Human Resource Management: On Edge Breweries Limited

Human Resource Management: On Edge Breweries Limited

Introduction

 On Edge Breweries Limited was founded in 1960, as Masterpiece Breweries Limited (MBL), by two brothers, Peter and George Johnson. The company initially had ten employees, and it was located in Houston, Texas. The company now has over 1,000 employees and has ten branches over the country. It is also the home of the number one selling beer in the country over the past years, The Dew. The Revenue of the company has been significant over the decades; this is primarily due to the top quality of alcoholic and non-alcoholic drinks they manufacture over the years. A high percentage of profits come from the sales of the different sophisticated brands and types of drinks the company has developed. The Chief Executive Officer (CEO), Mr. O’Brian Miles, has noted there is a current trend coming up in the market, which affects the sales. On Edge Breweries Limited is highly dependable on the sales; thus, any negative trend in the market affects it negatively. The current trends exhibit high and low peaks of sales, which affects both senior and little skilled personnel. Miles is worried that high dependability on sales can adversely affect the company growth due to the market trends arising and the high turnover rate.

The ultimate and future goals for On Edge Breweries Limited are to be in total control of the raw materials involved and dispatch, export to the distant market, and expand by opening other branches throughout the country and overseas. This will see the number of employees doubles. The company asked the General Manager, Mrs. Rachel Isaacs, to hire a human resource manager (HRM) to work on compliance. The HRM was needed to manage employee questions, overseeing systems, and creating long term plans to increase sales by expanding the sales team and countering the market trends. Over the past years, the company’s had a significant challenge in hiring and recruiting new staff, ranging from the sales team to the production team. During this period, the company has hired over 200 employees, and only 15 of them have been retained. The company’s website is the leading platform to recruit applicants for job vacancies. There was a meeting scheduled between the top company’s officials and the office of the human resource management to discuss the discipline and inconsistency within the organization. The roles of the Human resource manager, as reviewed in the meeting was as follows; coordinate administrative functions, hiring and recruiting new staff, and acts as a link between the top chain of command and the employees.

Background Information

 On Edge Breweries Limited does not have a clear, Written Mission statement. This is crucial in any business organization, either small or big, as it shows the company’s’ direction. It acts as a reminder of why the company exists in the first place and the goals to be achieved. The mission determines the company’s future vision, showing the progress the company is making towards the bright future. Decision making is critical in any company growth and development, having a solid mission statements acts as a guide to the intended future by providing a template for critical thinking and making a decision through the organization structure.

Additionally, the Mission statement offers the needed change among the members, especially those who are resistant to change. This creates a culture that is friendly to change when the need arises. Furthermore, businesses should come up with effective strategies to accomplish the mission the company is set out to achieve. Finally, it provides a culture for evaluation and improvements within the organizational structure.

The organizational culture, organizational structure of the company is the arrangement of authority, responsibility, and communication channels. Also, it shows how activities occur in a company. The current organizational structure of the company is centralized; the CEO and the board of directors control the entire decision making. This organizational structure has both advantages and disadvantages to the company’s operations. The main benefits of this structure are fast execution; when a few people are involved in decision making, the reaction is swift. And Employees’ roles and job descriptions are well-defined, and this makes the employees more productive, and they can make sober decisions. The primary drawback of a centralized organizational structure is the Bureaucratic leadership. The employees are highly dependable on the decision making by the top officials, and they expected to work under the instructions of the senior executives. There were many complaints concerning the hostile working environments due to the pressure subjected to the employees.

The HR Organizational Structure of primary prerequisites is the HR Model and HR Management. Different organization designs have a different organizational structure and use various approaches to come up with managerial structures and how the HR Front office, HR back office, and HR centers of excellence cooperates. The current organizational structure of On Edge Breweries Limited is the primary concern for Human Resource Management. The company is set up through a Line-staff organization, like the most of highly centralized companies. The top executives set up goals and directions to be adhered to and fulfilled by the staff and other employees. The disadvantage of the Line-staff structure includes exploitation of the personnel by the top executives, poor human relationships, and overlapping authority and responsibility.

