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Page 1: How Does the Environment Impact a Public Organization

How does the environment impact a public organization?

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TABLE OF CONTENTSLIST OF ABBREVIATIONS............................................................................................................................. iii

ABSTRACT................................................................................................................................................... iv

1.0. INTRODUCTION...............................................................................................................................1

1.1. ENVIRONMENT............................................................................................................................1

1.1.1. LEVELS OF ENVIRONMENT...................................................................................................2

1.1.2. ENVIRONMENTAL ANALYSIS................................................................................................2

1.2. PUBLIC ORGANIZATION...............................................................................................................2

1.3. HR CONCEPTS..............................................................................................................................3

2.0. IMPACT OF ENVIRONMENT ON HRM..............................................................................................4

2.1. INTERNAL ENVIRONMENT...........................................................................................................5

2.1.1. Organizational culture.........................................................................................................5

2.1.2. Organizational Strategy........................................................................................................6

2.1.3. Organization climate............................................................................................................7

2.1.4. Organization structure.........................................................................................................7

2.1.5. Organizational resources.....................................................................................................8

2.1.6. Life cycle stages...................................................................................................................8

2.2. EXTERNAL ENVIRONMENT...........................................................................................................9

2.2.1. Legal environment...............................................................................................................9

2.2.2. Economic environment......................................................................................................10

2.2.3. Technological environment...............................................................................................11

2.2.4. Socio-cultural environment...............................................................................................12

2.2.5. Political environment.........................................................................................................12

2.2.6. Labour market condition....................................................................................................13

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2.2.7. Trade unions......................................................................................................................13

3.0. MANAGING THE ENVIRONMENT...................................................................................................14

4.0. CONCLUSION.................................................................................................................................16

References.................................................................................................................................................17

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LIST OF ABBREVIATIONS

HR Human Resources

HRIS Human Resources Information System

HRM Human Resources Management

HRMS Human resources management system

IT Information Technology

SWOT Strength, Weakness, Opportunities and Threats

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ABSTRACT

This paper explains how the environment impact public organization but specifically it is based

on the influence of the environment on the organization’s conflict, rewarding, motivation, human

resources planning, training, recruitment and selection. The paper also tried to explain how

managers can effectively manage their environment. In the paper there is a brief explanation of

all the concepts which are important including the definitions of environment, the classification

of environment, the definitions of public organization, organization’s conflict, rewarding,

motivation, human resources planning, training, recruitment and selection. In the main body

there is an explanation of how both internal and external environment have impact on the

organization’s conflict, rewarding, motivation, human resources planning, training, recruitment

and selection. Finally there is explanation on how managers can effectively manage their

environment.

    

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1.0. INTRODUCTION

The human resources management is the activities, policies, and practices involved in obtaining,

developing, utilizing, evaluating, maintaining, and retaining the appropriate number and skill

mix of employees to accomplish the organization’s objectives. The human resources practices

and programs are part of human resources management. The goal of HRM is to maximize

employees’ contributions in order to achieve optimal productivity and effectiveness, while

simultaneously attaining individual objectives (such as having a challenging job and obtaining

recognition), and societal objectives (such as legal compliance and demonstrating social

responsibility). Therefore in every organization human resources management is very important.

The Human Resources practices and programs in public organizations as well as the private

organizations operate in a complex environment. The environment which can impact the

organization Human Resources practices and programs can be from inside the organization or

outside the organization or both. The organization must give attention to all aspects of the

environment so as to minimize the impact the environment will cause to an Organization.

1.1. ENVIRONMENT

The environment refers to the range of internal and external factors/elements that affect or

influence the organization’s ability to achieve its objectives and human resources practices in the

organization. Understanding the Human Resources environment is essential as it helps in the

development of strategies in an organization so as to minimize the impacts that will be caused by

changes in the environment and maximizing the benefits of the environment they operate into. It

should be noted that the environment that affects human resources practices is always dynamic

and very difficult to predict. The analysis about the environment for which the organization is

operating is essential and should be continuous process because the environment is never static.

