In regards to talent, my recommendation would be for Tanglewood to develop the majority of its core workforce rather than acquire. The importance for employees to share in the long term organizational value and culture gives way to the need for internal development of the core workforce.
Due to the organizational structure of each store having an assistant manager that is responsible for Human Resource, and also because of the organization having the best perspec tive when it comes to the KSAOs that it requires in its workforce that it needs, the best approach for a hiring strategy is to execute hiring procedures internally versus outsourcing where the integrity in terms of decision making in regards to hiring is kept pure when it comes to staffing each of its stores.
Tanglewood has an hierarchy organizational structure, therefore it is recommended that in order to fill its entry level positions, most of those fills need to be hired externally. Once an employee becomes a member of the team and has gained time within the organization, the process to fill higher level positions should be conducted internally in regards to hiring. Acceptions can be made from a percentage base(i.e. 10%) of higher level positions may be open to external hiring consideration depending on criteria set in regards to years of experience in a similar field.
Tanglewood is concerned that companies like Target and Kohl’s are going to create more direct competition for the company. Therefore, Tanglewood must ensure they differentiate themselves by having the best possible staff that will deliver positive experiences to their customers and make their stores stand out among the competitors. The organization feels there must absolutely be a workforce of committed, qualified individuals who will help carry the Tanglewood philosophy into the future. They believe they can do this through the strategy of developing talent as well as employing exceptional workforce quality. They are the most important to use because not only will it allow Tanglewood to differentiate itself but it will build a strong culture, and save money by hiring internally and developing talent. By hiring new people who are new to retail and developing them as Tanglewood associates, it will support Tanglewood’s team focus and maintain the family atmosphere in employees that the company was built on. Developing talent is lower in cost and additionally, if Tanglewood starts employees off as associates who are new, they will learn things the Tanglewood way.
Exceptional workforce quality is a better strategy for Tanglewood than acceptable workforce quality for several reasons. First, Tanglewood’s target market is middle to upper class society. The company employs moderate pricing and a strategy of differentiation. They also differentiate themselves by having a large camping and outdoor living section in each store, having and outdoor theme, and by having a personable sales staff. Having exceptional workforce quality means hiring associates that will be passionate about Tanglewood and in providing excellent customer service. This strong customer service focus will encourage repeat visits to the store and allow the company to stand out among the competition by being a customer favorite.
Transition probability matrixCurrent year
(4)Assistant store manager0.000.000.060.460.080.40
Forecast of availabilitiesNext Year(projected)