People in Business The business, which this assignment will be based on, is SpSystems based on the Isle of Wight the leading composite materials manufacture on the south coast.

Business assignment Unit 2 People and Business by Dean Brooman

People in Business

The business, which this assignment will be based on, is SpSystems based on the Isle of Wight the leading composite materials manufacture on the south coast.

I will give a detailed explanation or answer for each of the following questions the role and importance of stakeholders, customer service and consumer protection, job roles and working arrangements, employee recruitment and training and employer/employee rights, including procedures to deal with disputes and with disputes and with health and safety.

The role and importance of stakeholders

A stakeholder is any person or group that is affected or interested in some way by a company’s activities whether it be internal or external such as employees or even near by shops.

The employees will have an interest in the business because if the business does well then there wage may rise. The shop will also have an interest because the workers may go to there shop there for bringing in constant income each day.

The role of a stakeholder is to have an interest in the business and watch it expand as this happens then the surrounding businesses may also expand because of the new amount of customers in that area.

A shareholder is also a stakeholder because they also have an interest in the business but they have bought shares in it (a percent) so they will want the business to grow so that there investment will grow.

It is important that there are shareholders because then the business does not have to pay for everything which makes it a lot easier for the business.

Its main shareholders are: Gurrit composite technologies which own the majority of the shares along with IMS and Stesalit these companies are all major shareholders due to the fact that they are larger companies with a lot of power and wealth.

Some stakeholders are not as powerful as others because they are not a major investor in Sp’s products

Customers-They will also take an interest because if the business expands then the area around it will also expand due to the new amount of economy in the area.

The customer is Sp’s main stakeholder in the business, as they will buy all of their goods bringing money to them

They have a great influence on how the business is run, as they are the people, which bring in the money.

Consumers- These want quality, mechanics and value from both old and new products. If these do not occur then Sp Systems could lose valuable business

Shareowners- these want good returns from their shares and a rising share price.

Employees- These will want good terms of employment, wages and opportunities. They will take interest in the business because if the business is growing then they may get paid more or even promoted because of the new need of staff. The employees will often want to help the business in this act so that the expansion may happen.

Suppliers of goods and servicees- These want continued business and profits. Otherwise they may not feel the need necessary and move elsewhere.

Manufactures/Suppliers-These will profit from an expansion because the company will need more materials to cater for all of the new customers therefore gradually making the manufactures and suppliers expand also.

This is a large chain growing every day.

Society- The communities that Sp Systems works in. This includes government, councils and trades unions. These want the firm to act responsibly and in a moral way. They want it to show respect for communities, environments and people.

Insurance Companies-These will insure the company each year for cover on theft fire etc.

This is a preview of the whole essay

This is a large chain growing every day.

Insurance Companies-These will insure the company each year for cover on theft fire etc.

Sp Systems needs to engage with its stakeholders. This means it listens to them and responds to their concerns. When it first started years ago, Sp Systems was very forward looking in how it treated its workers. This background has helped it to keep working with stakeholders. It consults them and listens to their replies.

Sp Systems consults and listens to each of the following groups to find different ways of running there business.

Owners of shares can speak at meetings-Giving there views in the business as they are now part of it wishing to get a good payback on the investment.

Consumers give feedback and also make enquiries-so SpSystems are aware of any faulty stock, goods sold or even bad employees.

Sp Systems carries out market research - want-So they are aware of what people want to buy from them if they were to start buying there goods.

Customers- Sp systems have good contact and are an active partner with buyers to gain respect in future purchases.

Suppliers- Sp Systems has regular contact to discuss issues and make sure how they are still running.

Employees- Managers hold meetings for teams and single workers to discuss any discomforts there employees have with others or even were or how they work.

Views are asked for in surveys- There is also a website and newsletter to find what there customers views on there business are so they can focus on these specific areas.

Society- SpSystems talks to governments and councils about how it operates to assure that they are running in a lawful and rule abiding way

Sp Systems must balance interests- For instance; shareholders may also want higher returns on their investment. So by watching how their customers buy their products.

