Term Paper on "Final Situation Update"

Quoted Instructions for "Final Situation Update" Assignment:

Description:

Pumps For All (PFA) is a large organization that designs, builds, markets, and distributes pumps for any need for moving water. The pumps range from small, above-ground swimming pool pumps to large, farm irrigation pumps. Many of the pumps are electrical, but several large ones can be powered by combustion engines. The pumps are designed to move small amounts of clear water such as would be found in a Jacuzzi to those that can handle a large degree of mud such as one designed to drain a large, 100 acre shallow, murky farm pond. PFA will remain at the leading edge of pump technology for this range of water movement needs. This production strategy is not without risks. There are several competitors who produce along much more narrow lines so that they can specialize and produce higher quality with the latest technology. Competing with them will require PFA to operate in a fashion similar to small companies. It must do this along its production lines by creating competitive divisions.

Vision:

PFA will be the technological leader in providing the most efficient pumps in the world. These pumps will be provided at a reasonable price, but quality will not be compromised to cut price in order to meet or beat competition. PFA will provide the best pump for its given purpose. PFA will be the standard by which customers compare other manufacturers***** products. PFA will be a world class provider of pumps for an increasing range of needs.

Strategy:

In order to fulfill this vision, PFA will continue to conduct its own research and development but will begin to benchmark designs from leading pump manufacturers around the globe to capture the latest technological advances from all over the world. PFA will become the national leader in moving water by capturing more of the national market share by continuing to be the market standard for quality pumps and offering them at a reasonable price*****quality and latest technology will not be compromised. PFA will, within the next year, move into the petroleum pumping arena. These pumps will be of the quality PFA is known for, and like the water pumps, will be offered to handle a variety of needs from filling station gas pumps to large pumps for bringing up crude oil from far underground. To reemphasize, these pumps, like the water moving pumps, will be world class in quality. Within a year, PFA will begin to penetrate the global market for pumps. The primary interest for global operations remains the United Arab Emirates (UAE).

SITUATION UPDATE

All of the above, you have seen before. Some points are underlined now to draw special attention. We have run into a problem. While we are pursuing a Committed Expert HR strategy, particularly for our engineers, turnover is increasing! Our competitive strategy of producing and selling pumps that are of the latest technology and of the highest quality is in jeopardy!

Of particular concern is the rapidly increasing turnover of the engineers for our small, water moving pumps. It appears that two more aggressive companies have moved into this area, because the economy is pushing home owners to downsize swimming pools. This is a market that is rapidly growing, and we do not want to fall behind. We simply must do a better job at retaining our top quality engineers that were recruited out of the leading engineering schools. We cannot be the company that brings in new engineers, offers them tremendous, early experience, and then loses them to more aggressive companies.

These engineers are under tremendous pressure to discover more efficient means by which to move this water. The research and development department is very well funded, and all of the latest scientific apparatuses are available. The science of moving water must continually be advanced. We are on the verge of a new breakthrough that will move water more efficiently without use of an impeller. We have found a way to siphon water with significant pressure to higher elevations. It is all done with an advanced method of creating and maintaining vacuums. This is on the verge of being science fiction, and it is obviously a very highly secretive development. While the engineers responsible for this emerging technology are working tremendous hours to get this technology perfected and to the market, we simply must keep them or all will be lost. Additionally, not only do we need to retain these people, we need to bring in new people with new ideas to keep this technology advancing. There will be more competition for the best minds as time passes. We can never slow down. So, Human Resource Manager, we need to keep the people we have, and we need to bring in even better people to work with them in this very highly competitive, and very exciting, environment where pressure to produce builds every day.

FINAL SITUATION UPDATE

A year has passed. Your motivation enhancing programs have been successful. Things have settled into a fast-paced, rapidly changing environment. People are thrilled to be working in such an exciting time. PFA has maintained its competitive advantage, and it more profitable than ever before. Things are going very, very well.

Using the above information, complete the following:

As the HR manager for this organization please thoroughly explain how you would address the following:

A. Improve relations with the labor union.

B. Improve the performance evaluation system.

C. What kind of system would you orchestrate and why?

C. Develop a career planning program.

D. Establish policies for employee discipline and dismissal.