Development Research Report

on LafargeHolcim

Human Resource Management

BUS 601, Section: 05

Submitted To
Dr. M. Nazmul Amin
Faculty Member
School of Business and Economics
North South University

Submitted By
Name ID
Shihab Monjur 163 5145 060
Sabikunnahar 172 5406 060
Tasnia Tasnim 172 5018 660
Fazlay Rabby Reza 171 5405 060
Maymuna Chowdhury 171 5224 660
Md. Asadul islam 172 5031 660

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 Table of Contents
Executive Summary ........................................................................................................................ 4
1. Introduction: ................................................................................................................................ 5
1.1 Company Profile & Historical Background:......................................................................... 6
1.2 Present Position:.................................................................................................................... 9
1.3 Way Forward for LafargeHolcim: ........................................................................................ 9
1.4 Products and Services: .......................................................................................................... 9
1.5 Competitors of LafargeHolcim: .......................................................................................... 11
1.6 Market Share: ...................................................................................................................... 11
2. Objectives 1: HRM problems and issues associated with LafargeHolcim Limited
Bangladesh. ................................................................................................................................... 13
Absenteeism: ............................................................................................................................. 13
Recruitment related Problems: .................................................................................................. 13
Few Training and development Opportunities: ........................................................................ 14
Improper Job Analysis .............................................................................................................. 14
Lack of Employee productivity: ............................................................................................... 14
3.Objectives 2: HRM approaches taken to ensure ongoing strategic competitive advantage ...... 15
4.Objectives 3: HRM Challenges ahead in 21st century ............................................................... 16
5.Conclusion: ................................................................................................................................ 19
6.Recommendation: ...................................................................................................................... 20
7. Implementing the Proposed Recommendation: ........................................................................ 20
Reference ...................................................................................................................................... 22

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 Executive Summary
Development of cement industry in Bangladesh dates back to the early-fifties but it growth in
real sense started only about a decade. With current capacity of 1.85 crore tons and a constant
growth of more than 6%, this industry has attracted many investors. To complete with the
market, Lafarge Surma Cement Ltd. is constantly evolving in order to become more flexible in
their operations, more creative in their global business, and more efficient in their capital
allocation.

Human Resources are the most important assets of an organization. The success or failure of an
organization is largely dependent on the competence of the people working therein. Without
positive and creative contributions from people, organizations cannot progress and prosper. In
order to achieve the goals or the activities of an organization, therefore, they need to recruit
people with requisite skills, qualifications and experience. While doing so, they have to keep the
present as well as the future requirements of the organization in mind.

Along with the theoretical aspects of these functions, this report provides an outline of the human
resource related problems that Lafarge Surma Cement Ltd. is facing and approaches taken by
them to overcome these problems, and challenges it may discover in near future. This
organization has the only fully integrated cement plant in Chhatak, Sylhet; whereas its head
office situated in Dhaka. LSC has six depots in different places of Bangladesh which support its
distribution network.

Finally, from our research, we have observed some lacking of Lafarge Surma Cement Ltd. and
came up with few recommendations for the improvement of Lafarge Surma Cement Ltd.

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 1. Introduction:
Cement industry in Bangladesh is playing a very important role in the development of
infrastructure as the economy is growing over the years. Although, the actual growth of cement
industry started only about a decade ago, the development of cement industry in Bangladesh
dates back to the early-fifties. Bangladesh is the world's 40th largest cement market in the world.
The cement sector accounted for more than 6.90 percent of the DSE's total market capitalization
of Tk 117 billion as of December, 2017(The Financial Express, 2017). The magnitude of cement
demanded by a country is an indicator of the development of construction sector which also
points to economic growth (Hossain, 2015). Since 1990, about 95 percent of the country’s
demand for cement had been met through import. But the country has been experiencing an
increasing trend of cement production domestically for the last 6/7 years. In 2010, local
entrepreneurs started setting up factories and around 100 factories had been incorporated as
cement manufacturers. Currently, only 55 factories are in operation, including 5 multinational
companies. A total of 34, including multinational cement manufacturers, are in commercial
production. The installed production capacity of the 34 cement factories is 1.85 crore tonnes a
year, according to Bangladesh Cement Manufacturers Association's (BCMA) data.

