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About the Case Study

This case study is about the Human Resources Management challenges faced by a
retail organization and the appropriate HR solution to meet these challenges.
About the Client
The organization that partnered with Saigun in the case study is one of the largest
retail store chains in the world. They have around 100 retail stores in India in
different locations and were looking to expand further to more than 200 stores.
Organizational Structure
The client had a centralized Human Resource Department located in its head
office.. However, although HR processes were managed centrally, many HR
tasks, policies and procedures were controlled by retail store managers or
regional offices.
Current HR management Process
The client used excel sheets to exchange and compile reports from various
regional offices and store. This was performed by a team of HR executives in
the main head office.
Applicability of the Case Study:
This case study is equally applicable to organizations having retail chains in
Consumer Goods, Health Care, Multi Locational sales offices etc.
Challenges Faced by the Retail Industry
The senior HR Manager at the client side revealed that there were many
administrative and HR issues with the retail store sites. Due to high focus on sales,
the Retail Store Managers has no time to focus on issues like attendance, discipline
and critical HR practices. The problem areas that were identified during the
discussions were:
Challenge 1. Irregularities in the attendance data of the staff at retail stores
and other regional offices. Sometimes many of the staff did not sign the
attendance register or signed intermittently. During HR audits it was found
that some staff signed the attendance register only at the end of the day.
Further, sometimes staff signed the register and then left their post.
Challenge 2. There was no mechanism to track the leave data of employees.
Employees did not know their exact leave data. At the end of the year it was
revealed that some employees have taken excess leave while some employees
worked incessantly, creating frustration among staff.
Challenge 3. Discrepancy in HR reports: HR provided a set of excel
sheets and paper-based forms to help store managers maintain data. However,
many store managers used and made unique formats of reports making it
difficult to collate the reports. The data thus collated had to be verified over
again and again, as there was a tendency for errors to crop up.

Challenge 4. Salary discrepancies: HR and attendance data was used to


generate data for payroll. As there were many discrepancies in HR data, these
also found their way into payroll data. This created several salary
discrepancies and caused numerous issues among the employees, thus
lowering employee satisfaction rate and affecting the employee morale.
Challenge 5. Mismanagement of employee expense during travel
etc. There were lots of travel activities in the organization but the expense
data that reached the head quarters was based on the individual employees
feedback and there was no mechanism to verify the validity or requirements
of the travel. There was no policy based approval mechanism for travel and
expenses, which was also beginning to affect the clients budget.
Challenge 6. Training and communication issues: As the company was
growing at a fast pace, training employees on various HR procedures and
policies was becoming increasingly difficult. Thus employees took decisions
based on their previous experience or personal insights and created
unnecessary hassles that required HR intervention.
Impact of challenges
The above challenges affected critical business metrics like availability of staff at
the stores, customer service, professionalism, and financial issues like unnecessary
expenses, lowered sales and poor customer experience.
Analysis of the Problem
After identifying the challenges, a stream of discussions were conducted by the
Saiguns team of project managers, analysts and HR consultants with the clients
HR and operations managers. These discussions churned out the following as the
top 5 reasons of the problem:
Lack of consistent HR systems across the organization.
As the operations managers came from different domains and industries, they
brought different practices with them and felt comfortable in applying the
same to their current organization.
Lack of consistent, recorded log, and communication mechanism:
There was no reliable feedback mechanism for HR to communicate policies,
changes in processes and training for employees and managers. As a result,
many employees remained confused about HR issues.
Lack of proper tools for collaboration between HR managers and
employees:
Neither employees nor the manager had appropriate and simple tools to
follow HR practices and policies. The client invested more time in improving
existing systems rather than exploring the possibility of a new solution. They

