Management of people, leading them is considered as one of the most crucial task which is being carried out management of business enterprise. By means of this it becomes quite easy for organization to attain their aims and objectives in set timeframe (Peter, 2013). Here, in this present research report acquisition of Nissan by Renault is going to be discussed. Renault is a French multinational vehicle manufacturer with a workforce of 127,086. It manufactures number of automobile products such as cars, vans, coaches etc. (Ratcliffe, 2013). The report has laid emphasis on recruitment and selection strategy which can be used by organization along with styles and impact of leadership. The statement has been followed by examination of work as well as development needs required by an individual in order to evaluate success.
In order to ensure success in long run, organization such as Renault has to focus on recruitment, selection along with retention of employees which is quite crucial in nature. There exist range of theories as well as concepts which provide assistance in entire course of action. This states that it is essential for management to comply with these principles for the purpose of satisfying their each and every HR requirement. First and foremost is to formulate adequate job description which holds a very special place. It has been observed that automobile firm tends to hire new professionals so in this regard job description can be prepared by keeping nature of job and responsibilities in mind (Bommer and et. al., 2005).
Followed by this, person specification is required to be developed. This is to be carried by concerned authority in which they can decide and prepare list of quality along with qualification which they desire in candidate. After formulation of job description and specification, company would have to advertise vacancy of engineers. For this, they can make best possible use of relevant channels such as newspaper, television, job portals, and internet and so on. The major rationale behind displaying such kind of advertisement is to get large pool of eligible and suitable candidate for vacant post. In regard to this, there are numerous ways by means of which entire process of selection can be carried out (Mostovicz, Kakabadse and Kakabadse, 2009).
In order to recruiting engineers Renault can undertake written test of applicants and on the basis of this select candidate for next level or final level of interview. But on the other hand, it has been revealed that there are number of theories which are based on the assumption that company should use adequate selection process. This tends to ensure selection of right person at right job at right time (Ahmad and Schroeder, 2002). It has been argued by many researchers that it is costly in nature as for this they have to apply more filters in their selection process. It can also be said that with an aim to retain workforce for longer duration of time, they have to adopt rigorous retention strategies. For this they can provide motivation to them in terms of monetary and non monetary benefits. However, it is to be critically evaluated that this is not competent enough to satisfy needs and wants of every single employees (Galegher, Krautm and Egido, 2014).
There exists wide range of factors which is to be considered by management of automobile firm with an aim to carry out successful operations at market place. It majorly comprises of ethical, legal along with regulatory bodies which has been formulated by government and other concerned bodies (Yu, 2004). In recent times, there are number of rules and regulations which have been developed to make sure that organization are complying with adequate employment practice. International Labor Organization has developed rule of ensuring safety while using machineries and other tools and equipments. In regard to this, it is the first and foremost accountability of Renault to make arrangements for guarantee safety and health of workers especially in manufacturing department (Safety and health in the use of machinery, 2013).
This implies that management has to provide safety measures along with other accessories within place of work so that it can be used for avoiding any damage. It has laid great impact as a result to which automobile company has paid adequate attention on buying quality and safe machineries and equipments and at the same time provide training at regular interval of time to workers so make best use (Komives and Wagner, 2012). Other than this, organization has also followed ethical consideration by employing engineers and other professionals from different background and vicinities which again had deep impact on business enterprise. They have taken strict action and formulated rules that no discriminatory practice against anyone within place of work can be carried out (McDermott, Kidney and Flood, 2011).
Leader posses variety of skills as well as attributes for the purpose of carrying out their duty with utmost effectiveness and efficiency. In absence of this, leaders will not be able to perform well and diligently as a result to which it will become quite difficult to attain organizational aims and objectives. In case of international organization, it is very necessary for business enterprise to make best possible use of their skills and attributes (Joseph and Winston, 2005).
