HRM- Assignment 1(individual)

Q1. Go through any newspaper in Malaysia and cut-out the following:

 One position vacant advertisement that you think is a good ad

 One position vacant advertisement that you think is a bad ad

A good job vacancy advertisement is one which contains details information about the vacant
position, the employer’s current position, a basic job description and a list of required
qualifications. The advertisement should be like a window to the potential employer’s
company to the applicants.

Below is an example of a position vacant advertisement which is good according to my

opinion.

First of all, I consider this as a good advertisement as it clearly tells applicants about their
potential employer’s business background, its current market status and a bit of its success
stories and gives an impression why people should be coming to work for them.

Then it tells the potential applicants exactly what the job is all about. There are details of
the exact level of responsibilities and main duties. This advertisement also makes the job
look challenging and future opportunities.
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This advertisement also includes all the skills, qualifications and attributes needed to fill this
vacancy and a clear guideline of how to apply for the job.

Here is another advertisement I’ve found in a newspaper which I think is a bad

example of vacancy advertisement:
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Q2.

i. List the elements in the company’s environment that will affect Scott’s suggested
plan. How legitimate is the interest of each of these?

Answer:

The elements in the company’s environment that will affect Scotts suggested plan include
stakeholders of the company (International Forest Product). Stakeholders are individuals and
group of people who are directly or indirectly affected by a company’s decisions, activities
and on the contrary- the company can also be affected by these stake holder groups in certain
ways.

In this scenario, the following elements will affect Scott’s suggested plan:

The Employees

First of all the 30% senior employees who will possibly get laid off and their families and
dependants will be directly affected by Scott’s suggested plan. As a result the remaining
employees may feel insecure and scrutinize management’s decisions which may harm the
company’s normal activities.

The Union

The Union will obviously try to protest against this decision and try to save as many jobs as
possible. But since it’s a big layoff plan- Scott should include the union before finalizing any
preparing this plan.

The Surrounding Community

As IFP is the largest employer in Ouachita County and there are not many alternative jobs
available the economy will be greatly affected by the layoff plan. According to Scott, the
economy of Ouchita was already going bad and if 30% of employees get laid off the whole
community will slip further deeper into the already running recession. So the local
government officials and civic leaders will have to be convinced Most of all, this plan if not
prepared properly can ruin the company’s image as socially responsible.

The Competitors
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This suggested lay off plan will affect IFP’s competitors as it will help IFP to reduce costs
and fight back in the recession hit market. As one of the company’s competitors had already
laid off several hundred workers- IFP also must make sure that their costs are as its
competitors. Otherwise, soon it may go out of business.

The Customers

The customers of IFP will be benefitted with lower prices as a result of any cost cutting
move- no matter how hard the choice is. Furthermore, customers will be happy to remain
loyal with the company and will be able to avoid any possible switching costs.

The shareholders

And above all, the shareholders will be affected by the suggested layoff plan. If the company
decides not to cut cost by sacking employees, soon it will be out of competition as the
competitors were cutting costs. If the management decides to implement the suggested plan
shareholders might ask questions regarding company’s social liabilities.

ii. Is it true that Scott should be concerned first and foremost with protecting the
interest of each of shareholders? Discuss.

Any business has to make sure that their shareholders get return on their investments to
survive. Although shareholders may raise questions regarding social responsibilities but
end of the day the top priority will always be getting profit out of the business. So I think
it is justifiable for Scott to be concerned first and foremost with the interest of the
shareholders.

If shareholders don’t manage to get any returns from their investments in a company-
then there is no reason that they will want to invest in it anymore. So, the company must
always give the highest priority to shareholders’ interests.
HRM- Assignment 1(individual)