Analysis of Resource Management: Insights into Contemporary Practices and Strategic Factors

In this analysis we will discuss about resource management and below are the summaries point:- Kathmandu Holdings is a leading retail chain specializing in adventure outdoor and travel apparel. The analysis focuses on resource management integration and key theories/models used in the industry. It examines tangible and intangible resources, core vs. value-added services, and strategic factors affecting planning and implementation.

Running head: ANALYSIS OF RESOURCE MANAGEMENT
ANALYSIS OF RESOURCE MANAGEMENT
Name of the Student
Name of the University
Author Note

1ANALYSIS OF RESOURCE MANAGEMENT
Table of Contents
1. Introduction................................................................................................................2
2. i) Key theories and models that underpin different contemporary resource
management integration based practices....................................................................................2
Tangible and intangible resources..............................................................................3
Core services vs. value added services......................................................................4
Strategic resources and their potential to provide the competitive advantages.........5
Strategic resources of Kathmandu Holdings..............................................................6
ii) Key strategic factors or concepts that guide or affect the planning, policy
development, implementation and the management of resource integration.............................7
Competitive advantage of Kathmandu Holdings.......................................................7
PESTLE analysis of Kathmandu Holdings................................................................8
VRIO analysis............................................................................................................9
Five performance objectives......................................................................................9
Performance based objectives of Kathmandu Holdings..........................................10
Supply chain strategies of Kathmandu Holdings.....................................................11
3. Conclusion................................................................................................................11
4. References................................................................................................................12

2ANALYSIS OF RESOURCE MANAGEMENT
1. Introduction
Kathmandu Holdings Limited is an international chain of retail based stores that sells
apparels that are based on adventure outdoor and travel based apparel. Kathmandu has been
able to lead the retail clothing and equipment based industry in the countries like, New
Zealand, the United Kingdom and Australia. The organization operates more than 160 stores
in the industry in the year 2017 in New Zealand, around 115 stores in Australian and 1 store
has been developed in the United Kingdom. The company was established by Jan Cameron
and John Pawson in the year 1987. The first retail based outlets of the organization were
developed in Australia.
The paper will be based on the analysis of the process that are implemented for the
purpose of proper resource integration. The discussion will also be based on the core as well
as the value added services that are provided in the industry. The competitive advantage that
has been developed by the organization in the retail industry will also be analysed in the
report in detail.
2. i) Key theories and models that underpin different contemporary resource
management integration based practices
Contemporary organizations are able to embrace different human resource
management based practices. The different practices that are related to human resource
management mainly include, the week offs, mandatory leaves, transport provided by the
company and the entertainment and fun based activities. The process of resource integration
within an organization is based on the ways by which the organizations are able to manage
organizational operations effectively with the help of proper resource management based
practices (Michael, Storey & Thomas, 2017).

3ANALYSIS OF RESOURCE MANAGEMENT
Tangible and intangible resources
The tangible resources of an organization are mainly based on the goods and holdings
that are used in order to manage the operations in a proper way. The tangible assets on the
other hand are based on the infrastructure and machines that are used by the organizations in
order to maintain the organizational operations. The value that is gained by the tangible assets
is not altered even if the ownership of the organization is changed. The reputation of the
organizations can however be affected in a huge manner by the tangible resources that are
gained in the industry (Hanson et al., 2016).
On the other hand, the intangible resources that are gained by the company are based
on the levels of knowledge that have been gained by the workforce of the organization. The
knowledge based levels of the organizations can be increased with the help of increase in the
knowledge that is possessed. The network of an organization is considered to be an important
part of the resources that have been developed in the industry. The financial value that is
offered by the organization is also increased effectively with the help of intangible resources
that have been gained in the industry (Brouthers, Nakos & Dimitratos, 2015).
The resources and capabilities that have been gained by Kathmandu Fashion are able
to affect the design, quality and innovation levels of the organization. The strategy that has
been implemented by the team is based on the ways by which the organization can ensure
that the products can be obtained by the customers at different price points. The organization
is provided with support in order to develop quality products that have effective features
which are based on the needs and demands of the consumers. The major component that is
used by the organization is based on effective of sales growth is based on the resources which
have been gained by the organization (Barrick et al., 2015).

