Assessment 1: IHRM

As a consultant in Ocean Airline, the purpose of this essay is to examine the airline to know
about culture, diversity management, international performance management, training and
development. The scope is the airline industry, and Ocean Airline belong to Viet Nam
airline industry. Ocean Airline operates out of Viet Nam and has subsidiaries in three big
city: Noi Bai Airport, Da Nang Airport and Tan Son Nhat Airport. Being a consultant in
Ocean Airline, the consultant is responsible for managing four concepts: culture, diversity
management, international performance management, training and development. Anyway,
the consultant have some limitations for being consultant. The consultant may not have
access documentary easily and limitation of time to deal issues. The essay will analyze
about four concepts of human resource management. After that, the consultant will
conclude solutions for four concepts then give recommendation and implementation plan
to get a best performance as much as can be.

Culture

Issues:
As a consultant of Ocean Airline, the consultant has identified two issues about culture.
Firstly, we had trouble in communicating between headquarters and the subsidiaries. It
means there is power distance in organization. Power distance between subsidiaries and
employees is one of the most internal factors to shape structure for an organization.
Hofstede described power distance as the extent to which the less powerful members of
institutions and organizations within a country expect and accept that power is distributed
unequally (Hofstede and Minkov, 2010). People are more power it means they are richer,
have more rights, obedience than others. If there is lower power distance cultures in
organization, members will be equal and have the increasing in decentralized actions.
Moreover, subordinates also look forward and have more exclusive right to be considered
by superiors. However, in a higher power distance cultures, inequitableness and
centralization become greater. Subsidiaries have less power than superiors because of
differences in salary, privileges and status symbols. According to (Jiing-Lih Farh, Rick D.
Hackett and Jian Liang, 2007) found that prevention of power distance culture in
organization make employees performance and productivity reduced. A low power
distance culture in an organization would be synonymous with more focusing on individual
workers. (Jiing-Lih Farh, Rick D. Hackett and Jian Liang, 2007) Moreover, it is more
emphatic on the training of employees and meet their obligations. (Jiing-Lih Farh, Rick D.
Hackett and Jian Liang, 2007)

Secondly, there is communication breakdown in organizational culture. Communication

between a subordinate and superior is the most important factor to decide and support for
the survival and success of an organization (Morrison, 2011). Subordinates having open
lines of communication with their superiors are more likely to identify strongly with the
organization (Bartels, Pruyn, de Jong and Joustra, 2007) and increase organizational
productivity (Tsai, Chuang and Hsieh, 2009). Relationship between subordinate and
superior is trusted to be the key dyadic factor in the organization (Basford, Offermann, &
Wirtz, 2012). Subordinates feel a sense of obstacle in upward communication is one of the
limitation of speaking up when putting a face with superior (Xu, Loi and Lam, 2015), or
with a superior who shows positive affect (Kumar, 2016).

Solution:
One of most important solution for improving communication among members in cross
cultural organization on being more befittingly and efficaciously is training. Moreover,
training would have reduced their precariousness and make them more comfortable in
organizations. This supports the importance of extensive cross-cultural training before
and during expatriates assignments (Jenkins and Mockaitis, 2010) (Vijaya and Tiwari,
2010) (Wang, 2008). Specifically, it should be contained theoretical knowledge about how
bigger cultural exemplars such as power distance, the communicative characteristics
impingement found in the legion of management praxis. Even more significantly, the
context should be comprised in trainings, hands-on training to assist expatriate directors
in increase practice combining knowledge with their own leadership style (Chudnovskaya
and O'Hara, 2016). Moreover, valuing upward communication restores employees
perceptions of equity by sending a message that the organization is willing to improve
processes and enhance human relationships (Goldberg, Clark and Henley, 2011).
Furthermore, when upward communication is worthy, this means that the organization is
encircling and is determining to incorporate diversity into its policies and praxis (Scott,
Heathcote and Gruman, 2011)
Diversity management

Issues:
The consultant has identified two issues about diversity management in case study of
Ocean Airline. Firstly, there is age discrimination in Ocean Airline. Companies which are
regroup or retrenchment, often support older employees for timely retirement instead of
assist them in getting a new job (Victoria Bsch , Svenn-ge Dahl and Dennis A.V.
Dittrich, 2009). If an organization happens ageism and age discrimination, it will be
opposite to human-centered on equal opportunities and risky for business productivity
(Kunze, 2010) and (James, 2013) At the workplace, age discrimination means not including
older workers from furtherance, training careers, receiving higher salaries, new technology
and exchange processes (Solem, 2016). Age discriminatory barriers confine the
consequences of supply-side management amendments destined to encourage older
workers (Neumark, 2016)

