The Human Resource Function of Harrison Brothers Corporation Kwanghun Cheong
Harrison Brothers Corporation (HBC) is traditional department store that extends business field from clothing to home furnishing and home items recently to become the leading chain of department stores in the Northeast. Today’s customers are quickly changing needs to have something for both value and specialization. In addition, competitors such as superstores and giant discounters are increasing. CEO of HBC clarified the company’s strategy; that is reposition of offering exciting brand names, excellent sales help, and frequent sales. Furthermore, CEO has been agonizing HR function since he felt the employee quality and performance would be important to get the strategic goal.
2. Problem Definition
Main problem of HBC’s HR department is that organization model of HR department does not function as strategic business partner. In the short run, HBC does not keep a well-trained, highly motivated workers and there is a shortage of professional employees all the time. In the long run, the HR department does not contribute to achieving the company’s strategic goal.
3. Cause of Problem (Analysis)
1) Insufficiency of aggressive act to external environmental changes As competitors increase, the HR department has difficulty retaining competent employees. So, they spend most of time doing administrative role such as recruiting and training new employees. Even though sales employees are key to promote business, new employees who are wanting in ability are assigned to sales. “We get some employees who cannot effectively complete the cash register training. Our training tries to expose them to selling techniques and how to properly interact with customer” 2) Organization model of HR department which does not align with strategy Though the company is traditionally highly decentralized, HR functions are extremely centralized. So, there is a gap between the HR department and the...
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