4ANALYSIS OF RESOURCE MANAGEMENT
Figure 1 – Resources of Kathmandu Holdings Limited
Source – Canadean
Core services vs. value added services
Core services that are offered by the organization mainly include the ways by which it
is able to fulfil the basic needs and demands of the consumers. The analysis of consumer
needs is considered to be an important part of the services that are offered by the
organization.
Value added services are the non-core services that are offered by the organizations in
order to improve the levels of loyalty of the customers. The services that are offered by the
organizations under this category are considered to be helpful in the development of the
position of an organization in the industry (Gunasekaran et al., 2017).

5ANALYSIS OF RESOURCE MANAGEMENT
Strategic resources and their potential to provide the competitive advantages
Strategic resources are considered to be major building blocks of the competitive
advantage that has been developed by organizations. The standard resources that have been
gained by the company are helpful in the proper development of competitive advantages. The
financial strengths that are gained by the company are considered to be an important part of
the strategic resources. The weaknesses levels of resources that are gained by organizations
are able to affect the competitive advantages and the resource levels in a huge manner
(Ruggiero & Cupertino, 2018). The financial resources of Kathmandu Holdings are able to
affect the performance of the organization based on revenues of 349 Million US Dollars that
was earned in the year 2016.
The competitive advantage of an organization is mainly based on the proper
combination of capabilities and resources that are developed in the course of operations. The
price based levels of competitive advantages are provided to the organizations for the purpose
of developing their position in the industry in an effective way. The development of
competitive advantage is also considered to be important for the operations of the small
business organizations. The levels of competition that are faced by the organizations are
considered to be important for the ways by which limited place in the market can be
developed (Aguinis, Edwards & Bradley, 2017).
Financial resources - The financial resources that are developed by Kathmandu
Holdings in the industry have a major impact on the operations in the industry. The revenue
streams of the organizations and profitability levels play a key role in the ways by which they
are able to maintain high levels of sustainability in the market. An organization requires
funding in order to continue the operations of its business in a profitable and sustainable
manner (Nejati et al., 2017). The operational efficiency of Kathmandu Holdings is related to
the working capital turnover of around 4.72 in the year 2016.

6ANALYSIS OF RESOURCE MANAGEMENT
Intellectual property – The trademarks, patents and different proprietary processes are
able to provide major levels of support to the organizations in order to maintain the profitable
operations. The cost-effectiveness and levels of efficiency of the Kathmandu Holdings are
able to affect the ways by which they are able to maintain the levels of sustainability. The
production of better products by the organizations as compared to the competitors is also
considered to be a factor which is able to provide effective competitive advantage. The
market based position that is developed by the organization in the industry is also considered
to be favourable for the maintenance of proper competitive advantage (Zakery, Afrazeh &
Dumay, 2017).
Human capital – The management of human resources is considered to be a major
part of proper operations of Kathmandu Holdings. The levels of competitive advantage that
have been gained by the organization are affected by the human resources of the
organization. The employees are able to play a key role in the ways by which the
organization is able to an advantage over the others in the industry (Zehir et al., 2016).
Strategic resources of Kathmandu Holdings
The omni-channel based capabilities that have been developed by Kathmandu
Holdings are able to help the company in proper development of strategic resources in the
fashion retail based industry. The levels of flexibility that have been implemented in the
labour are considered to be key initiatives that have been implemented by the company. The
initiatives that have been gained by the organization is based on the proper development of
resources in the industry. The capital that is required for the proper formation of resources is
an important part of the competitive advantage which has been gained by the company (Kim,
Shin & Min, 2016).

