Globalization Considerations
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Global Considerations
Marriott International understands that it takes work and effort, due to the many challenges that exist in all markets. However, these hurdles are higher and more complex in global markets than domestic ones. The purpose of this paper is to address the following global considerations within Dubrovnik, Croatia: Human resources management and cultural factors, supply chain management, Information Technology, research and development and legal and ethics challenges to this new venture.
Human Resources Management and Cultural Factors
Organizational Culture
Human resource management is one of the most important aspects of organizational operations. J.W. Resort must create a culture that fully supports and encourages employees to do their best. The resort must clearly define the organizations goals and objectives and state the required expectations of each employee. To remain competitive, J.W. Resort must be effective in attracting, developing, and retaining talented and productive employees. Setting goals for employees should be closely aligned to the organizations vision, values, and objectives. Motivating employees by recognition and reward will help J.W Resort obtain and retain an effective staff. These techniques need to be consistent and continually done throughout the year (Noe, Hollenbeck, Gerhert, & Wright, 2003).
The resort will achieve effective performance by attracting the right people, setting goals and objectives, coaching to improve quality of performance, motivating, and training for development. Formal and informal feedback from employees should be encouraged. In fact, feedback is essential and should be done frequently to maximize the performance of employees. The benefits of having these types of practices will eventually lead to improved productivity, enhanced employee moral, retention of top performers and increased profitability (Noe, Hollenbeck, Gerhert, & Wright, 2003).
Trends
Future trends like globalization have brought about many challenges to the way businesses manage their personnel. The global economy influences everything international businesses do in respect to salaries, health care costs, diversity training and staffing. Issues such as outsourcing, international employment laws, and competition contribute to these challenges. Outsourcing is typically unpopular due to the fear of jobs being taken from citizens of Croatia and given to employees of other countries who may accept a lower wage. In order to keep growing and fending off competition, J.W. Resort needs to penetrate the European market by understanding and integrating Croatian culture and employment laws. As a result of globalization, J.W. Resort needs to provide learning services in multiple countries and cultures as well as in many languages (Noe, Hollenbeck, Gerhert, & Wright, 2003).
Technology is another trend that is changing the way J.W Resorts does business. From on-line recruiting to paperless payroll, technology will help J.W. Resort to become more efficient and more productive. Technology will allow J.W Resort to meet the demands of managing operations in a new marketplace by creating collaborative networks that exchange ideas and information (Noe, Hollenbeck, Gerhert, & Wright, 2003).
Diversity
J.W Resort will ensure that they fully use the talents, skills, and values of all employees. J.W. Resort will create an organizational culture that values diversity and encourages career development for all persons. This organizational culture will also deal with employees resistance to diversity. Diversity in staffing should be as unique and diverse as the customers who stay at the resort. Another reason for incorporating diversity into the organizational culture of the organization is to gain a competitive advantage. Recruiting a diverse workforce brings diverse knowledge; perspective and experiences that can help solve business problems and create value for shareholders and customers. (Noe, et. al., p.480)
Managing Turnover
There are three main advantages of managing turnover at J.W. Resort. The most significant reasons are cost, employee retention, and quality of work. If J.W. Resort begins to experience a large turnover rate, they should perform a root cause analysis to deal with employee retention. Ignoring employee turnover can only have an adverse affect on the organization (Noe, Hollenbeck, Gerhert, & Wright, 2003).
First, high turnover rates will cost J.W Resort money. There is money spent on recruiting potential employees, money spent on training new employees, and money lost when an employee leaves. This could potentially create huge losses for J.W. Resort and adversely affect other employees. If J.W. Resort begins losing revenue due to high employee turnover, there is less money for such things as raises and bonuses. Since other employees will probably have to take on the responsibility for completing the task of the employee who leaves the organization, it is important for J.W. Resort to have the staffing to absorb such a heavy workload. If the workload can not be absorbed by another employee, such as in a specialty field, J.W. Resort will not only have lost funds for hiring and training the employee, but will also lose funds from the job not being performed. High turnover is always a huge expense for organizations and can spell financial trouble for J.W. Resort if they do not manage this problem effectively. The second main loss for J.W. Resort will be the loss of quality employees. In most cases the employee who resigns is usually an employee who was a benefit to the organization. If the employee were not benefiting the organization, he or she would have been fired rather than allowed to resign. Losing an employee who benefits the organization can be detrimental, especially if it is more than one employee. J.W. Resort would lose someone who already understands how the organization operates and is helpful in obtaining the mission. By the employee resigning, his or her job goes undone, decreasing J.W. Resorts productivity, and time is lost while a replacement is found. Once a replacement is found, it will take the new employee at least two months to be familiar enough with J.W. Resort to be able to perform at the level of the previous employee. The loss of time of quality workmanship can have a severe affect on an organization (Noe, Hollenbeck, Gerhert, & Wright, 2003).
The third main advantage to reducing turnover is quality of work. If J.W. Resort has a continuous turnover of employees, the quality of the work performed will be severely affected. Employees who are not motivated at