User:Shanoboy1983/sandbox

''' Productivity and Performance of Operations and HR Management with significance to Triple Bottom-line. '''

Productivity and Performance
Productivity is a term, concept and topic that has gained much popularity since the emergence of industrialization due to its significance towards competitiveness and global prosperity (Pekuri, et al., 2011 ). Productivity is a commonly used term but is often not understood in its true sense. In simple, productivity is the level of efficiency of the inputs used to produce outputs in the economy (Queensland Productivity Commission, 2016 ). Growth in productivity is indicated by long-term growth in standards of living. For business organizations, growth in productivity enhances the level of profitability of the firm and increases the level of competitiveness in the market (Singh & Heap, 2016 ).

Whereas, performance of an organization is defined in terms of various aspects. Usually, the financial performance of organizations is what concerns the business in the short and long run. The success of a business potentially depends upon the performance of the organization which typically is the capability of the firm in effectively achieving the organizational goals and objectives (Almatrooshi, et al., 2016 ).

Growth in performance and productivity is primarily driven by advancement in technology that is channeled through firm innovation. This advancement in technology specifically encompasses investment into much powerful machinery that is known as ‘embodied technological advancement’ (Queensland Productivity Commission, 2016 ) and the novel processes, change in management practices and organizational structures that can independently enhance the productivity of the firms that is known as ‘disembodied technological advancement’ (Queensland Productivity Commission, 2016 ).

New management practices and leadership can significantly improve the productivity and performance of the organizations (Brito & Sauan, 2016 ). This has been proven by many scholars with numerous articles published on the relationship between management practices and performance (in terms of profitability, productivity and growth) (Brito & Sauan, 2016 ).

One of the issues associated with productivity in an organizational setup is that, productivity is usually equated to production implicating that increased production leads to increased productivity which is not necessarily true (Tangen, 2005 ). Another issue with understanding productivity within organizations is that firms tend to ignore the significance of productivity as productivity and profitability is often linked as a singular issue which is not correct to understand productivity (Tangen, 2005 ). Although profitability and productivity are interrelated, they are not necessarily dependent upon each other, meaning, increased productivity doesn’t necessarily cause increased profitability in the short term as productivity is generally realized with long term profitability (Tangen, 2005 ).

However, performance has been understood by industry practitioners and businesses to be an umbrella term of excellence and includes profitability and productivity including other factors such quality, speed, delivery and flexibility (Tangen, 2005 ).

In this context, it is important to discuss performance and productivity with special reference to operations management and human resource management in terms of the triple bottom-line perspective – consideration to profit, people and planet.

Operations management
Operations management in simple is the translation and execution of a firm’s objectives, policies and strategies in the daily operations and ultimately delivering performance objectives. The significant function of operations management is the daily, non-interrupted coordination of resources of the organization (such as the people, materials, equipment, knowledge, etc.) in an efficient and effective manner to deliver to customers, the products they want on time, to their budget, to specifications agreed upon whilst ensuring that the organization is making profit, operating on its own budget, improving on the growth objectives towards shareholders, delivering its responsibility towards environmental and social responsibility (Bititci & Jwijati, n.d. ).

Several studies have been done in the past to demonstrate the characteristics of performance management and productivity in terms of operations management. It is notable that businesses are paying increased attention towards operations management sustainability that takes a triple bottom line perspective. A research by Flores et al. (2017) analyzed international operational management that integrates economic, social and environment issues by taking a triple bottom line approach. Their study concluded that pressure from the society and the law is prompting an isomorphic process among companies to adopt responsible behavior that encourages the organizations to undertake all business operations in fulfilling the triple bottom-line goals. Another research by Hollos et al. (2011) studies about implications of sustainable supplier cooperation in terms of the triple bottom line. The study signifies the increasing importance of sustainable behavior in business and its improvising effects on the supply chain management to reveal that sustainable operations have a positive impact on the financial performance but not on social practices.

The case of Amazon is a classic when dealing with operations management and the triple bottom line. The case study of Amazon discusses about the operational criticisms the company faces in terms of its carbon footprint in its operational management, the massive amount of energy used for operations, etc. However, the company has pledged towards various sustainability initiatives that will provide Amazon sufficient argument with activists on their contribution towards the environmental sustainability as an important aspect of conducting businesses in the modern organization. Such sustainability initiatives include the reduction of carbon foot print by the company, reduction of water usage, and increase in renewable energy usage in all its operational aspects, that will lead to heightened management of effective and efficient management of performance and productivity for generating profits whilst committed towards the environment. But, the commitment of Amazon towards its human resources is very controversial, creating negative publicity for the company due to the Amazon toxic culture. Amazon, being a large corporation with influential characteristics should be a leading example in operations management that is led by sustainability, by giving special importance to the triple bottom-line. But, due to Amazon’s selective sustainability practices that is concentrated towards only the environmental sustainability by ignoring its responsibility towards its employees is heavily concerning.

Operations management in the present and the future has to be focused in line with sustainability and the 4Vs will be significant in aligning the operational aspect of the organization with the triple bottom-line. The major function of operations management is the ability of managers to manage the core activities that transform resources into outputs in an efficient manner (Philip, 2016 ). The contemporary organizations shall concentrate on the same but with additional responsibility towards the earth and the society.

In the same context, it is also significant to consider the Doughnut economy model that simplifies productivity and sustainability. The doughnut model is an economic model that has been developed to suit the current 21st century era, that advocates balance – human thriving with the best use of available resources. Exploitation or under-utilization of resources lead to harmful effects on the human existence according to the doughnut model where the ‘doughnut’ is the safe zone between the two extremes (Renenergy.co.uk, 2020).

Hence, in essence, the result of sustainably undertaken operations management that focuses on the triple bottom-line leads to enhanced management of organizational resources that produces heightened levels of performance and productivity that has very low impact on the environment and positive impact on the society.

Sustainable Leadership and Regenerative Leadership
Organizations are faced with challenges on a daily basis. In that context, sustainable challenges take an important place in making effective management of organizational performance, difficult. Effectively managing organizational performance has become ever more challenging with increase in pressure to achieve triple bottom line goals – increasing profit, proper management of human resources and reducing environmental impacts through consideration towards the sustainability of the planet (Quinn & Baltes, 2020 ).

Research shows that effective leadership and the skills of leaders can improve the performance and productivity of the organization (Ibrahim & Daniel, 2019 ). This fact has been established by scholars abundantly. So, the concern currently is about overcoming the challenges associated with effectively and efficiently maintaining the productivity and performance of organizations with consideration to the triple bottom line. Accordingly, sustainable leadership, which is a new form of leadership, according to research can positively influence sustainable performance of the organization (Iqbal, et al., 2020 ) and aid the firms in overcoming the challenges of effectively managing organizational productivity and performance (Kantabutra, 2012 ).

Regenerative leadership is the latest and novel leadership concept that has been recognized as an evolutionary blueprint for a sustainable future for business, people and the planet. Regenerative leadership can address the interconnected challenges leaders are facing in the current era – which is the effective and efficient management of organizational productivity and performance whilst fulfilling the requirements of the business, people and the planet (Hutchins & Storm, 2019 ). Regenerative leadership can influence innovative management practices that encompasses the logic of life in conducting business operations which can in turn increase the organizational effectiveness and productivity (Hutchins & Storm, 2019 ).

Accordingly, the opportunity of effectively managing the performance and productivity of organizations is upon sustainable and regenerative leadership. Regenerative and sustainable leadership provides an opportunity for the organizations that are struggling to sustain, to build thriving and prosperous organizations that is responsible towards the business, the employees and the earth (Hutchins & Storm, 2019 ).