were reluctant in partnering with HR and considered HR to be a hindrance to


their routine jobs.
Delayed reports when making business decisions:
The HR reports were often delayed or completely ignored while making
business critical decisions.
Lack of accountability:
As there were no job descriptions, SMART goals, or other work-flows for
managing human resources, managers and employees did not feel accountable
to HR.
Solution Offered
On the basis of extensive discussions with the client, Saigun suggested the
EmpXtrack Professional Edition. This is a state-of-the-art solution for managing
Human Resources by automating significant functions. With Professional Edition
organizations can manage employee data, extend HR services to employees and
managers, and evaluate performance of employees using a web based appraisal
system.
As the client was completely paper based, migrating instantly to an online system
would create change-management issues and leave employees unprepared to use
the new system. As a result, Saigun and the client decided to implement the HR
technology solution in two phases.
First Phase: In the first phase, the client introduced the online Employee
Database and Employee Self Service. This helped them to painlessly switch from
current traditional practices to a paperless global HR system. The web-based
Employee Database helped the organizations HR Department to slowly absorb the
benefits and challenges of online management. Employee Self Service used its
functions such as online leave approvals, travel and expense management and
personal data updates to slowly transform HR practices.
Benefits of First Phase:
Painless Change Management: The simplicity of the solutions did not
cause much training issues and also eliminated confusion among employees.
The simplicity of the solution helped streamline the change process and was
incorporated by the organization with minimal resistance from employees.
Within 3 months the usage of EmpXtrack system reached 90%.
Accuracy of employee data: By using the Self Service mechanism,
employees helped HR to change the data accurately and effectively. Three
months after implementation, the client found that 99% of the data was
accurate.

New employee induction: All new employees joining the organization were
instantly added to the employee database and then used self service to provide
further data.
Accuracy of payroll data and salaries: Correct leave data was available to
the payroll department, allowing salaries to be transferred accurately.
Decrease in travel expenses: Most travel expenses were approved using a
pre-defined process. This resulted in higher accountability for expenses
incurred during travel and other related activities.
Increase in employee availability: Due to increased accountability of
managers in implementing HR policies and improved morale, there was a
significant upswing in employee availability and by extension, overall
productivity.
Better MIS reports: Instant reports were available to HR and the client
executives to help in making critical business decisions.
Second Phase: The second phase is still underway. The second phase will focus
on Performance Management to measure and improve employee performance and
meet organizational goals. A goal setting process will be initiated for all employees
for a specific period, at the end of which, employees will face a fair and accurate
appraisal process.
The impact of HR Solution
EmpXtrack helped the organization implement their HR policies and procedures
effectively. Appropriate and accurate data became available to the management to
make objective decisions while employees were more satisfied with company as a
whole.
Other Information about the Case Study:
Case Study Conducted and Written by:
Saigun Technologies Pvt. Ltd.
EmpXtrack Division
A-27/E, Sector 16
NOIDA 201 301, India
Phone: +91 120 473 7900
Fax: +91 120 251 0908

Increasing employee engagement


through HRM
A Harrods case study

Page 2: Human Resource


Management (HRM)

Human Resource Management is a process


of valuing and developing people at work. It covers all aspects of developing
employees, including three important steps:
1. Recruitment and selection - attracting suitable new employees.
2. Performance - enabling employees to perform their roles to the best of their ability by
keeping them informed and providing relevant training opportunities.
3. Development - developing all employees to build their careers with Harrods through
identifying career progression opportunities.

In 2009 the MacLeod Report, Engaging for Success, was published which has been
very influential in Human Resource Management. One of its major findings was to
highlight how businesses benefit by involving employees in all aspects of decision
making. This involvement is commonly referred to as employee engagement or
participation. This prompted managers at Harrods to investigate its employee relations,
in particular its employee turnover.

Employee turnover
Employee turnover measures the rate at which employees leave their employer, usually
over a one year time period. The statistics indicated that Harrods needed to take action
to improve employee engagement and reduce its employee turnover. A high employee
turnover rate has significant cost and performance implications to a business. These
include the costs of recruitment, the loss of expertise and the increased need for
training new employees.

Following this investigation, Harrods carried


out its first comprehensive employee survey to find out what they thought about working
at Harrods. The employee survey has now become an integral aspect of Harrods
Human Resource Management programme. The survey results were used to create
strategic plans for change focused on improving employee engagement and trust. The
four main elements were:

Changing organisational structure. Senior managers felt that the organisation


was too hierarchical i.e. had too many layers. The new structure is flatter with
employees taking on more responsibilities. This enables job enrichment, providing
opportunities for an employee to take on further responsibilities to enhance their job
satisfaction.

