HRM Case Study

Running head: HRM CASE STUDY 1
Human Resource Management-Case Study
Name
Lecturer
Course
Date

HRM CASE STUDY 2
Human Resource Management-Case Study
Q 1: Main Issues and HR problems in Part ‘A’
The Private Sector Organization is no longer what it used to be in the past. Although it
was the only company that enjoyed monopoly in the market, it no longer enjoys that kind of
privilege because of the changes that have been introduced in the economy. The company faces
numerous challenges in its management, performance, and human resources management. Some
of the main issues of concern in the organization are:
1. Stiff competition from other firms which are now allowed to join the market and
participate in this line of trade like the company. In the past, the Private Sector
Organization was enjoying monopoly in the market because the government had
protected it. However, this no longer happens because the ACCC introduced a new policy
that opened up the market to other investors.
2. Poor performance in the market. In the past when the company was enjoying monopoly,
its market share was over 90%. However, this no longer happens because, today, its share
of the market has educed t less than 60%. The worst thing is that the market share
continues to decline. This shows that the performance of the company is deteriorating so
fast. With poor performance and reduced sales, the copay s likely to start realizing losses
or becoming unsustainable in the near future.
3. The company does not have a good management system in place. According to the
organizational culture, the company employs people and retains them for a very long
time. The retention of staff is a good strategy, but it has worked against this company. As
it is today, there is a conflict between the old workers who have stayed for over 20 years

HRM CASE STUDY 3
and the new ones who have just joined the company. The two classes of workers face
conflicts because of the different perspectives that they have regarding the way the
organization should be managed. While the old workers want a conservative approach,
the new employees want the company to be liberal and prog4resicve as possible.
4. The company has been facing a problem of poor HR management. With a workforce of
2,000 employees, the Private Sector Organization is proving that it does not have good
HR strategies in place. The employees are not given attractive salaries that can satisfy
them and make them feel motivated. Poor remuneration is a serious issue because it has
been demotivating many employees some of whom opt to leave the company and instead
look for better opportunities in other places.
5. The management does not care much about the welfare of the employees. The old
conservative leaders have poor leadership styles which always work against the majority
of the workers. Among the weaknesses in their leadership style is that the management
does not offer good training to the employees as it ought to. Meaning, it does not care
about their career growth and improved performance. At the same time, the management
has created tension in the workplace because it keeps on sacking employees whenever it
feels it necessary to do so. The restructuring program has not only caused fear on the
remaining workers, but has made the company to lose some of the best employees that it
could not have lost.
Q 2: The Private Sector Organization SWOT Analysis
SWOT is a short form for Strengths, Weakness, Opportunities, and Threats. SWOT
analysis is, therefore, a kind of strategy that is used to analyze the internal and external
environment of an organization by identifying and knowing about the strengths, weaknesses,