Explore the potential problems and issues that an organization would Essay

Explore the potential problems and issues that an organization would need to consider when re-sourcing requirements back to thei - Essay Example In recent years however, the benefits of outsourcing have decreased due to increasing costs of production in Asia, long-lead times, poor communication with Asian countries, large quantities for minimum orders, as well as poor quality of products (Green, 2013). Due to these issues, outsourcing countries have made attempts to re-source their production back to their home countries. Undoubtedly, major challenges are foreseen in on-shoring or re-sourcing, not the least of which involves loss of profits, which to any business is always problematic (Green, 2013). Still, businesses have gradually initiated efforts to re-source their production to their home countries mostly because they believe it would be the better option for them in the long run. This paper shall now explore the potential problems and issues than an organization would need to consider when re-sourcing requirements back to their home country and how these potential problems might be addressed or mitigated by the procureme nt function. Body There are different problems which have and will likely emerge for businesses seeking to re-source or in-source their production processes. ... This would imply the importance of some elements of IT skill in the related area, alongside an effective population having the right attitude to flourish in careers related to IT (Williams, 2012). The location need not be in the cities or metropolitan areas, but an area which is still big enough to support the logistics of its production processes. The chosen area must also be low-cost (Qu, et.al., 2010). In general, areas which are the most efficient sources of modern technology have become very expensive areas to reside in; as such, wages for these areas are also expectantly higher than other areas. Under these conditions, it would be difficult for the businesses seeking to establish new re-sourcing areas to achieve profitability without having to sacrifice either the availability of the best technology or the lower wages of the employees (Hirscheim, 2000). The importance of securing an educational system which is responsive to the needs of the industry is also a challenge for thes e businesses. A significant decrease in IT graduates has been observed in the past decade and some areas have even eliminated IT education from their curriculum. The challenge for these corporations would be to revive the enthusiasm of the young population in order to be more responsive to the needs of these businesses and to work out technology issues (Williams, 2012). General Motors has recently considered relevant moves in order to secure insourcing of elements of its production process, mostly bringing back work to Austin, Texas (Thibodeau, 2012). Its insourcing move was however very much challenged with the limited relevant skills needed from its new employees

Human resource management. Training and development Essay

Human resource management. Training and development - Essay Example It increases the level of individual and organisational competence and helps to reconcile the gap between what should happen, and desired targets and standards of performance; and what is happening and actual levels of work performance. According to Armstrong (2001): "training needs analysis is partly concerned with defining the gap between what is happanng and what should happen. However, it is necessary to avoid falling into the trap of adopting the "deficiency model" approach, which implies that training is only about putting things rights that have gone wrong" (Armstrong, 2001, p. 551-552). Training needs assessment is necessary to ensure an adequate supply of staff who are technically and socially competent, and capable of career advancement into specialist departments or management positions. There is, therefore, a continual need for the process of staff development, and training fulfils an important part of this process. Training should be viewed, therefore, as an integral part of the process of total quality management. Armstrong divides training needs assessment into three levels: corporate, group and individual level (Armstrong, 2001). A large number of organisations make some use of separate training needs analysis, although this is usually a periodic rather than a regular activity. There are many different ways of conducting such assessments, but they usually involve some form of survey, either by discussion or questionnaire, with managers. This does not automatically remove the problem of a failure to perceive the real needs, which occurs with annual appraisals (Beardwell, Holden, 2004). The same people are involved, and unless they are provoked by the approach into a different way of thinking, the probability is that their response will be the same as in the appraisal. One approach, which is somewhat broader than an assessment of training needs is to design a workshop for senior managers to work through what is needed to implement some of the strategic decisions the company has made (Reed, 2001). Part of this workshop would involve a consideration of the skills required against what they feel exists within the company. This can help managers to perceive needs which may otherwise be hidden to them, such as the many capabilities needed to manage strategic alliances, and the degree to which the managers who report to them have experience or knowledge that is relevant. Another approach is bottom-up feedback. This approach can be used in performance management processes, as a basis for personal improvement, and in order to gain a more objective view of company capabilities and areas of management weakness. They are particularly useful for measuring capabilities in management and interpersonal skills, aspects of a manager's behaviour which are experienced by others besides a manager's boss, peers and subordinates, and in some cases customers and suppliers. All the methods take readings from one or all of these groups of people, as well as requiring the manager to undertake a