The role of HRM and Organization development ( Honda)

I. Introduction
HONDA is a manufacturing business that produces two primary product
lines: motorcycles and automobiles (or automobiles). The product firm,
which was established in 1996, is a collaboration between three major
countries: Japan, Thailand, and Vietnam. In 2021, the corporation will have
a 80 percent share of the national market, representing an increase of
more than 1 percent over the same time the previous year. In addition to
a well-developed domestic distribution network. Honda also exports a
large number of complete bikes to customers in a variety of countries.
Create a significant increase in sales. This demonstrates that Honda's
human resource management is doing well. Human Resources are an
important aspect in the success of any organization. In my work as an HR
administrator, my responsibilities include controlling and managing
human resources in the firm, as well as implementing HR practices that
contribute to the company's talent management plan.
II. Explain the impact of the role of HRM in creating sustainable
organisational performance and contributing to business success.
Definition of HRM.
As a strategic approach to managing employment relations, HRM
emphasizes the need of exploiting people's strengths in order to create
long-term competitive advantage, and this is done via a specific set of
integrated employment policies, programs, and practices. (Bratton and
Gold, 2007)
HRM philosophy in Honda Vietnam.
Constantly cherish the loyalty and ego of each employee, guarantee the
credibility at work and develop the self-discipline of each employee
(Honda Vietnam, 2019). For our core values, we hold respect for others
and three simple pleasures in high regard (including: joy of buying, joy of
selling and joy of creating). Maintaining a global perspective and striving
to deliver the greatest product to market at a reasonable price are the

company's core values. Can meet the requirements of clients from all


around the globe. Finally, there are rules and regulations in place to
govern the company. According to the Z hypothesis, this is how it should
be done. Ambition and youthfulness are the hallmarks of Honda Vietnam.
Maintain a high regard for established theories, generate new concepts,
and manage your time wisely. Motivate employees to do their best job,
particularly in the area of communication. Keep in mind the importance of
thorough research at all times. (Diem, 2017; Diem, 2018)
The purpose of HRM function: The human resource function is
responsible for the training and development of the organization's human
resources. From there, it is possible to establish circumstances that allow
organizations to run constantly and efficiently while also increasing
productivity (Inc.com. 2020).
HRM objective of Honda: By making the firm more active and
expanding possibilities for each person to enhance their talents, we want
to cultivate human resources who will become "self-reliant." ( hondalock,
2022).
Sustainable organization performance:
With a net income of over 20 trillion dong, Honda's revenue in Vietnam
reached 100 trillion dong for the first time in 2018, with net income at
around 19 trillion dong, and it saw an increase in revenue of 1.6% to
around 108 million.
Honda Vietnam used 1,992,365 motorcycles in total in 2020, a 7 percent
decrease from the year before owing to the impact of the Covid-19
epidemic. Despite this, Honda maintained its dominance in Vietnam's
motorcycle market, with a share of 79.9%, a rise of 1% over the same
time previous year ( baogiaothong, 2021).
With over 2 million motorcycles sold in 2021, Honda's motor sector sales

increased by a whopping 79 percent over the previous year.


 The previous successes and Honda's actual contribution reaffirmed
the

commitment

to

long-term

investment

and

sustainable

development in Vietnam.
Role:
Emloyees advocate: In the human resources department, the employee
advocate performs a crucial function. It is someone who can give


assistance to workers, implement employee safety practices, and oversee
employee benefits ( Shanili. 2021).
Human capital development: Human capital developers play an
important role in businesses and organizations when they are concerned
with the development of individuals. They do this by organizing activities
to develop each employee personally, as well as coaching and training

leaders within the organization, among other things (Shanili, 2021).
Functinal Expert: Functional experts are managers who have a variety
of various areas of competence from which they may approach and solve
challenges in a variety of ways. And this technique as a means of
enhancing and improving the usefulness and position in the industry is
described below (Shanili, 2021).
Strategic

partner: Managing and monitoring the growth of the

workforce, identifying and analyzing business plans, and understanding
the requirements of workers for the firm are all responsibilities of a
strategic partner (Shanili, 2021).
Leader: Leaders play a crucial role since they are the ones that take the
initiative and manage the staff. (Shanili, 2021).
Honda's long-term development and success is a consequence of all
employees' efforts and excitement, guided and led by important
employees who are brilliant, bold, and always fully committed to the
common goal. Leaders pick the finest fit. It also helps the company's
sustainability.
HRM Structure of Honda VN:


Chief Human resource officer

Traning and Development Department

Compensation and Benefits Department

Recruitment and Selection

Human resource administration

Honda Vietnam’s HRM Structure:
Chief Human resource officer: It is the job of the Chief Human Resources
Officer to oversee all aspects of the company's resources, as well as the
growth of its workforce. In addition, the Chief Human Resources Officer
would make the right judgments and design the right plans(Ulrich, 1998).

 Honda: Maintain the HR department's operations and play a crucial
role in the long-term success of Honda Vietnam by overseeing the
recruitment of new employees and internal staff growth.
Training and Development Department: Human capital developers serve a
unique role in the workplace, focusing on the development of individual
workers (particularly managers) via personal development programs,
mentoring organizational leaders, and overseeing the establishment and
growth of successful management teams.

