Managing People Essay

4687 words - 19 pages

In today’s business world, the most important asset in any business is its people –businesses need to know how to best manage, motivate, retain and get the very best from their staff in these turbulent times. Without people, a company ceases to exist completely, but without the ‘right’ people in the right positions, a company can cease to function properly as staff performance is critical to the on-going success of any business. While poor employee performance can have a significant impact on a business, poor people management can cost the business in terms of low morale, low productivity and high staff turnover. Companies must understand people's basic needs and behaviour in ...view middle of the document...

The recession is giving businesses the opportunity to streamline and make cuts as they are feeling the pressure of the downturn and are being forced to look at their businesses – and employees - in a different way. They are now seeing the value of people as individuals and investments, rather than an interchangeable commodity and easily replaced. The importance of retaining the right, experienced staff is massive. This means that all businesses are looking at the best ways to treat and retain their employees – studying the structure and culture of their companies to ensure that people want to work there and that they are portraying the best image they can, making the most of individual employees as assets and creating teams and groups that work together and collude to make a happy, motivated and productive workforce.
Business Structures
Most employers now tend to have a more personal approach to their staff. The formality of social structures has changed and this has been reflected in the modern working environment. Although many hierarchical structures still exist, these tend to be seen more in the public sector or larger scale enterprises, than in SME private businesses. This is because the size of private businesses is more reactive to the economy and as the economy has changed, so business structures have had to become more efficient.
The main factor that denotes the formal structure of a company is the size. It may be that the business is based all in one room, or it may be a multi-national company, with offices and employees all over the world. The point is that whatever the size, the objective of having an organised structure in place is that it “defines tasks and responsibilities, work roles and relationships, and channels of communication." (Mullins, 2005, p596) Structure gives everybody a clear sense of position and responsibility within the company and a constant open communication channel to any information that may affect them. There are many different types of structure a business may have (see Appendix A) and some businesses combine structures to create their own unique organisation, which is in the best interests for their particular business. An example of this is the company Max Spielman, a privately owned company, with over 200 shops throughout the UK offering photographic services.
Max Spielman has been established for over 50 years and was bought over 8 years ago by John Timpson of Timpson Ltd. He did not want to change the shops at all as they were all running well and he has continued to run them as a separate company, but made major changes to the way the structure, culture and staff were managed.
John Timpson CBE is a well-respected UK business man, being the ‘business agony uncle’ in the Telegraph, promoted as “The management column: Straight-talking, common sense from the front line.” (Daily Telegraph website, 2012) Therefore, the employees at Max Spielman were immediately re-assured that their new employer...

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