Human Resources China

Human resource issue for small business

admin — Thu, 05 Apr 2012 18:33:09 +0000

It is not with the idea of managing people that any entrepreneur ever gets into the field of business. For this reason the area of least expertise, that an entrepreneur and specially the small time ones have, is the area of human resource management. This field is a science or art of its own as the case maybe. It is also a necessity in any organisation be it a business venture or a non commercial venture also. One cannot overlook this aspect under any circumstance.

A few of the areas which require special attention could be summed up as the compensation and benefits that are given to its employees. These two aspects can be described as the point of sale displays while marketing the strong points of the company. If one wishes to attract the best employee then one must also be able to provide them the best salary that is prevalent in the market. Employees do not give it a second thought when it comes to switching jobs when faced with a better financial proposition. Similar to the uncaring attitude of the employer towards an employee not performing per standards expected.

It is however also of utmost importance to be aware of the source for good employees. There are lots of portals and real time locations which claim to have the contact addresses of the right staff for all types of jobs. One needs to be able to sift through such sources before deciding on one to be the best.

After having recruited, it is not only monetary gain that the individual employee is looking for; job satisfaction also plays an important role as do recognition at job place play. For all this the employee has to be trained about the ongoing work process of the organisation. Training and updating of the same at regular intervals also play an important role.

If a small organisation can cater to these aspects of human resource in its jurisdiction, the work is quite well done, it can be concluded.

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Chinese Checkers

admin — Thu, 08 Mar 2012 13:03:08 +0000

Walk into any store and chances are that more than 60% of the stuff on the shelves would have been made in China. I remember the first time I heard about things made in China and how cheap they were. For the price of an average cell phone today, you were promised a car! Of course, not all of it found a way to the international market as most companies made a beeline to cash in on the new economy, the cheap labour and lower cost of production. In an economy where earlier farm workers formed the chunk of labour, emerged a new class of educated youth who were willing to take on the world.

The flip side of such development and the opportunities that were opened up was that the term attrition took on a whole new meaning. People switched jobs at the drop of a hat. And jobs were aplenty. HR departments faced a new challenge in retaining staff they spent time and money to train. Such a trend often hits the company’s bottom line image and quality particularly when there is such a mass exodus of people.

In an effort to fill up vacancies that cannot lie vacant, HR departments are forced to recruit people that they would otherwise reject. People who are not exactly top of the shelf in their chosen field of occupation affect the company in ways that show up long after. No doubt, recruitment agencies go all out to poach an ideal candidate from a rival company and organisations, aware of this trend and often practiced by themselves, go all out to retain the best talent. This often comes at a price – usually a higher bonus or remuneration. This compromise chips away at the very basis on which companies came to set up shop here. Unless there is a well laid out policy to prevent such an exodus, it could well backfire.

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Chinese woman marries English man: simple? Hardly…

admin — Thu, 09 Feb 2012 14:33:05 +0000

If you’ve never been to China, it’s hard to fathom just how different it is from most other countries. On the surface there are the obvious things – the language, the cultural facts that most of us are aware of – but beneath that are a myriad of other things which one cannot experience unless they actually spend time with the Chinese.

A friend of mine recently married a Chinese woman, and although their relationship was easily cemented in China with a proper legal process recognised everywhere, when it came time for her to move to the UK and work for good, things became very tricky indeed. Blame it on David Cameron and his cohorts, or blame it on the state of modern politics. Whatever the case, the problems began well before she obtained the right to live in this country. In fact, they started sometime before Christmas 2011 when she requested – along with her husband’s family – to come to the UK to spend just a couple of months.

Her first two applications were turned down, and it wasn’t until the adopted family hired a solicitor that things really started to get moving…

Dan Xu (pronounced Dansu) had skills with data quality tools – something that would easily be of help when negotiating the UK job market – and so her adopted family first thought that it might be a struggle, but not too hard to get her there for Christmas…

…Turns out it was anything but. In fact, it took thousands of pounds and a great deal of paper-work to even get her case heard. Her first two applications were turned down, and it wasn’t until the adopted family hired a solicitor that things really started to get moving. Is this uncommon? No. Sadly it’s a testament to where the UK government stands right now on their hardcore attitude to anyone visiting from outside the EU. Throw marriage into the situation and you have a problem with no sure answer. A problem which many people experience daily, yet all are alone with dealing with themselves.

For something the government probably don’t want you to see, watch the video…

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Skills Shortage in the World’s Most Populated Nation

admin — Tue, 24 Jan 2012 15:03:03 +0000

As the most densely populate country in the world with mandarin being the most widely spoken language on the planet China is not surprisingly a powerhouse to be reckoned with. These solid credentials coupled with the enormous struggles that the established world economies of Japan and American have experience of recent years, have led to China emerging as what is termed a ‘BRIC Economy’. BRIC is an acronym that encompasses the countries of Brazil, Russia, India & China. These countries in particular have been grouped together as they are widely acknowledged as similarly poised ‘new’ economically developed countries.