Top 13 players are alone controlling over 78% of the total industry capacity. Many small
factories have shut down among brutal competition. Cement producers, who have been going
through a tough time for the last two years, now experiencing demand for some big infrastructure
projects taken by the government (Royal Capital Limited, 2015).

Bangladesh is self-sufficient in fulfilling its local demand for cement. Even so, the installed
production capacity is higher than local demand. Although Bangladesh is self-sufficient in
cement production, it needs to import all the raw materials used in cement manufacturing. The
main ingredients for cement include clinker, gypsum and fly ash, which are mainly imported
from Thailand, Malaysia, Vietnam and China. Bangladesh has surplus production capacity of

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cement and many companies are now going for expansion, thus Bangladesh will not face any
problem meeting its local demand (Kabir, 2013).

1.1 Company Profile & Historical Background:

Lafarge Surma Cement Ltd. is a joint venture of LafargeHolcim, a world leader in building
materials and Cementos Molins, Spanish Company with strong global presence. LafargeHolcim
Bangladesh Limited, together with its subsidiaries, manufactures and markets cement and clinker
in Bangladesh. It also owns and operates the limestone and shale mine located at Nongtrai and
Shella area of East Khasi Hills District, Meghalaya. The company was formerly known as
Lafarge Surma Cement Limited and changed its name to LafargeHolcim Bangladesh Limited in
February 2017. The company was incorporated in 1997 and is based in Dhaka, Bangladesh.
LafargeHolcim Bangladesh Limited is a subsidiary of Surma Holding B.V.Lafarge Surma
Cement Ltd. was incorporated on 11th November 1997 as a private limited company in
Bangladesh under the Companies Act 1994. Subsequently, on 20th January 2003, Lafarge Surma
Cement was made into a public limited company. (Company Overview, 2017) The Company is
listed in Dhaka and Chittagong Stock Exchanges and has 35,000 shareholders. The plant of
Lafarge Surma Cement, which is located in Chhatak Sunamganj is the only fully integrated dry
process cement plant in Bangladesh where high premium quality clinker (a semi finished product
needed to produce cement) and cement are produced utilizing sophisticated and state-of-the-art
machineries and processes. The Company’s ability to produce its own clinker under its strict
quality supervision and the presence of an international standard Quality Control and Monitoring
Lab ensures the same consistent premium quality in each and every bag. On 7th April 2014,
Lafarge & Holcim announced a merger initiative to create LafargeHolcim. With this
announcement, Holcim and Lafarge had completed all necessary paperworks with regulatory
authorities worldwide and thus merged on 10th July, 2015. On 15 July the new company was
officially launched around the globe under the name of LafargeHolcim, creating a new leader in
the Building Materials sector. (Lafarge Surma Cement acquires Holcim Bangladesh, 2016)
Following the completion of the merger, the company now owns the only clinker production
facility in Bangladesh and four grinding plants across the country. This synergy enabled the
company to optimise its network of production facility and create more cost-effective routes to

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the market. Before the acquisition, Lafarge Surma had the capacity of producing 1.5Mta of
cement and 1.2Mta of clinker. Now the company has become a major player with a production
capacity of 4.2Mta.

On 10th July 2015 two global cement manufacturer giants, Lafarge S.A. of France and Holcim
of Switzerland merged. Prior to the merger, both of the companies were operating globally as
market leaders. Previously, Lafarge S.A. was founded in 1833, France to perform regular
limestone extraction operations in limestone quarries. In 1887 they established the world’s first
research laboratory which was the first of its time to specialise in cement. Lafarge began its
significant global expansion from 1980-1990 in Sub-Saharan & East Africa, China, India and
South Korea.

