Although it requires more times, expenses and human resources to be run, “Karami et al (2004) stated that, it should be viewed as an investment to increase human resource capabilities which contribute to the successful achievement of its goals and objectives in landscape as there is a strong and positive relationship present between the degree of human resource involvement in the development and implementation of business strategy and organisational performance. ” Hence, investment made in enhancing the human resource competencies should not be seen as cost.
It should be taken into account as a critical investment decision which has the potential in developing the organisations’ competency in strategic management. For instance, Karen, the president of McDonald’s East Division USA (2009) stated that “as the world leading fast food retailer, McDonalds serve more than 58 million people in 118 countries every day. ” The know-how and strategies of operating restaurants that lead McDonalds to the epitome of success has been widely studied and imitated by the competitors.
This high performing fast food retailer is also being researched by the university professors and students all around the world. One of the main factors that lead McDonalds to succeed is the recruitment and training process and the crew development programme as these activities would raise the human resource performance. McDonalds understand the crucial of creating learning environment “as people learn more and are more likely to retain information if they are able to practice while they learn through floor based or on the job training basis (McDonalds 2008, page 5).
” Hence, based on the report from McDonalds (2008), “all new employees will be given an initial training period. They are shown and given the opportunities to develop their skills to a level where they are effective in each area within the restaurant. The status of employees in term of part time or full time would affect the timescale of training. ” The crew development programme is done with the aid of ‘station observation checklists’ which include a score sheet for the skills needed to work in each part of the restaurant. The ratings from checklist will go towards their performance review (McDonalds 2008, page 5).
” Therefore, the performance of each individual would be indentified and informed. The obstacles would be removed through ongoing training. Such human resource practice helps underperform individuals to enhance the performance. In addition, “the employees are also required to attend a training course held by the training development before returning to the restaurant in a management position (McDonalds 2008, page 5). ” Citing another example within the same organisation, “McDonalds is the only restaurant organisation awarded credit from the American Council on Education (McDonalds 2005).
” The Hamburger University under McDonalds has well been known as a worldwide management training centre. The purpose of setting up Hamburger University is to provide higher education and the qualification to the management teams and look forward for an effective management teams help the organisation to achieve high performance and successful results. As according to McDonalds (2005), “100% of restaurant managers and mid- management curriculum is eligible for approximately 2 years of college credit.
” Also, “in order to create diverse workforce, Hamburger University teach in 28 languages including Spanish, German, French, Japanese and Mandarin Chinese (McDonalds 2005). ” Even as the market leader in fast food industry, McDonalds is still putting numerous efforts to train and develop its people and fully support the human resource practices which have the potential to advance the organisational performance. Besides, “Jimenez-Jimenez and Sanz-Valle (2008) argued that, human in all imperfections, not machines are at the heart of the company.
” Hence, a series of activities such as training programme and seminars no matter within the human resource department or at the organisational level, should be planed, organised, led and controlled in order to uplift the overall performance of the employees. Furthermore, motivation of employees would also affect the performance of an organisation. So, in order to get employees to be motivated, organisations should offer rewards and bonus such as extra pay and vacations and profit sharing for the purpose of encouraging employees to put more effort and contribution in their job.
This is to create a sense of belongingness and satisfaction to the employees toward the organisation. As according to Jim Parker, the former CEO of Southwest Airlines, “employees who love their company are going to create customers who love the company and employees who hate their company are going to create customers who hate the company. ” Therefore, to take care of the employees’ welfares is crucial especially in the service industry as they are the one who has face to face interactions with the customers every day. Their behaviours will directly affect the brand reputation of the organisation.