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WHY DOESN’T THIS HR DEPARTMENT GET ANY RESPECT? ANALYSIS PRESENTATION Team H Andrew Compton Justin Holden Natalie Stovicek Chao-Ching (Jimmy) Lien Paul.

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Presentation on theme: "WHY DOESN’T THIS HR DEPARTMENT GET ANY RESPECT? ANALYSIS PRESENTATION Team H Andrew Compton Justin Holden Natalie Stovicek Chao-Ching (Jimmy) Lien Paul."— Presentation transcript:

1 WHY DOESN’T THIS HR DEPARTMENT GET ANY RESPECT? ANALYSIS PRESENTATION Team H Andrew Compton Justin Holden Natalie Stovicek Chao-Ching (Jimmy) Lien Paul Wroten

2 Questions What do YOU think about the case? Can you relate to it? Who has issues or stories about their HR Department Have you gotten a bad check? Have you filed a complaint that was ignored?

3 Short Clip Bad HR Bad HR

4 Summary of Loft Luke Robinson is recruited by new CEO to solve several company issues. HR’s purpose was administrative under CEO, Washington When Washington left, the company suddenly lost the talent of attracting and retaining talented employees. Luke Robinson, an experienced top HR consultant, is recruited by new CEO, Bernie Shargall, to solve the issues. He takes the position as career challenge, however, he is running into trouble.

5 Summary of Incidents at Loft Company had never before paid much attention to HR Lost 4 key employees in under two years Conflicting opinions of Loft Executives don’t pay attention to Robinson’s plans to fix things Payroll mishap Mishandling of discrimination investigation Robinson’s Attempts Spent time with executives, managers, brokers, administrative staff, HR staff, and external contacts HR Ambassador program Regular Meetings with business-unit heads Replaced ineffective HR staff Plan to educate employees about role of HR

6 Character Analysis List of Characters 1. Luke Robinson (Managing Partner of HR) 2. Philip Washington (Former CEO) 3. Bernie Shargall (Current CEO) + Executive Committee

7 Luke Robinson, Managing Partner of HR

8 Philip Washington, Former CEO

9 Bernie Shargall, CEO & Executive Committee

10 Problems 1. Hierarchical Structure 2. Lack of Leadership 3. Recruitment and Retention 4. Improving employee morale and commitment 5. Routine Administrative Problems

11 Problem 1 - Hierarchical Structure Centralized on Top Management Little support from employees Focused on consulting, thinking and planning, rather than doing

12 Solutions Decentralize! Distribute work/Give lower employees more power Wide range of skill sets needed Implement practices to enhance employee skill sets

13 Pros & Cons Pros: Decentralizing will take pressure off Robinson Distributing work will give employees more responsibility Emphasis of team work Greater support from employees Robinson may form better relationship with line managers and employees Create a self-managing workforce Convince Shargall and executives of importance of HR Department Cons Long-term commitment Needed commitment from both Robinson and Executive committee

14 Problem 2 - Lack of Leadership Robinson & Shargall lack leadership that Washington possessed Shargall from outside firm Robinson’s lack of leadership and initiative HR Ambassador Program is not effective

15 Solutions Create leadership model Specify goals and expected contributions from executives and managers Create a democratic leadership style Collaboration & Information Sharing Create an open and honest work force within the organization Information Sharing Involve employees and managers

16 Pros & Cons Pros: Leadership model increases executive and manager motivation Leadership model supplies a starting point Information sharing emphasizes trust, transparency, and collaboration Cons: Employees could leak information if it is shared with them

17 Problem 3 - Recruiting and Retention Recruiting Loss of attractiveness to talent candidates No well-defined regulation on recruiting Retention Loss of two senior managers Current employees do not think Loft is a better place to work anymore. Employees do not trust HR

18 Solutions Outsource recruiting function (short-term) Focus on long-term goals first Robinson’s profession Pick-up later Retention: Conducting series of survey. Outsource the retention paperwork with detail requirement

19 Pros & Cons Pro’s Achieve the career transaction of Robinson Put more focus on strategic goal More professional emphasis on attracting talent Gain efficiency on simplify HR roles to achieve flexibility Hold back two functions Con’s Selection of strategic partner Strategy, position, personnel, not clear defined Less control in process New employees not familiar with Loft’s culture Increasing on employees’ transaction cost (Increasing turnover)

20 Problem 4 - Improving employee morale and commitment Employees are not familiar with the HR people Employees can’t see the future of the company The rumors by two left senior manager

21 Solutions Career development (RBV) Training / presentation Weekly conference Memo form Talent management program Behavior perspective & cybernetic system in theory Focusing on idea sharing Information & technical support in the work Encourage self motivation

22 Pros & Cons Pro’s Motivate employees Attention transferring Giving the future Growth with Loft Con’s Time consuming Insufficient investment

23 Problem 5 - Routine Administrative Problems Mishandled discrimination charge Year-end executive bonus check error Problems occurred before Robinson was hired

24 Solutions Outsource routine administrative work to 3 rd party Common outsourced functions: Payroll 401k plans Health and welfare benefits Background checking Defined benefit plans

25 Pros Cons Reduces time Reduces resources spent Concentrate on strategic activities HR not blamed if problem Paying extra money for functions HR can handle Hard time convincing Shargall

26 Conclusion Hierarchical structure Decentralize Empower employees Range of skill sets Implement practices Lack of leadership Create leadership model Democratic leadership Information sharing

27 Conclusion Recruiting and retention Recruitment: Outsourcing recruitment for the short term Retention: Conducting surveys Improving employee morale and commitment Career development Talent management program Routine administrative problems Outsource routine administrative work

28 Questions?

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