 To provide a substantial contribution to internal people training and
development in order to considerably expand their knowledge and
skills, as well as their overall performance, is a must. It is a
guarantee that an increase in worker productivity will result in the
performance of an organization being steady over time.


Recruitment Department: These are the people you'll be interacting with
as part of the application process for a job. The Recruitment Department
will take part in all phases of the hiring process, providing the department
head with information on potential hires and notifying them of their
"Passing or Failing" status

 Researching, assessing, and choosing the most relevant employees
in order to improve Honda Vietnam's performance and create
sustainable organizational performance will play a vital role in the
long-term success of the company.
Compensation and Benefits Department: Those who work
Compensation

and

Benefits

Department

are

responsible

in the
for

the

management, calculation, and communication of salaries and benefits.
Paying workers on time is critical, and the Compensation & Benefits
Department is in charge of seeing to it that this happens.

 To play a pivotal role in establishing the business, ensuring the
corporation's existence, and fostering long-term, mutually beneficial
partnerships between Honda Vietnam and its workers, by acting as a

bridge between the two parties.

Compare

areas

of

HRM

to

create

sustainable

organization

performance.
Assuring that workers may grow and increase their knowledge that allows
them to perform their job efficiently is one of the primary aspects of HRM.
Also, Education and Training is a long-term process, where changes in
technology, working environment, and tactics impact employee abilities,


requiring additional training to adapt to the organizational condition. It
encouraged Honda to give appropriate education to staff to keep up with
the developments. In addition, effective employee relations may help
managers provide a safe, equitable working environment for Honda
workers in each division or office. Instead of focusing just on safety,

training and education strongly emphasize on developing employees'
expertise and skills as well as developing a competitive working
environment toward employees.

Hard and soft model:
Honda has just belongs to Soft Model and Hard Model.
Hard model: Honda treats employees as a normal resource. Honda
maintains tight control over the management of its employees in order for
them to generate profits as well as competitive benefits for the firm.
Soft model: Aside from stringent supervision, Honda personnel are also
seen as a vital human resource for the company's growth, and they are
well-cared for and given a great deal of opportunities to further improve
their abilities for the benefit of employers. Honda Vietnam's "Respect for
Individuals"

is

one

of

the

company's

core

values.

Individualism,

individuality, creativity, and ambitions are continually fostered and
developed by Honda Vietnam. Employees at Honda Vietnam are
respected, trusted, and treated equally. Honda Vietnam promotes mutual
respect and collaboration at the same time. Individuals will feel valued, be
helped through difficult times, have the opportunity to learn from one
another, and will be expected to make genuine contributions toward
fulfilling their duties.

II. The effects of the changing nature of organization on human
resource skill and knowledge


1. Changing the nature.
Since the epidemic of Covid-19, Honda has a lot of ups and downs. Five
2020, car sales are expected to increase so with the previous quarter, the
whole market capacity has increased by 14% to 392,000 vehicles .
Records outside this year, such as Covid-19, have a negative impact on
the financial situation of the car sold in the country. Approve the decline,
Honda is still in the top 3 Travel car brands ( Honda, 2021).
With the recent shift in Honda's business model in order to keep up with
the growing popularity of electric vehicles, the company's HR department
has played a significant role in ensuring the company's long-term viability
by implementing HRM initiatives.

2. Effects of changing nautre of Honda Vietnam.
Knowledge of electric cars, as well as a thorough perspective of the
industry, are needed of the managers in this specific field. Additionally,
managers are expected to learn about current strategic methods and have
the ability to grasp and execute creative ideas, as well as to change

recruiting and selection criteria,
Employees have clear knowledge, as well as information about electric
vehicles and building specific skills for this industry, as well as increasing
multitasking capacity and completing some tasks. In addition, to increase
productivity, employees must constantly improve new skills and place
advanced technology for use in their daily work. Not only that, foreign
language skills are extremely necessary, employees should try to improve
their foreign language capital.
The Human Resources Department is responsible for the development and
implementation of updated recruitment and selection methodologies and
policies, the development of professional competencies in order to


anticipate personnel recruiting needs, and the preparation of human
resources. Additionally. The Human Resources Department must analyze
and build sophisticated training programs for internal human resources so
that personnel are able to adapt to a variety of situations and have a
complete vision for exploiting, deepening, and considerably increasing
talents for themselves.
3. Examine hrm in relation to the changing nature of the modern
business organisation.
Changing organizations is a complete shift in the organization that
essentially changes the company's operating approach in order to
increase business competitiveness. It might be claimed that it is a
constant, complicated process that is very tough to control since it has
never occurred before ( Course, 2021).
The human resources department conducts training courses to expand the
knowledge and abilities of workers, ensuring that they can continue to
execute their jobs even while the firm undergoes transformation. In
particular, the human resources department should prioritize training

