Thursday, August 8, 2019

Global Operations Management IP II Essay Example | Topics and Well Written Essays - 1000 words

Global Operations Management IP II - Essay Example These strategies will enable the company realize better performance and gain competitive advantage in the global market. Introduction A PPQ part is a manufacturing company that deals with the manufacture of Sport Utility Vehicles in the United States with 5000 number of employees and controls 5% of the world market share. The company intends to reorganize its operations beyond the boarders of United States in which the company intends to expand its employee base to 10000. However, the company has experienced high turnover rates of 28% which is above the market average. The company therefore intends to increase its employee retention through reduction of annual turnover from 28% to 17%. PPQ Parts also intends to increase its profit margin from 6% to 13% in 4 years in order to improve its performance in the stock market from the current $10 per share to $22 per share. The company through its corporate values contributes 0.5% of its profits to charity work and would like to raise it to 5% in 4 years time. Strategic Management Plan Employment Rebranding Strategy The ability of PPQ parts to attract and retain customers is one of the big challenges the company faces. Moreover, ability to attract and retain customers in the new global market that the company intends to venture will be even more challenging. According to McLaughlin & Fitzsimmons (1996), attracting and retaining talent is becoming the main competitive differentiator for companies around the world. While PPQ parts intend to cast a wider net across the globe, it will be imperative for the top management of the company to manage its internal HR systems. Employment branding is therefore the best approach that will guarantee long term talent development and retention thus reducing employee turnover (Kuruvilla, 2008). Major Goal: To increase employee retention by lowering annual turnover from 28% to 17% while increasing the number of employees from 5000 to 10000. Objective: Reduce the annual employee turnover from 28% to 17% through implementation of key HR strategies necessary to motivate employees and improve performance. Responsible Parties: PPQ Parts Board, and Senior Management staff Key Strategies: 1. Training and career development by coming up with a career development plan that will include systems for assessing employee performance and recommendation of training needs. 2. Performance Management by developing employee appraisal system that would keep employees focused to organizational direction and ensures employees are involved in the process of decision making with respect to training needs and career development. 3. Developing a HR function through implementing logical connections, that connects the renewal and integration capabilities, practical interventions and dynamic behaviors. 4. Develop HR operational procedures and enhance communication system within the organization. 5. Conduct a survey on the areas of employees’ satisfaction and implement the recommendation s. Expected Outcomes: Increased employee referrals, retention rates improve, enhance employee motivation, develop a stronger corporate culture, reduce corporate negatives, ammunition for employees and managers and gain a competitive advantage Timeline: Implementation of these strategies is expected to take 6 months followed by evaluation process and finally addressing the

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