Task 1Issues in regards to HR practices in MozambiqueThis report will focus on developing an effective HRM strategy for Mozambique. Strategic human resource management focuses on companies that have a strategy to accelerate in changing environment that includes human resource management systems. A discussion highlights the controversies and contradictions in the case study. SHRM is important to every organisation as it defines plans and strategies on how the companies’ aims should be aligned and achieved through their people. Strategic Human resource is a process that uses different approaches to the HR strategies’ development which are integrated with the business strategy. HR strategies outline policies firmly related to the organisations aims, e.g. people management, organisational efficiency, resource management, employees training and development by rewarding them and giving them recognition. In general, HRM deals with major employees’ issues that affect the strategic plans of the company.Human resource management is the basis of all management activity and not the basis of all business activity. It allows people to work in a productive way so that the business prospers. The purpose of HRM is to increase productivity of an organisation through the effectiveness of its employees. There are five types of models that are used in order to investigate the link between Business and HR strategy. Such as, Separation Model, Fit Model and Dialogue Model, HR Driven model and Holistic Model. However, SHRM contributes the ideas off theoretical aspects to improve business performance. Mozambique is a country located in Africa that was under colonial rule, been through a civil war and has been controlled through neo-liberal orthodoxy. The country has a lack of HR practices that makes companies incompetent to operate effectively and fairly towards their staff. HR practices are the ways that HR personnel can develop good leadership and fairness amongst staff. From the case study elements that suggest poor leading edge practices are;• Informal training structures• Personal networks for recruitment• Poor pay and working conditions• Informal concessions in personal difficulties• Informal managerial style (autocratic partriarchialism- father figure type relationship) • Unlikely to invest through training or systematic career planning• Techniques employed remain informal, personal and top-downMozambique has adopted a culture of Marxism as the case study shows that there is an inevitable conflict and unsettled issues deep within their businesses. This not only reflects a lack of social diversity but also shows that employers are capitalists that are money makers. They view their employees as bourgeoisie poorer people. For a strong employee relation they need a intervention in employment legislation which will give employees a grounds in to with they can follow in case of extenuating circumstances.Implications on the Business Strategy and possible alternativesThese issues show that there aren’t proper policies and procedures in place to implement decisions that are being made. By introducing a HR strategy; HR strategy is a firm’s pattern of strategic choices in labour management, Boxall and Purcell (2008). When having a HR strategy in place they will then be able to see the requirements of each individual in a firm and deliver policies and procedures to ensure equality therefore; this will provide equal opportunities and be able to find the best for healthier leading practices. As (Boxall,1991 and Purcell,1999) have stated, matching HR and business strategies implies that all organizations have an articulated strategy with which HR approaches can be matched, which is frequently not the case. In this case study it is clear there is barely any sign of HR involvement, all decisions are made within the business and this relates to the separation model as it shows no involvement between each other and this was the case 20 years ago. According to the survey from the case study, the HR practices in Mozambique ‘revealed little evidence’ of leading a better practice compared to other firm that has specialised people management function. As growth in employment legislation is one of the most significant developments in employment relation, it would be in their best interests to do this first. In order to successfully attain this it is vital that strategic alignment is in place. Strategic alignment is the process by which functional strategies, plans, policies, and practices are aligned together; this aligns the HR strategies policies and plan with an organizations strategic goals and objectives. (SHRM, Truss, Manklin, 2013) According to the survey from the case study, the HR practices in Mozambique ‘revealed little evidence’ of leading a better practice compared to other firm that has specialised people management function. There was No policy in place to support employees in difficulties, there are no structured training approach for employees. Personal networks for recruitments which suggests that there is no such thing as equality and discrimination however, if HRM was utilised it would’ve provided with equality for everyone and it would’ve been more diverse in network. Top down (managers in charge and have no hr influences to regulate any policies. – In a hierarchy perspective it is suggested as very informal yet personal relationship between employers and employees. People that were employed were either acquaintance as such. Autocratic patriarchalism defines leaders dictating without any consultation of sub ordinates e.g. people below them. Due to the economic state of Mozambique many have lost their jobs. However, Managers are retaining close contacts with work force to adjust the service for individual needs