Mutual Resource Management Case Study

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Line managers working at the BMW are increasingly becoming involved in personnel management (Dodgson, et al. 2008). Bach and Edwards (2013) note that despite line managers’ functional specialism and industry, they are expected to engage in personnel management activities that the very least in order to cover performance management function like performing engagement appraisal and administering poor performance. To some extent line managers at the BMW posses delegated power of recruiting or firing workers as the deem fit depending on their capacity (Qadeer, et al. 2011). This is not a new episode at the company in their quest to leverage themselves of having a proficient and innovative team working for them. The only difference about the whole …show more content…

Wilkinson, et al. (2015) note that the HR mutual service model, which is increasing in popularity, treat daily responsibilities for HR issues as strategic one to the company by allowing HR operations to become a centre of skill and talent nurturing as well as a strategic business ally within the company. The authors further note that this has partly been enabled by the development of E-HR (2015). So in most cases, HRM and presently, line managers, can make final decisions regarding personnel management without consulting with top management and because there is decentralisation of decision-making process given the increasing independence of HRM and a revolution in leadership style from authoritarian to participative leadership. In the last decade, the BMW has not only decentralised decision-making process, but also restructured the organisation so that each management unit is clearly defined and performs its work autonomously and each department supports team work beginning with line managers (Maguire 2005). Wilkinson, et al. (2015) argues the reason this is happening is because of the tendency towards individualism in recruitment relationship has continued to influence the tendency towards decentralisation of personnel management to the line

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