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Introduction

Human Resource Management is the backbone of a company. This department mainly concerns over the employment-related part of an organization, such as manpower, talent, labour. Lack of policies regarding the practice of human resource management department could create problems like recruitment, management changes, dismissal. New forests are Australian real estate Company which is facing problem in human resource Management. They do not have proper HR resource before, but they do have a good comprehensive understanding of it. But their main challenge is moving to different placing model which is best and the change management problem along with it.

First Part: Description of the context

 

 

 

 

Country:  

In order to describe Human resource this project is selecting Australia, which is situated in South hemisphere of the Globe. This is the 6th largest in the globe by area. Capital of Australia is Canberra. Currency of the country is Dollar. The human resource management will help the country by providing job to the Australian civilians as well as civilians from the globe.

Company:

New Forest is sustainable real asset company of Australia, founded in 2005. The company’s assets includes rural land, timber plantation and conversation investment. This company manages client’s assets for future productivity and conversation value. Human resource strategy of this company related to management includes recruitment, learning, development, leadership. This company hires experienced human resource person for the company.

Second part: Description of the Task

 

Problems of HRM

New Forests Company has grown quickly and sophisticated in the real estate market, and for that they needed approachable HR structure to cope up with the company future growth. As referred by Vance and Paik (2014, p. 93), HR team is the pillar of an organizational structure. Though human resource is not considered as it and cannot use their full potential. HR management needs to change the management system to improve a company growth and they face many problems to do the same. In the context of New Forests, the organization needed many changes to support the growth rate, such as image rebranding, modernization, development, restructuring, improvement in technologies. As suggested by Brewster, C., (2017, p. 81), if the changes are not done in a proper way then that can affect the human resource team. As change is constant in a business atmosphere, thus it does not matter how big the organization is. Most changes in company fail due to employee resistance, sufficient preparation failure, and communication failure. The wrong implementation in change management in this organization has faced many problems. They have started too late for that they have a pressure of act quickly as they do not have alternatives. The organisation fails to make any strategy for growth. They announced big changes to implement but little happened in actual.  They were facing problem in coming up with new technical uses. They needed proper training.   Employees do not know about the changes. Hence they are scared about the introducing changes and creating resistance. As commented by Kehoe and Wright, (2013, p.383), the managers were mainly focusing on rational, problem solving, and analytical changes. They were not dealing proactively as they started the department lately. Thus the communication gap appeared in the organization and it became subject to the staff management. As they were changing, they were not focusing on employee’s reaction that was one of the biggest problems. Lack of communication with the workforce was making a situation more complicated. Leaders were mainly focusing on management instead of focusing on leadership to change the management system.

Impact of HRM

The change management mainly includes control of changes in an organization and coping up with constant changes. In this organization, its effect was serious. As suggested by Daley (2012, p.123), an organization needs strategic communication plan with the employees. Unless the employees are provided by the knowledge, then they cannot accept the change and it can affect their morale or they can suffer from low morale. Even changes in communication can affect their employment. As referred by Alfes et al. (2013, p.333), uncertain discussion about the organization can make them feel out of the company. Improper change of management can create fear among the employees about their rank, which can affect their job satisfaction, productivity, and performance. It will affect their confidence level and grow the fear of losing the job. Employees can think that change in management structure can increase their workload or they can think they will not be capable to learn the technical uses. It can affect the organizational work culture like they can lose faith in their leaders. As mentioned by Jiang et al. (2012, p.77), a    negative organizational culture can hamper the needed changes, which will make necessary things more difficult for the employee. Change is necessary but along its costly. Main costly thing is low employee morale, which can affect the productivity. Leaders often overlook the fact that development of organization depends on the employees. As commented by Pfeffer (2014, p.49), they just inform the mission, objective and vision but fail to work on change management initiatives. They fail to train the employee's positive effects of an organizational change, and it affected the Forest Company. The change management system also affects sometimes leaders.

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