Lafarge Surma Cement sources its primary raw material limestone from its own quarry in
Meghalaya, India, which has one of the best quality limestone deposits in the world. This
limestone is brought to the Plant using a 17 km long conveyer belt. In November 2000, the two
Governments of India and Bangladesh signed a historic agreement through exchange of letters in
order to support this unique cross border commercial venture, and till date it is the only cross
border industrial venture between the two countries. As Bangladesh does not have any
commercial deposit of limestone (the main raw materials for producing clinker), the agreement
provides for uninterrupted supply of limestone to the cement plant from the quarry. Lafarge
Surma Cement Ltd. wholly owns a subsidiary company Lafarge Umiam Mining Private Ltd.
(LUMPL), which is registered in India and operates the quarry in Meghalaya.
By supplying clinker to other cement producers in the market and through import substitution of
clinker, Lafarge Surma Cement helps the country save USD 65-70 million worth of foreign
currency per year. The Company also contributes around BDT 1 (one) billion per annum as
government revenue to the national exchequer of Bangladesh. About 5,000 people depend on our
business directly or indirectly for their livelihood. Apart from these, the Company also
contributes to the sustainable development of the society, economy and environment though its
Corporate Social Responsibility initiatives in the area of education, health, employment
generation, infrastructure development and environmental management.
This commercial venture, with an investment of USD 280 million is one of the largest foreign
investments in Bangladesh. It has been financed by Lafarge, S.A., Cementos Molins, S.A., a

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number of leading Bangladeshi business houses together with International Finance Corporation
(IFC), The World Bank, the Asian Development Bank (ADB), German Development Bank
(DEG), European Investment Bank (EIB) and the Netherlands Development Finance Company
(FMO).
With a well-balanced presence in 90 countries and a focus on cement, aggregates and concrete,
LafargeHolcim is the new world leader in the building materials industry. The Group has
100,000 employees around the world and combined net sales of CHF 29.5 billion.
LafargeHolcim is the industry benchmark in R&D and serves from the individual homebuilder to
the largest and most complex project with the widest range of value-adding products, innovative
services and comprehensive building solutions. With a commitment to drive sustainable
solutions for better building and infrastructure and to contribute to a higher quality of life, the
Group is best positioned to meet the challenges of increasing urbanization.
Cementos Molins, based in Barcelona, Spain, is a renowned cement company founded in 1928.
With over 88 years of experience in manufacturing cement, Cementos Molins is a company
listed in the Spanish Stock Exchange. Apart from India and Bangladesh, the company has
industrial operations in Spain, Mexico, Argentina, Uruguay, Bolivia, Tunisia, and has reached an
agreement with a local partner to set up new plant in Colombia. The Group has 4,439 employees
around the world and combined net sales of 0.75 Billion EUR in 2015 with a 22% combined
EBITDA Margin (proportional method). Cementos Molins business is built, amongst others, on
the basis of Technological knowledge, obsession with costs, quality of products, culture of work
and effort, respect for the environment, integration of sustainability in all the processes and
appropriate care for people. (company Profile, n.d)

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1.2 Present Position:
• LafargeHolcim has the only fully integrated dry process cement plant in Bangladesh
where high premium quality clinker and cement are produced.
• They are the only company in Bangladesh to have a cross border conveyer belt with
India.
• They are also the industry benchmark in R&D and serve from individual homebuilders to
the largest and most complex projects with the widest range of value-adding products,
innovative services and comprehensive building solutions.
• LafargeHolcim’s distribution network covers all 7 divisions of Bangladesh.
• The company has 4 grinding plants in Bangladesh — 2 in Meghnaghat, Narayanganj; 1 in
Chattak Sunamganj and the other in Mongla.

1.3 Way Forward for LafargeHolcim:

The company’s vision is to be the undisputed leader in building materials in Bangladesh through
• Bringing Excellence in all areas of operations with world class standards
• Harnessing strengths as the only cement producer in Bangladesh
• Achieving Sustainable growth that respects the environment and the community

1.4 Products and Services:

Products:

LafargeHolcim Cement has one of the most unique operations in Bangladesh, clearly setting the
company apart from the rest of the cement companies and other industries in Bangladesh. The
Company’s cement plant in Chattak is the only fully integrated cement plant in Bangladesh
where clinker and cement of high premium quality are produced. Clinker, a semi finished
product, is the primary raw material for producing cement. Apart from Chhatak, the entire
cement industry in Bangladesh imports its clinker from abroad and from different sources, based
on price and availability.