e.g. employees. High competition from abroad is weakening Mozambique’s business as they revert to a low wage, low skilled low value route. There are few firms that actually make use of the range of high performance work practices to receive a higher result within the business. Adopting a fatherly figure type of relationship between employees and employer – more personal rather than professional Also, no policies and procedures are intact to support wages and personal difficulties such as grievances. Everything is informal and has no flow of structure and no adherence to a schedule to follow. Companies do not want to invest money on training their staff given the fact that there is a high competitive environment. They believe coaching staff from developed businesses that provide adequate training for their staff is a more effective way to save money and have a hold in the environment. Having an hr management within a business is more encouraging and beneficial as it has advantages to provide equality, give rights to the employees and rewards the business for their right doing. In regards to HR practices the case study shows that there is a lack of use of practices and there is a lack of use of practices and there is policies, procedures or legislations in place to back up their understanding for certain situations. As growth in employment legislation is one of the most significant developments in employment relation, it would be in their best interest to do this best first. No policy is in place to support employees in difficulties, there is no structured training approach for employees. Personal networks for recruitments which suggests that there is no such thing as equality and discrimination however, if HRM was utilised it would’ve provided with equality for everyone and it would’ve been more diverse in network. SHRM involves developing and implementing process of programs that’s solves business issues and contributes directly to major long term business objectives. Strategies for Mozambique include recruiting and retaining the right people as well as providing ethical and cultural leadership. HR groups are able to plan properly for potential growth and react to any changes may take place. HR managers need to understand when recruiting they ensure that their workers follow the policies and requirements. HR Practices and Models of SHRMPfeffer (2005) has a bundle of 13 HR practices to increase performance of all organisations; these are part of the Universalist approach with advocates “best practices” and contain High Performance Work Practices. These 13 practices include, employment security, selective recruitment, high wages, incentive pay, employee ownership, information sharing, participation and empowerment, self managed teams, training and skill development, cross utilisation and cross training, symbolic egalitarianism, wage compression and promotion from within. These 13 interrelated ‘best practices’ will help businesses in Mozambique to improve business performance and enhance high levels of employee commitment. Mozambique firms need to be able to offer incentives and employment security at the least for their workers to keep them motivated. Also in the Universalist approach there is the David Guest Model (1989) which is based on 4 Human Resource policy goals strategic integration, commitment, flexibility and quality, all 4 of these need to be achieved to create the required organisational outcomes. This model also is identified as a ‘best practice’ model. These can be used in Mozambique too to advocate high work practices and because all 4 policy goals need to be achieved for desired outcome, businesses will pay more attention to each policy goal and be determined to meet them.There then is the fit or contingency approach which is based two critical forms, External fit and Internal fit. External fit is when the HR strategy fits in with the demands of the business strategy. Internal fit is when all HR policies and activities must fit together. In this approach is the Michigan model of HRM (Fombrn, Tichy and Devanna, 1984). This model belongs to the best fit model. This model focuses on selection, appraisal development and reward, these factors can be geared to produce the required type of employee performance, this model also tells us that managing people will vary from organisation to organisation and is dependent on organisational context. However, there are restrictions between best fit approach and HR strategy structure as it fails to adequately consider the internal context of the firm.Task 2In the absence of trade unions and collective bargaining, what can HR Managers in Mozambique do to ensure that their workers have the ability to communicate with and influence Management?A trade union is an organisation that allows employees from various companies to sign up and pay for a service to be protected, bargain and advance on disputes or issues in their workplace. Trade unions are also classed as actors in an employment relationship as they collectively challenge powers and going through a trade union to find a solution is a form of indirect participation. Collective bargaining is making sure that workers in a business are being productive and getting the job done.In the absence of both of these vital entities the business will struggle as productivity will be very low and not knowing the reason for why or trying to make a change as a trade union representative could do, would influence the business highly. In Mozambique, there are a lot of problems that can be drawn from the case study. One problem is that they have Pluralism in the workplace, which is when the organisation is made up of multiple entities with supposedly different needs and goals. Conflicts will arise because