The stakeholders with the main influences on the business are there main customers; these are Vestas, which buy their goods to make wind turbines, and are situated on the Isle of Wight as well to gain full opportunities of having their business near their main supplier. If there was a short fall in carbon fibre then customer be off put by the fact they cannot get there materials.

SpSystems like to keep just a few main customer as to many will mean the total production will have to be shared.

Mercedes Mclaren also is a large customer to make cars of powerful performance with a luxurious style.

SpSytems try to

Location and Community

SpSystems is situated in four countries to maximise output on an international scale the countries are U.K, Spain, North America and Australia.

SpSystems’ main headquarters is on the Isle of Wight in Newport, although SpSystems started in a small plot in Cowes Sp soon outgrew its room and moved to a propose built premises on a nine acre plot of land.

This is a map were SpSystems is located.

The position of SpSystems is vital for a company of this size.

It is situated near the River Medina far from any residential area this is so there is a lot of open area for expansion and with no risk of residential complaints the river is a key part in the import and export of there goods making it easy to get there products in and out.

The Customers

SpSystems use the same principles with both internal and external customers, the main ones Vestas Danish Company that makes wind turbines, Maclaren who make luxury cars and such locomotives who make trains. They also have marine division that provides structural polymers for boats) and their internal customers (those who place the orders or the warehouse etc)

Business Alliances

In 2002, SP was bought by Gurit-Heberlein, a Swiss holding company. As a result Gurit Composite Technologies was formed.

Gurit Composite Technologies is a mix of four market-leading composites companies - SP, IMS, Stesalit, and Gurit Suprem. Joining the capabilities of each company, Gurit Composite Technologies looks to provide an unrivalled and comprehensive range of products and technologies to customers, specifically tailored to key markets.

Each of the four companies continues to focus on its own market areas, but through this collaboration can now offer even more for there customers.

The solutions they use to solve problems are by drawing up on the group’s combined skill base and product range, which is wider than any other in today’s composite industry.

Education
Sp Systems aim to see that environmental issues are always incorporated within company training programmes, whilst encouraging staff to adopt these changes at home to work better on the job

Waste minimisation

SpSystems try to lower there rate of waste emission by producing the most products and minimising waste materials saving money at the same time

Recycling
SpSystems reduce waste by recycling old products or off cuts and put them into future work either for draft or main products this then also is saving them money.

Managing energy consumption
SpSystems aim to drastically reduce energy consumption in the future to make the world a better place.

Local ecology
SpSystems try to be aware of any sudden changes so they can move to fit them and if the make any impact on surrounding environments it is taken into account.

Reporting
SpSystems constantly report back to member meetings to evaluate all goings in and out of the business for the highest rate of production sending to the customers and changing how the business runs internal

Market

SpSystems focus on three different markets they are wind, automotive and marine

Existing products in these fields

SpSystems design and make parts of these products such as wings for the turbines, shells for the cars and hulls for the boats carbon fibre is the material of choice for now thousands of customers because it is stronger than steel at a fraction of the weight.

Over the last 2 years there has been a very large carbon fibre shortage due to the fact that America have used most of it to aid there upcoming war efforts therefore making SpSystems bring in a huge amount of money as they sell most of this composite material.

A lot of this carbon fibre is also going towards the new airbus A380 due to its huge exterior needing to be covered for strength and rigidity because it is light and easier to get of the ground for such a big plane.

Airbus A380

The Recruitment Process of SpSystems

The Human Resources department is usually responsible for recruiting new staff and for training them to do their job correctly and to their standard. When job vacancies appear, it draws up documents for specific purposes, organises and runs interviews.

The Human Resources department has to follow certain procedures before a job can be advertised.

Vacancy occurs - Three reasons why a vacancy may arise in a business is: retirement of an older worker, promotion of an existing worker therefore needing someone new for their job or a worker going to a new job

The Human Resources manager then draws up a job description - The job description should contain these basic details about the vacancy, which are, the job title outlining what the job is, the position in the organisation chart and a list of their duties.