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There are three products of them that are mentioned in below in details:

Supercrete: It is the only limestone cement of the country with unique benefits of early strength
and setting. It is a mukti purpose cement applicable for a wide range of construction jobs:
➢ Specially suitable for a building’s foundation, slab, rendering jobs etc.
➢ Also suitable for big projects like bridge and flyover.
It has five unique features. They are
i. Consistent quality
ii. Early strength and settings
iii. Good workability
iv. Superior Finish
v. Lighter color

Powercrete: Manufactured with fresh high quality clinkers, powercrete ensures durability of the
structure. Powercrete is a multipurpose cement applicable for a wide range of construction jobs.
It’s application is similar to Supercrete cement, but it has extra special application that is, it is
suited for structures in costal regions which are prone to high salinity.

Services:

Concrete Innovation & Application Centre, a well-equipped Concrete and Aggregate Testing
Laboratory, is another pioneering step of LafargeHolcim Cement Bangladesh. This laboratory,
recognized by Bangladesh Accreditation Board, offers a wide range of services to the valuable
customers, including:

• Pre-project mix design with selected / suitable ingredients for specific application of
project
• A team of our professional experts (engineers) provide most economic / optimized mix
design by conducting all necessary tests of aggregates and required number of trails
• Provides economic high strength concrete mix design for High Raised Building, Pre
stressed structure, Shell structure, Industrial structure
• Provides the scope of research on high performance concrete
• Provides recommendation on crack prevention

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 • Customized solution for any construction needs
• All material testing services are performed in accordance with national and international
standards
• Provides crushing strength test of concrete cube / cylinder up to 100 Mpa

1.5 Competitors of LafargeHolcim:

a) Among Local brands competitors of LafarHolcim such as:

• Shah Cement,

• Meghna Cement,

• Crown Cement,

• Fresh Cement,

• Premier Cement and

• Seven Circle Cement

• Bashundhara Cement

b) Among multinational cement companies:

• Heidelberg,

• Cemex and

• Emirates.

1.6 Market Share:

In Bangladesh, cement consumers are categorized as follows:

1. Individual home makers (25%)

2. Real estate developers (35%)

3. Govt. organizations, i.e., LGED, RHW etc. (40%)

The largest 13 cement manufacturers hold 78% of the market share. Heidelberg, Holcim and
Lafarge are the leaders among multinational cement manufacturers and Shah and Meghna are the
leading domestic manufacturers. Shah cement is the market leader with close to 14.50% of the
market share, closely followed by Heidelberg with about 10.0% of the market share. During the

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2010, many small local manufacturers like Premier, Seven Circle, Crown, Fresh and King
cement increased their sales drastically riding on their benefits of economies of scale, backward
linkage and aggressive marketing effort.

Cement industry is a blooming sector in Bangladesh. This study has been carried out with the
following objectives in mind:

➢ To find out the HRM problems and issues associated with Lafarge Holcim Limited
Bangladesh.

➢ Finding out HRM approaches taken to ensure ongoing strategic competitive advantage.

➢ To know what sort of HRM challenges may face Lafarge Holcim Limited Bangladesh in
21st Century.

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 2. Objectives 1: HRM problems and issues
associated with LafargeHolcim Limited
Bangladesh.
The HR function has been changing over the years. More businesses are realigning the role of
HR so they can best manage and grow their company cost effectively. Some companies have
decided that it’s best to outsource some functions to third parties so that internal resources can
focus more time on strategic issues. It’s safe to say that companies today are constantly
examining their HR function with a goal of figuring out best practices and best allocation of
time.
HR deals with many issues problems in the modern era.

Absenteeism:
Absenteeism is a problem that has plagued organisations for many years, unfortunately
organisations are still struggling to deal with this costly problem. Much of previous research
carried out on absenteeism has focused on the variables that cause an employee to attend or not
attend work because the lack of motivation and job satisfaction. Other research on absenteeism
has focused on the issue from an organisation and employer viewpoint. Nicholson (1993) argues
that workplace absenteeism is both linked to work life factors and personal factors and both need
to be taken into account when assessing the complexity of the issue in an organisation.
According to Sadri and Lewis (1995) a lot of the literature on the causes of workplace
absenteeism has focussed on the aspect of voluntary absence and the idea that when an
individual is physically well enough to attend work that their motivation will determine whether
they will be absent or not. The LafargeHolcim group faces these Hr Problems in the workplace.

