Investment in Technologies
Mostly, the floor operations at ABCLanka (Pvt) Ltd are labor intensive. The variability in the quantity and quality of labor could result in the variation in the timely achievement of the production objectives which has more potential to impact negatively to the relationships with the local and foreign contract customers of ABCLanka (Pvt) Ltd. It is certainly a risk that the customers have many other alternative low cost manufacturers both locally and in other Asian countries like China and Bangladesh. By automating the operations as much as possible, company could be more efficient and save time and increase the capacity to handle more orders than before. On the other hand, company could avoid the unfavorable consequences that can result in variation in the production capacity due to labor related problems and the deterioration of the customer relationships.
This is where the managers properly understand the individual differences and group behavior and cater to them in an effective manner.ABCLanka (Pvt) Ltd consists of employees of different religions, nationalities, cultures, social backgrounds and different home towns. So there is diversity in the work force and cross cultural management becomes more important.One of the cultural dimensions of the Hofstede’s framework is the power distance which is very high among the operational level employees and the managerial levels. It could be overcome by encouraging a concept of “family” among all employees in all levels in the organizational hierarchy.
Collectivism, which means the degree to which individuals are integrated into groups, is prominent in the garment sector. Managers need to understand the nature of behavior in the informal groups and encourage them without disturbing those relationships and suitably cater to them in implementing the managerial actions.(Susana, Ramón, 2014)
Mainly, there is less tolerance for uncertainty and ambiguity among the employees. They are emotional and the rude nature of a supervisor can even make the employee to resign. The sudden changes in the production schedules and the job responsibilities might be harmful to the effectiveness and efficiency. So managers should be careful in implementing new schedules and work routines.
There is a combination of masculinity and femininity in the culture among the employees. The people who are from rural areas have their family obligations to be fulfilled and hence are more competitive, assertive, and ambitious. And also most of them are less exposed to the society at large and hence very innocent and place more value on relationships and quality of life.
The employees most of the time have a short term orientation and they are very sensitive to the incentives and pay they receive. When they get to know that the employees of the same capacity in another company are paid more, they tend to leave the organization. Some employees have just got an objective like to find the suitable partner and leave the organization.And the culture inside ABCLanka (Pvt) Ltd is a restricted one and the employee activities inside the premises are restrained with rules and regulations violation of which would bring punishments. Employee activities should be regulated for some extent but they should be allowed to enjoy and express themselves via the annual concerts, get together etc.
Improvement of motivational factors
The operational level employees at ABCLanka (Pvt) Ltd have very low basic salary scales and it is window dressed with the overtime allowance and various other benefits which are subject to certain conditions and are temporary. The lack of motivational factors causes the employees to be dissatisfied and it is the role of managers to enhance the motivational factors.Job enrichment is one of the motivational factors where the depth and the breadth of the job are increased with more tasks and responsibilities. This makes employee feel that he/she is an important part of the company.The lower employees should be given authority and the decision making power so that they can act with more pride and feel accepted among others. The talents of employees and their companywide achievements like the production targets, involvement in sports activities representing the company etc. should be appreciated and publicized among the other employees. This would encourage the person and himself and others too would get motivated. (Susana, Ramón, 2014)
Job security is another factor that would contribute to the motivation of employees. If employees are not sure of the job, they would tend to be less motivated to work. When they are assured of the job and by making them feel that they are lucky to have such a job and convincing them that the sole job is a gift and the performance of it is the success of themselves would motivate the employees to do the tasks more cheerfully. The benefits of the job should not only be limited to the individual and it should consider their families too. For example, the insurance policy should cover the employee as well as his wife, children also. The annual trips should be open to all family members. And also employees should be given assistance in solving their personnel financial and other problems.
Another main motivator is the working conditions. The employees should be given the safest internal factory environment with least exposure to accidents and other threats.The basic salary should be well enough to cover the fundamental requirements of the employees and it should be equitable. That means, it should be in line with the industry norms and hence another worker of similar capacity in another company should not get more.The communication channels should be clear and effective. The lower level employees should be able to reach the supervisorsas and when they require advice and support. And also the employees should be allowed to give their opinions and feedback with regarding the policies and strategies. That means there should be procedures to ensure that those are easily and effectively communicated.
The employees who enter into an organization expect to reach the highest position in their carrier ladder. They expect to develop themselves with more training and develop their job related skills and abilities. Training and Development of employees result in adding more knowledge, skills and abilities and help them to climb up the career ladder. So this will result in increased performance and affect the operational performance of the organization and improved services to customers. Once they are given such opportunities, they would be motivated and the future expectations about carrier development will cause them to retain with the organization.
Participatory approach in decision making
The lower level employees should be engaged in the decision making process. It is more important because they are the ones who do the production tasks actually and have more exposure to the operational structures and systems.And mainly it is a factor of arousing motivation where the employees feel that they are a part of the overall strategy of the company and hence creates responsibility to achieve the set objectives through the set of actions as required. So there would be minimal hindrance and resistance by the lower level workers and the achievement of strategies with implementing the action plans would be easy.
The employees are so keen to know the results of their performance as to how they have performed during a period, up to what extent they have achieved their objectives, how efficient they were etc. The management also needs to assess employees in order to understand the key competencies, strengths of the workforce of the overall organization, evaluate the achievement of broad organizational objectives etc.
Therefore the management should carry out an independent Performance Evaluation of each employee with assessing the employee in various aspects and criteria. The performance evaluation should be descriptive and constructive where the plus and minus points of employee performance are clearly described and supported with possible corrective actions. It should be given to the employees and it should be a tool to correct and improve the future performance.
Proposed Approach for solving the issues
ABCLanka Pvt Ltd being a labor oriented organization can use a combination of the solutions as the proposed approach. The management should conduct a survey and find out the exact needs and expectations of the employees and try to cater to them either financially or with emotional support. The employees most of the time have a short term orientation and they are very sensitive to the incentives and pay they receive. So the company should try to retain the most experienced workers by catering to their financial needs with perks and benefits and cater to their emotional needs with the appointment of a mentor.
Further, with the change in the organizational structure, the lower level and upper level employees would be closer and they will cooperate in decision making and policy making resulting in no resistance and conflicts.
The existing policies within the organization must be changed to assist various cultures and provide access to cultural celebrations and religious observances with subjecting to conditions.
Further, the employees should be educated with creating a learning culture and they must be allowed to do their own performance evaluation followed by a formal evaluation by the management. This will help them to realize their mistakes and correct them without the involvement of supervisors.