Workforce capability and Sustainability of Organisation

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Workforce capability and Sustainability of Organisation

 

Presence of appropriate organisational resources are essential for the sustainability of an organisation. When organisations undertake new initiatives, they often require changes in processes, procedures, job roles, organisation structure, culture and uses of technology. However, it is actually the employees of the organisation who ultimately changes in how they do their job. If these employees are unsuccessful in their transition, or if they do not embrace and learn a new way of working, the new initiative will fail . If the employees adopt changes required by the initiative, it will deliver the expected results. So the intellectual capability of an organisation is very important for the functioning as well as the  success of any change initiatives.

  


Learning capability is an intangible resource that has a significant role in the enhancement of firm’s performance and competitive advantage in general and in the success of IT implementation in particular. Combination of tangible and intangible resources/ capabilities is needed for a better organisational performance. Organisations need to boost the learning capability to transform and implement external knowledge within the company so as to enhance its core competencies. Organisations that want to make effective use of the resources must  boost its absorptive capacity. For that organisations need to focus strongly on the communication interface between the external environment, the company as a whole and its constituent units. Furthermore, organisational culture is one of the determinants of the effectiveness of organisational learning capability. Organisation culture can either facilitate learning and changes in a system or on the contrary impede it. Learning capacity is influenced by both internal and external factors. 

Internal factors include

  • Prior knowledge base
  • Individual absorptive capacity
  • Level of education and academic qualification of employers
  • The diversity of their backgrounds
  • Organisational structures
  • Level of cross functional communication
  • Organisation culture
  • Company size
  • Investment in R&D
  • Human resource management

 




External factors  are a combination of external knowledge environment and company’s position within the relevant knowledge networks.

 

To increase the organisational learning capability, Managerial commitment is highly essential. Apart from managerial commitment, employees also need the intend to update their knowledge. Learning and training programmes should be interactive and interesting. Make knowledge sharing, experience sharing, consultations and collaboration a part of organisation culture. Moreover building relationship and trust among employees is essential for the effective use of intellectual capacity. 

 

To increase the human capital- 

  • Training
  • Knowledge sharing 
  • Collaboration

To increase organisational Capital-

  • Collaboration
  • Effective Information system management
  • Efficient R&D
  • Successful ERP implementation

 

To increase social capital-

  • Building strong stakeholder and  customer relation
  • Collaboration with like-minded organisations
  • Effective partnerships

Policies to upgrade intellectual capital is vital for an organisation, like 

  • Continuous and long term training
  • Recruiting employees matching the skill requirement

 

Each employee is unique with their own capabilities and limitations (Dukic et al, 2016). Making use of their capabilities and experiences is essential for the sustainability and success of the organisation.

 

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