Changing leadership. Creating an environment where employees are


encouraged to make more decisions themselves. Senior managers create the
business vision but ground level employees are delegated more leadership
responsibilities, for example, in dealing with customers. The model employed is one
of transformational leadership where the vision is built at the top but everyone
engages with the vision through personal leadership.

Improved communications. Better communications inform all employees


about the strategies of the company. These outline the aims and direction of the
business. They also inform employees about operational (day-to-day) plans which
directly affect their work. A radical improvement was to encourage employees to
inform management of their views.

Living the brand values. Making sure that everyone understands and models
the brand values.
Read more: http://businesscasestudies.co.uk/harrods/increasing-employee-engagementthrough-hrm/human-resource-management-hrm.html#ixzz3JEy8NnCn
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Workplaces that Work


Case Study #1: Black Coalition for AIDS Prevention

Vital Signs
Location:
Number of
employees:
Annual budget:
Year founded:
Website:

Toronto, Ontario
19
$1 million
1987
www.black-cap.com

The Black Coalition for AIDS Prevention (Black CAP) is a volunteer-driven, non-profit, community-based
organization. Formed in 1987, Black CAP works in partnership with like-minded organizations and individuals to
reduce the spread of HIV infection within Toronto's black communities and to enhance the quality of life of black
people living with or affected by HIV/AIDS.
The scope and variety of the services offered by Black CAP have grown substantially over the past two decades. The
organization currently operates with an annual budget of $1 million. Executive Director Shannon Ryan, who has been

with the organization since 2006, notes that Black CAP is fortunate to have a good relationship with the Ontario
Ministry of Health and Long-Term Care which has supported it since its inception and still provides 45% of Black
CAP's funding through an annual operating grant. The balance of funds is secured through a combination of shorter
term grants from municipal and federal governments and targeted foundations, and through some fundraising. He
admits challenges exist in the area of individual fundraising because HIV/AIDS is still stigmatized, and lacks the
cachet of other causes. Nevertheless, Ryan characterizes the organization's financial health as on the verge of being
robust. Black CAP's policy-governance board is true to its role in having two primary purposes to set policy
direction and to supervise the Executive Director. It is highly committed to the organization and very supportive of
Ryan and his staff.
Like most non-profits, Black CAP has struggled to keep up with the workload. An initial cohort of volunteers
eventually grew to include a full-time project manager and part-time outreach worker. Today, Black CAP has a paid
staff of 19 ten full-time employees and nine part-time employees and works with about 75 volunteers.

The challenge: Planning and managing organizational


growth through a staffing structure that works
The most recent growth spurt occurred after Ryan was hired as the ED. Turnover at the governance level enabled the
revitalized board to identify that:
1.

There were gaps in the programs and services Black CAP was offering, relationships with funders
and potential funders were in need of nurturing and human resources. Staff roles and responsibilities required
clarification and a means of determining how best to use staff to address emerging opportunities that needed to be
made a priority.
In the 18 years that Black CAP has been in operation, a number of new funding programs had been created to address
HIV/AIDS. Short of staff, Black CAP was unable to take full advantage of these opportunities. Initially, Ryan worked
to secure some of this newly available funding, and then hired staff to deliver on the funders' requirements. This led
to a major increase in the number of staff over a very short period of time. The growth, Ryan admits, impacted more
than the bottom line. Black CAP's flat management structure meant that each new hire represented another direct
report for him. With 12 direct reports and the responsibility for the entire operation, Ryan was not always able to
provide staff with an optimal level of supervision and support. Moreover, the increased time spent on management
and supervision meant he had to devote less time and energy to the other parts of his portfolio. Something had to
give.
The solution came in the form of a human resources collaboration. In 2006, Black CAP joined six other AIDS service
organizations in the downtown Toronto area to address their common need for HR support. Recognizing that
individually they could not afford the services of a senior-level manager, yet acknowledging that the issues they were
struggling with required just that, they applied for and received a three year grant from the Ontario Trillium
Foundation to hire HR consultant Tracy Campbell. Ryan characterizes the services provided by Campbell as an HR
Help Desk PLUS. The seven EDs meet regularly with Campbell to review collective HR concerns such as

