Business
should hire employees for life. Agree or disagree?
Companies environment are changing very
quickly these days. Those changes are a
result of how fast economy is changing. Today companies have to deal with new
models of business, introducing changes in products and operations to maintain
or improve companies’ financial results.
It will become difficult to maintain employees for life if companies
have to change the ways they approach business changes during short or long
periods of time. For Example, Motorola, a big American company based on
telecommunication technology, is now owned by Google, who has a completely
different model of how to approach telecommunication technology business. As a
consequence of the new business model imposed by Google, four thousand Motorola’s
employees around the world were fired.
Google’s model of business is based
in Android Operating System and it is oriented to compete with Apple´s Iphone
and other Android based smart phones in the market now. On the contrary of
Motorola, Google is pointing out to produce a very few models of phones and
tablets. This approach of business is different
from what Motorola use to have as business model: To have several models of
phones and tablets using several Operating Systems. In this case, a giant company like Google
engaged in appropriates another corporation in financial trouble (Motorola) to
take advantage of patents, because they were behind schedule in the android for
mobiles and tablets market. This Google strategy shows a way of developing a
product using a fast track behavior. Google also bought Motorola image as a
worldwide leader in mobiles devices in order to use the Motorola trademark and
prestige as the perfect complement to Google innovative approach.
This example shows how business
models are constantly changing, and how the old style of having employees for
life contradicts modern business strategies. It also states how new tendencies
in the market (smart phones fever) impact directly product development timelines
and how products should be ready in order to catch the market at the right
time.
Moreover, it is a fact that today technology
changes so fast, that old employees will not have the skills to deal with new
facets of new business tendencies unless companies spend money keeping
employees updated with the new age of technology. This approach should be evaluated against
budget impact and the approach of contracting new employees already trained to
improve financial feasibility of new product projects and the effectiveness of
results.
In conclusion, we can say that
keeping employees for life in a company has turned to be a less desirable
policy for large corporations in modern business managing. The Google case,
clearly states how corporations generate changes in business approaches and
product developing strategies in order to maintain market competition and how
such changes impact employees careers.
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