Upper-Level Undergraduate Students Will Work Through Issues

Upper Level Undergraduate Students Will Work Through Issues Associated

Upper-level undergraduate students will work through issues associated with developing and sustaining an HR department to support an organization facing labor shortages and high product demand. At the end of the study, students learn how to: 1. Align HR initiatives with corporate strategy. 2. Develop a complete HR organization structure, including roles and responsibilities, and then adjust the structure to support the organization.

You are hired as the HR director for the fictitious Motors and More, Inc.

Motors and More is a business-to-business sales company that manufactures small motors and accessories for industrial and home products. The industry is highly competitive, and the company follows a prospector strategy, which emphasizes growth, innovation, and new product development, aiming to be first to market (Gomez-Mejia, Galkin & Cardy, 2001). To respond to rapid market changes, the company maintains a flexible, flat, and decentralized organizational structure.

Located in a small southern town with a population of 28,000 and a low unemployment rate of 3.1%, Motors and More faces a labor shortage due to high demand and limited local labor supply. There is a technical school and community college within 50 miles that provide some skilled labor, but overall recruitment remains challenging. The company employs 116 staff members and recently established an HR department to address increasing turnover and staffing needs.

The organization’s workforce is predominantly Caucasian (88%), with management promotions historically based on seniority. The local labor market features about 48% minorities, including growing Hispanic and Kurdish populations that face community acceptance challenges. Employees in manufacturing, quality control, and operations hold at least a high school diploma or GED, with some skill training provided. The organization’s president is a patriotic former military officer dedicated to staying in the community, which influences organizational culture and HR practices. The company has a high employee turnover rate, which needs to be addressed through strategic HR initiatives.

Paper For Above instruction

In this paper, I will explore the development and sustainability of the HR department at Motors and More, Inc. focusing on strategies suitable for an organization operating in a highly competitive environment with labor shortages and high demand. Additionally, I will analyze the implications of a prospector strategy on HR practices, and evaluate how these practices can support organizational goals, particularly growth, innovation, and market leadership.

Understanding a Prospector Strategy

A prospector strategy, as defined by Gomez-Mejia, Galkin, and Cardy (2001), focuses on exploring new markets, developing innovative products, and being the first to introduce new offerings. The fundamental objective is sustained growth through innovation, allowing the organization to capitalize on emerging opportunities and maintain competitive advantage. This strategy necessitates flexibility in organizational structure, encouraging decentralization and adaptive HR practices to respond swiftly to market changes.

Organizations Implementing a Prospector Strategy

One well-known example of a prospector strategy is Apple Inc. Its key objective centers around innovation in consumer electronics, seeking to lead product categories and set industry standards. Apple’s environment involves rapid technological changes, fierce competition, and shifting consumer preferences. To achieve its strategic goals, Apple invests heavily in R&D, maintains a flexible organizational structure, and employs HR practices that promote creativity, continuous learning, and agility.

Such companies operate in high-velocity environments demanding constant adaptation and innovation. They prioritize attracting creative talent, fostering a culture of experimentation, and maintaining flexible organizational structures capable of rapid decision-making and product development.

HR Practices Inherent to a Prospector Strategy

Implementing a prospector strategy requires specific HR practices that support organizational agility and innovation. These practices include:

  • Talent Acquisition Focused on Innovation: Recruiting creative, high-potential individuals who can drive innovation and change.
  • Flexible Organizational Structures: Developing flatter hierarchies and decentralized decision-making to enable swift responses to market changes.
  • High Investment in Training and Development: Encouraging continuous learning, skill enhancement, and adaptability among employees.
  • Performance Management Aligned with Innovation: Reward systems that recognize creativity, risk-taking, and initiative rather than seniority alone.
  • Culture of Experimentation and Risk-Taking: Promoting a workplace environment that tolerates failure as part of innovation processes.
  • Cross-Functional Teams: Facilitating collaboration across departments to enable rapid product development and problem-solving.
  • Responsive HR Policies: Maintaining agility in HR policies to support evolving organizational needs.

These practices prioritize agility, creativity, and responsiveness, fundamental to a prospector's strategic approach.

Implications for Motors and More, Inc.

Given its focus on growth and innovation, Motors and More should tailor its HR practices to reinforce a prospector strategy. This involves recruitment of innovative talent, development of flexible organizational roles, and cultivating an organizational culture that values proactive problem-solving and continuous improvement. Addressing diversity and community acceptance issues, particularly for minority populations, will be vital for building a resilient talent pool aligned with strategic goals.

Overall, HR practices must be aligned with the company's strategic emphasis on being first-to-market, which entails fostering creativity, supporting flexible work arrangements, and implementing performance rewards centered on innovative contributions. As such, the HR department plays a critical role in sustaining competitive advantage through strategic human resource management.

References

  • Gomez-Mejia, L. R., Galkin, D., & Cardy, R. (2001). Managing human resources. Upper Saddle River, NJ: Prentice-Hall, Inc.
  • Ahmad, S., & Schroeder, R. G. (2002). The impact of human resource management practices on operational performance: Recognized güçs and future prospects. International Journal of Operations & Production Management, 22(11), 1288-1318.
  • Barrett, R., & Mayson, S. (2018). HR Strategy: Creating Value through People. Routledge.
  • Collins, C., & Smith, K. (2006). Knowledge management practices, competitive advantage, and the performance of university technology transfer offices. IEEE Transactions on Engineering Management, 53(2), 226-242.
  • Dessler, G. (2019). Human Resource Management (15th Edition). Pearson.
  • Schein, E. H. (2010). Organizational Culture and Leadership. Jossey-Bass.
  • Ulrich, D., Brockbank, W., Johnson, D., Sandholtz, K., & Younger, J. (2012). HR Competencies: Mastery at the Intersection of People and Business. Society for Human Resource Management.
  • Wright, P., McMahan, G., & McWilliams, A. (2011). Strategy, human capital, and performance. Human Resource Management Review, 21(4), 265-271.
  • Yukl, G. (2013). Leadership in Organizations (8th Edition). Pearson.
  • Stone, R. J., & Deadrick, D. L. (2015). Challenges and opportunities affecting the future of human resource management. Human Resource Management Review, 25(2), 139-145.

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