compensation, recruitment and retention, and discuss strategies to address them. She is also available to the agencies
individually; they can call on her on an as-needed basis to work on specific initiatives, to obtain feedback or just to
test or brainstorm ideas. For example, Black CAP brought Campbell in to help with a recent round of collective
bargaining and to assist with the development of a process to identify Organizational Competencies (i.e. skills,
knowledge, attitudes, values that are necessary for employees to have or to be able to develop to be an effective
member of Black CAP's staff team). Campbell also provides training and coaching services. The HR Collaboration has
given Black CAP access to high-quality HR advice and support that the organization would be unable to afford on its
own. Moreover, this support has allowed Shannon to develop a better understanding of what type of HR management
systems and overall HR structure would best serve the organization. And, the coaching and mentoring he has received
is enabling him to build an effective staffing structure and through a cascading model share his newly acquired skills
and knowledge with his direct reports who in turn share them with staff reporting to them.
Working with Campbell helped Ryan realize that, in order to grow and thrive, Black CAP required a different staff
configuration. He saw that with a staff of 19, I could have been spending all my time on HR which just wasn't
realistic. He determined that by changing the staffing structure, the organization would be able to support its people
better (i.e. more direct support in the form of meeting time, feedback, coaching, mentoring, etc.), meet the needs of its
clients better, and he, as ED, would be able to devote more time to strategic and operational planning. Black CAP
created a Program Director position that assumed line responsibility for eight staff, thereby reducing the Executive
Director's number of direct reports to five. Vesting program responsibility in one person also gives that area the
capacity to develop a departmental strategy that encompasses the work of the different coordinators, already
stretched to the limit with program delivery. This strategy provides an umbrella under which program coordinators
can hang their individual work plans. Previously siloed, individual program plans are now linked to the
departmental strategy. This enables the coordinators to see how their collective effort supports the overall
organizational vision and mission; and also facilitates sharing information, outcomes and successes with the
community and with funders.
With the Program Director in place, the Executive Director can now effectively support his direct reports and focus on
developing and maintaining strategic relationships with funders and sector partners to ensure the organization's
sustainability. By centralizing the program roles and functions, the Executive Director is also able to develop and
maintain the high level perspective that is required to keep the organization on track. As a result, Black CAP is better
positioned within the black community it serves, the HIV/AIDS service community and the broader community of
which it is a part.

Good HR management practices


The average period of time an employee spends at Black CAP is three to five years. Like other non-profit leaders Ryan
recognizes he cannot compete with the private and public sectors in terms of financial compensation or career path
opportunities within the organization. At the same time, he is aware of the high-cost of turnover in terms of impact on
staff left behind, the ongoing need to train new staff, and the additional supervision required. With those realities in
mind, Ryan, supported by his board, has made an effort to offer other non-financial benefits to staff. These efforts
appear to be paying off.

Recruiting for diversity


Recognizing that the population it serves itself has disabilities (i.e., HIV, compromised health), Black CAP makes a
conscious effort to hire people with HIV. Many people with HIV/AIDS continue to experience workplace
discrimination and have difficulty securing and retaining jobs. Black CAP also puts the organization's values into
practice by hiring new Canadians and landed immigrants who may have difficulty finding work in Canada without
Canadian work experience and by giving younger workers a first/meaningful employment opportunity.

Offering benefits that meet staff needs


Black CAP is a member of OASSIS, a benefits plan for nonprofit organizations in Canada. Through the plan, Black
CAP employees and their families receive medical/dental coverage and complementary medicine, as well as access to
an Employee Assistance Program. When Ryan joined the organization in 2006, individual coverage for prescription
medication was capped at $1,000 per year. This was woefully inadequate for individuals with medical conditions such
as HIV, whose prescription costs could run in excess of $10,000 annually. The new plan does not have a cap. Black
CAP employees are provided with flex days when they need them and similarly can ask for extra vacation time.
Management and board recognize employees work extremely hard and are dedicated to the cause and to the
organization and feel this is one way in which they can acknowledge this commitment. According to Ryan, abuse of
the system is rare.