Sensitivity to cultural diversity is one of the most necessary capabilities which are required by leader. This has been observed in case of Nissan which has been acquired by Renault. CEO Carlos Gohsn who was delegated as head of both organizations has no idea regarding culture, tradition and norms of Japan as a result to which he was quite insensitive towards existing workforce (Mulec, 2006). His motive was to make profit along with make turnaround for Nissan. It lacks attentiveness and inclination towards gaining knowledge regarding new culture. It was his correct decision after looking after the situation of firm. But on the other hand, as a global leader it is quite significant on his side to become sensitive towards the culture in which they are operating so that they can gain trust of employees (Holland, 2014).
Leadership and management both are very important and play a very crucial role in attaining organizational aims and objectives within set period of time. Both these concept are quite different from each other but they lay great impact on working of firm. As per various scholars, management is a process by means of which company can exist in market for longer period of time and at the same time can gain competitive edge against rivals (Laroche and Rutherford, 2007). While on the other hand leadership is a system from which common goals can be attained by motivating individual. In case of Renault, it has been seen that CEO Carlos Ghosn make interaction with staff members for make them understand the changes and to accept them with ease. He almost single handedly lead Nissan in difficult times and at the time when the company was incurring losses and having huge amount of debt (Dolen, Ruytyer and Lemmink, 2004).
In recent times, great role has been played by leadership styles up to great extent. This is due to the fact that it provides foundation in which success along with effectiveness of leader entirely depends. There are number of styles which can be adopted to obtain desired outcomes, but careful attention need to be paid while selecting the one as success and failure of leader entirely depends on this. On the basis of case study, it has been observed that CEO Carlos Ghosn has adopted mix of democratic style and transformational leadership style. In most of situations it was seen that he interacted with existing workforce of organization and make them understand the need of change and its benefits attached to them (Ratcliffe, 2013).
By doing this, he tends to gain their support as well as assistance so that entire course of action can be undertaken in smooth manner. In addition to this, he has also provided opportunities to lower level employees or management to express their views and suggestions freely along with problems which are being faced by them. But, most of the mangers try to avoid speaking freely in front of CEO of their organization. IN addition to this, Carlos Ghosn has also adopted transformational style in which he wanted to carry out radical changes within place of work. This proves to be of great use in maximizing huge amount of profit and enhances their market standing as compared to rivals (Vemi, 2007).
Providing motivation and inspiration to staff members at regular interval of time is very essential for business enterprise. This is due to the fact that this is directly and indirectly related with obtaining of goals and objectives by organization. Delivering appropriate rewards to employees is regarded as one of the best way to motivate manpower. It can be provided in terms of monetary and non monetary. In order to inspire lower level employees, financial reward is regarded as best (Casimir and Ng, 2010). Non monetary rewards such as recognition can be delivered to employees working at higher managerial level. Apart from this, by involving employees especially of lower level in entire process of decision making is proves to be of quite effective ways which can be used to motivate them in long run. This is because of the reason that only top officials are involved in this process which demotivates other employees. This method will be advantageous in retaining workforce for longer duration of time and gaining their commitment as well as trust at the same point of time (Scott and Webber, 2008). They can also use motivational theories for the same such as Herzberg two factor theory, Vroom’s expectancy theory and so on.
It is very important for business enterprise such as Renault that all its employees are able to work in team so that they can give their best contribution towards attainment of targets which has been assigned to them. On the basis of nature of operations and functioning which is being carried out within place of work, team work plays a very dynamic role (Burke and Dalrymple, 2000). It provides assistance to automobile company to keep their cost low along with accomplish targets which has been provided to them within stipulated framework of time. In the similar manner, this sector is quite competitive in nature due to presence of many competitors as a result to which organizations has to fight in market to ensure and secure their position (Stirling and Fitzgerald, 2001).
This implies that if management of Renault desires to guarantee their existence, then it becomes quite essential for their existing workforce to work in a team towards common objective. The major rationale behind team work is that it provides help as well as assistance in giving best performance so that competitive edge can be attained by business enterprise in near future (Pritchard, 2000). In addition to this, it has been observed that it also tends to increase level of efficiency along with competency. It also proves to be of great use in reducing amount of stress only on one person by means of which physical and mental health of existing workforce of Renault is maintained over a period of time (Rhoton, Shane and Bowers, 2001).
