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Solution
Question 1
In modern business practice, globalisation concept is distinct in various contexts. For instance, in trade context, Palan et al. (2021) this is a process followed in spreading of the flow of financial products, goods, technologies, information and jobs in national borders and cultures. In economic context, Huh and Park (2021) identify it as being based on social, economic and political stratification with modernised trends evident. From different authors, progress of globalisation has been critiqued both positively and negatively from the time of its popularity.
The trend towards greater globalisation has peaked in the past years and today with this trend expected to decline significantly in coming years. In supporting this view, Cernat (2022) asking “has globalisation really peaked for Europe?”, argued that existence of varying politics, short-term based supply chain networks and prioritisation of citizens by individual governments. A case example is where in Saudi Arabia and United Arab Emirates, they operate Saudisation (Alforaih, 2021) and Emiratisation (Hani, 2021) policies respectively. The priority has been initiation of nationalised and localised community with smaller and limited global landscapes in place. Accordingly, due to (re)globalisation post-pandemic times, aggregation of globalisation has contributed to increased globalised economy market share. This is the case in KSA where an increased globalisation aggregation is evident with contract of globalisation evident in Western countries.
Further, with the globalisation in their peak, plateaued trading strategy in international market has been a recent trend. For instance, focusing on service sector, Baldwin (2022) argued that internationally, immense policies which restrict globalisation have been put in place. Particularly, IMF (2023) note that policies in globalisation lead to upto 7% in a long-term basis with approximately $7.4 trillion incurred. Hence, trade restrictions in globalisation negatively impact its popularity. The negative issue is further identified in Benedikter (2022) to be as a result of world biggest economies (USA, China and Russia) being in conflict has significantly slowed down globalisation. This prevail with COVID-19 pandemic already in place impacting negatively on supply chains in terms of being resilient due to other small countries vulnerable. To manage these disparities, the most appropriate practice would be to balance costs of production with supply chain networks stabilised. The best practice is identified in Sivertsson and Utz (2021) to include nearshoring intended to support local organisations.
Effect on Employment Markets in the Country
Impact on role-specific contrary to organisations, sectors and skills groups a priority– As a result of the retreating from globalisation, the assigned job roles would be unstable with staff workplace volatility evident. According to Das and Ray (2020), assigned job functions can lead to an increased country with another country noting a reduced number of jobs in same job practices. In Saudi Arabia for example, data entry/computer programs job functions can have a significant impact on lowering globalisation level. This is labour-intensive and capital-intensive in various sectors. For KSA Labour Market, global economy opening up substantially. This is with Sweidan and Elbargathi (2022) KSA globalisation has achieved 76.2% which is an increase.
Service sector impacted due to lack of skilled employees– The retreating of globalisation is noted to have had a significant impact on accessing lowly skilled employees in manufacturing and assembly. For KSA for instance, hotel sector has been disadvantaged with less workforce available to take these positions. According to Knight et al. (2021) most of staff in a country are characterised with appropriate eligibility for support practices in a government institution hence financial issues encountered. Besides, the low-skilled employees working in service sectors lack a possibility to hinder globalisation trends currently.
Wages offered depend on Economy Structural Characteristics– Retreating in process of globalisation contribute has contributed to major sectors in economies having reduced costs of operations. These sectors such as manufacturing are noted in Verico and Pangestu (2021) focusing on globalisation impact in Indonesia identify the impact of this as including goods offered in less costs. For KSA case, overall economy wellbeing has surged and inclusive of endowment, sector configured, factor-based needs and intensity of roles to be passed to globalisation.
Job Insecurity and Uncertainty– With increase in globalisation, Budría and Baleix (2020) note that this lead to rise in automation, globalisation levels and economic issues. The outcome of this is partly 20% of the employees feeling secure and certain regarding their job functions. The insecurity and uncertainties are primarily due to lack of sufficient information and data on job roles offered in different organisations. The predictability of these jobs is uncertain and often unbundled with its impact being on active practice operating in substantially high-level competition business sector. Considering operations in KSA, this contribute to increasing how they are responsive to opportunities of joining an organisation. In Dickins and Zhang (2023) research evaluating globalisation as a result of the COVID-19 pandemic, job insecurity have been in place with government responses to them being integrated with supremacy of finance within neoliberal governance.
Macroeconomic Policies impacted directly by Globalisation Retreating– Considering the macroeconomic outcomes, a significant implication on globalisation at the scope of employment and output by balancing of trade. According to Halevi et al. (2016), this lead to an increase in their level of reliance on international trade. For example, taking into account of GCC where Saudi Arabia is based is transitioning from their heavy reliance on oil and gas. This is by transitioning to operations in the service industry and manufacturing. This is supported by Looney (2020) which identify the increase in globalisation is noted to lead to strengthened implication on oil prices shocks in advanced industrial nations. Nevertheless, for a less scope, this impact the industrialising nations in a negative and significant manner. The success in managing their overall practices imply that they aggregate employment and unemployment features guided by aspects of macro and micro policies shared and shocks in place.
In summary, to a large extent, it is agreeable that trend towards greater globalisation has peaked. However, it is under a decline in the next few years. From this, there prevail immense approaches for retreatment from globalisation impacting the employment markets in the country. This is particularly in KSA where globalisation is influencing their transition from a full economy focusing on oil and gas products.
