Human resources are the core asset of any modern company that benefits to organization and employees to achieve mutual goals and high levels of organizational performance. Hiring and retaining the right employees is critical to the success of any business. The companies like McDonald’s, KFC and Starbucks have their own specific Strategic HR Management. They are all dependent on their HR visions.
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McDonald’s
McDonald’s started as a burger brand in 1940 in San Bernardino, California. The company has been looking for a growth strategy for a very long time. With over 30,000 restaurants in over 100 countries in the world today they maintain the top position in the fast-food industry for the past 50 years.
Business strategy of McDonald’s for employment planning is organized in the way so it can be sure that it has the correct figure of skilled individuals on the exact positions and at the right time. Nevertheless, they hire unskilled individuals, whose employment contracts are mostly on a short term basis, and try to train them to let them understand the objectives of the organization. With the help of the training strategy, McDonald’s improves and develops the skills of the workers in the organization and provides promotions to retain employees.
On the financial side, McDonald’s uses direct shares, uniforms, paid vacation, bonus scheme and stock purchase plan, competitive wages, MAC Card, Haircut Discounts, wages increases and so on to attract employees.
McDonald’s is a big restaurant with so many branches around the world that it helps to reduce the unemployment around us. It promises a good future development chance for their employees.
Kentucky Fried Chicken
Kentucky Fried Chicken was founded in 1932 and nowadays is the largest fast-food chicken operator, and franchisor in the world. KFC has been proven to be a successful business enterprise with more than 11,000 restaurants in 109 countries around the world. HRM is valued there, as the company knows that its employees are at the center of their success.
During the late 1990s, KFC launched a new employee incentive program as part of a three million dollar reorganization of its corporate field operations. The program was intended to show general managers that they play an essential role in the success or failure of the company. The managers were taken to the corporate headquarters for three days of meetings and seminars. The company believed that a great way to develop great teams was to focus on restaurant leaders. The changes stemmed from a survey that was conducted and revealed that managers wanted more support from corporate headquarters, “they want to know that they are valued” (KFC initiates).
At KFC, all employees receive initial training, which covers food safety, business familiarization and online testing. The training is web-based in virtual reality classrooms where future employees are prepared. After commencing employment, team members continue their training through a program called CHAMPS.
HR PHILOSOPHY of KFC stands on “the CHAMPS program” i.e.
- C – Cleanliness
- H – Hospitality
- A – Accuracy
- M – Maintenance
- P – Product Quality
- S – Speed of Service
By means of structured employee training and effective retention strategies, the company can deliver a more consistent customer experience. The training, development, and retention of the right people are the key ingredients to the secret recipe that result in the long-term success of KFC.
Starbucks
Starbucks has become a large organization working on a world level in 44 countries with 15000 coffee stores had been opened since 1917.
Committed and highly-motivated employees stand in the core of the organization’s success and Starbucks had realized this very early. They gave great importance to the recruitment process in order to select the right people for jobs and train, and retain them in order to get the sustainable high performance of the organization. They gave great importance to dependability, adaptability and ability of the candidate to work as an effective member of a team.
Starbucks advantage over its competitors is making quality drinks and the ability to manage their workforce efficiently. All the employees are considered partners in Starbucks and are provided with training programs for better understanding of the product and for acquiring the techniques and skills that they will be required to perform their tasks. They also have the power to take decisions when needed.
Giving more importance to its employees than products is their company strategy:
- free health care, that also includes vision and dental care facilities;
- Extra benefits who work average 20 hours a week: free shift drinks and a free pound of tea or coffee every week.
- Wage increase: semi annually (0% – 5%), based on performance evaluations.
- Providing many non-monetary awards: 30% discounts to the employees.
- Evaluations and Promotions are used to motivate their employees as well.
Starbucks values HRM policies impact on organizational performance. In 2004 the spend on human resources development exceeded company’s advertising expenses and equaled to $68.3 million. With these huge investments in HRM, Starbucks can expect to have strong employee satisfaction level (HRM, Starbucks).
Conclusion:
Human resources management plays an important role for the aforementioned organizations in managing employees to work efficiently, and productively to get competitive advantages over their competitors and achieve the goals and objectives of these organizations. HRM practices help McDonald’s, KFC and Starbucks to ensure their long-term success, development, improvement and expansion on the world market, hence the great amount of time, financial and human resources are mobilized for maintaining employees and talents.
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