Solution
Table of Contents
1.1 External influences impacting/likely to impact organisation activities. 2
1.2 Organisation business goals; Importance of organisations planning. 3
1.3 Organisation products and/or services and main customers. 4
1.4 Technologies for people professionals. 4
2.1 Organisational culture; importance for fostering appropriate and effective workplace culture. 6
Definition of Organisation Culture. 6
Importance of Organisation Culture. 6
2.2 Organisations as whole systems. 7
3.1 Importance of planning for organisational change and effective management 8
3.2 Nature and importance of different roles played by people practice professionals. 9
3.3 Organisation change impact people in different ways. 9
Employees behaviours in change. 10
1.1 External influences impacting/likely to impact organisation activities
In order to analyse external influences impacting (likely to) activities in an entity, PESTLE analysis can be used. This tool focuses on Political, Economy, Social, Legal and Environment (see summary in appendix 1). According to CIPD (2021) this tool is applied in varying situations for guiding people professionals and senior management in strategic decision making process. Considering SAMACO organisation operating in Saudi Arabia (KSA) automobile sector, factors which impact their activities include;
Economic- In S&P Global2022) report, it had projected a significant growth of the KSA economy at 7.6% in year ending 2022 and 3.7% in year 2023. This is with total revenues including oil income dropping in year 2023.
This factor has had an impact on SAMACO profits. This is since the organisation has not been in a position of achieving an increased leverage on new markets which and their operations in their area of operations. Also, due to the economic challenges, there was a policy change in VAT for new vehicles increasing to 15% from the initial 5% (Consultancy-me.com, 2022).
This would positively impact the SAMACO organisation operations in terms of capitalising in new market in KSA by increasing on their profitability. This has equally had implication on SAMACO as there has had immense challenges targeting new markets and engaging new partners.
Technology- This factor is identified as the extent in which AI, Robotics and Automation impact on jobs and the future of working. In Arab News (2022) report, KSA government spend in the area of technology is the most enormous internationally standing at 22%. This is with the entire volume exceeding $40 billion. Hence, for SAMACO, their operations are supposed to be anchored on technology as a best practice. For instance, the organisation has been prompted to offer training and development opportunities for the employees understanding on the use of technologies. This is for making sure they are leveraging on new technologies. Also, recruiting the employees who are technology savvy has been a new trend for SAMACO.
Further, In KSA business environment, Millennials and Generation Z represent the majority of the working population at 60%. Hence, as evidenced in SAMACO Motors (2022) SAMACO invests in offering the vehicles which are preferred by this generation by being technology-based.
1.2 Organisation business goals; Importance of organisations planning
For SAMACO business goals, they influence the quality of vehicles, users safety and entire quality. Also, in regard to the hybrid and electric vehicles supply/demand, SAMACO make sure they are investing in modernised technologies.
In summary, the goals of SAMACO include;
- Maintaining satisfactory returns to their different shareholders
- Retention of highly loyal clients through granting them with delightful experiences
- Striving for exceeding the entire expectations for their different international partnerships goals
- Employees motivation through development of an atmosphere fostering challenges, learning and personalised growth
According to Grainger-Brown and Malekpour (2019) holistic organisation planning to achieve the goals is critical. This is while pursuing a holistic evaluation of the organisation practices, highlight on areas to improve and measures put in place to achieve financial targets and dominating their markets. For SAMACO, the importance of goals planning are;
Resources Allocation- For SAMACO activities, quality data and professional data imply that relevant resources are offered for achieving varying organisation goals. Therefore, planning make sure there is an appropriate budgeting of resources for meeting all goals.
Prioritising the different Goals- By planning appropriately, this influence capacity to establish a good technical database to manage entire issues which impact the organisation. The various goals earlier noted are differentiated for the success of the organisation.
Managing risks and uncertainties- From the time of COVID-19 emergence, SAMACO has significantly been impacted by issues which affect their practices. The goals successful achievement are identified for ensuring successful operations.