Over the last decade China has begun to rapidly develop, it is now the fastest growing economy in the world. Being the worlds most populous nation inevitable helps, there are an over abundance of consumers that businesses can cater for, from family solicitors to thriving local shopping centres, mobile phone firms to schools and hospitals and so forth.

Surprisingly however it has been well reported that China is experiencing a skills shortage and is unable to meet the demands of supplying able personnel to the many companies moving in to China and looking to hire within Asia. For instance with the explosive growth in industry has come the need for a better and more advanced travel infrastructure which includes plans for high-speed rail networks, as well luxury shopping centres, new corporate offices and of course housing. Subsequently there has been an increase in demand for skilled architects and designers, a skill that the Chinese workforce has fallen short of producing.

The considerable language barrier is of course a huge problem in recruiting from the Western world populous, however if you are willing and able to master the language and cultural changes, taking a job offer up in China could pose very rewarding benefits!

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Challenge for Talent Retention in China

admin — Wed, 11 Jan 2012 13:33:04 +0000

China is one of the fastest developing countries in the entire world. Instead of being the hot destination for outsourcing and home for the largest population in the world, China lacks the qualified talent required to meet the demands of foreign employers As a result of talent shortage, skilled workers find it extremely easy to hop on from one job to another resulting in high attrition rate. Therefore, top MNCs in China site human resource challenges, i.e. attracting and retaining trained employees as their top concern.

Given the cut-throat competition in the global market, companies in China need to think beyond the ‘talent-crisis” and focus on long term goals for their improvement. Companies should find out ways of building an efficient work force that grows and evolves with the changing needs of their businesses. Over the next few years, it is important for Chinese MNCs to change their HR strategies and train their employees to become as efficient as Savile Row tailors.

For most of the Chinese companies solving talent crisis means throwing more money for the desirable employees and retaining them. This often results in promoting an employee beyond the success level that he/she deserves. Many companies focus on performance instead of paying any attention to training and learning. This is because, most companies in China still believe in ‘buying'the talent rather than ‘building'it.

Companies should change their HR strategies and opt for a total reward strategy for their employees that should include good pay along with training, career development opportunities and other incentives. Such a strategy helps by taking into account employee’s career development, which is the most effective retention factor for manpower in China.

If most of the MNCs in Chins opt for this total reward strategy and make the required changes in their HR processes, the scarcity of talented human resource will become easy to deal with.

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Unemployment Spread

admin — Fri, 25 Nov 2011 18:03:30 +0000

After its economic boom in the last decade, China is slowly losing its economic strength when it became clear that demand for goods manufactured in the country is reducing. Major consumers of Chines goods, American and European markets, are suffering from significant problems in the areas of customer satisfaction and buyer power which reduces the ability to purchase Chinese goods. The shrink in markets also contributed to the unfavorable economic conditions in the country and China suffers billions of losses almost every week due to the unstable financial markets. The consequences - unemployment rise and inefficient human resource improvements in the country.

The sector that seems to be hit the most in terms of human resource efficiency is the primary industrial sector. Large scale resource production and the manufacturing of the heavy industry is suffering from significant problems. Reuters indicates that some 100,000 jobs are lost in the sector in last quarter highlighting the fact that the Chinese economy is decaying. Furthermore, the problems arising from international reduction of demand force many high skilled workers in the country to immigrate to more favorable destinations such as Australia and Japan. The mining industry, particularly strong in China, is also losing quite significant human resource as thousands have left the sector due to unfavorable employment conditions as a result of the economic climate in the country.

The secondary industry is also losing its strength in China. Even though the country produces fabrics and clothing for almost the whole world - from custom suits to designer clothing, the problems related to the economic climate drive employers to make significant cuts. Unemployment among the sector is increasing and people who have been relying on the industry are now losing their jobs. Thousands have been left unemployed as sales of goods shrink throughout the world. Many people are also suffering from bad employment in the service sector - a result of the decreased demand of services in China following the negative economic developments. And while the country is kept stable in the long term, the short term financial problems result in high rates of unemployment and significant percentage of emigration.

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Don’t Forget The Little People

admin — Wed, 07 Sep 2011 09:33:03 +0000

HR departments are currently struggling through one of the worst times in recent memory. With the threat of redundancy lurking round every filing cabinet, employees are understandably nervous and are often unable to fulfil their maximum work output due to stress levels. This case is felt even more keenly in a smaller business environment and managing HR in such a place can be extremely tricky right now. Fortunately there are a variety of solutions available.

Performance Reviews

In a small company it is often easy to neglect having a formal review process. Yet these are an essential benchmark that you can use to give your employees something to look forward to and keep them motivated. You do not have to undergo a lengthy formal 360 review with individuals if time is limited, but it is possible to set aside an hour or so every year to sit down and evaluate an employee’s performance. This makes them feel valued and helps you to motivate them further by setting goals and targets.

