In the first paragraph brief description of beginning of Trust Financial Services PLC and its expansion, downfall and subsequent hand over of management to professionals.
In the next section under the heading Research nature of the research conducted and its findings.
Under the heading first three months action plan immediate remedial actions are given for the Company
Next is important facts for organization to make success in business activities and facts for overall progress of the organization.
Under the heading suggestions, proposals for the management for the smooth functioning and progress of the organization.
In conclusion of the work, recommendations are inserted for the consideration of management of Trust Financial Services PLC.
It would not have been possible without the kind support and help of many individuals and organizations to complete this report. I would like to extend my sincere thanks to all of them. I regret my inability to mention all of their names.
I am highly indebted to my Lecturer Mr.………….. for his guidance and constant supervision as well as for providing necessary information in completing the report.
I would like to express my gratitude towards my parents for their encouragement which helped me in completion of this report.
I would like to express my special gratitude and thanks to industry persons for giving me such attention and time.
I took initiative to collect information on overall functions of the Trust Financial Services PLC. In this regard I referred to company literature; information company advertisement etc. further information was collected through interviews. I prepared questionnaires and evaluated present situation of the Company and its shortcomings. I discussed the issues with the higher management as well as executives and other staff. With all these efforts I was able to conclude this report with recommendations to the professional management of Trust Financial Services PLC.
Trust Financial Services PLC (Hereinafter referred to as HFS) has established in the Central Province in the year 1995. Subsequently it had spread its wings to other parts of the country and expanded its business activities. In 90’s Trust Financial Service had become a leading financial company in Sri Lanka.
At present it has a total number of 460 employees. When the company performance has come to mediocre level decision has been taken to hand over the company to professional management.
In this research conducted on overall performance of HFS it was uncovered following weaknesses and setbacks of HFS.
- In the research it was found that most of the employees at HFS have been doing the same work over and over again and nature of the work is monotonous and as a result there is frustration and dissatisfaction among employees.
- It was found at HFS, there is no proper promotions system for the employees. Promotions had been offered taking into account family relationships, friendships and as a result there is frustration and disappointment among employees.
- It was found that there is no proper management strategy to motivate people and make them creative enthusiastic and contribute their abilities and capabilities to the success of the organization.
- It was found that there is no proper incentive scheme to encourage and stimulate employees at HFS in order to take maximum productivity and as a result most of the staff members become lethargic.
- It was found that there is no proper system in operation at HFS to evaluate employees to assign work according to the nature of employees. Mainly there are two kinds of employees in any organization. They are ;
- Dynamic employees who prefer to undertake challenging jobs.
- Employees who are satisfied with custom or routine jobs.
- It is the duty of the management to appraise them according to their nature and assign duties accordingly. This is not in operation at HFS.
- It was found that there is no proper practice in operation to recognize employees at HFS. Recognition of employees is vital in an organization to take maximum from employees for the smooth functioning of the organization as well as to career development of the employees.
- Creative designations must be given to each and every employee of an organization in order to motivate them and it was found that designations given to HFS employees were outdated, not in conformity with modern practices. Employees prefer to have a better designations as an example Clerk is an outdated designation and it is better to designate Clerk as a Office Executive or Office Assistant. In this way without spending any financial resources employees can be motivated.
- Every employee is preferred to go up in his or her career. They must be given the challenge that with working smart or working harder or working creatively they can contribute to the organization and In that way employees will also be There is no proper management strategy in operation at HFS in this direction.
- In order to motivate employees management should listen and respect the creative ideas and suggestions of employees. Prior to most of the decision making process employees’ viewpoint must be obtained. It is stated that two heads are better than one. In the same way management must encourage employees to give new ideas and this can be done with offering small reward to the right idea. It was found that no such system is in operation at HFS.
- Cross Training is critical management strategy. This is not in operation at HFS. Under the cross training employees are given the opportunity to work in different sections and as a result they can get rid of monotonous nature of the work in one hand and the other hand when the employees are trained in different sections when there is absence of employee in one section management can post someone else to cover his or her duties.
