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Training and Development - Etihad Airways - Case Study Example

Summary
The paper 'Training and Development - Etihad Airways" is a great example of a human resources case study.  The staffing plans of an organisation are influenced by many factors and one such trend has been assessed by statistical projections or managerial estimates. Such statistics are population shifts, demographic change or the demand for labour by the competitors…
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Extract of sample "Training and Development - Etihad Airways"

Table of Content Introduction 02 Historical Overview of Managerial Estimates 02 Case Study (Etihad Airways) 03 Benefits and Challenges 04 Best Practices and Recommendations 04 Conclusion 05 References 06 Introduction The staffing plans of an organisation are influenced by many factors and one such trend has been assessed by statistical projections or managerial estimates. Such statistics are population shifts, demographic change or the demand of labour by the competitors. Managerial estimate is considered amongst the most common basis of planning. This is a process of planning the estimates that their staffing needs while planning for the next year’s budget or the business plan of the unit and such aggregates serve useful in the company’s forecasts. Factors like company’s strategic plans, turnover estimates, productivity assumptions and organisational changes help the managers in making such estimates. This project has highlighted the historical overview of the tool, managerial estimates, a case study of Etihad Airways, the benefits and challenges of the tool and recommendations for future for the company. The company has benefited over the years with the correct blend of tools for human resource management and planning and has spread its reach to many countries and is still looking to grow further in different countries as well as the existing ones. Historical Overview of Managerial Estimates Recruitment of employees has always been classified as something new or modern. The process has continued over for decades with improvement in approaches and processes with the advancing developments and technology (Jones and Dage, 2003). The existing staffing system in an environment of radical transformation and the innovations in the recruitment trends over the years. Years back the staffing system was dependent on the word of mouth and face to face applications. Then with the invention of the computer system also arrive the Applicant Tracking Systems and the ability to create and store the database of the employees making staffing and recruitment much easier. The need for and the demand of human resource planning for the future has brought into consideration the external, organisational and workforce factors in the staffing process (Dessler, 2004). The external factors are the economic developments, social-political-legal challenges, technological changes and competitors. Strategic plans, budgets, sales and production forecasts, new ventures and organisations and job designs constitute the organisational factors and the workforce factors are retirement, resignations, terminations, deaths and leaves of absence. Managerial estimates have been a very successful tool in the system of staffing and techniques have been developed to improve the same. Once such estimates have been estimated then the process of hiring, training or staff reduction programs can be compiled. Case Study (Etihad Airways) Etihad Airways has grown over the years to become a very profitable company of UAE with its presence felt not just domestically but also globally. It has been overcoming all obstacles for the last fifteen years and turning out to manage its resources very well, including the human resource, to build a strong future ahead. The company has looked to build a national workforce which shall result in creation of employment opportunities, motivating young people and equipping them with right skills for the workplace (Etihad Airways Annual Report, 2013). With the application of managerial estimates as a staffing tool the company looks to solve all issue relating to ground and in air. The requirement of sufficient staff for loading and unloading of baggage, aircraft servicing team, aircraft cabin cleaning team, passenger and crew transporters to the aircraft, the number of air-staff and all other such departments. This requirement has to be forecasted with the available data of the current year in hand and the growth as compared to the yester years. The training of future employees and the evaluation should not be insufficient of lees than the requirement numbers and not much more as the outcome shall be either shortage or excessive of employees which in both cases are a burden for the company. The company in this direction looks forward towards employee opinion survey, recognition and reward, employee facilities and wellbeing with keeping in mind the overall cost incurred behind the same. For the dull seasons requires a less number of employees as compared to the peak seasons. Part time employment has also been very helpful in this direction leading to take them into work whenever required and keeping them at bay when not required. This tool of human resource planning has been very successful for the airway company as it has helped in forecasting demand for future employee needs as compared to the supply, budget for the same, hiring of the employees, training and staff reduction program if required. The method has provided the company with opportunities to cut down their costs with reduction in non-required number of staff. It has helped in managing oversupply through hiring freeze, job sharing, early retirement offers, internal transfers, etc. Benefits and Challenges The benefits of managerial estimates for the airline are: Overcoming employee shortage through overtime, part-time workers, temporary employment agencies, transfers, contract workers, promotions, full-time employees. Management of oversupply through layoffs, leaver without pay, loaning, termination, outplacement. Cost saving and budget appropriate tool. Based upon historical data and no false facts and figures. Provides flexibility and diversity (Rao, 2004). A common trend in forecasting the human resource needs. Based upon formal expert survey. Forecasting of supply through internal and external sources. Helpful in establishing a healthy employer-employee relation. Challenges of managerial estimates: The changing mood of the employees cannot be estimated through this method. Any mistake in the statistical data may result in wrong evaluation of future data. The evaluations made are all not accurate resulting in trouble in future. The available information is sometimes found to be incompatible. The process in just applicable for the near future needs and has no role in long term requirements. The challenges are very few to restrict the companies from coming into practice of applying the tool of managerial estimates into their human resource planning system for positive results in this regard. Etihad Airways has applied the tool to great results and the result can be seen in the success it has attained over the years. Best Practices and Recommendations Human resource management is an integral part of the planning and management process of any organisation and managerial estimates makes scope for better management of human resources. For better results the functions of recruitment, selection, training, placement, etc. have to be managed with better skills and knowledge (Jackson, Hitt and DeNisi, 2003). The impact and advancements of technology, politicisation of workers’ unions, matters regarding the rights and privileges of the employees, etc. have to be more seriously dealt with in the near future. Future manpower requirements of an organisation requires right type of people in the right number and at the right time and place are further recommended features. Better balance in distribution and optimum utilisation of human resources with better formulated policies are to be brought into practice. Better job identification and supervision of the employees with advanced working conditions are required. A process that is capable of determining what each staff likes to do and does well and on the other hand what they don’t like to do and don’t do well is also recommended. Conclusion Human resource planning and management is becoming very tough day by day with the increasing competition and advancing technological changes that retaining the old ones and recruiting the new ones is both as tedious as the other. With managerial estimates being used by organisations as a very efficient tool in the staffing process has backed the Etihad Airways company in achieving a good success rate over the years and the better use of planned staffing process shall ensure a bright future ahead. References Dessler, G. (2004). Human Resource Management. 10th ed. Englewood Cliffs, NJ: Pearson/Prentice-Hall. Etihad Airways Annual Report (2013). Building the Future. Retrieved on 02-03-15 http://resources.etihadairways.com/etihadairways/images/E_Book/HTML/Annual_Report_2013_English/assets/common/downloads/Annual%20Report%202013%20English.pdf Jackson, S., Hitt, M. and DeNisi, A. (2003). Managing knowledge for sustained competitive advantage: Designing strategies for effective Human Resource Management. San Francisco: Jossey-Bass. Jones, J. W. and Dage, K. D. (2003). Technology trends in staffing and assessment: A practice note. International Journal of Selection and Assessment, 11: 247-252. Rao, T. V. (2004). Performance Management and Appraisal Systems—HR Tools for Global Competitiveness, Sage Publications, London, UK, pp.173-99. Read More

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