Currently, the company has introduced the Human Resources Manager Department. A total of five employees are working under the department. The majority of its functions are organizing, directing, recruitment/hiring, training, and development. These duties are currently assigned to the general manager; this is the major problem facing On Edge Breweries limited. The decision making is not given to the lowest ranks of the HR organization; this affects the employees’ accountability since they don’t have authority over making decisions. The flexibility of the HR organizational structure in another challenge in the company, resulting in almost impossible reaction, thus leading to inefficiency of the organization.

The functions of the HR department in On Edge Breweries Limited are mainly administrative and general. Over the years, the company had ignored the importance of the HR department in the organization. The most critical resource in HR is the people, so the Human resource manager should develop good human relations within the organization and bettering their livelihoods and working environment. This is achievable by hiring, training, and mentoring employees to be a vital part of the company. The main reason the company hired a Human resource manager is that the company lacked the skills in this field. The action of hiring new HRM will catalyze company’s growth and development.

Action Plan

I have currently been hired as the Human Resource Manager for On Edge Breweries Limited. The company is having a significant challenge in sales due to the upcoming trends in the market, affecting the profits generated, changing the expansion of the company, and improving its efficiency. I was hired to architect the human resource management unit and ensure smooth operation in the group. There will be an active division of labor since, in the past, most of the duties will be offloaded from the general manager. The first action to be taken is having a meeting with the CEO and the board of directors. The company lacks a clear mission and vision statements. During the meeting, the following statements were adopted to be a new mission and vision statements.

Mission:

Vision:

Once these statements are established, I will identify how to know some of the operating aspects of HR and how it is aligned to the cooperate mission and vision statements. According, to the company’s history and performance, the operating aspects that I will be focusing on will have a vital role in the success of the company. The operating aspects that I choose are as follows: working conditions and amenities, HR policies and protocol, Training and development, Absenteeism management, Health and wellbeing, Induction, performance management, recruitment and selection, job design, and organizational culture. I will create a task force committee, including the CEO and the general manager, the function of this committee is overseeing the implementation of the identified operating aspects. Job design plays a crucial role in safety, thus minimizing the injuries involved in the workplace. I will come up with a detailed resource plan to reduce physical injuries through ergonomics consideration, physical exertion, and repetitiveness.

The development of safety culture is an important aspect. With the help of the CEO and the general manager, we will see into it that the culture is more proactive and generative, unlike the previous one, which was reactive and pathological. Recruitment and selection at On Edge Breweries Limited is instrumental and efficient. The company uses its website for advertising available job vacancies. The selected will undergo interviews with the management, and they will be tested on safety psychometric, this helps in preventing injuries and sickness in a couple of methods. The big challenge in recruitment is the retention of the employee after being hired, increasing their salaries and privileges will make the recruits to be engaged and motivated.

Performance management will be introduced as a new strategy to reward individuals who give the best performance. The performance analysis will be done, and the process will include recognition, rewards, appraisals and performance recovery and standards leading to the achievement of the objectives. Furthermore, the new employees are prone to get injured due to inadequate information on the company’s operations; therefore, an induction program will be established to offer teachings on various core and crucial information on safety. The orientation program will be solely the duty of the Human Resource Manager. When the orientation is completed, there will be a comprehensive training of the new employees. The training and development process will be conducted on the management, and it will entail training on specific regulations, equipment, and procedures. During the training period, the required qualification and licenses will be checked.

Absenteeism is one of the major problems experienced in the company. A sophisticated Absenteeism management strategy will be developed to improve regular attendance by the employees. I will work closely with top executives to provide the most favorable working conditions and amenities; for instance, there will provision of first aid training and a clean working environment. Although there is significant progress in this area currently, I will work with the relevant authorities and stakeholders to make it the best. Finally, there will be the addition of a new company’s policies to provide a better working environment. Failure to abide by these new rules will have dire consequences. The new systems will include the following; bullying, harassment, drug abuse, and discrimination. I would suggest the company to employ HR metric