courses in technical skills to advise workers and ensure that they satisfy
the requirements of their jobs.
The human resources department is responsible for identifying and
recruiting workers who have the necessary knowledge and abilities in the
field of technology. One of the most significant developments in the firm
has been the incorporation of technology into the organization; as a result,
applicants must possess technological abilities in order to be able to
manage and accomplish the duties that have been allocated to them. The
company's evolving nature necessitates the recruitment of increasingly
technologically adept workers.
Organization and assignment of personnel are carried out by the human
resources department in accordance with their competence and skill.
According to the employee profile, working style, and ability of the
employee, the human resources department will organize and place them


in appropriate job roles. This will aid in the maximization of the capability
of the workforce. Aside from that, the human resources department will
pay workers' salary in line with their degree of technological proficiency.
Because the requirements for employees' talents evolve with time, the
firm must also pay a compensation that is commensurate with those skills,
therefore enhancing employee morale.
III. Assess the contribution of HRM in recruiting and trainning
talent and skills to achieve business objective
1. HR practices related to recruitment.
Current employees' when it comes to social responsibility, Honda is
mindful of its impact on the community and sustainable development of
society. Businesses use a wide range of technology, tools, and software to
assist and carry out their operations from beginning to end. These include
online browser systems, internal interactive apps, solutions that allow

workers to access corporate data from home, and digital signatures, which
are also important. beneficial in times of epidemics.
E-commerce and communication platforms used to advertise learning and
fostering plans for workers of companies. Human resources may be given
information about the organization via the use of various media, such as
photographs and videos. For this time around, the theme is to leverage
technology to enhance employee quality and to maximize productivity by
continuing to implement revolutionary technologies. Even in the "work
from home" age, a lot of brilliant technologists and other abilities will be
drawn to this opportunity.
Use measurement tools to review work efficiency and employee
remuneration policies. Reflects the employer's brand, as well. When
evaluating the effectiveness of an organization's human resources, it is
essential that metrics such as staff productivity, morale, and wages be
taken into account. Workers will be able to gauge whether or not they
want to work for a certain company and whether or not their skills are
suited to the environment. Because of this, companies and job seekers


may both save time and money while looking for new individuals to join
their team.

2. HR practices related to retention
Enabling workers to make proposals and managers to choose their own
identifying systems. Honda treats its workers with dignity and respects
their right to free speech. Making sure that each employee feels
connected to an important organization and can openly share their
thoughts. This might be an advantage in recruiting and maintaining
employees (Honda, 2021).
Honda is also a good employer. The leader devises strategies to assist the

organization accomplish its goals. The prize money is shared among the
authors. I think this is fair, and it might help improve the spirits ( Honda,
2020). Keep employees from betraying the organization by persuading,
rewarding, and dismissing them. Twice a year, the company gives out
cash bonuses and other incentives. In addition, Honda places a high value
on the emotional well-being of its employees. They are concerned about
the well-being of their workers. If they don't, the company will have a hard
time growing in the long run.
Honda places a high value on developing and advancing its workforce.
Training sessions have been conducted and personnel have been handled
with care by Honda Vietnam. In addition, frequent training sessions are
undertaken. This demonstrates Honda's commitment to providing its
workers with the greatest possible training and resources so they may
reach their maximum potential in terms of both knowledge and skill
(Honda, 2021).


IV. Evaluate Critically the Strengths and Weaknesses of HRM in
relation to creating sustainable organizational performance and
achieve business objectives
Strengths:

Both

in

terms

of

supporting

long-term

organizational

performance and advocating for the achievement of corporate goals, HRM
at Honda serves as a solid basis for the firm. For the first time, human
resources management (HRM) has become a company's most important
aspect. Honda frequently hosts internship programs and competitions to
award scholarships to university students and to allow them to work for
Honda for a month as an apprentice. These programs not only provide
students with an introduction to Honda, but they also help the company
attract new talent and keep pace with technological advances that
improve organizational performance and keep the company's systems
current. The HRM in Honda, in addition, helps the company to provide
appropriate training, education toward employees in both hard and soft
skills, as well as most importantly, leadership skills. Honda is known for
hosting competitions as well as regular training toward both employees
and internships, in which they aim to promote the growth of performance
and more than that, bring back the leaders that can steer the business
through difficulties as well as accomplishing new achievements and o.
Additionally, HRM helps Honda control the performance of workers, mostly
via KPIs, which helps to secure the stability of the business and also
promotes employee morale by giving rewards policies based on their
performance.
Weaknesses: Compared to its rivals, Honda has a greater rate of staff
rotation. This implies that it will have a greater number of individuals quit
their employment, and as a consequence, it will have to spend more
money on training and development as workers continue to leave and join

the organization. HR systems are costly in terms of money and do not
necessarily result in short-term profitability. Furthermore, the number of
hours spent on training and human resource orientation is the amount of
hours spent on non-revenue-generating activities.


V. Conclusion

Difficulties, finite resources,
growth and development, longterm operation, Honda
change,personnel retention

Efficient, Which one isn't

andattractiveness resources

working?

Strategy for Talent

Solution, continue to

Management, What is the

sustain, go forward

policy synthesis?


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