Human Resource Management at Rio Tinto - Case Study Example

Success of an organization is measured to a large extent by the manner in which the organization is able to use its workforce to achieve efficiency. This requires that the stakeholders looks at dealing with different issues pertaining to employees and comes up with a solution that will facilitate the development of the organization. This essay looks to evaluate the different stakeholders’ role in the working of Rio Tinto and addresses the different factors through which the performance of the employees can be improved. In addition to it the paper also evaluates the manner in which the indigenous employment program will help to achieved success and the role the human resource department has to carry out to achieve the different objectives of the business. On the whole it will provide a new direction to Rio Tinto and will bring the required changes through which the company is able to perform better. Rio Tinto is a British Australian multinational company which works in the metals and mining department and has its head quarters in London. The company has been performing exceptionally well and to ensure similar performance the company is looking to evaluate the different opportunities through which employees performance can be enhanced and looks towards ascertaining the manner in which the stakeholders can contribute towards the bigger picture. This will require development of strategic objectives and delivering performances based on the different parameters which has been made. The stakeholders will have to take steps which looks towards increasing the role of employees. Organization through this process of having training according to the business strategy will be able to save on cost as they will ensure that they provide the required training based on the business requirements. This will thereby ensure that the business is able to save on cost and will be able to direct their efforts towards in the most productive manner (Bernadette & Gavin, 2005, p. 417). This will help the organization to ensure that costs are cut down and only relevant training which will help to improve the performance of the employee and the organization is developed. Rio Tinto has to look towards providing employee with additional training and educational opportunities so that they are able to perform on the role that they are provided. The development of the Indigenous Employment Program has helped to take some steps in that direction and will help to create a positive impact on the employees. Despite the efforts taken by Rio Tinto there still exist gaps which have to be fulfilled and required proper coordination among the employer and the employees. This requires that collaborative interactions are developed between the employer and the employee so that employees are entrusted with additional responsibilities and will provide the required flexibility through which no conflicts takes place (Teicher, Holland & Gough, 2002, p. 71). This will ensure that employees are provided with the additional authority through which they are able to act in a positive manner and transform the entire process of working. This will lead towards personal commitment of the employees and will look towards long term employee involvement. This will have a positive impact on the organization as it will help to carry out the difficult task easily and will thereby ensure that the organization is able to achieve bigger goals. Organization for their long term success has to ensure that they incline their training program with the objective and strategy that the business proposes to use over a longer period of time. This will help to develop the resources in a better way and will also ensure that the money and effort which is spent on training the employees provides maximum advantage. For example, suppose that the organization looks towards having a strategy of increasing their market share. This would mean that the organization will look towards selling their products at a lower price and will look towards increased marketing (Tannenbaum & Yukl, 2002, p. 443). The sales personnel thereby have to be trained accordingly so that they are able to understand the strategy for the future and are able to develop their skills on those relative areas. This will help the organization to be able to use the resources in the most effective manner and will provide an opportunity through which the organization is able to use the resources in the most effective manner (Ahmad & Schroeder, 2003, p. 27). It is also true that with increased employee engagement conflicts are bound to increase between the employer and the employees as additional authority might lead towards a situation where employees start to misuse the additional powers. This will require that both the parties understand the importance of working together and the role they have to play towards the common goal which will help to resolve the differences which crops up. This will also help to ensure that a long lasting positive relationship is fostered which is aimed at developing the overall situation in such a manner those employees are able to carry out the additional roles and duties in the most beneficial manner. The reasons which has attributed towards the differences can be due to disorders in personality, poor communication, lack of proper recruitment and promotional strategy. This will require that the employees are made to understand their role within the organization and the manner they have to work to accomplish the task that has been entrusted on them (Provis, 2009, p. 195). This will make the entire workforce come together and work as a single unit which will thereby ensure that the commitment level of the employees towards the organization increases. This will help the organization to be able to accomplish their goals through the best use of resources and look towards sustaining tougher competition. Rio Tinto for the long term success of their business requires developing a business process which will look to achieve increased cooperation from the stakeholders. This will help to deal with the changing business environment. The different stakeholders associated and influenced due to the working on the organization is the customers, suppliers, society, government bodies, investors, suppliers and all are people associated with the organization. The company has to increase the role of all stakeholders and have to look towards developing the process of decision making for benefit of the organization. The role of the HR department is of high importance as the manager has to understand the fact that industrial relation is a specialized service which will have a positive impact on the organization. This will help to bring the best out of the employees as having a high morale rate will be ensured. The organization based on the relationship will be able to create an environment where positive relations are developed. This will thereby have a positive impact and will have to bring about the required transformation through which the business will be able to work in a better way (Hodgson, 2006, p. 87). This with the development of the indigenous employment program will help to deal with the requirements of the employees and provide the basic framework through which better services can be delivered. The entire process will look towards improving the process of cooperation and coordination among the employees and others. This will ensure that all people in the organization look towards working together and will keep their personal differences apart. This will help in creating a positive environment where the organization is able to take decisions through which will have to generate new ideas. The implementation of new strategies or change in the business model will be easy as the rate of acceptability will be high among the employees (Bach, 2005, p. 143). This will ensure that the employees will be willing to work according to the business requirements. This will thereby ensure that the resources can be used in the most productive manner and will help to create the positivity through which the long term goals of the organization becomes achievable (Blyton and Turnbull, 2004, p. 19).Rio Tinto faces a strategic HR challenge with regard to the manner in which employees will be handled as the present situation has increased the gaps and given rise to different disputes. Rio Tinto has to look towards providing training to the employees and developing an environment through which an environment is fostered which will help to ensure that employees are able to mix properly. This will require that the management looks towards developing conducive environment through which employees are able to communicate freely and provide an environment through which the differences that exist between the employees are removed (Arnold, 2005, p. 53). This will help to address the issue associated with employee empowerment and also help to remove the differences which exist between the management and the employees. One of the major strategic challenge before Rio Tinto is to deal with the changes that the business is facing due to changing business environment. Rio Tinto to deal with the strategic challenge has to make the employees understand the change in process, accountability and responsibility that they will have to deal with. This will also require that the organization ensures that employees are made to feel secure regarding their employment and provide the required understanding to them. The management has to look towards developing a method through which they are able to make employees understand the manner in which they will be benefitted and have to look towards shedding their differences which exist (Boddy & Macbeth, 2000, p. 303). Thus, Rio Tinto has to look towards working on different areas and need to develop their business structure in such a manner that it receives support from the stakeholders and helps in the development of an indigenous training program for the employees. This will help to ensure that Rio Tinto is able to look towards dealing with manner in which employee engagement improves and the organization is able to deal with the different strategic challenges that is presented before them. This will help to improve the performance of Rio Tinto and bring the required transformation through which better developments takes place. References Arnold, J. 2005. Work Psychology: Understanding human behaviour in the workplace 4th ed. Harlow: FT Prentice Hall. Ahmad, S., & Schroeder, R. G. 2003. The impact of human resource management practices on operational performance. Journal of Operational Management, 21, 19−43 Boddy, D. & Macbeth, D. 2000. 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