The paper 'Labour Market Scarcity, Three Elements in AMO " is a perfect example of a business assignment. Human Resource Management is centred on managing persons within the employment relationship. HRM entails the effective utilisation of people in attaining organisational strategic goals and satisfaction of individual employee’ s requirements. It seeks to incorporate strategically the interests of a firm and its employees (Boxall & Purcell, 2011). With effective HRM, labour market scarcity is not a threat to large organisations in any industry. Management usually adopts different approaches to managing workers. Firms need to compete in product and labour markets.
They must compete to secure well-skilled staff. However, the common severity of labour supply issues wanes and waxes with the level of economic development. Unlike small firms, large firms that are well-recognised and well-resourced hold the capacity to pay high salaries and provide career development prospects. As a result, large firms are not affected by labour scarcity because of their capacity to attract a pool of employees through their provision of career development prospects and attractive salaries. Large firms in any industry are able to provide competitive job offers besides retaining their labour force.
In addition to offering competitive job offers, large firms hold the ability to develop a stable production system that includes a cost-effective supply of motivated workers. These firms also employ effective motivation strategies that help them attract and retain an extensive labour force. Without a formal strategic plan, an organisation is easily defeated by its rivals’ . Discuss. Strategic planning is crucial to the success of an organisation. A strategic plan offers a sense of direction besides outlining measurable goals. Strategic plans are formal documents and are more common in big organisations, in the public sector and in industries where formal planning is required to obtain government approvals or finance.
A formal strategic plan is a useful tool that directs the daily activities and decisions of a firm besides helping the firm to assess its progress and adopt change when moving ahead of its competitors. Firms struggle to remain viable in their chosen market. However, a formal strategic plan offers firms a platform where they set their goals, table resources and attract capable people who are appropriate to keep the firm competitive.
Competitors defeat a firm that does not have a formal strategic plan because it lacks a sense of direction and measurable objectives. More so, the firm is defeated because it lacks a useful guide to its daily activities and decisions besides a platform to assess its success. More importantly, a strategic plan helps a firm to adopt change needed for it to remain competitive. As such, without a formal strategic plan, a firm fails to adopt and implement change that is required to win competitive advantages.
Apparently, organisations that survive are involved in a struggle to defend and develop competitive advantages. Sustained competitive advantage is attained when an organisation generates a comparatively consistent blueprint of superior returns. Superior returns are attainable if a firm has a clear guide to its decisions and practices besides constant evaluation of progress. A strategic plan helps a firm to remain different from its competitors, hence a competitive advantage.
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