It should be noted that the environment is unique to each organization

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1.1.1. LEVELS OF ENVIRONMENT

The environment can be categorized into two levels/divisions. There is internal environment and

external environment. The internal environment can be defined as factors or elements inside the

organization which may impact human resources practices and programs. Examples of internal

environment include organization structure and size. The external environment is defined as

factors or conditions outside the organization that affects the human resource practices and

programs. Example of external environment is political factors and social factors.

1.1.2. ENVIRONMENTAL ANALYSIS

The environment is dynamic and not static. Organizations must conduct continuous analysis of

the environment so as they can cope with it. This involves analysis of both internal and external

environment. The purpose is to determine the impact of the environment on the organization’s

human resources management policies and practices. Environment scanning helps Human

resources managers become proactive to the environment which is characterized by change and

intense competition.

1.2. PUBLIC ORGANIZATION

The focus of this paper will be on public organizations only hence it’s important to understand

the meaning of organization and public organizations.

An organization is defined as a collection of people who work together to achieve a wide variety

of goals. Public organizations are organizations that are owned by the government either fully or

with majority shares with the goal of maximizing the affairs of its people (citizens). These

organizations are there mainly for the interest of the public. Unlike the private organizations

which mainly focus on maximizing profits and less focus on the interest of the public. The public

organizations do not aim to maximize profit rather the affairs of the citizens in the country.

Examples of public organization in Tanzania are TANESCO, DAWASCO and UDOM

(University of Dodoma).

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1.3. HR CONCEPTS

The discussion of the effects of environment on the human resources management in public

organizations will only be limited to organization’s conflict, rewarding, motivation, human

resources planning, training, recruitment and selection. The definitions of these human resources

practices are as follows:-

Organization’s conflict is defined as an incompatibility of goals or values between two or more

parties in a relationship, combined with attempts to control each other and antagonistic feelings

toward each other (Fisher, 1990). The differences between parties may exist in reality or may

only be perceived by parties involved. The conflict can be constructive or destructive depending

on the impact. The constructive conflicts lead to positive change while the destructive conflicts

lead to negative change. Managers should be aware of the different ways for resolving conflicts

such as problem solving, yielding, compromising, forcing and avoiding.

Rewarding is concerned with the formulation and implementation of strategies and policies, the

purposes of which are to reward people fairly, equitably and consistently in accordance with

their value to the organization and thus help the organization to achieve its strategic goals

(Armstrong, 2006). It deals with designing, implementing and maintenance of reward systems

that aim to meet the needs of both organization and its stakeholders. There are basically two

form of rewarding which can either be financial rewards or non-financial rewards. Example of

financial reward may include salary and bonus paid to employee while non-financial reward

promotion and becoming the employee of the year.

Motivation is concerned with the factors that influence people to behave in certain ways

(Armstrong, 2006). The three components of motivation as listed by Arnold et al (1991) are:

direction (what a person is trying to do), effort (how hard a person is trying) and persistence

(how long a person keeps on trying). Motivation can be described as goal-directed behaviour.

People are motivated when they expect that a course of action is likely to lead to the attainment

of a goal and a valued reward that satisfies their needs

Human Resources planning (HRP) is a process by which management determine how the

organization should move from its current manpower position to its desired manpower position

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(Mahapatro, 2010). Through planning, management strives to have the right number and the

right kinds of people, at the right place, at the right time, doing things, which result in both

organization and the individual receiving maximum long-run benefits. To be effective, a human

resources plan must be derived from the long-term and operational plans of the entire work

organization.

Training is the use of systematic and planned instruction activities to promote learning

(Armstrong, 2006). It helps people to acquire the skills necessary for performing jobs in an

organization. To see whether there is a need for training your staffs you need to conduct Training

need assessment. Not all reasons that lead to poor performance of the employees in are

organization is solved by training. The organization should analyze the situation through

organizational analysis, task analysis and person analysis.

