3.Case Study Transformation at the Universal Manufacturers Group Coursework

3.Case Study Transformation at the Universal Manufacturers Group - Coursework Example The merger is expected to place the group at the same caliber with other competitive companies. The management hopes to reap the benefit accrued with economies of scale. Max Weber expounded on the classical theory and emphasized that there was no need of organization diversifying (Powell, 2003, p.42). In his line of thought, an organization can be successful so long as there are clear lines of authority and control. Weber gave credit on the importance of division of labor. Division of labor will enhance an organization productivity and cut-off some expenses. This however will result to the transformation of the entire human resource. The director of human resource director Mrs. Smithers is faced with challenges on how to transform the current human resource functions while still remain in focus with the organization’s vision, mission, goals, and objectives. UMG is facing two key problems in its human resource transformation. Since it wants to merge the three companies into one based in the newly located headquarter in Reading, England, human resource that was available will have to be downsized. The retrenchment of some employees will be the only way out in ensuring that UMG gets value for its resources. However, retrenchment of the employees should be done on a fair ground. Perhaps the best way to go about would be Mrs. Smithers sending circular to each department on the issue of downsizing, so that who are willing voluntarily to resign can be given the chance. Torrington, and Hall (1998, p.76), argued that proper procedures should always be in place on how to layoff, employees who voluntarily resigned and those who will be â€Å"forced† to resign. This is because if employees are not taken care during the retrenchment period this might have a negative reputation of an organization. Frederick Herzberg’s motivation-hygien e theory identifies job security as one of hygiene factor that will motivated the employees. Frederick