Question 5
The scope in which developments in technologies impact management of people in an organisation is informed by its categorisation as core knowledge from CIPD HR Professional Map (CIPD, 2023). This impact is evidenced by the extent the technology guide people practice professionals to improve how agile and workforce performance influence team-based working. In an organisation such as Riyad Bank operating in Saudi Arabia Banking sector, success in developing technologies directly impact improving their efficiency, effective decision making and maximise performance and their capability. Since the times of COVID-19, technology adoption has been popular in modern organisations influencing their success in operations. In order to evaluate success of technology development impacting people practice management in Riyad Bank entail the following;
Robotics
The robotics as part of recent development in times of industrial automation have elicited immense improvement on efficiencies and performance for organisations. According to García et al. (2020), robotics are popularly used by people practice in improving induction process, managing pay, compliance and offboarding/exit. Owing to the embrace of robotics amongst people practice professionals, Barosz et al. (2020) note that robot have contributed to increased performance with 30%, reduced performance cost with 50% with an increased use with an upward of 85%. This is since robotics offer an opportunity for human to execute their functions without human involvement.
Further, in people practice area, use of robotics has been evidenced by its technical nature in terms of narrowed down content, lack of access and fine scaling of their operations. For example, in Riyad Bank, robotics have been popularly used in tracking of accounts, sending automated notification and scheduling calls for documentation. According to Javaid et al. (2021), humans use the robotics in enhancing use of electronic data, initiatives and data utilisation. The result of this process include ability to adopt fresh information fed into the enterprise and customer relations management system (CRM).
Additionally, considering people professionals, they use robotics positively to increase entire performance. For example, in Riyad Bank case, Banking Robot contribute to a major transition to fully operation for upto 24 hours in 7 days a week without any form of being interrupted. Additionally, Patri (2021) note that robotics contribute to reducing entire employees risks in job functions. In Riyad Bank, owing to the increased competition in the banking sector, new systems emerging and need to dominate their market. However, by increasing the level of flexibility of their operations, the organisation is noted to be in an appropriate position of improving their operations.
The popularity of robotics is also identified in De Vries et al. (2020) as contributing to popularity of the low cadre tasks. In the banking sector where the organisation operate, they harness use of flexible and cost-effective of their operations. This is with new job roles improved and significantly enhanced. The skills and capabilities of the employees are also enhanced. Considering drawbacks, robotics in people practice professionals hinder critical thinking process. According to Patri (2021), critical thinking is important for people professionals to solve skills harnessing people to manage challenges and make best decision out of choices in hand. Also, in Riyad Bank, this influence installing and maintaining banking sector systems and maintaining them. At the same time, they use manual-based labour associated with their application. The L&D offered to staff on the robotics adoption contribute to incurring costs and therefore zero cost gain. In Riyad bank, they do not have best comparative factors which hinder their utilisation successfully.
Artificial Intelligence (AI)
As evidenced in CIPD (2023a), AI is currently in use in different areas such HR Information Systems, Spreadsheet software, Learning Platforms among others. The popularity of AI in modern business environment by organisations include improvement of staff execution of their roles, people capability evaluation, flexible working strategy and all people involvement. The impact of this is noted in Gallego and Kurer (2022) as influencing the AI in support of other technologies in place as guiding to redefine the people professionals management functions and staff. For Riyad Bank for example, for their different departments, using AI offers an appropriate opportunity for utilising their cognitive skills effectively. According to Bag et al. (2021), upto 70% of all people practice functions are expected to change significantly in future. The best practice would include fair resourcing, adherence to people professionals roles, dignified operations and embracing data privacy. To people practice professionals, using AAI influence how they are efficient in their roles to resource, harness talent management and all employees engagement. This influence the need for people professionals possessing relevant skills and knowledge to balance AI potential of integrating human aspects of empathy, creativity, and use of critical thinking. Hence, for AI, it is supportive and not used as an alternative to AI in full.
For strengths, Korteling et al. (2021) hypothesis that AI application positively impact on lowering the overall huma-based errors. These entail predictive analysis and time saved and resources for accuracy and efficiency of outcomes. Further, people strategies roles and processes repeated multiple times are avoided. Operating in Banking sector, Riyad Bank effectively use the AI to manage their clients data, store the data safely and interactions for customer-based relations. The drawbacks associated with application of AI in modern organisation include its costs of implementation. In Tsolakis et al. (2023) report, it hypothesised that organisations would pay approximately $0 to as high as $300,000 for AI software sourcing. This is with AI solutions costing approximately $6000 to more than $300,000. Also, the rate at which AI technologies become obsolete is similarly increasing. In Forbes (2023) report for instance, it hypothesise that 70% of all current AI technologies would end up becoming obsolete in a period of 3 years of use. This means that Riyad bank would need to constantly upgrade their employees skills and knowledge in order to be aligned with modern technologies and avoid being obsolete. Further, for drawbacks, AI is significantly replacing humans in their job functions. In their operations, Riyad Bank which operate in different KSA locations would need to redesign their job functions and introduce new opportunities for their active operations.
Question 10
According to Behazad (2020), often, employees are hesitant from embracing change which is a behaviour identified as cynicism. Broadly, employees resistance to change can either be due to demotivation from participating in the process or incompetencies. With resistance to change evident, CIPD (2017) argue that employees also blame those taking part in the change hence an increased demotivation. For instance, in Riyad Bank, introduction of flexible working as a change strategy has faced resistance from employees due to fears of being cost intensive and immense time of implementation.
The reasons for employees resistance to change and addressing the resistance include;
In Lozano and Garcia (2020) report on change resistance hypothesised that 70% of all change
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