1.)How would you describe Professional Products’ growth strategy? Professional Products’ growth strategy relies heavily on its human capital. Professional Products are vertical in their operations being that they design and make most of their own components. The firm is able to train employees in a wide variety of job positions so that when the company begins to outsource there will be no layoffs or an influx of new employees. 2.) Why would Professional Products commit to no layoffs in its expansion? Is this a positive move, or could it be detrimental to the company?
Professional Products commits to having no layoffs during its expansion because they know just how important it is to retain their long time experienced and skilled employees. For the company to layoff these employees it would likely cost more money in the long run. Only skilled and experienced individuals are able to complete these positions and it would cost more to train or retrain new or recently laid off employees than it would to outsource some of their manufacturing needs and train employees to be flexible within positions in the company. 3.) In addition to training employees for other jobs, what other HR strategies might the firm employ to maintain its relationship with its domestic employees -------------------------------------------------
Professional Products may need to consider other strategies other than cross training in order to maintain its current number of employees. One option the company could consider is furloughing. The company may ask its employees to take time off for reduced pay just until the expansion is complete. Some of the domestic employees may also be willing to travel and they could be utilized to open the new European sales office. Chapter 2 Case Study 2
1.) Why do companies like Dole need succession planning?
For a company the size of Dole Food Company it is surprising to see that they did not already have succession plan in place....