Challenges in Establishing a company
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Strategic Human Resource Management
Establishing a company is never a smooth sailing affair as one has to be prepared to deal with different challenges. The management plays a critical role on how a company progresses since they are mandated to set both short and long term goals for the company. Positive attitude and determination to succeed should always be the mission of every individual or group of people who want to start a company despite the challenges that may come up.
Capital is the major challenge that any person or groups of individuals would face when starting a company. Murphy and the six who quit their job in the public sector to start an IT company were not spared of this challenge either. This was made difficult by the fact that their family members were against their resignation from the job they had got in the public sector and family support being important in any project undertaken by anyone proved to be the first great challenge they faced. However the determination to succeed enables any management team to achieve their set objectives. Murphy and the six having that determination to see their company grow never even listened to their ill-wishers who expected them to fail. They also faced challenges such the bureaucracy in government at that time, difficulty in importing computer and telephone lines but this made them more determined. This was an excellent attribute shown by this management team. Keeping the company’s goals and hope alive proved to be the determination of all the six members of the company. This enabled them encourage each other in the meetings that they regularly held to be strong and determined. This is what is expected of any management team.
Secondly, any management team has to develop a vision and mission statements for their company. These statements motivate both the management and other staff to work harder in order to achieve the set objectives. Infosys group had a vision creating wealth in a legal and ethical manner and become a global company. Their aim was to work transparently and in accordance with the set laws of their country. They also strived to be unique and different from other firms in India which were dominated by family members in their management teams. Their company was to be managed by professions and in professional manner. The current C.E.O reaffirms this by noting that they wanted to build a professionally owned company managed by professionals with good cooperate governance, good employee management and good ethics.
The management should also be able to review its strategies when need arises in order to improve the quality of services they provide as well as expand their customer market. Infosys’ initial vision was to offer services to foreign clients in their own country but they later reversed this and in subsequent years, they sent their employees to the clients in different foreign countries to offer direct services to them. This improved their customer base as well as the quality of their services. They were able to value added services such as IT design and IT strategy.
The management team has to be able to work on how to branding quality of their goods and services to make their product competitive in the market. This is a great challenge that every company faces especially when the said product is manufactured by several companies and every company has to stand out.
The management is also bound to face several challenges within the company and should establish clear mechanisms to deal with the challenges. Bonding between the employees and the management should be prioritized as well as bonding among the employees for example, offer support services to its employees in emergency situations.
The management shout also be able to find ways of managing employee discontent by making the work place more fun as well as offering good pay for the employees. Good remuneration increases work morale among employees.