Focusing on employee development


While employees may not be with the organization for the long-term, Ryan works hard to acknowledge their
contributions. He meets with individuals and asks them where they see themselves in terms of their careers five years
from now; he also helps them to develop the skills and experience they need to achieve that vision for the future. In
the short-term the organization benefits, as the employee becomes increasingly competent; in the long-term the
broader community benefits, as the employee moves to another workplace. And, Black CAP's hope is that these
employees remain long term champions and supporters of the organization - as volunteers, as funders, and perhaps,
as third party endorsers in the community.

Ryan is effusive in his support for the organization's staff as he points to their individual and collective commitment
to Black CAP, their professionalism, their willingness to go the extra mile whenever it is required. He points out that
while it is true that the organization's management and board are very supportive of the staff, he acknowledges that
Black CAP's achievements and success are directly attributable to the dedicated staff. The staff understand the
organization can never match salaries and benefits of the private sector but they also know management and the

board have worked hard to provide the other benefits that are offered and continue to identify new ways to recognize
employees. And, in the end, the collective vision for the organization they all share enables an enviable
management/staff working relationship evidenced by the recent round of collective bargaining which was completed
in record time without any hint of acrimony.

Black CAP appears to have turned a corner. Through the support of an effective HR
collaboration, a committed management, staff and board team it has made the
transition from a somewhat haphazard organic HR structure to one that demonstrates
forethought and a focus on supporting its mission. In the process Ryan has developed
skills and acquired knowledge that are immediately and directly benefiting the
organization and its employees. He is confident that the HR management system he
has been able to put in place with support from Tracy Campbell, the board and from
staff has enhanced Black CAP's capacity to carry out its mission more effectively while
supporting its staff.

1. Evaluate O'Doul's positioning strategy. Is it wise, given the flat market for the overall beer
industry?
In my opinion O'Doul's positioning strategy is very good for all beer company around the world and
Anheuser-Busch Cos Inc itself. They can distinctive big idea in mind of the target market at the right
time and place.
The company focuses on customer's need and wants, at the same time give the priority to legal
constraint. In this case customer's or beer drinker's need to drink beer for it taste, join the fun, apart
of heritage and culture. At the same time beer drinker want to avoid the cost associated with
overindulge. Anheuser-Busch Cos Inc produce O'Doul's not to replace the alcoholic beer with
nonalcoholic beer, their just want to do application and user positioning for company to give focuses
and satisfy customer with their drinking dilemma. It show's that company also care about the legal
constraint.
Their also make attribute positioning, with Anheuser-Busch Cos Inc promotes O'Doul's with its highly
successful Budweiser brand. This image from a best beer producer occupy as a unique place in mind of
nonalcoholic beer drinker's as positioning bases to the mind of prospect such as "What beer drinkers
drink when they're not drinking beer".
Their positioning strategy look successful because O'Doul's market shares growth positively and
closing the gap in second place in nonalcoholic beer share market.
Yes, it wise to give the flat market with overall beer industry because, it shows that Anheuser-Busch
Cos Inc. (Company also produce many kind of alcoholic beer) also care about stricter legal constraints
against drinking and driving. In other word it promotes their company name and product to suite
consumer behavior trends, and give some opportunity to steal overall sales market from competition.
Anheuser-Busch Cos Inc. produce O'Doul's not to replace alcoholic beer which the major sales volume
for them, it is one way to influencing customer buying decision in psychological factors that affected
by social forces outside the individual and create choice to have a brand loyalty customer.