7ANALYSIS OF RESOURCE MANAGEMENT
The management and board of the organization has been able to provide major levels
of chances based on growth of Kathmandu Holdings. The fashion retail based industry of
New Zealand is highly competitive in nature and the maintenance of proper advantage is
important for the operations and sustainability as well. The levels of investment that have
been made by the organization are helpful in the development of strategic resources. The
integration based strategies that are developed by the organization are considered to be
important for the ways by which it is able to operate in the competitive fashion retail based
industry (Akter et al., 2016).
Kathmandu Fashions is able to implement the strategies in different operations in
order to increase the revenue levels in an effective manner. The intensive strategies of the
organization are mainly based on the ways by which strategic resources can be developed
within a stipulated period of time. Strategic resources are able to play a key role in the proper
development of the revenues of the organization in the industry. Kathmandu Holdings has
been able to develop an advantage over its competitors with the help of effective
implementation of the strategies. Market development is considered to be an important
process that is assisted by the advantage that has been gained by an organization in the
industry (Grünig & Kühn, 2018).
ii) Key strategic factors or concepts that guide or affect the planning, policy
development, implementation and the management of resource integration
Competitive advantage of Kathmandu Holdings

8ANALYSIS OF RESOURCE MANAGEMENT
PESTLE analysis of Kathmandu Holdings
Political factors  The stability of political conditions
is considered to be an important
factor for the retail organizations.
 The trading partners and regulations
of different countries can affect the
levels of profitability.
Economic factors  The economic systems of different
countries can have a major impact
on the operations of Kathmandu
Holdings.
 The infrastructure that has been
developed in retail industry is an
important factor.
Social factors  The skill levels of the population
and demographics are considered to
be important for products offered by
Kathmandu Holdings.
 The hierarchy, power structure and
class structure of the organization
are major social issues.
Technological factors  The fast changes that have taken
place in the technologies have
affected Kathmandu Holdings.
 The cost structure has been affected
due to implementation of changes in
technology.
Legal factors  The anti-trust law is an important
part of the retail industry based
operations.
 E-commerce and consumer
protection are important factors in
this case.
Environmental factors  The environmental laws and norms
can influence the policies of
Kathmandu Holdings.
 Waste management is also
considered to be a major part of
retail sector operations.

9ANALYSIS OF RESOURCE MANAGEMENT
VRIO analysis
Resources or
capabilities
Valuable Rare Imitability Organizational
capability
Brand image Yes Yes Moderate Competitive
advantage
Customer base Yes No Moderate Temporary
competitive
advantage
Global presence Yes No Yes Competitive
advantage
Product range Yes No Yes Temporary
advantage
Technology Yes No Yes Temporary
advantage
Five performance objectives
Cost effectiveness
Speed Dependability
Quality Flexibility
- Required performance
- Competitor
Figure 2 – Polar Diagram

10ANALYSIS OF RESOURCE MANAGEMENT
Source – Created by author
Kathmandu Holdings has focussed on the development of products that are based on
technical credibility and appeal to the broad market as well. The supply chain of the
organization has also been able to play a key role in the development of the position of
Kathmandu Holdings in the fashion retail based industry. The distribution centres that have
been developed by the organization in different countries of the world are responsible for the
manufacture of products in the industry (Li, 2017). The suppliers of the organization have
played a key role in the ways by which products are offered to the customers. The own
brands that are developed by the organization are able to affect the revenue and profitability
levels of Kathmandu Holdings in a huge manner. Branding based process that has been
developed and further implemented by the organization has been able to play a key role in
maintaining the competitive advantage of Kathmandu Holdings (Andreeva & Kianto, 2016).
Performance based objectives of Kathmandu Holdings
The performance based objectives that have been developed by Kathmandu Holdings
include,
 The development of a brand that is highly inspiring in nature and is aimed at
increasing the sustainability levels of the organization.
 The sales based growth that has been depicted by the organization needs to be
strengthened with the help of proper customer engagement based policies.
 The optimisation of the stores is considered to be an important factor which is
able to affect the ways by which the organization is able to maintain the levels
of sustainability in an effective manner (Li, 2017).
 Growth of the operations and revenue levels of the organization is considered
to be an important factor that is a part of the objectives that have been set.

