Introduction
Smith Radiators is a company that has its own unique history and tends to continue its existence under the new conditions. Besides, at the moment it faces significant problems related to the altered environment and the appearance of new approaches to HR management. One of the traditional partners, Automobiles of America Inc. (AAI) provided the new conditions of their partnership to guarantee the improved quality of their products. This approach implies certification of the main suppliers to improve the quality of radiators and increase the number of sales. It could not but give rise to numerous Smith Radiators concerns. The fact is that AAI will not give any preference to American companies of former partners. In this regard, Smith Radiators should be ready to face great rivalry and obtain an advantageous position by improving its functioning and products quality.
HR Strategies
Investigation of the case provides us with the information about the strategies that are used by Smith Radiators when working with its staff. At the moment, all crucial decisions are made by Mr. Smith. Employees are expected to perform assigned tasks and follow the instructions carefully. Yet, the given pattern will obviously fail to support the organizations current business plan that is oriented on the improved quality of final products. The given management style results in the deterioration of workers attitude to their duties and low morale. This fact is evidenced by numerous employee grievances. It is obvious that the existing atmosphere has the pernicious impact on the efficiency of the whole manufacturing process, quality of final products and outcomes. For this reason, it is crucial to alter the existing approach to guarantee the improvement of the atmosphere and engagement of employees in the decision-making process.
Current Companys strategy
The above-mentioned peculiarities of the company and the HR strategy that is chosen to work with employees help to classify its strategy as a reactor one (Anthony, Kacmar, & Perrewe, 2010). Smith Radiators admits numerous changes that happen in the environment, but it is still not ready to adapt to new conditions and shift priorities from authoritarian to more efficient managerial styles. However, Mr. Smith has already recognized the necessity of alterations and wants to make his company more efficient by inviting experienced HR managers to analyze the current state of Smith Radiators and outline change areas that should be given special attention. The reconsideration of the main aspects of functioning is a complex and long—term process that demands numerous resources and efficient HR management to achieve the final goal and improve the functioning of the company greatly. To remain AAIs partner, Smith Radiators should be ready to attain increased quality.
The Desired Strategy
Considering the great importance of the cooperation with AAI and the goal that implies the increased quality of final products, it is possible to recommend the shift of priorities towards the Defender strategy. There are several benefits that it might assure. First, this approach implies the focus on a narrow line of products that will help a company to become successful. For Smith company, it should give special attention to the quality of radiators. It will help to defend their status in the market, obtain advantageous position and remain prosperous for a long period of time. Furthermore, the given strategy is more appropriate for the company as it could be considered less cost-based (Four strategic types, n.d.). For this reason, the adherence to the Defender strategy could be taken as the only way to contribute to the companys further development and evolution.
New HR strategy
One should realize the fact that the restructuring of any company is impossible without the significant alterations in the approaches to HR management and strategy. As stated above, the current Smith Radiators approach is inefficient as it deteriorates the atmosphere within a collective and decreases employees efficiency. First of all, it is crucial to alter the way instructions are given. Mr. Smith should remain the top manager; however, workers should have more independence and be able to show initiative. It might help to improve the atmosphere by showing their contribution to the companys evolution and the importance of their perspectives (Creating value through HR Strategy, n.d.). It will also result in the increase of the efficiency of workers and make them realize the responsibility that comes from their actions (HR Planning, n.d.). Additionally, it is also crucial to guarantee that all employees will be rewarded in case cooperation with AAI is prolonged. It will motivate them.
Conclusion
The case with Smith Radiators shows an outstanding importance of flexibility and companys ability to respond to new challenges that appear in the course of the evolution of any organization. The lack of understanding of the peculiarities of a new environment might result in the adherence to the outdated practices and strategies explored when working with human resources. Mr. Smith has to restructure the company and shift priorities from using the Reactor strategy to the adherence to the Defender one. The alteration of the HR strategy might also help to increase efficiency and contribute to the better final outcomes.
References
Anthony, W. P., Kacmar, K.M., & Perrewe, P.L. (2010). Human Resource Management: A Strategic Approach. Ohio: Cengage Learning.
Creating value through HR Strategy. (n.d.).
Four strategic types. (n.d.). Web.
HR Planning. (n.d.). Web.