using quality construction and engineering solutions and employing the best resources and latest techniques.” A mission statement explains or recaps why a company exists and the line of business that it is concerned with. Arabtec works to establish good relationships with all its stakeholders and offering quality engineering and building services provided by highly qualified people and using modern techniques and quality resources. A mission statement gives an overview of what a company does in summary. It answers the question of what a company does the clients that it serves and the uniqueness of its services against competitors (Frank, 2005). Arabtec major objective is, “To provide the highest possible standard of quality and service in the construction industry, giving clients the best satisfaction the company can offer.” The objective is the current aim or responsibility of Arabtec. They are responsible for providing their current clients with valuable services to their fulfillment. To remain relevant to its clients, a company has to work towards meeting what they have listed as their values, believes and objectives. A company has to work towards what it believes it can offer in order to attain the long-term goal and vision. It is based on the principle of working together with all stakeholders towards maintaining high standards in service provision and strictly upholding ethics. Human Resource Plan Arabtec focuses on promoting growth by offering career chances and advancement through training and offering chances and job opportunities. It encourages its employees to further their studies and offers training sessions for their employees as a means of improving and excelling performance. It has continually increased workforce through recruitment and retaining of the sharpest workforce. Retention of creative and bright people is a means towards achievement of its goals and even superseding them to the satisfaction of all stakeholders. When the human resource formulates systematic policies that are aligned according the organization’s environment, coordination, understanding, and integration of various departments take place, which yields best results and effectiveness (Jackson et. al, 2012). Human resource determines how many people should be employed in a company and with what skills. The human resource personnel should consider planning for the present and future in case of a flux in manpower needed and in cases of lay off. Lack of planning can be very costly to a company. Poor HR planning can lead to disappointments in employees who can resort to looking for better jobs elsewhere, which leads to a company losing its best brains (Kleynhans, 2006). Relationship between Strategic Plan, HR Plan, and Organizational Structure The way a company is run depends on its organizational structure. Effectiveness of the system is dependent on policies that guide the behavior and performance of the employees. The strategic plan of a company is the game plan that a company uses to achieve its mission, vision, and objectives. A strategic plan incorporates all its stakeholders including employees, shareholders, clients and all workforces. An effective strategic plan will lead to motivated employees, effectiveness in the procedures, happy clients, and satisfied shareholders. The human resource department has to work out its strategic plans in coming out with policies that are not oppressive to its employees and looking for ways of motivating its employees. If company policies are limiting and oppressive to the employees, the employees will not be motivated and may not offer the best they could. It is therefore the duty of the human resource to plan and incorporate other stakeholders in policy formulations in order for the strategic plan to be successful. Human resource can align organizational activities, which can serve at the organizational advantage or disadvantage. For example, if the human resource decide to pay workers little money, the organization’s strategic plan is less likely to be achieved as employee turnover will be high and therefore the company will always be engaged in recruiting new employees, an exercise that is expensive and time consuming. HR Challenges from Company Strategic Plans The Human Resource plans have to fit into the overall strategic plans a company in order for their activities to be integrated the reputation of an organization come from the way the organization treats its employees. Employees’ attitudes and behaviors are influenced by how the company treats them. Lack of provision of resources by the management to the HR department affects training, which should be considered of prime importance in order to have the best employees in terms of training. Human resource should explore the full potential of the employees through the support of the organization (Sims, 2007). Factors influencing the Workforce Profile and Future Human Resource Requirements Changes in technology are a major factor that might influence future human resource. Companies have to keep upgrading to reach international standards and technology changes daily. Without advancement and improvement in technology, companies are more likely to lag behind in terms of operations as improving in technology means improvement in operations. Companies will be recruiting people with advancement in technology hence the need to train the existing ones on new technologies. Economic factors play a role in human resources and workforce. That are recognized to be doing well economically will continue to have the best employees as they are able to pay their employees well. This will lead to lots of brain drain as employees move out of companies to search for greener pastures. If a company is not in a good economic position to pay its employees well, it will end up employing the rejects who are ready to work at a small wage. Environmental factors are crucial in determining and influencing workplace profile. If a working environment is tense, dictatorial, and unfriendly, employees will opt to look for more accommodative environments that they can freely work in. government and legal regulations are part of environmental factors. Age is another factor that influences workforce profile. Age comes with experience but also with rigidity. Older people are more resistance to change and this would mean that a company with many old rigid employees might suffer backlog in terms of advancement, as the elder employees become resistance to change. Business reorganization will have effect on workforce profile. Reorganization will mean new ideas and new people who can effectively accomplish tasks. Reorganization could mean mergers and requisitions which when they happen some people are rendered jobless. HR Trends With the increase in brain drain and completion for the best and the most experienced in companies, there has arisen a need to monitor trends in salary and wages in order to ensure that a company does not pay its employees poorly and lose them to competitors. Outsourcing has seen a new phase in the past year. Companies have seen a need to outsource services of other companies and individuals to serve the purpose of which the services are required. This has led to many companies offering contractual jobs instead of having permanent employees. Employment of multifaceted employees has led to reduction in job specialization. Most companies have preferred employing people with diversity in experience and knowledge of various jobs instead of a single line of job. The people with advantage are the ones that have several degrees and diplomas from different fields. If a company can get one person to do more than one type of job, then it will most likely go for that person. This means fewer jobs. Long-term issue in Human Resource Plan Renowned companies and those with aspiration of going global with their businesses, like Arabtec, should put more focus on having the best manpower and invest in training and motivating their employees who will be of great importance in realizing the organizational goals and objectives. Strategic plan should work on retaining employees for the longest time possible and training them on new concept for them to be upgraded. Employees are the image of the company. Frequent turnovers spoil a company name in addition to wastage of resources while trying to look for replacements. Companies should come up with long term plan of how to have the best employees who have sense of ownership to the company. Diagram 1.2: Arabtec organizational structure Source: “http://www.arabtecuae.com/” References Fiore, F. (2005). Write a business plan ... in no time. Indianapolis, IN: Que. Jackson, S. E., Schuler, R. S., & Werner, S. (2012). Managing human resources. Mason, Ohio: South Western cengage learning. Kleynhans, R. (2006). Human resource management. Cape Town, South Africa: Pearson/Prentice Hall South Africa. Oxford Business Group. (2007). The Report: Dubai 2007. London: Oxford Business Group. Sims, R. R. (2007). Human resource management: Contemporary issues, challenges and opportunities. Greenwich, Conn: Information Age Publ. Read More