- It is another vital management strategy is to motivate employees to select one employee as employee of the month or employee of the week or employee of the each section in order to motivate other employees. There is no such a management strategy is in operation at HFS at present.
- Financial rewards are another way of motivating employees. Employees regard money as the most important thing and management should introduce a proper financial reward system for employees. There is no such a practice in operation at HFS at present.
- Another way to motivate, encourage and inspire employees is non financial incentive scheme. A non financial incentive scheme will not burden the company and there must be a creative scheme to be formulated to get maximum from employees. No such a scheme is in operation at HFS at present.
- It should be indicated here that Human Resources department has been handled by Mr.Gunadsa Senior Lawyer who had worked in the legal section prior to his assignment in personnel department. In the present scenario legal outlook of the department is not fitting and it is necessary to change the overall Human Resources Department.
- First Three months Action Plan
During the first three months period as Head of the Human Resources Depart following action plan is suggested and forward for the approval of the management.
- Adjusting and creating exceptional working conditions for employees of HFS to carry out their duties in happy and contended manner efficiently and creatively.
- It is vital to make all employees as a team and build team spirit and there must be cordial relationship among employees and they have to forget minor differences and work as a team in order for the success of the organization and also for their own benefit.
- Taking necessary steps to motivate, encourage and inspire employees in order for smooth functioning and progress and achieving set targets.
In the above management practices and strategies put into practice there is no doubt again HFS can be taken off the ground.
- Important Factors
Following facts are important to any organization to make success in business activities and as such necessary steps to be taken to improve them in Oder for overall progress of the organization.
- Employees’ skills
- Employee Training
- Happy working environment.
- Regular feedback for employees.
- Opportunity for career development
- Autonomy and responsibility of employees.
- Decision making.
- Employees’ loyalty to the organization
- Visual and auditory facilities.
- Entertainment for employees.
- Privileges and facilities for employees.
- Cross training
- Flexibility of jobs
- Employees’ pride in their working place.
- Employees’ confidence on the job.
- Employees’ trust on their superiors.
- Employees’ trust on organization
- Accountability of employees.
- Recognition for Employees.
Following suggestion for the smooth functioning of HFS and progress of the organization is forwarded for the approval of the management in order to implement them.
- Job satisfaction of employees is vital for any organization to succeed and mainly job satisfaction is depended on job enlargement and there are other reasons also behind job satisfaction of employees.
- Duties connected with a job are amplified in job design technique adjoining diversity to duties and reducing boredom associated with any job. As such job enlargement is believed to be a straight restructuring system. The job is inflated by accumulation of related tasks. As a result increased job span and increased the number of different operations required in a job and the occurrence of with which the job rotation is recurring. An individual performs number of tasks and job enlargement increases job scope.
- Vertical expansion of job is job enrichment. An enriched job organizes tasks to allow the worker to do a complete duty, enhances the employee’s independence and improves employees’ responsibility. The job must be intended to offer chances to achieve recognition, responsibility and career growth.
- Superior quantity of employee job satisfaction depends on job rotation. Job rotation is a technique employees are reassigned to two or more jobs in methodical manner. The aim of this process is giving opportunity for employees to gain experience and skills in order to enhance job satisfaction. This process is similar to cross training of employees.
- As a result of implementing job rotation, frustration or boredom of job can be reduced and increase the productivity. Employees are exposed to gain skills and experience in different types of works and this will help the individual employees as well as the organization. This process will create expertise or competent employees. Employees are trained to face challenges. It increases flexibility of job and providing capacity. Employees are endowed with the experience to adaptability to change. Everything is changing such as business environment, customers need and tastes, competitors and so on. Through this process employees can be trained to face changes constantly occurring.
- Evaluation of employees
It is necessary to plan an evaluation system for employees at HFS. Following information of the employees must be collected in order to have a computer database.