Recruitment is the process of obtaining at minimum cost the number and quality of employees

required to satisfy the human resource needs of the organization (Armstrong, 2006). There are

mainly three stages of recruitment they include defining requirements, attracting candidates and

selecting candidates.

Selection is one of the stages of recruitment and it is defined as the process of selecting the best

candidates out of the pool of applied candidates. Recruitment and selection are two related

concept that is why most of the books put the two terms together.

2.0. IMPACT OF ENVIRONMENT ON HRM

The human resources management in public organizations is affected by internal and external

environments of organizations. The internal elements or factors include organizational culture,

strategy, structure, organizational climate, resources and organization life cycle stage. The

external contextual factors are legal, socio-culture, and political environments; trade union;

labour market conditions; technological and economic.

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2.1. INTERNAL ENVIRONMENT

These are forces internal to an organization. The internal environments have profound influence

on the human resources functions. The managers can control the internal environment in their

organizations.

The internal environment of the Human resources management involves the following: -

2.1.1. Organizational culture

The organization culture consists of the core values, beliefs and assumptions that are widely

shared by members of the organization. The organization culture is very important in any

organization because it provide employees with sense of direction and creates sense of identity,

orderliness and consistency. Each organization has its own culture that distinguishes one

organization from another. Culture is often conveyed through an organization’s mission

statement, as well as through stories, myths, symbols, and ceremonies.

Human Resources managers play an important role in creating and maintaining the type of

organizational culture desired. In public organizations the culture is almost uniform throughout

the public organizations therefore managers have little control over the culture of their own

organizations. However the human resources practices need to be implemented that best fit the

organizational culture. The organization culture may have impact of human resources programs

and practices as follows: -

Motivation: - The organizational cultures of the organization that are not supportive are not

considered as motivational. Therefore, a supportive culture as noted by Ritchie, (2000) is

considered as a motivational instrument which promotes the organization to perform smoothly

and ensure success in all its endeavors.

Conflicts: - The conflicts caused by the organizational culture are very common in public

organizations in Tanzania. There is often conflict between organizational culture and employee’s

altitude. For example personal goals vs. organizational goals.

Recruitment and selection: - The organizational culture impact the type of people recruited and

selected in public sectors. The procedures for recruitment and selection are not integrated on the

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culture of the specific public organization. They are almost common through all public

organization in Tanzania. Therefore impacting the type of people employed are not competent

and not integrated with the organizational culture.

Human resources planning: - Most of public organizations have a culture of taking human

resources planning for granted. Even if the manager has formulated policies that support human

resources planning process he may be discouraged due to lack of support from top management

of the organizations. This leads to high costs and loss of time when deciding to plan for short

term purposes.

2.1.2. Organizational Strategy

Strategies are the means to achieve the organizational objectives. An organization may have a

variety of goals or objectives, but for many public organizations, the major goal is to improve

performance through designing and implementing strategies. Strategy of a public organization

needs to be well planned. Well-planned strategy is a key to success. The human resources

practices should go in line with the strategies of the organization. When the strategies change the

human resources practices and programs must change too to cope with the strategy.

Conflicts: - The conflicts are mainly associated with unclear sense of direction in the

organization. If there is an incompatible strategy within the same organization the result is

conflict. The conflict can be triggered by organization strategy.

Human resources planning: - The Human Resources planning in public organizations is

affected by the organizational strategy as the managers have to plan for people who will help the

organization to achieve the objectives. For example if the strategy of the organization is to

improve information system then human resources planning for will focus on the people with

knowledge of computer information systems.

Recruitment and selection: - The recruitment and selection process must take into account the

strategy of the organization for example when the organization has the objective to improve the

information technology it must recruit and select people who are competent in information

technology.

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2.1.3. Organization climate

It refers to the prevailing atmosphere that exists in an organization and its impact on employees.

