TNT’s HRM Strategy for Use in China|Performance management

Maintaining a favourable performance in a foreign culture may be challenging for expatriate managers. While some cultures are time conscious others may not be so much concerned on time management (Itim International, 2009). Such contrasting effects would be fatal for TNT’s business where timely delivery is one of the core factors driving success (TNT 2009). Cultures may further differ with regard to appreciation of promotion where some may view achievement as the basis for promotion while others respect experience and age (Itim International, 2009). To be able to bridge such gaps not only should the cultural mix in the organization be encouraged but also inclusion into teamwork must be unbiased (Seymen 2006; Cohen 2004). And to spur performance in team work teams must be empowered to make certain decisions independent of managerial interference and provided with different kinds of motivations such as stock ownerships that does not only recognize performance but also innovative approaches to doing business (Cohen 2004).

A second driver of better performance is creating the right organization culture. Only with the right culture can a company “sustain high performance with high integrity” (Heineman 2007, p.102). Without the right culture being established in the organization the damage that may occur on unearthing of imprudent practices may prove irreparable (Heineman 2007). To guide on the expected employee behaviour organizations have realized the need to have a formally delineated code of business ethics and conduct as opposed to communicating such expectations through informal means such as employee interactions (Weaver, Trevino, & Cochran 1999). The commitment of top executive to such programs is argued to better employee compliance (Weaver, Trevino, & Cochran 1999).

In this regard TNT has established its expectations for employers and agents with whom it conducts business. According to the entity’s principles employees are expected to avoid conflict of interest, make prudent use of the entity’s assets and not to use such assets for unauthorized personal benefit, avoid payment and receipt of bribes, and avoid accepting gifts or entertainment that places them into an obligation of granting favours to the gift giver (TNT 2007). To promote good working relations and performance the entity also seeks to “attract, develop, reward and retain outstanding individuals who appreciate the value of acting as a team” (TNT 2007, p. 4). As such diversity is encouraged by providing an equal employment opportunity across gender, age, physical ability, ethnicity, religion, race, and sexual orientation and unfair treatment on such basis prohibited (TNT 2007, p. 4). The entity also believes in fair competition practices and prohibits disclosure of previous employers’ information by its employees (TNT 2007). The entity also strives to provide its employees with safe and healthy working conditions by complying with the stipulated safety regulations and laws and establishing safety policies to hinder, detect, and eradicate hazards in the entity’s operations (TNT 2007). Such a process is aided by the existence of safety maintenance and improvement groups within the company (TNT 2007).

TNT also has various guidelines to inform on relationships with the communities in which it conducts business. One of these relates to establishing social responsibility practices towards the environment and that impact positively on the surrounding communities (TNT 2007). By investing in communities in which it carries out business, TNT aims to enhance favourable outcomes for partners, stakeholders and business (TNT 2007).

The principles governing TNT’s business operations are applicable to its subsidiaries, joint ventures, employees and agents with which it conducts business. To ensure compliance with the guidelines, the adoption, communication and implementation of the codes is charged to the entity’s management board (TN 2007).


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