- Employees’ confidence on the job
- Employee’s attitude on the work place
- Employees’ trust on their superiors and organization
- Employees’ respect for superiors
- Employees’ pride in their working place
- Utilization of employees’ skills
- Age group
- Marital Status
- Educational Qualifications
- Number of Years of Service
- Employees’ loyalty to the organization
It is required to prepare an another Computer Database for the new recruitment for the organization with potential applicants details and keep in record of all eligible applicants in order to appoint them as when need arises without any obstacle to the smooth functioning of the company.
With in mind future expansion and growth at HFS progress is required in the following areas;
- Training facilities for employees (Employee Training can be considered as an investment)
- Entertainment facilities for employees ( In order to reduce frustration and give new energy )
- Providing regular feed back to employees (About the Company, the management, and everything else regarding the company.)
- Career development
- More responsibility and autonomy for employees
- More freedom for employees
- Developing relationships among employees
- Freedom in decision making
- Making employees accountable
- Shifting employees from one job to another occasionally
- Providing opportunities for multi skills development
For the Progress of HFS it is necessary to increase productivity of employees and as such there is important role to play by the Human Resources Department of any organization to increase the overall productivity and efficiency of employees.
- Management Strategies
Human Resources Management strategies are required to keep employees enthusiastic, motivated and accomplishment of such practices has pivotal importance in order to provide professional and quality services to customers.
It can be summarized following aspect as the objective of this exercise;
- Job Designing Procedure
- Employee job satisfaction
- Job enlargement in job satisfaction
- Job enrichment which influence on job satisfaction.
- Rotation of employees
- Increasing job satisfaction of employees with non financial incentives
- Increasing job satisfaction of employees with financial incentives
At present responsibilities and duties of Human Resources Department is also changing like any other scenario. Human Resources Mangers responsibility in the gone era was preparing policies of the management etc. Human Resources department was earlier named as Personnel Department but today it has been changed. At present Personnel Department is replaced with the Human Resources Department. Personnel Manager is replaced with the Human Resources Manager and human resources strategies have also been changed. In any organization human resources are the most important aspect and today in some organizations employees are referred as associates.
- Environmental changes
Like everything else functions and responsibilities of Human Resources Department has changed and today functions such has recruiting, paying employees not the only responsibilities. Today it is vital to motivate and inspire employees in order to meet the Company targets. Flourishing organizations are becoming more flexible, quick to change direction, and change it according to the market conditions and customer likes and tastes.
The objective of Human Resources Department to make stronger bonds of employees with the management. In order to achieve this objective it is required to consider following areas.
Human Resources Department has to presume itself as a strategic partner to assure that viability and ability to contribute to the organization. In this manner Human resources Department can contribute to the smooth functioning and develpment of the organization and accomplishment of company strategy and objectives.
In this regard Human resources Department has to be strategic and conversant with the work system in which people can be succeeded and contributed. In this strategic atmophere human resources functions such as recruiting right candidates, motivating employees performance, evaluation of employees, career planning and growth of employees are required.
Today Human Resources Department Employees have to think like businessmen and should know accounting and finance and they are always responsible and accountable, prepare strategies to reduce cost and plan all human resource development programs.
Human Resources Department plays and pivotal role in any organization and for the success and progress of the organization it is the responsibility of the human resources department to create an organization with excellent working environment and motivate employees to contribute with increased productivity.
Further Human Resources Department to assists to establish the company’s culture and climate in which employees have the concern and commitment to exceed the expectations of customers who are the most import persons in any organization.. Fostering effective systems and keeping targets, working for deadlines, empowerment though responsibility are some of the functions of Human resources Department.
It is also the function of Human Resources Department to search and find employee growth opportunities, assistance programs planning, profit sharing strategies, development of the company process approaches and solving employees’ frustration problems etc.
The continuous evaluation of the efficiency of the organization results in the need for the HR department to regularly change. Both knowledge about and the ability to execute successful management strategies make the human resource professional remarkably cherished.
It is the duty of the Human Resources Department to continuously reviving efficiency and effectiveness of HR functions and changes are made accordingly and adjust work practices. In order to encourage overall success of the company it has to identify the shortcomings, setbacks and prepare action plans accordingly.