Organizational climate and organizational culture are closely related, but are certainly not the

same. Organizations have personalities, just like people (child, 1977). They can be friendly or

unfriendly, open or secretive, rigid or flexible, innovative or stagnant. When organizations fail to

make adjustments in their climate to keep up with environmental changes, difficulties are often

experienced. Therefore the human resources practices and programs may be affected as follows:-

Motivation: - The organization climate has great impact on the motivation of employees in the

organization. For example when there is a good relationship between employers and employees.

In public organization there is bureaucratic climate which reduce job satisfaction and motivation

of employees to work hard.

2.1.4. Organization structure

Organization structure describes the allocation of tasks and responsibilities among individuals

and departments; it designates the nature and means of formal reporting relationships as well as

the groupings of individuals within the organization. The organization structure also impacts the

human resources practices and policies as follows: -

Conflicts: - The organization structures of public organizations can lead to conflicts. The most

common conflicts caused by task interdependency, poor communication and incompatible goals.

The structure of public organization promote bureaucratic and also enhance conflicts among and

within public organizations.

Motivation: - The communication and relationship between the employees and employers is

essential motivator to employees. The structure of public organizations reduces the interaction

between employers and employees and also it’s too bureaucratic.

Recruitment and selection: - The recruitment and selection stages should involve all level of

the organization. The public organization recruitment and selection processes involve mostly the

top level managers due to the organization structure. The organization structures are not flexible

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and don’t allow involvement of lower level managers lead to poor recruitment and selection

process.

2.1.5. Organizational resources

These are financial and financial resources that the organization uses to accomplish the

organizational goals and objectives. The major resources used by organizations are often

described as follow human resources, financial resources, physical resources, and information

resources. All these resources are very essential for the fulfillment of the organizational goals

and objectives. They affect human resources practices and programs as follows:

Conflict: - If the organization has scarce resources and the public organizations tend to compete

for the scarce resource the government have because they depend on funds from the government.

This may generate conflicts as organizations and departments compete for resources.

Rewarding: - The scarcity of resources always limits rewards an organization can provide to the

employees especially financial rewards and other benefits. When the government has limited

resources the public organizations also gets insufficient funds leading to organizations reducing

financial rewards such as bonus.

Human resources planning: - The human resources planning require adequate financial

resources and expertise. In public organizations the resources both financial and non-financial

are not adequate enough to support Human resources planning.

Training: - The training programs also require resources to be conducted. Most of training

programs require payment of certain amount of money. Public organizations mostly lack enough

financial resources to cover the training costs.

2.1.6. Life cycle stages

Organization life cycle stages direct attention to the changing managerial priorities that

characterize organizations in various developmental stages such as start-up, growth, maturity,

and decline and revival. The human resources management practices usually go in line with the

life cycle stages especially recruitment and selection.

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Recruitment and selection: - The recruitment and selection should match the types of

employees who best match the needs of organizations in various life cycle stages. For example

during the startup stage the organization recruit few people so as to get profit from the services

they offer.

2.2. EXTERNAL ENVIRONMENT

As defined in the introductory part the external environment is environment outside the

organization that impacts the human resources management policies and practices. The external

environment is made of range of factors/conditions that are found outside the organization.

External environment is made up by forces/elements outside the organization which are beyond

the control of the organization. An organization cannot influence the elements in the macro

environment, thus it adapt or cope with them.

2.2.1. Legal environment

Legal environment is closely related to political environment and in some books it is treated as

one factor. Legal environment governs the relationship between an organization and its

stakeholders such as competitors, customers and suppliers. The organization must observe the

legal dimensions of the country. For example in Tanzania may include organization licensing

regulations, competition law, employment law, contract law and taxation policy.