of this and different views and points will be adding to this, the key to a resolution is to negotiate. They need to be aiming for a Unitarism approach which will focus on both workers and employees forming one unit with the same expectations, goals and needs so conflicts shouldn’t take place at all, both sides need to work together in order to achieve an agreement so that they can carry on to become successful. They need to have more employee participation and let employees have an influence over decision in the organisation. Collective bargaining isn’t something easy to measure but there are many ways to go about this, one way is predictive validity which is used by employers at the selection phase of recruitment, predictive validity is when a employer can confirm the extent to which a outcome of selection method is aligned to future work performance by comparing the methods of a person working to how they were during the interview or selection period. If there is a good comparison then there will be a high predictive validity implying that the employee is highly resourceful and productivity hasn’t decreased. In order to communicate and influence management businesses should use performance management which will allow them to improve organisational, team and individual performance and development. With performance management in place, they will set goals, solve any problems, gives ongoing feedback to employees. This will influence management to communicate further will their employees as they will have meetings following this up to discuss performance and development, their current role, reward packages, promotional aspects and are recorded on the employees file. This then ties in with employee training and providing adequate training programmes and promotional packages with workers. The provision of a professional training programme is recognised as central to the attainment of a successful performance management system (Davila and Elvira, 2008). Each businesses performance management systems are designed to cater for their individual requirements, characteristics and culture. Training programmes gives workers confidence to address issues and handle tricky scenarios and motivate and attract workers to support the organisation. Diversity is the way in which we all differ; Equality is providing the same for all and the idea of sameness. These factors are important in an organisation and have an effect of employees’ management and even customers. Diversity through employees can make you understand your customers, and equal opportunity is something that is compulsory by the law. The benefits of having diversity are that there will be increased job satisfaction and morale, reduced work stress, increase sense of fairness. Rewards management is a method used as a means of staff motivation. Rewards strategies and policies offer support to an organisation with attractive and motivating employees. The Harvard model of HRM shows rewards system under HR policy choices which is situational factors, these need to be included for the flow to be complete and it also includes the impact of employee behaviour. There are many rewards that can be offered, basic pay is also a reward and it’s usually over the minimum pay bar, training is also an example of a reward, there can be financial or non financial rewards from pay, bonuses, shares, and discounts to promotions, company cars and job security, there may even be businesses that are willing to provide premium pay for working on weekends and bank holiday. An internal alignment structure is used see where a position fits in the companies’ structure and external comparisons and in regards to what other companies are offering their employees in comparison to your business. I believe all of these strategies mentioned are essential in ensuring a good communication and influence between management and employees but I believe out of all the factors mentioned, performance management and rewards management is the most suitable method for Mozambique. In the absence of trade unions and collective bargaining, as both of these factors include elements from all other factors. Also having a good reward management system in place also will allow a hierarchy to fall in place and motivate staff. Managing performance on the other hand will allow management to keep track of their employees to see how well they are doing and to see if they are doing better or worse than they should be. Having a probationary review is also a performance indicating factor that will allow the employees to act upon what is said in the review in regards to targets and performance this also gives the employer and management a good insight of how the employee is performing to see if they are fit for the role or should be rewarded. It also includes training opportunities which is also a motivator for workers and is something that will keep them going, it will also be a good factor for the company as they will have highly trained and well equipped individuals that will give them that extra edger from their competitors. With both of these factors taken into account I think that workers and employers can form one unit (Unitarism) therefore conflict shouldn’t happen and needn’t worry about trade unions or collective bargaining. I also think that the Pfeffer (2005) model of 13 best practice HR practices are effective too as the elements in the best practice approach are tied in with the Unitarism factor. Internal alignment would be best suited for Mozambique businesses as it creates a work breakdown structure that makes sense to employees, it will also ensure that each position has the right value of pay to the relevant positions places in the order of importance to the business when it comes to ranking.