Recruitment related Problems:

Whether to complement the existing workforce or to replace staff lost through natural attrition,
the problem the company facing the Human Resources’ department is recruitment of talent.
Sheehan describes that finding staff with the correct blend of skills, personality and motivation is
difficult, even when the pool of available candidates is relatively large. The company mostly
depends on the internal sources of employee. Whether recruitment is handled solely by the
internal HR department, or with the assistance of a third party, it is essential that the process is
managed centrally and effectively. Where there are dozens of applications, the details of each
will need to be recorded for review and comparison. Candidate quality is almost always an issue,
particularly in a changing economy where new technology, awareness of global economics and
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increasing educational requirements are in high demand. High-quality candidates are quickly
snapped up, and it can be difficult to lure them to a new job, particularly if the job doesn't have a
topnotch benefits package.

Few Training and development Opportunities:

Training is the process of aiding employee to gain effectiveness in their present and future work.
It is an organization planed afford to help employee acquire job related knowledge, skills,
abilities, and behaviors with the goal to applying these on the job. (Dessler,“Human resource
management”). Lafargeholcim has few training and development opportunities in the
organization. It does not give employee opportunity to enjoy the learning opportunity. Without
proper training he or she may not get the best output.

Improper Job Analysis

Job analysis consists of job description and job specification. Any definite job description and
job specification is not usually prepared for the new employee for the organization. With
increasing recognition of the HR–performance linkage, it has been suggested that organizations
that actively pursue job analysis as an HR planning strategy are likely to gain competitive
advantage (Anthony et al., 2002; Dressler, 2003). Companies that regularly conduct job analysis
possess a much better knowledge of their employees’ strengths and limitations, and can take
timely corrective action to improve any deficiencies in their skills and job behaviour (Clifford,
1994). A regular or proactive job analysis practice can help a company in creating a proper
infrastructure by defining the tasks to be performed as well as the timelines for performing them.
A clear delineation of roles and responsibilities through job analysis and its availability to job
incumbents ensure that every level of organizational hierarchy understands its contribution and
adds value to the product/service development and delivery with minimum overlap or wastage of
resources. Without an analysis, staff will be forced to guess at the necessary duties of the
position. In addition, the lack of planning creates budgetary issues as money that could go
toward new employee positions gets allocated elsewhere.

Lack of Employee productivity:

As a multinational Cement company Lafargeholcim possess lack of employee productivity.
Comparing to the market leader Shah cement lacks efficient management decision. The
employees are not motivated to achieve the efficiency level. Nag refers that the modern

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workplace is full of demands, deadlines, etc. There are employees who sustain and perform
under pressure while there are employees who succumb to this rising pressure. Thus, an
aggressive environment where the stress levels are high will prove detrimental to employee
performance. There is no structured flex time system and the employee bonus system. The
employees are kept over a long time in a certain position, in average for three to four years; for
which they lose motivation to successfully contribute.

3. Objectives 2: HRM approaches taken to

ensure ongoing strategic competitive
advantage
• Selection in Recruiting: Carefully selecting the right employees in the right way. On
average, a highly qualified employee produces twice as much as a poorly qualified one.
Moreover, by being selective in its recruitment practices, the organization sends the message
to applicant that they are joining an elite organization that has high expectations regarding
employee performance.
• High wages: Wages that are higher than that required by the market means pay higher than
that paid by competitors. High wages tend to attract better qualified applicants, make turn
over less likely and send a message that the firm values its employees.
• Incentive pay: Allowing employees who are responsible for enhanced levels of performance
and profitability to share in the benefits. Employees consider such a practice to be fair and
just. If all the gains generated from the employees’ ingenuity and efforts go to top
management, people will view the situation as unfair, become discourage and abandon their
efforts.
• Employee ownership: Giving the employees ownership interests in the organization by
providing them with such things as shares of company stock and profit-sharing programs.
Employee ownership, if properly implemented, can align the interests of employees with
those of the other share holders. Such employees will likely take a long term view of the
organization, its strategy and its investment policies.
• Teams and job redesign: The use of interdisciplinary teams that coordinate and monitor
their own work. Team exerts a powerful influence on individuals by setting norms regarding
appropriate work quantity and quality. Positive results from group influences are more likely
when there are for group efforts, when group have some autonomy and control over the work
environment and when the groups are taken seriously by the organization.