Legal and regulatory environment affects human resources management. Each of the functions

performed in the management of human resources is in some way affected by laws and

regulations. Any public organization must abide with the laws and regulations of the country to

operate their human resources functions. The legal environment affects the following

organizations Human resources practices as follows:-

Conflict: - The laws and regulations of the country may results into conflicts in the public

organizations. This is evident mostly in laws and regulations relating to rewarding of employees

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in public sectors. For example doctors conflict with the government on their salaries in the year

2012.

Rewarding: - The legal framework impacts the rewarding in public sector organizations in

Tanzania especially financial reward. The public organizations must abide with the laws and

regulation of the country. Thus reducing the flexibility of public organizations to set their

internal policies pertaining reward because the rewarding cannot be generalized among all public

organizations. For example rewarding policy for professors in public sectors is provided by the

legal framework in Tanzania.

Recruitment and selection: - The public organizations must abide with the laws and regulations

that affect the recruitment and selection procedures. For example certain posts in public

organizations involve appointment by the president such as Board of Directors for central bank.

So human resource in the organization may not have power on the recruitment and selection of

the people in the organization.

Training: - The policies in the organization related to training must abide with the legal

dimension of the country. The laws and regulations can impact the policies of the organization as

they may have little control on deciding their own means.

Human resources planning: - The Human Resources planning is affected by legal framework

such as labour laws. The human resources managers in the public organizations must consider

legal dimensions of the country when planning the human resources.

2.2.2. Economic environment

The economic condition of the country involves things that affect the purchasing power people in

the country. The economic environment includes aspects such as government economic policy

(actual and expected), level and rate of growth of income, Gross National Product (GDP),

inflation rates, interest rates and availability of loans/credits, unemployment levels, tax rates and

exchange rates.

The economic environment in the country impact the human resources practices as follows:-

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Human resources planning: - The human resources planning can be affected by economic

environment because the environment can dictate whether a public organization will need to hire

or lay off employees. The excess demand typically results in low unemployment while excess

supply typically results in high unemployment. For example high inflation can dictate firms to

lay off their workers hence affecting the Human resources planning

Rewarding: -. Rewarding is also affected by the economic condition of the country. They also

affect public organization’s ability to increase employees’ pay and/or benefits. For instance

during inflation public organizations are required to cut down their costs by the organization

resulting to low wages and reducing other financial rewards.

Recruitment and selection: - When the labor supply is tight, public organizations use more

expensive and intensive recruiting methods, increase the geographic scope of their recruitment

activities, and simplify the selection and recruitment procedures. For example when the

unemployment level is low the public organization must simplify their recruitment and selection

procedures.

Conflict: - economic conflict involves competing motives to attain scarce resources. Each party

wants to get the most that it can, and the behavior and emotions of each party are directed toward

maximizing its gain. Most of public organizations depend on the funds from the government so

in a situation where the funds are limited there occurs conflicts between organizations as well as

within the same organization depending on the allocation of funds.

2.2.3. Technological environment

Technology refers to applicability of knowledge and tools to solve problems and achieve more

efficiency. Only through technological innovation can public organization develop new

products and services and improve existing ones in order to stay competitive with the

private organizations. The pace of technological changes has impact on the human resources

management functions.

Advancement in Human resources information system has enabled firms to take advantage of the

information explosion. With computers, unlimited amounts of data can be stored, retrieved, and

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used in a wide variety of ways, from simple record keeping to controlling complex equipment.

The technology has impact on human resources management in public organization as follows:-

Recruitment and selection: - The introduction of advanced technology affects the number

of employees as well as the skills public organization need on the job. Therefore the job

descriptions have been changing to cope technological environment.

Human resources planning: - In particular, technological advancements have tended to reduce

the number of jobs that require little skill and to increase the number of jobs that

require considerable skill. Therefore the human resources planning of public organizations are

affected by technological environment.

