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When Henry Ford proudly looked at the assembly-line winding its way on the shop-floor like a noisy car-vomiting snake, little would he have imagined that ,soon this snake is going to be one of the most endangered species of its kind. The false economies in mass production and in huge inventories have been unceremoniously cast away today in this customer – pampering competitive market. Buzz-words like Right-sizing, Down-sizing, Rationalisation, Golden Hand-shake have been welcomed by businesses while referring to the sheer number of employees. Manufacturing strategies such as "Flexible Manufacturing systems", "Computer Integrated Manufacturing", "Enterprise-wide Resource planning" are making the rounds of the shop-floors today.

If this is the present , what is the scenario going to be in the foreseeable future ?

The future most definitely is going to be full of challenges, and businesses are going to be guided by continuous change on an uncertain & unclear path.

"World was never certain, will never be certain, only this……is certain".  

The future business scenario would be marked by the below mentioned features :

  • Rapid changes in Technology
  • Transnational suppliers and customers
  • Fierce competition
  • Innovation for survival.
  • World-class Quality –demand of customer.
  • Mergers, Takeovers and Acquisitions.
  • High product differentiation achieved by very low manufacturing costs.
  • Extremely short lifecycles of products/services.
  • Quicker response to market.

How the Organisation responds to the tremendous demands made by the market would be the key? The whole Organisation structure would need to be more organic than ever before to be able to survive and remain World-class. The stringent and ever increasing demands of the discerning customer would mean that organisations respond to the demands of the market before the competitor does . The structure would have to be lean enough to create synergy and dynamism for disseminating communication quickly across all levels.On the other hand the organisation would require highly competent individuals who take the process of innovation and knowledge-enhancement seriously. 

The business scenario would impact the Organsiation structure and on its Manpower Resources in the following way :


TODAY'S ORGANISATION FUTURE ORGANISATION
Optimum Organisation <------------------------------------> Minimalist Organisation
Specialist Departments or divisions <------------------------------------> Work Groups
Less Designations <------------------------------------> No Designations
Onus on participation <------------------------------------> Onus on Entrepreneurship
Career driven employee <------------------------------------> Knowledge-driven professional

 

MARKET / PRODUCT STRATEGIES
GLOBALISATION TECHNOLOGY

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ORGANISATION OF THE FUTURE

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Impact on Structure

  • Leaner structure
  • Work groups
  • Emphasis on joint decision-making

Impact on Climate

  • Synergy
  • Teamwork
  • Stress on continuous Innovation
  • Cross-Cultural workforce
  • Quick Vertical, horizontal & diagonal communication

Impact on Manpower

  • High on knowledge

  • High on Commitment

  • High on need to upgrade one’s Skills

Increased competition, technological development, and shorter product life cycles all suggest that organisations must be able to respond more quickly to changes in the future than they have in the past. These conditions will require that the organisations operate differently. These differences will be seen in structure, decentralized decision making, fewer or no job classifications, multi-skilled work forces, more effective communication among functional groups.To bring about these changes within the organisation, the HR Professionals need to get in their expertise and help evolve systems which support the business needs. The key even then would lie with the Human Resources and not with the computers, not with the CNC machines. The most efficient information systems would be only as good as the "people" who make up the fabric of the company.

 

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