(Cases Study Odoul's) What Beer Drinkers Drink When


They'Re Not Drinking Beer

Saved
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1. Evaluate O'Doul's positioning strategy. Is it wise, given the flat market for the overall beer
industry?
In my opinion O'Doul's positioning strategy is very good for all beer company around the world and
Anheuser-Busch Cos Inc itself. They can distinctive big idea in mind of the target market at the right
time and place.
The company focuses on customer's need and wants, at the same time give the priority to legal
constraint. In this case customer's or beer drinker's need to drink beer for it taste, join the fun, apart
of heritage and culture. At the same time beer drinker want to avoid the cost associated with
overindulge. Anheuser-Busch Cos Inc produce O'Doul's not to replace the alcoholic beer with
nonalcoholic beer, their just want to do application and user positioning for company to give focuses
and satisfy customer with their drinking dilemma. It show's that company also care about the legal
constraint.
Their also make attribute positioning, with Anheuser-Busch Cos Inc promotes O'Doul's with its highly
successful Budweiser brand. This image from a best beer producer occupy as a unique place in mind
of nonalcoholic beer drinker's as positioning bases to the mind of prospect such as "What beer
drinkers drink when they're not drinking beer".
Their positioning strategy look successful because O'Doul's market shares growth positively and
closing the gap in second place in nonalcoholic beer share market.
Yes, it wise to give the flat market with overall beer industry because, it shows that Anheuser-Busch
Cos Inc. (Company also produce many kind of alcoholic beer) also care about stricter legal
constraints against drinking and driving. In other word it promotes their company name and product
to suite consumer behavior trends, and give some opportunity to steal overall sales market from
competition. Anheuser-Busch Cos Inc. produce O'Doul's not to replace alcoholic beer which the major
sales volume for them, it is one way to influencing customer buying decision in psychological factors
that affected by social forces outside the individual and create choice to have a brand loyalty
customer.
In fact, their successful positioning strategy had disappointed some nonalcoholic beer manufacture
that hoped to appeal to nondrinkers as one way to increase sales (Competitor use wrong positioning
strategy).
2. How would you define O'Doul's target segment? Be sure to include the base or bases used to
define that segment?
O'Doul's target segmentation is beer drinkers because they find that nearly all nonalcoholic beer
drinkers are also regular or light beer drinkers and not nondrinkers (see the chart below). This is the
right target segmentation because the response to nonalcoholic beer in 1980 had failed to attract
non-beer drinkers to drink beer and this only minority group in the market.

Consumer Behavioral Segmentation

Base on diagram, The O'Doul's market segmentation should define as behavioral segmentation that
divided customer into group on basis attitudes towards beer drinkers and non-beer drinkers. O'Doul's
nonalcoholic beer target segmentation is single segment concentration on alcoholic beer drinker.
They try to achieve strong market position due to their greater knowledge, nearly all nonalcoholic
beer drinkers are also regular and light alcoholic beer drinker. Furthermore, in 1991 nonalcoholic
segment grew 32 percent is opportunity for them to have the right target segmentation and they
also know that nonalcoholic beer can't attract non-beer drinkers.
Anheuser-Busch Cos Inc. that produce O'Doul's also have better knowledge in this beer segmentation
need due to their reputation as Bavarian brewery since 1852 and the customer need to stricter legal
constraints against drinking and drive. They also can operate in economies of scale through its
production, distribution, and promotion because they are already in this beer market.
3. How does this segmentation strategy satisfy the criteria for effective segmentation?
These segmentation strategies satisfy the criteria for effective segmentation by positioning its brand
to appropriate usage segment, and has closed in lead competitor in fast-growing segment of slowgrowth industry.
O'Doul's beer segmentation strategy not just to sell nonalcoholic beer, they seek benefit or solutions
for alcoholic beer drinkers by understanding customer better such as their legal constraint.
5 effective O'Doul's segmentation criteria as below:
a. Measurable - The size, purchasing power and characteristics of segmentation can easily be done
because they already in that market. O'Doul's also can be categorized as consumable product that
can easily investigate the measurable thing by doing market research.
b. Accessibility ? O'Doul's product also can reach intended target segments efficiently thru' marketing
communication and distribution strategies because it same segmentation as product sold before.
c. Substantial ? O'Doul's segmentation (alcoholic beer drinker) are large and profit potential for all
beer drinkers to avoid drinking alcohol when the occasion call for sobriety, yet still wish to enjoy beer
and avoid the costs associated with overindulging.
d. Durability ? As long these social pressures against drinking and driving make consumers in
dilemma, O'Doul's can't be disappear from the market.
e. Differential responsiveness ? O'Doul's is a beer with nonalcoholic, forever this beer conceptually
distinguishable from alcoholic beer in legal all around the world.
This 5 strong criteria make O'Doul's still been produce until today in the market. Company had
positioning the brand in a right target segmentation to satisfy customers need and want, but still
meeting the organization objective.

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