Secondly, there is discrimination with disable people in Ocean Airline. People with
disability have lower salary and fewer promotions than normal employees (Mukta Kulkarni
and K. V. Gopakumar, 2014). Specifically, employers may have ungrounded fears that
shackles of career origination from disable people (Mukta Kulkarni and K. V. Gopakumar,
2014). For example, they have negative thinking about productivity, turnover, relational
acculturation, and health care costs (Houtenville and Ruiz, 2011). People with disabilities
do not look for work-related support initiatively because they feel grateful for what they
have been provided form organization. Moreover, people with disabilities feel culpable in
asking others, and they attempt to trust in external and organizational help (Kulkarni and
Lengnick-Hall, 2011). These factors mean that disable people gain skills essential for
career progression (Kulkarni and Lengnick-Hall, 2011).

Solution:
Because people with disabilities have some problem with their health, they need to have
particular demands (Baumgrtner, Bhm, and Dwertmann, 2015), (Bhm, Dwertmann and
Baumgrtner, 2011). These demands can take many times to be fitted with consonant
accommodations such as working environment or flexible schedules (Bhm, Dwertmann
and Baumgrtner, 2013), (Wooten, 2008). According to (Schur, Kruse, Blasi and Blanck,
2009) provided evidence for the function of multi-culture for the job satisfaction of disable
people that the difference between people with disabilities and people without disabilities
diminished, this contraries to the increasing in the percentage of worksites in conditions of
equity and reactivity to employee interests. Moreover, (Wooten, 2008) as well as (Kulkarni
and Lengnick-Hall, 2011) underlined the momentous of organizational pliability for the
successful comprehension of people with disabilities. In addition, the investigation into the
role of an organizations sensed structural pliability as a potential delimitation in term of
human relationship between disability and job satisfaction (Baumgrtner, Bhm, and
Dwertmann, 2015).

International performance management:

Performance management is a critical aspect of organizational effectiveness (Gruman,
2011). Because it is the key process through which work is accomplished, it is considered
the Achilles Heel of managing human capital (Pulakos, 2009). However, less than a
third of employees believe that their company's performance management process assists
them in improving their performance, and performance management regularly ranks
among the lowest topics in employee satisfaction surveys (Pulakos, 2009).

Issues:
In Ocean Airline, the consultant has identified two issues. Firstly, there is a lacking in
performance appraisals for expatriates. (Luffarelli, 2015). Evaluating employee behavior
is a fundamental leadership task (Bernardin , Thomason , Buckley and Kane, 2016). Key
human resources procedures in organizations such as promotion, incentive defrayments
and layoffs are influenced by leader appraisals (Bratton and Gold, 2012). In addition,
manager review of employee behavior as a key factor, it is crucial to realize the level of
ratings reflect employee demeanor or whether they are influenced by leader elucidation of
such deportment (Schuh, 2017).

Secondly, the consultant has identified the lacking of compensation to motive employees
while the economic factors caused many difficult issues in living standard for people. From
HRM perspective, the success of an organization are dependent on compensation policy
(Dulebohn, 2007). The success in achieve goals planning related to magnetic and recruiting
labor is directly connected to compensation administration (Lin, Kelly and Trenberth,
2011). In addition, compensation policy mostly effect on the potency to motivate workers,
hold desired employees, encourage employee attitudes, behaviors, maintain organizational
relationship between subsidiaries and superiors (Hsieh and Chen , 2011). In the context of
compensation, these incentives take the form of short-term plans that link individual pay
to employee performance, such as commission pay, individual bonuses, merit pay raises,
and other individual incentive pay (Batt and Colvin, 2011) (Shaw, 2009) (Samnani, 2014).

Solution:
A constructive relationship between subordinate and supervisor performance reviews can
improve organizational performance (Yuan and Woodman, 2010). When employees
contribute the organization to develop its productivity and products, they desire and extend
their liabilities to relief the task weight on their colleagues and supervisors. Therefore,
employees desire and wait for being appreciated and compensated. In addition, in working
environment in an organization, employees trade conducts that are of advantage to the
organization and its colleagues for acknowledgement and higher reviews of their
performance (Shalley, Gilson and Blum, 2009). Moreover, committing in invention assists
employees build a good reputation, which may lead to beneficial comprehensions from
their supervisors and increment their performance appraisals (Pichler, 2012)
An organization can apply non-financial rewards to compensate for employees if the
organization has some trouble with finance, for more detailed: these non-financial rewards
are described as tangible rewards without monetary welfare (Chiang and Birtch, 2012)
Because of the difficult economic market, organizations have fewer financial resources,
assets to invest and benefits such as retirement policy plans, company cars (Xavier, 2014).
So, they are highly concerned about low- or no-cost benefits that motivate employees.
According to (Fang and Gerhart, 2012) in which they found that pay-for-performance was
associated with higher perceived autonomy and competence, which were, in turn,
associated with higher intrinsic interest.