11ANALYSIS OF RESOURCE MANAGEMENT
 Sustainability is considered to be an important part of the difference that is
developed by an organization in the industry. The strategic competitive
advantage which is created by the organization in the industry is thereby
affected by the ways by which it is able to maintain the points of difference
(Andreeva & Kianto, 2016).
Supply chain strategies of Kathmandu Holdings
Kathmandu Holdings has aimed at implementing sustainability in the supply chain of
the organization. Sustainability is considered to be an important part of the operations of the
organization in the fashion retail based industry.
3. Conclusion
The report can be concluded by stating that Kathmandu Holdings has been able to
develop its position in the fashion retail industry with the help of sustainability based
strategies that have been implemented in the operations. Sustainability can be considered to
be an important factor that can affect the operations of different modern companies.

12ANALYSIS OF RESOURCE MANAGEMENT
4. References
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moderation and mediation in strategic management research. Organizational
Research Methods, 20(4), 665-685.
Akter, S., Wamba, S. F., Gunasekaran, A., Dubey, R., & Childe, S. J. (2016). How to
improve firm performance using big data analytics capability and business strategy
alignment?. International Journal of Production Economics, 182, 113-131.
Andreeva, T., & Kianto, A. (2016, September). Empirically testing the role of strategic
management of knowledge in firm performance. In European conference on
knowledge management (p. 1). Academic Conferences International Limited.
Barrick, M. R., Thurgood, G. R., Smith, T. A., & Courtright, S. H. (2015). Collective
organizational engagement: Linking motivational antecedents, strategic
implementation, and firm performance. Academy of Management journal, 58(1), 111-
135.
Brouthers, K. D., Nakos, G., & Dimitratos, P. (2015). SME entrepreneurial orientation,
international performance, and the moderating role of strategic
alliances. Entrepreneurship Theory and Practice, 39(5), 1161-1187.
Grünig, R., & Kühn, R. (2018). Development of Strategic Planning and Its Integration Into
Strategic Management. In The Strategy Planning Process (pp. 17-25). Springer,
Berlin, Heidelberg.
Gunasekaran, A., Papadopoulos, T., Dubey, R., Wamba, S. F., Childe, S. J., Hazen, B., &
Akter, S. (2017). Big data and predictive analytics for supply chain and organizational
performance. Journal of Business Research, 70, 308-317.

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Hanson, D., Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. (2016). Strategic management:
Competitiveness and globalisation. Cengage AU.
Kathmandu.co.nz. (2019). Outdoor Store | Shop Outdoor Gear & Equipment | Kathmandu
NZ. Retrieved from https://www.kathmandu.co.nz/
Kim, N., Shin, S., & Min, S. (2016). Strategic marketing capability: Mobilizing technological
resources for new product advantage. Journal of Business Research, 69(12), 5644-
5652.
Li, P. Y. (2017). The impact of the top management teams’ knowledge and experience on
strategic decisions and performance. Journal of Management & Organization, 23(4),
504-523.
Michael, S., Storey, D., & Thomas, H. (2017). Discovery and coordination in strategic
management and entrepreneurship. Strategic entrepreneurship: Creating a new
mindset, 45-65.
Nejati, M., Quazi, A., Amran, A., & Ahmad, N. H. (2017). Social responsibility and
performance: Does strategic orientation matter for small businesses?. Journal of
Small Business Management, 55, 43-59.
Ruggiero, P., & Cupertino, S. (2018). CSR Strategic Approach, Financial Resources and
Corporate Social Performance: The Mediating Effect of
Innovation. Sustainability, 10(10), 3611.
Zakery, A., Afrazeh, A., & Dumay, J. (2017). Analysing and improving the strategic
alignment of firms’ resource dynamics. Journal of Intellectual Capital, 18(1), 217-
240.

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Zehir, C., Gurol, Y., Karaboga, T., & Kole, M. (2016). Strategic human resource
management and firm performance: the mediating role of entrepreneurial
orientation. Procedia-Social and Behavioral Sciences, 235, 372-381.