It is very significant for organization to pay adequate amount of attention on the concept of team work in order to mark their presence in market and at the same time to improve shares as well as standing. At the time of developing teams and getting work done through them, there are wide ranges of difficulties which have to be faced by management. Winning trust of workforce and to convince them to work in a team is considered as one of the major problem which is to be faced by organization (Mostovicz, Kakabadse and Kakabadse, 2009). This is due to the fact that existing employees at place of work has the tendency to create their own set of groups which is known as informal groups with whom they like to interact and spend some time with them. But on the other hand, they have to work with the people who they did not know and do not share good rapport with them and hardly interacted with them, and then become quite difficult for employees to perform well and deli over best results. Convincing such employees is very difficult task for management, as there are chances that they would show resistance towards changes (Galegher, Krautm and Egido, 2014).
In order to deal with this problem, there are large numbers of methods which can be used. In regard to this, adequate and sound communication is one such way which is very effective option for the same. By means of interacting with them, they will get an idea about reasons which are responsible for determining reasons for their resistance. On the basis of that, measures can be identified through which employees can be convinced to work in a team (McDermott, Kidney and Flood, 2011). From the past few years, there are various theories which has been developed which offers same or related solutions for the same. Apart from that, there are various other ways which can be adopted for the same such as carrying out open meetings along with team building activities with the help of which staff members of each and every department can interact with each other as a result to which they can work in a team without posing any difficulty (Joseph and Winston, 2005).
Despite of nature and market in which organization is operating, team work plays a very critical role in ensuring success of business enterprise in long run. In recent times, team working is regarded as very essential element without which it becomes quite difficult for them to survive in market place and at the same time it becomes essential to meet competitions which are prevailing in automobile industry (Holland, 2014). In case of organizations such as Nissan and Renault team working has played a very crucial role. By means of this they have become competent enough to make major turnaround along with enhances their brand image along with position. Carlos Ghosn was decided goals in two phases in which first one is all about cost cutting, while second is concerned with increasing sales of company (Ahmad and Schroeder, 2002).
With the help of effective team work, organization was able to attain both these objectives without posing any difficulty. In order to support this entire course of action, CEO Carlos Ghosn has formulated various cross functional team in which employees of various functional department along with lower level managers has been included (Mostovicz, Kakabadse and Kakabadse, 2009). The major reason behind this is to find areas in which cost could be cut down. This has proved to be of great use as with the help of which costs and overhead of company were reduced up to great extent. In the similar manner, yet another team of managers were developed with a responsibility to introduce new products such as new cars in market along with enhancement of overall sales of company. On the basis of that it can be said that for automobile firm team work has delivered adequate results in positive manner (Bozionelos and Lusher, 2002).
Assessing work performance of existing workforce is very significant so that steps can be taken by management to improve their standard in case of any fault or discrepancy. There exist numbers of aspects which need to be considered by administration with an aim to evaluate performances of workforce. Training and development is very crucial factor which is to be carried out for the same. By means of this management of Renault will be able to assess performance of their employees (Bommer and et. al., 2005). This is due to the fact that through this they can gather idea and sufficient information regarding knowledge which is being possessed by staff members in terms of job which they have to perform. With the help of these sessions, it becomes easy to review their performance. Behavior of employees towards company is yet another factor which is to be considered for the purpose of reviewing and evaluating their employees. This tends to provide assistance to management in examining and assessing performance level within business enterprise (Laroche and Rutherford, 2007).
It is necessary for management of organization to identify as well as examine development needs of staff members. This is because of the reason that it is directly connected with their performance along with their satisfaction and dedication towards organization. Feedback can prove to be of great use in planning and delivering assessment of employees. This tends to provide assistance to management in determining loopholes and places where they are lagging behind. Other than this, communication along with interactive sessions is also very essential in this course of action (Casimir and Ng, 2010).
From the entire report, it can be concluded that working with and leading people is quite tedious job which has been successfully carried out by Carlos Ghosn, CEO of Nissan and Renault. He has effectively led employees and provides motivation to them at regular interval of time so that they can perform better as a team. With the help of two leadership styles such as democratic and transformational work has been managed with greater efficiency which has improved trust and commitment level of existing workforce within place of work.