It depends of surviving and progressing of any company on employees performance and this is the truth even for mere survival in today’s market conditions. It is vital to motivate existing employees and recruit the best.
Under these circumstances following can be identified as necessary to enhance and increase the full productivity of employees.
- Job enlargement
- Job enrichment
- Job rotation
- Incentives to employees to motivate them
16 Energy Levels
it is well known fact that young employees of the organization has high energy and when employees are becoming old they are more lethargic and decrease their energy levels. As such, it is noticeable relationship between life satisfaction and job satisfaction and people who are satisfied with life have more energy than others to function in their duties.
- Personal Problems
Another aspect of this is when employees are on debt and they have financial difficulties , family problems children’s problems etc their functioning is affected and it is necessary for the Human Resources department to find solutions for their personal problems also to a certain extent in order to keep employees satisfied and increasing energy levels.
In conclusion of this work it is discovered that job satisfaction of HFS employees are depended on different factors. If these factors are positively addressed positive results can be expected and progress of the company can be achieved.
- With research done and according to the findings most viatal recommendation can be made to the management is to take necessary steps to enhance job enrichment. It is necessary to advise all sectional heads to assist in this Endeavour.
- The other aspect is to improve relationships among staff members and develop team spirit and employees need to work as a team and to make it a winning team. This is the most significant factor for job satisfaction.
- HFS must adhere to other scope of job enrichment like autonomy and responsibility, career development and independence in decision making and these aspects also can be identified as being notably related.
- Another area is providing job satisfaction through job re-engineering and job rotation.
It is required to enhance productivity and employee performance through job satisfaction. Following suggestion are inserted here for the kind consideration of the management.
- Information technology is developing in rapid space. All employees must be trained in information technology in order to face future challenges.
- It is required to formulate a system to evaluate the performance of all employees of HFS and feedback should be collected on quality of work quantity of work, and each and everyone’s performance.
- Impartial promotion system to be introduced giving promotion on performance, loyalty to the organization, honesty and integrity experience and qualifications.
- It is necessary to adapt a procedure that HFS is not discriminating its employees on cast, creed or religion.
- Standing procedures should be formulated according to the labour laws of the country without discriminating any employee and applicable to all as equal.
- HFS should provide state of the art office equipment and facilities and computerized environment for employees to carry out their duties efficiently.
- Proper disciplinary and grievances procedure must be formulated to ensure disciplinary issues are promptly dealt with.
Cote S.,Morgan LM (2002).A longitudinal analysis of the association between emotion regulation, job satisfaction, and intentions to quit. Journal of Organizational Behavior vol 23, 947–962
Hackman, J. R., & Oldham, G. R. (1976). Motivation through the design of work: Test of a theory. Organizational Behavior and Human Performance, 16, 250-279.
Mount, M., Ilies, R., & Johnson, E. (2006). Relationship of personality traits and counterproductive work behaviors: The mediating effects of job satisfaction. Personnel Psychology, 59, 591-622
Organ, D. W., & Ryan, K. (1995). A meta-analytic review of attitudinal and dispositional predictors of organizational citizenship behavior. Personnel Psychology, 48, 775-802
Rafaeli, A., & Sutton, R. I. (1989). The expression of emotion in organizational life. Research in Organizational Behavior, 11, 1–42.
Rain, J.S., Lane, I.M. & Steiner, D.D. (1991) A current look at the job satisfaction/life satisfaction relationship: Review and future considerations. Human Relations, 44, 287–307.
Weiss HM, Cropanzano R. (1996). Affective events theory: a theoretical discussion of the structure, causes and consequences of affective experiences at work. Research in Organizational Behavior 8: 1±74.
Wegge, J., Schmidt, K., Parkes, C., & van Dick, K. (2007). ‘Taking a sickie’: Job satisfaction and job involvement as interactive predictors of absenteeism in a public organization. Journal of Occupational and Organizational Psychology, 80, 77-89