2.2.4. Socio-cultural environment

This environment is made up of a range of values, beliefs, attitudes, customs, lifestyles, fashion

and social orientations which characterize societies or social group. These factors will heavily

influence human resources in public organizations because the socio-cultural environment is

always dynamic. The socio-cultural environment affects and influences the human resources

practices. The socio-cultural environment affects the human resources practices as follows: -

Conflict: - The incompatibility in ways of life, ideologies, preferences, principles and practices

that people believe in lead to conflict within the public organization. For example wearing styles

of employee can trigger conflict with other employee

Motivation: - Different people from different cultural background may perceive motivation

different. A person from certain cultural background can be motivated differently from a person

from other cultural background. For example job security is not a motivator because they have

other reliable sources on income.

2.2.5. Political environment

Political environment involves the political character of a government and political changes. The

government controls and intervene public organizations in most of developing countries. This

affects the internal management of the organization affairs. Most developing countries have

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fragile political systems which impact human resources practices and programs. The human

resources practices and programs are affected by political environment as follows: -

Conflicts: - The interference of independency of public organizations creates conflicts in the

public organizations. The political parties also have created a lot of conflicts in public

organizations as employees are of different political ideologies.

2.2.6. Labour market condition

The labour market is the geographic area from which an organization recruits employees and

where individuals seek employment. In other words, it is the area in which the forces of supply

and demand interact. The labour market is often different for various employee groups within

public organization. The number of workers available in the labour markets and the demand of

workers in the organization affects the human resources practices and programs as follows: -

Rewarding: - The public organization human resources management practices and programs are

affected by the labor market conditions. Those types of employees that fall under the labour

market conditions with low supply but demand are usually given high rewards irrespective of the

policies in the organization. For example an accountant who holds Certified Public Accountant is

few and the public organization pays high rewards compared to accountant without Certified

Public Accountant.

Human resources planning: - The demand and supply of labour in the market affects human

resources planning. The demand and supply of labour in the market is not static. It is always

changing therefore human resources planning is affected and public organizations have to

continuous plan for the human resources.

2.2.7. Trade unions

The trade unions is the organization of workers who have united together to achieve common

goals. The common goals may include achieving higher pay and benefits, improving working

conditions and health care. The trade unions play role in collective bargaining of the issues that

are affecting them. They also impact the public organizations on the following issues: -

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Conflicts: - they usually lead to conflict with the public organizations. For example Tanzania

Teachers' Union (TTU) had conflict with the government about the poor working conditions of

teachers in Tanzania.

Training: - These unions sometimes force the public organizations to take their employees

through training. So as to improve the skills and knowledge of the employees and to facilitate

development of their members.

Rewarding: - The trade unions also impact the rewarding as they usually bargain with the public

organizations on the bargaining of the financial and non-financial rewards. For example

Tanzania Teachers’ Union has forced the government to increase the salaries for teachers in

Tanzania on 2012.

3.0. MANAGING THE ENVIRONMENT

As discussed the internal and external environment impact the human resources management

practices and programs. The human resources managers and other managers in the organization

have to know different strategic ways by which managers can effectively manage the internal

and external environment. The following are the ways through which managers can effectively

manage the environment affecting his or her organization: -

Environmental analysis: - the managers should be aware of how to conduct continuous

environmental analysis so as to discover early any threats that will impact the human resources

practices and programs before it has actually occurred. This will enable the managers to develop

strategies that will help him to minimize the impact. For example managers can continuous

checking for the changes in pace technology.

Human resources practices and programs should fit the organization strategies: - There are

impacts associated with the inconsistence between human resources practices and organization

strategies. Managers should be flexible to change their practices and programs to reach the

common goal and to minimize conflicts caused by incompatible goals. For example if the goal of

an organization is to maximize sales, recruitment and selection process should aim at finding the

best marketing managers.

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Managers have to observe inter alia the legal dimensions: - In terms of licensing, business

regulations, registration, and revenue authorities. This will reduce the impact of legal

environment on the human resources management. For example managers of an organization

should cope with the Employment and Labour Relations Act, 2004 such as employment

standards.