Training and development

Issues:
The consultant has identified two issues in Ocean Airline. Firstly, there is the lack of
promotion and motivation to employees in Ocean Airline. Motivation in workplace plays
an important role in the positive relationship between superiors and subsidiaries, for
example: giving appreciate in the working context means recognize efforts, inputs, and
achievements (Jimnez, 2017). Human resource departments must feedback and review
about reward programs to ensure that employees desires for performance betterments,
employee satisfaction and dedication (Okioga, 2012), (Obwogi and Msengeti, 2015).
Motivation and promotion are the most important and crucial factors that affect behavior
and productivity of each employees as well as organizational performance and the role of
management create enthusiasms amongst colleagues to develop their potentials and skills
(Chaudhary and Sharma, 2012). Moreover, if potential employees are low achievement
tends, they will be poached by other companies (Marzouq, Mohammad, Mohammed, Nasri
and Alqaisieh Zeyad, 2016). Generally, motivations could be both financial and non-
financial, and they have great implications on individuals and organizations efficiency and
productivity, apart from that, nonfinancial recognition schemes can reinforce relationships
as well as stability of workforce (Marzouq, Mohammad, Mohammed, Nasri and Alqaisieh
Zeyad, 2016).
Secondly, there is the lack of training programs about the different amongst culture
countries. Training for cross-cultural mission must be an integrated approach which
focuses on cross-cultural knowledge, character formation, and the acquisition of
interpersonal and ministry skills that enable one to function effectively in a cross-cultural
environment, it means that training must focus on knowledge, character, skills for
employees (Wurtz, 2014).

Cross-cultural training has been one the most famous topics in expatriation research
(McGuire, Garavan, ODonnell, Saha, and Cseh, 2008), (Osman Gani and Rockstuhl,
2009). Intercultural training is one of the solution to reduce cultural effects and differences
because it helps people understand and self-conscious about cultural issues (Wurtz, 2014).
Individuals more aware of cultural matters and cultural differences may evaluate their
degree of adjustment, and other outcomes on a lower level than those less aware of them,
without the former being actually less adjusted than the latter (Wurtz, 2014).

Solution:
Motivation and incentives play a critical role in retaining high performer employees if the
organizations tend to grow and enlarge (Cran, 2012). An organizations often use
motivations especially internal one to raise employees ethics, dedication, allegiance
(Marzouq, Mohammad, Mohammed, Nasri and Alqaisieh Zeyad, 2016). Employee
Retention (ER) is a process in which the employees are encouraged to remain with the
organization for the maximum period of time or until the completion of the project
(Sandhya and Kumar, 2011). Retention is more important than other human resource
functions because talented and intellectual capitals never fall in shortage and if not satisfied
of current situations they are easily switch over to another of many choices (Marzouq,
Mohammad, Mohammed, Nasri and Alqaisieh Zeyad, 2016).

Recommendation:
Four concepts culture, diversity management, international performance management and
training and development with eight issues help the consultants understand more about
structural organization, international human resource management in Ocean Airline. The
consultant will give recommendation for each issue. Firstly, about power distance in
culture, all staffs and members will organize outdoor activities once a week at the weekend
during two months to connect and narrow gap between managers and employees.
Secondly, about communication breakdown in culture, organization should exchange
position of all staff and employees on outdoor days. This help people understand thinking
of each other and sympathize for their position. Thirdly about diversity management issues,
organization should promulgate regulations such as: if there are any discrimination in
working environment, they will be received that discrimination they treated with others.
Fourthly, about international performance management, Ocean Airline should reform and
issue a new survey feedback for everyone, in this survey, people can hide their name when
reviews and point out exactly how feeling, reviews, negative and positive problems.
Moreover, organization should have appreciate rules for potential people, give a table of
content of this and increase friendly competitive environment amongst people. Lastly,
about training and development issues, Ocean Airline should organize meetings once a
week for all staffs in three months. In each meetings, everyone will share about culture and
more understand each other. Moreover, the consultant give a recommendation for Ocean
Airline that organization should organize tea short break in 9am and 3pm in everyday to
reduce gap amongst people and solve all of survival issues.
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