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October 26, 2013

Employees are our greatest liability

The title of this blog is an interesting comment raised by Peter Drucker. Employees should be viewed, according to Drucker, as an organisation's greatest asset. The people who can drive innovation within an organisation, who can develop and refine processes and lead to an organisation that achieves a competitive advantage over its competitors, with a higher degree of excellence in the products and services it provides. In fact, this theme has been explored in many of my blogs, and the very nature of some of the excellence blogs I have mentioned before, such as EFQM, lend themselves to Drucker's view, as People are an important enabler within EFQM.

Therefore, it can be concluded from this that organisation's should spend plenty of time developing, looking after and caring for their employees. If they are the most important asset within an organisation, their development, knowledge and ultiamtely satisfaction within their work should be of paramount importance. However, Drucker argues that instead of having this view, and somewhat counter intuitively to achieving an organisation's goals, organisation's see employees as their biggest liability.

This seems somewhat contradictory if an organisation is seeking to improve its processes, efficiency and ultimately excellence. However, the fact that a lot of organisation's employee cheaper temporary workers and outsource certain aspects of their HR work, the evidence suggests that employees are not viewed as an organisation's most important aspect.

I need to continue my reading to develop my understanding as to why this is occuring!

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