General acceptable culture: - The managers should develop the general accepted culture of the

organization. This culture will be enforced to all organization members so as to bring people

together into the same boat. This will help to minimize the impacts associated with cultural

differences on human resources management practices and conflicts. For example general

accepted dressing code.

SWOT analysis: - The managers should conduct SWOT analysis to identify strength, weakness,

opportunity and threats. Strength and weakness are measured from the internal environment

while the Opportunities and threats are measured from the external environment. The managers

can then develop plans on how to minimize threats while exploiting opportunities that are in

front of the company. For example the manager identify that their staffs have obsolete skills he

can decide to train them so as to reduce the impact they will cause at the same time increasing

the competence of workers.

Internal mobilization of resources: - The managers should find means of an organization to

mobilize their own resources and reducing dependency on the external sources. This will enable

the organization to make their own human resources management decisions without any

interference that may impact the HRM practices and programs. For example the organization can

construct houses for rent which will provide continuous flow of money to their organization.

Accept changes: - The managers are supposed to be flexible and easily cope to changes. The

external environment is uncontrolled by the managers of the organization. The managers have to

be flexible to cope with immediate changes so as to reduce the impact of the environment on the

HRM practices and programs. For example growth of IT in Tanzania can necessitate the

managers to adapt to human resources information systems.

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Cooperation and Participation of employees: - The managers should increase cooperation with

the employees and trade unions. This will enable the managers to negotiate different matters with

their employees and trade unions which reduce conflicts and other negative influences on HRM

practices and concepts. Due to the development of technology there is a development of HRMS

that foster cooperation and participation of employees at all levels in the HR practices and

programs. Human Resources Management System (HRMS), defined as an information

management system accessible to staff at all levels, designed to ensure that the organization’s

human resources are recruited, selected, developed, employed, deployed, and supported

effectively. For example managers can sit together with trade unions and employees and

negotiate on matters regarding rewarding and training programs.

The use of Human Resources Information Systems: - A computerized system used to collect,

record, store, analyze, and retrieve data pertaining to an organization’s human resources. The

HRIS will help the managers to monitor their human resources practices easily and effectively.

Reducing impacts caused from internal environment and external environment. For example

HRIS helps managers to tracking statistics on absenteeism, grievances, and health and safety that

will enable him to make decisions on policies and practices to be adopted.

Methods for Resolving Conflicts and Disputes: - Conflicts in any organization are inevitable.

Managers should be aware of different ways of resolving conflicts depending on the situation.

The managers should be equipped with these methods at all times because conflicts are most of

the time destructive. This will create harmony and favorable working environment in the

organization. For example managers should be aware of different ways of managing

interpersonal conflicts such as problem solving, accommodative, forcing and avoiding.

Communication: - The managers should design an organization structure that will promote

effective communication of employees. The structure should make it easy for the communication

process between the top managers through lower level managers. For example decentralized

organization structure that not only promote communication but also participation of the

employees.

4.0. CONCLUSION

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For any organization whether large, medium or small, the managers should consider the

importance doing continuous environmental analysis. The managers should analyze their

surrounding environment both internal and external to identify their strength, weakness,

opportunities and threats.

References

Armstrong M. (2006). A hand book of Human Resource Management Practice. Prentice Hall.

Arnold, J, Robertson, I T and Cooper, C L (1991) Work Psychology, London: Pitman.

B.B Mahapatro. (2010). Human Resources Management. New Delhi: New Age International

(P) Limited, Publishers.

Bulmash J, Chhinzer N and Speers E. (2010). Strategic Planning for Human Resources.

McGraw-Hill Ryerson Higher Education.

Child J. 1977. Organization. New York: Harper & Row

Fisher, R.J. (1990), The social psychology of intergroup and international conflict resolution.

New York: Springer-Verlag.

Jackson S and Schuler R. (1995). Undestanding human resource management in the context of

organizataions and their environment. Anna Rev. Psychol. No.46, Page 237-264

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