Org535 V1 Week 2 HR Design Decisions

Org535 V1wk 2 Hr Design Decisionsorg535 V1page 2 Of 2wk 2 Apply

For each of these 7 HR design decisions, select the option that most closely aligns with Southwest Human Resources' practices. While the organization may not fit perfectly into one category, choose the one that it more clearly resembles. Then, evaluate how well that choice functions in terms of impact on company performance, effectiveness, employee morale and engagement, and alignment with strategic goals. Consider the following elements in your analysis:

• The impact on company performance of the approach
• Effectiveness of the approach
• The impact on employee morale and engagement
• Alignment with strategic objectives

The specific decisions to analyze include:

1. View of employees: Employees as expenses vs. employees as assets
2. Compensation: Below market vs. competitive vs. above market
3. Training and Development: Spontaneous vs. planned
4. Job Descriptions: Specific vs. general
5. Recruitment: External vs. mixed vs. internal
6. Onboarding – Socialization of new employees: Limited vs. extensive
7. Bargaining: Collective vs. individual

Paper For Above instruction

The strategic design of human resources policies significantly influences organizational effectiveness, employee engagement, and overall performance. The case of Southwest Human Resources offers a compelling example of balancing various HR decisions to foster a resilient and competitive organizational environment. This paper examines seven critical HR design decisions, evaluates the choices, and analyzes their impacts through the lens of strategic HR management principles.

View of Employees

Southwest Human Resources views employees primarily as assets rather than merely expenses. This perspective aligns with the organization's emphasis on investing in workforce development, fostering loyalty, and encouraging employee participation in organizational success. Treating employees as assets enhances motivation, innovation, and long-term commitment—factors that directly correlate with improved performance and customer satisfaction. This approach fosters a positive organizational culture where employees feel valued, leading to higher morale and engagement (Snape & Redman, 2019).

The effectiveness of viewing employees as assets is evident in Southwest's low turnover rates and strong service reputation. While it requires dedicated investment in training and development, the returns manifest in increased productivity and a cohesive organizational culture, indicating the choice’s strategic soundness (Fitz-enz & Mattox, 2012).

Compensation

The organization adopts a competitive compensation approach, aligning with industry standards to attract and retain talented staff. Competitive pay ensures that employees feel adequately rewarded, which motivates high performance and reduces turnover. Overpaying, while costly, can attract top talent and foster loyalty if managed sustainably. Conversely, underpaying risks disengagement and higher attrition rates. Southwest's strategy indicates a commitment to fair remuneration aligning with market benchmarks, thus promoting organizational stability and morale (Gerhart & Rynes, 2018).

Research suggests that competitive compensation enhances employee satisfaction and commitment, leading to higher customer service levels—a core focus of Southwest's strategic priorities (Milkovich, Newman, & Gerhart, 2014).

Training and Development

Southwest employs a planned approach to training and development, emphasizing continuous skill improvement aligned with organizational goals. Spontaneous or ad hoc training may yield quick fixes but often lacks consistency and strategic focus. Planned programs foster a culture of learning, adaptability, and innovation, critical for maintaining competitive advantage in a dynamic industry. Structured training initiatives improve employee capabilities, motivation, and alignment with company strategy (Noe et al., 2020).

This deliberate approach has correlated with high employee engagement and service quality, reinforcing the value of planned development initiatives.

Job Descriptions

The organization opts for specific job descriptions, which define responsibilities clearly. Specific descriptions facilitate accountability and performance measurement, which are essential for operational excellence. Generic descriptions might provide flexibility but can lead to role ambiguity and inefficiency (Kozlowski & Bell, 2016). Southwest's clarity in roles complements its customer-centric strategy and supports effective team functioning.

Clear job definitions contribute to better performance management, reduced conflict, and aligned expectations, enhancing overall organizational effectiveness (Cartney et al., 2018).

Recruitment

Southwest predominantly focuses on internal recruitment, supplemented by external efforts when necessary. Internal recruitment fosters loyalty, reduces hiring costs, and ensures a good fit with organizational culture. External recruitment brings fresh perspectives and skills but can be disruptive if overused. A balanced approach leverages internal talent development while ensuring strategic hiring to fill gaps (Breaugh & Starke, 2019).

This strategy has proven effective in maintaining organizational stability while promoting career development, which enhances employee morale and engagement.

Onboarding – Socialization of New Employees

The organization emphasizes extensive onboarding processes that socialize new employees thoroughly into the company culture, values, and expectations. Extensive onboarding reduces uncertainty, accelerates productivity, and fosters a sense of belonging—key drivers of engagement. Limited onboarding may save resources initially but often leads to confusion, disengagement, and turnover (Bauer et al., 2018).

Southwest's comprehensive onboarding exemplifies best practices in socialization that support long-term retention and organizational cohesion.

Bargaining

Southwest adopts a primarily individual bargaining approach rather than collective bargaining. This strategy allows flexibility in employment terms, promotes direct communication, and diminishes potential conflicts associated with union negotiations. While collective bargaining can protect employee rights and ensure fairness, it may also slow decision-making and reduce managerial flexibility (Katsandonis & Petropoulos, 2020).

The focus on individual negotiations aligns with Southwest’s culture of open communication and employee empowerment, positively influencing morale and operational agility.

Conclusion

Southwest Human Resources exemplifies strategic HR management through its deliberate choices across various domains. By viewing employees as assets, maintaining competitive compensation, implementing planned training, clear job roles, selective recruitment, extensive onboarding, and individual bargaining, the organization fosters a high-performance culture. These choices collectively contribute to organizational resilience, superior employee engagement, and sustained competitive advantage in the airline industry.

References

• Bauer, T., Erdogan, B., Hostager, T., & Collins, B. (2018). Onboarding new employees: Why formal onboarding programs are essential. Journal of Human Resources, 56(3), 712-725.
• Breaugh, J. A., & Starke, M. (2019). Finding quality candidates. Journal of Applied Psychology, 104(4), 407-434.
• Fitz-enz, J., & Mattox, J. R. (2012). The ROI of Human Capital. Wiley.
• Gerhart, B., & Rynes, S. L. (2018). Compensation: Theory, Evidence, and Strategic Implications. Journal of Management, 44(6), 2298-2323.
• Kozlowski, S. W., & Bell, B. S. (2016). Work group and team training. In S. Zaccaro, M. A. Rittman, & K. A. Marks (Eds.), The Warfighter and Organizational Readiness (pp. 139-165). Routledge.
• Katsandonis, N., & Petropoulos, G. (2020). Unionization and organizational flexibility. Journal of Industrial Relations, 62(2), 221-240.
• Milkovich, G. T., Newman, J. M., & Gerhart, B. (2014). Compensation. McGraw-Hill Education.
• Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2020). Fundamentals of Human Resource Management. McGraw-Hill Education.
• Snape, E., & Redman, T. (2019). Managing Human Resources. Pearson Education.