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• Training and skill development: Providing workers with the skills necessary to do their jobs.
Training not only ensures that employees and managers can perform their jobs competently,
but it also demonstrates the firm’s commitment to its employees.
• Wage compression: Reducing the size of the pay differences among employees. When tasks
are somewhat interdependent and cooperative needed to accomplish the work, pay
compression can lead to productivity gains by reducing interpersonal competition and
enhancing cooperation.
• Promotion from within: Filling job vacancies by promoting internal employees from jobs at
lower organizational level. Promotion increases training and skills development, offers
employees an incentive for doing well and can provide a sense of fairness and justice in the
workplace. (Kleiman, Lawrence, n.d)

4.Objectives 3: HRM Challenges ahead in

21st century

The traditional view of Human Resource Management is that of a cost center. A cost center is a
department or division within an organization that uses up organizational resources but doesn’t
create revenues for the company.
One simple fact is that, in the 21st-century organization, human resources—the people within an
organization—are one of the primary means of creating a competitive advantage for the
organization, because management of human resources affects performance. The modern
business cannot effectively operate in the business world if the human force not well equipped
with the latest technology and techniques. This is the responsibility of the human force manager
to properly train the work force and to see what is the basic need for the human force to achieve
the competitive advantages of business in 21st century. Great debates on this topic going on form
several years and no doubts human is an important part of any organization but due to rapid
changes in the business world, globalization, change in customer taste and habits, new
techniques of production, human in the organization now facing different kind of problems, to
cope this situation the today’s HR manager also facing a variety of issues and challenges that
how they can best mange and solve all these issues and challenges with splendid ways. HR
manager facing a variety of challenges to meet these challenges for the future, tomorrow HR

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manager or department must be much sophisticated than their predecessors (Byers and Rue,
2006).

Cement industry is one of the most competitive industries in Bangladesh. If a cement factory
wants to stay for long time in this industry then they have to improve their performance each and
every year. From the previous research it is being identified that many cement industries failure
occurred due to poor performance and bad management.

Job Satisfaction:
Job satisfaction, is the feeling of well-being that we experience in our jobs whether or not we like
what we do and the immediate environment surrounding us and our jobs, the extent to which
people like (satisfaction) or dislike (dissatisfaction) their jobs. Job satisfaction is in regard to
one's feelings or state-of-mind regarding the nature of their work. Job satisfaction can be
influenced by a variety of factors, for example pay practice, quality of one's relationship with
their supervisor, quality of the physical environment in which they work. Job satisfaction is
generally believed a higher job satisfaction is associated with increased productivity, lower
absenteeism, and lower employee turnover (Hackman & Oldham, 1975). Maximizing profit and
minimizing cost is the essence of productivity. Higher the productivity level, more successful
will be the company. HRM should always focus on maintaining high productivity level. Despite
HRM's continuous effort, company might sometimes get unsatisfactory result. In such case, it
should thoroughly analyze the situation and make a proper conclusion.

Building Leaders Within the Organization:

Top HR challenges include attracting and retaining top talent, and the easiest way to do this is to
develop leaders from within the company. Kopoulos Describes that leadership has been globally
identified as one of HR departments’ most critical strategic initiatives, and company managers,
senior executives and HR managers are in prime positions to put leadership characteristics in
existing workers. As the second of the biggest challenges for human resource management,
leadership development needs to be a critical strategic initiative. HR professionals are faced with
being expected to provide the essential structures, processes, tools, and points of view to make
the best selection and develop the future leaders of the organization. (Bisk, n.d).