Increased collaboration– For the identified goals, through an involvement of expertise and all stakeholders, there is a possibility for success in executing their roles. For SAMACO, they make sure they capitalise on market dominance and acquiring profits.
1.3 Organisation products and/or services and main customers
Considering people practice professionals, noting on products and services offered by an organisation is essential for implementing their roles. In CIPD HR Professional Map, this represent core knowledge for recognising people practice professionals in their practice (CIPD, 2022). The different products and services for SAMACO are;
- Providing modern cars– Considering this product, SAMACO make sure their vehicles are inspected in terms of their ability to be computerised and effectively achieving their goals. This is with the vehicles being operated by modern data, appropriate products and services quality and practices. This represent 70% of the entire SAMACO products.
- Real-time Data– SAMACO engages in partnership with KSA Ministry of Transport and Infrastructure for ensuring that their vehicles are installed with up-to-date information and cameras with sensors to scan their vehicles. Efficiency is harnessed to integrate using of technology for the customers vehicles.
- Insurance Cover offered– This include 60% of overall revenues and profits of the organisation. By partnering with other financial institutions, they grant insurance and financial assistance informed by demand. Certifying their vehicles guide the level of quality expected to be achieved by the organisation.
For SAMACO organisation customers, they are;
SAMACO primary customer include the different car buyers and owners. Considering the 2021 data in CEIC (2022) there were a total of 556,559 vehicles as of December 2021 which is more than 452,544 in the previous year. Further, in Saudi Arabia, annual sales account for more than 500,000 vehicles. Further, owing to the increased popularity of ride-hailing cabs, they are upward of 15 million cars in Saudi Arabia. These forms main SAMACO clients.
Also, SAMACO is engaged by federal government in KSA where they order upto 200,00 vehicles every year. Through partnerships with the country administration, they are appropriately positioned in performance improvement. Further, an increase in motorcycles similarly grant a chance for SAMACO improving their practices.
1.4 Technologies for people professionals
For a successful operations of people function, they integrate technologies core for guaranteeing awareness of successful roles implementation. Considering the CIPD HR Professional Map, technology and people is ranked as a core knowledge (CIPD, 2022a). This improve how agile and productivity of workforce and collaboration of their practice. As evidenced in CIPD (2022b) with the demand for remote working increasing, there is a need for organisations to appropriately invest in technologies holistically.
Also, technologies such as Artificial Intelligence, Robotics and automation of job functions and future-based job roles is essential. For improving operations and collaboration, technology to be used include;
Internet- Through a successful embrace of internet, employees readiness in accessing information and communication with the rest and using different HR solutions is successful (Efthymiou et al., 2020). For instance, SAMACO use the internet to increase products and services awareness through a holistic interaction with clients both local and international. Their entire payroll and employee data recording and management is used, empowering people practice teams and data compliant. Also, reports and performance data are used appropriately and effectively.
Human Resource Information System (HRIS)- Previously, before the rise of ERP and HRIS systems applied for modern data processing, CIPD (2021a) argued that organisations had been relying on physical data storage stored in files and paperwork. Further, the technologies applied by people practice professionals are in the areas of resourcing, performance appraisals, training and development and more. Apart from keeping records, HRIS is important for compliance with legislations and efficiency in time savings and resources use. The strength of this is to promote the demand for guaranteeing effective excel data analysis by appropriate plans simplified.
Electronic Resource Planning (ERP)- This is a technology type which is used to manage employees information and data. As evidenced in Menon (2019) the importance of using technologies is for ensuring employees data can be accessed and effective management. People function is able to use the technology for planning, forecasting and budgeting for their staff. This is while ensuring they manage employees payslips, recruitment/selection process, L&D strategies and appropriate workflow plan. The advantages of this entail high-level efficiency, immense saving of costs, streamlining their operations successfully.
2.1 Organisational culture; importance for fostering appropriate and effective workplace culture
Definition of Organisation Culture
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