Personnel File Upkeep

In a small company this is something that can slip horribly. Large businesses usually have one or more administrators available just to manage the personnel files and related databases. In a small company time is at a premium and your resources will no doubt be limited. Save yourself some time and make the effort to invest in an online document management system. Most of the services now available to small businesses are affordable and easy to use. Cloud based systems are often used and will allow you access to the files remotely from any computer. Handy, particularly if you are constantly on the move.

Training

Even in a small company, training is an important process for everyone. It is likely that you will have no more then ten members of staff depending on the size of your business. In that event it is possible to split training sessions ensuring day to day productivity is not sacrificed. If however you have a particularly small staff compliment, it may be that you have to organise everyone’s schedules so they can undertake the training together. Whilst this may impact daily work productivity briefly, the long term effects may increase individual outputs by a factor of ten and increase motivation amongst the team.

In times of austerity it is easy to forget that the most valuable assets to your business are the people who make it work. Don’t let any financial concerns make you forget this.

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How Avoid Common Mistakes When Hiring People

admin — Thu, 01 Sep 2011 14:33:12 +0000

Most entrepreneurs fail to understand the importance of human resources department for hiring people for their business and consequently they hire the wrong people. Thus they miss the most basic key which will help them to implement the various tools for getting the desired success. Therefore, they should understand the importance of human resources as this will help them to avoid some of the most common mistakes when hiring people. Some of the most common mistakes that can be avoided when hiring people are as below.

Duplication of skills

There is a tendency amongst the successful businessmen or people who have started from a scratch to think that they know and have experience about everything. Thus, they tend to replicate their own skills and neglect the needed multifariousness when hiring people, which in turn create a shortage of skilled personnel at a later stage. Therefore, in order to have a significant operative capability, complement your present resources instead of copying them.

Failure in active participation

Many managers are of the impression that the job of the human resources department is light and care must be given to other more crucial tasks such as ensuring that the outbound employees’ global roaming service is working smoothly. Although they save some time, by not being present during recruitments, this deficiency of interest contributes to recruiting wrong staff for the work which results in waste of time and resources afterwards.

Poor job definition

It has been seen that poor knowledge of the requirements often leads to the selection of the wrong people. Therefore, in order to hire the correct people, it is very important that the job responsibilities and the desired skill requirements should be defined at the initial stage.

Lack of understanding between the various departments

Many times the most deserving people for the job are often not recruited for the appropriate positions due to poor understanding between the various departments of the company or internal politics. This aspect should also be streamlined for achieving success.

Ignoring the existing employees

Most companies become too focused on finding out and recruiting new resources and consequently the human resources managers ignore the needs of the existing employees. This creates unnecessary conflicts and competition. Therefore, proper understanding and correct retention strategies should complement with the recruitment procedures.

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China HR Model – Now Exported To Nepal

admin — Sat, 20 Aug 2011 14:03:22 +0000

One reason why China has dominated the global economy is its desire to utilize its advantageous position to the maximum extent possible. One would expect that China would focus on developing its human resources to the maximum extent possible. However, not only has China achieved this goal, it has proceeded to export its knowledge and expertise to other countries.

Recently, China entered into an agreement with Nepal where it will provide training and development on how to best utilize the natural resources that Nepal has. This includes human resource development. Exporting its human resource management trends and patterns to other countries will work beneficial for China in the long run.

When the Chinese demand for human resource finally exceeds its supply, it will have a pool of nations where it can rely on for workers trained under the Chinese model. Critics point out that Chinese system is too aggressive. However, nobody is going to raise a question on the Chinese approach as long as the country is doing well on a global scale. Other nations will try to hop on to the bandwagon so that they too can benefit from the Chinese wave.

From a handyman to a chief executive officer-the human resource policies reflect the difference in duties and responsibilities. Just as the western model was considered appropriate until the recession hit the world, the Chinese model too will continue until the bubble bursts. Until then, the export of the Chinese model to other countries will be very beneficial for the Chinese economy.

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Chinese Performance In Textile Sector – Will It Last?

admin — Sat, 20 Aug 2011 14:03:06 +0000

The performance of China in the textile sectors often stated as proof of how the Chinese human resource model can take over the world. China has used the large supply of manpower to simply overwhelm the competition with high productivity and low costs. One advantage of relying on a large pool of labor force is that you can get labor at a very cheap price.

The conditions of work in Chinese factories are often criticized for being too tough. However, people are used to the tough life and are prepared to do what is necessary to enjoy a safe and secure living.

However, the Chinese model may not last for long because it is fast reaching its saturation point. More and more entrepreneurs are using business loans to acquire expensive machinery to enhance productivity. One of the most obvious disadvantages of mechanization is the fall in the labor force requirements.

The company that has completely mechanized its production system will obviously not require a large number of workers. Instead, they would appoint fewer workers to supervise the work done by all the machines. In such a scenario, the prospect of high unemployment amongst the masses will increase. Whether the political system will accept such a solution is doubtful.

Of course, one must also consider productivity. Other nations have rammed up their productivity and efficiency to compete with China. The natural advantage that China has enjoyed till date may not last for long. It will have to make a choice and it will not be an easy one.

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