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Turnover
The turnover is the permanent loss for the organization. Once the organizations hire someone
new, they have orientation and other training costs, costs associated with getting the new worker
“up to speed” on their job. A manager needs to be aware of the reasons why an employee leaves
a company and whether it could have been prevented. One of the major issues companies face
nowadays is the effect of personal turnover. It means that the employee voluntarily leaves the
company. HRM plays a vital role in realizing the issue related for personal turnover and how it
can be reduced. An interesting result of the research done by Viara (Slavianska, 2012) on
employee turnover is that the dissatisfaction from various HR practices not necessarily leads to
stimulation of personal turnover. On the contrary it is important to understand that personal
dissatisfaction is the major reason for employee's personal turnover.

Workplace Diversity:
Another HRM challenge is the workforce diversification. Such workforce diversification means
to effectively manage the workforce that come from different backgrounds with respect to
regions, cultures, race and gender.
In this modern business world, every business organization conducts the business activities in
different countries. Now such multinational organizations adopt several strategies to compete in
the foreign markets through people. In this regard to manage such diverse human resources
effectively, business organization adopt and make the policies and practices according to the
culture and environment. Foster (2005) in the view point of macky and Johnson (2003) the work
force diversity in the modern organization now a day growing question, similarly the labor
mobility, political pressure, stream of investment capital, information transfer using electronic
means and currency exchange are all new challenges.

Technological change
One of the most critical issues that the organization face in the 21st century is that technology is
currently outstripping our ability to use it. With rapid advancement in technology, companies
nowadays require such human force that has ability to learn and cope with the changes at an
opportune moment. Technological changes must be taken into consideration by any kind of

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company. Challenges and Issues in Human Resource Management article implies that It is
because the present world demands every firm to move along with the change, or else be left
behind and get extinct. Technological changes influence overall nature of work and the company
will need to find out employees that are capable to adjust with the change. During this
process, unemployment as well as employment opportunities arise, creating new challenges for
HRM.

5.Conclusion:
LafargeHolcim will be organized along a new operating model oriented to serve the local
customers, while leveraging the Group’s size, footprint, and capabilities at global scale. It
combines empowered countries, regional management platforms and expertise-driven group
functions.
LafargeHolcim is the industry benchmark in R&D and serves from the individual homebuilder to
the largest and most complex project with the widest range of value-adding products, innovative
services and comprehensive building solutions. With a commitment to drive sustainable
solutions for better building and infrastructure and to contribute to a higher quality of life, the
Group is best positioned to meet the challenges of increasing urbanization.

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 6.Recommendation:

➢ Proper Job analysis system should be implemented within the organization.

➢ The company should focus on proper career planning of the employees.

➢ Use of Bonus system in groups.

➢ Recruit and select the employees from both the internal and external sources.

➢ More training & development activities should be provided

➢ Implementation of Flexible working hours and leave benefit in the organization.

7. Implementing the Proposed

Recommendation:

❖ Flex time make it easier for employees to avoid rush hour traffic, which is guaranteed to
improve anyone’s attitude. Moreover, flexible work hours will make the employees feel
better about the company and that will help to make the employees more loyal to the
company. The leave benefit and time off benefit system can be introduced to

❖ The HR manager must collect job description and job specifications for each position
from the respective line manager to ensure that the employee knows well about the
responsibilities to be fulfilled and the unique skills/abilities required for doing the work
assigned to that particular employee.

❖ As we all know that training makes an employee more efficient and an efficient employee
is a resource for the company. The Coaching system must be introduced within the
organization for the employee development program. Conti (2005) have found evidence

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 on the impact of training on productivity and where employees and employers were able
to share the benefits from training.

❖ Rewards and punishment has to be delivered to every group or team member, not just to
an individual. If the group or the team has done well, that is due to the joint efforts of
each member. Also, if the group or the team refuses to perform or become disruptive,
certain punishment has to be delivered to all members, not just to individual. (Senyucel,
n.d)

❖ There must be clear view of progression and the employee should be trained so that he
can achieve his particular goals. Also, the role assigned to the employees should be
broadened and enriched so that employees can contribute and add value to that particular
role, thus bringing in organizational success.

❖ They should recruit from both external and internal sources because recruiting from side
may not that much effective for the company. The company should involve diversity in
the work force.

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