Person specification is drawn up - The person specification should include the following details. This specification represents the ideal qualities of the person required to fill the vacancy: Their qualifications they have, what other experience in this field of work they are and what there personality is like.

The job is advertised- The Human Resources manager needs to consider the following: what details need to go in the advert and were it should be placed.

Candidates apply for the job - The advert will usually say what the candidate needs to send in as part of their application. This will probably include: A letter of application and/or a completed application form. A copy of their curriculum vitae or CV. The CV contains personal information about their qualifications and interests.

The application forms are sifted by the Human Resources manager to reduce the number of candidates or make a shortlist of the candidates being considered - If you compare these documents you can assess whether the person has the right skills

Whether a person gets the job or not depends on their performance at the interview and how their skills match up to the desired job.

The interview is held – The interviewers are looking for good answers to each of their questions, the candidates’ attitude, and their body language.

The Recruitment Process of SpSystems

Internal or External recruitment?

Internal candidates within the business can be given the opportunity to apply for any vacancy. Potential advantages of internal recruitment are:

Internal appointments may be good for morale of a worker, sending a message to others that there are opportunities for advancement within there job giving them a chance for more money etc.
The Organisation has better knowledge of the applicant’s strengths/weaknesses due to the fact they are known in the workplace, therefore giving them a much better chance, as they are well known.
An internal candidate may require less time to adjust to a new job, because they will already know about the job role.

Appointing an internal candidate can speed up the selection process and reduce the costs involved.
The applicant is already familiar with organisation and how they are run.
The organisation may not have to pay as much money to train this candidate as they have worked there before.

Allows the organisation to exercise succession planning and can generate promotions.

The potential disadvantages are:

Competition for promotions among the staff can affect morale.
Sometimes staff may be promoted above their level of competence therefore doing there job badly
This can make the workforce not work to there ability because a fellow staff member got appointed and they did not.
The expectations may be too high for a staff member.

However, there are also circumstances where external recruitment is felt to be necessary, for example:

The necessary skills and expertise may not already exist within the organisation and might require a them to appoint someone out of the business.
Where it is desired to change the culture and values of the authority, it may only be possible to do this by bringing in someone externally from a different environment
External applicants bring in the skills and knowledge of other organisations and thereby can encourage current members on the workforce with ideas and different ways of doing things.
Recruiting internally can restrict the pool of candidates worthy of doing the new vacancy and could be cause feuds between workmates.

The potential disadvantages are:

There will be a cost to recruit someone externally for training.
The time that will be taken as it is hard to find a candidate straight away.
If the new candidate must be searched for then the existing workers may not be able to work until one is found.
Attracting and selecting new employees may be more difficult as they do not know how the organisation is run.
New staff require time to adjust and "fit-in" to the organisation before they are fully productive as someone who has worked there a long time will know how things work etc.
Morale may be affected due to existing staff being passed over for the opportunity.
Greater reliance on interview performance may cause a poor applicant selection.

SpSystems use internal and external recruitment as then they have a much wider choice to recruit from rather than just one alone.

If Sp need a new job that any of there employees can do then it is passed to them as a first refusal type basis so the give there existing employees a chance to have a better job so they know that the employee is known and trusted.

Organisation Chart

Customer Satisfaction

SpSystems is fully committed to the continual improvement and delivery of products and services that meet and exceed there customers’ needs.

At a high level, they achieve this by complying with the requirement of the quality management set in the year 2000. Each department at SpSystems (Headquarters) was involved in the process of gaining credit from BSI in August 2003 to gain trust and to get known. The standard focuses on customer satisfaction and continual improvement in all areas of the business process – parts at which they add into there culture. The active internal plan gives each department the opportunity to review its own processes and policies in order to maintain compliance and continually improve Customer satisfaction is measured to highlight trends and take appropriate action. Customers are able to conduct their own audits of either the systems or the manufacturing processes to evaluate conformance to their individual requirements.

By Dean Brooman