Strategic Human Resource Management: Carlsberg's Winning Behaviours Strategy
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This report analyzes Carlsberg's Winning Behaviours strategy and its alignment with strategic HR priorities. It also discusses the challenges faced during implementation and provides recommendations.
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Strategic Human Resource Management 6/4/2019 Carlsberg
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Contents Introduction................................................................................................................................2 Overview of “Winning Behaviours” Strategy of Carlsberg.......................................................3 Strategic HR Priorities Pursued by Carlsberg............................................................................3 Rational of Implementing “Winning Behaviours” strategy...................................................4 Carlsberg's 'Winning Behaviours' strategy align with other HR practices.................................5 Social responsibility...............................................................................................................5 Workforce planning and development...................................................................................6 Difficulties Company faced when implementing this strategy in Malaysia..............................6 'Winning Behaviours' strategy in an Australian context............................................................7 Recommendations..................................................................................................................8 Conclusion..................................................................................................................................9 References................................................................................................................................10
Introduction The aim of this report is to analyze the case related to the "Winning Behaviours" Strategy of Carlsberg, which is focused towards enhancing the performance of the company by developing a common culture into the organization for the employees. If there is a common and winning culture into the organization the employees do not get confused and follow a common path towards success. However, this cannot be achieved without strategic human resource development. Strategic human resource management is said to be the practice of enticing, satisfying and retaining workforce for their individual benefits and organization as a whole (Schultz & Van der Walt, 2015). The department of human resource that is involved in practicing the strategic human resource management is not inclined to work independently, they come into collaboration with other departments in the business to understand their objectives and then formulate strategies that could be aligned with the goals of the entire organization (Mello, 2014). This case is also based on implementing the common strategic human resource management strategy that is aligned with Carlsberg’s global strategy.
Overview of “Winning Behaviours” Strategy of Carlsberg The Carlsberg Group was founded in the year 1847 in Copenhagen, Denmark. Presently, it employs over 41000 employees and involved in the production and selling off around 500 varied brands of beer. Carlsberg took step towards becoming an international brand in the year 1968 when it expanded its operations in Malawi. The reason behind the success of the company is its different types of a joint venture with different organizations such as with Norwegian Brewery Orkia in the year 2001, which resulted in making the Carlsberg, brand the leading brand of Nordia region. For the further development and success of the organization, the management of the company introduced a new strategy based on the “Must Win Battles” concept with the goal to establish a common culture, developing capacities and capabilities and increasing profitability in the beer market (Armstrong and Taylor, 2014). However, in the year 2009, the top management of the company again got involvedinupdatingthesamestrategydueto increasingnegotiationsoftheDanish participants (Soderberg, 2015). The strategy was then named as "Winning Behaviours" which is based on five behaviors that are we want to win, together we are stronger, our customers and consumers are at the heart of every decision we make, we are engaged with society, and we are each empowered to make a difference. Strategic HR Priorities Pursued by Carlsberg Common group culture– The major priority of the Carlsberg is to have an efficient organization culture that could be followed at a global level. In order to this, the management of the company is involved in the development of the common group culture to have
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alignment among the steps taken by the employees to attain the organizational goals (Torelli, 2013). Leadership– The strategy that is developed by the management of Carlsberg that is "Winning Behaviours" is comprised of different behaviors, however, in order to embed the behaviors, there is need of effective leadership that could pursue the goal (Barak, 2016). Carlsberg got involved in identifying the set of ten leadership competencies in order to implant the behaviors, utilized in the procedure of performance management, and allied with the engagement survey of the company and business review (Collings, Wood & Szamosi, 2018). Developing Employees capabilities and capacities– In order to have a common culture into the business the organization framed the strategy of “Winning Behaviours” for which the company gave priority to enhancing the capabilities and capacities of the workforce such that the planned goal could be successfully attained. For developing the skills and capabilities of the employees, Carlsberg provides training to the employees in the Leadership Academy of Carlsberg and the international talent program of the company, which support executives at every stage of the global career (Carlsberg Group, 2019). Rational of Implementing “Winning Behaviours” strategy The key reason for implementing “Winning Behaviours” strategy by Carlsberg is to have a common group culture such that each employee can get a single direction and path to attain the goals and increased profitability of the business (Carlsberg Group, 2018). The “Winning Behaviours” strategy is comprised of five behaviors that are we want to win, together we are stronger, our customers and consumers are at the heart of every decision we make, we are engaged with society, and we are each empowered to make a difference. The aim of introducing this strategy is to align these specified behaviors with the
global business strategy of Carlsberg and integrated the international approach of the company to HRM (Soderberg, 2015). With the "Winning Behaviours," Strategy of Carlsberg is to reassure the ‘glocal’ way of thinking, and is reinforced by numerous materials like entries on the website of the company, posters, and brochures. The company involved in a number of operations and efforts were exerted for communicating the strategy to the team of top management all over the world in the seminars and workshops (Soderberg, 2015). Carlsberg's 'Winning Behaviours' strategy align with other HR practices Human resource management performs different functions within the organisation and they support the strategy that is adopted by the company so that they can work effectively (Armstrong & Taylor, 2014). In the case, it is clear that company adopts the Carlsberg’s winning behaviour strategy that gets align with the some of the practices that are undertaken by the HR manager of the company. Social responsibility Companies who perform the operation in the global market they face with the challenge of the respecting the other culture and workforce environment due to which they perform their social responsibility towards the company (Bratton & Gold, 2017). Human resource development plays a vital role in ensuring the fact that the company adopts the CSR responsibility programs. HR of the company performs the practice of managing the CSR plan implementation and it is monitoring within the organisation in order to adopt proactively (Lokhandwala, 2019). In the case, this is every clear that the major focus of winning behaviours strategy is on corporate social responsibility initiatives that are taken by the company. In the initiative, they welcomed by the subsidiary and fitted well with its present
focus on volunteering work that supports to form the credibility of the brand as one of the responsible producer of the alcohol (Tarique, Briscoe & Schuler, 2015). This is ensuring by the HR of the company that initiative is working appropriately and they promote corporate social responsibility within environment for the volunteering the support to the society by producing the alcohol in the responsible manner (Cascio, 2018). Thus, this shows that the practice of the social responsibility easy gets align with the Winning behaviour strategy. Workforce planning and development Workforce planning is the process through which HR of the company analyse, predict and plan the workforce supply as well as demand. It is process through which the HR of the company uses to align the needs as well as the priorities of the company related to the workforce so that they can accomplish the objectives (Daley, 2012). In addition to this, the HR ensures that they are able to take different initiative through which they can easily bring the development among their workforce. In the case, this is clearly witnessed that Carlsberg introduced the training workshop with the motive to bring the behaviour among the people and they were used as a competency measurement in the local performance management system (Analoui, 2017). This strategy gets align with the HR practice as these workshops work together with the locally developed role model awards that showcased the personnel and team who reflects the winning behaviour in their day to day obligations (Bratton & Gold, 2017). Difficulties Company faced when implementing this strategy in Malaysia Carlsbergs deal with different difficulties while implementing the Winning Behaviour strategy in the market of Malaysia. The company implemented the strategy in Malaysia that is one of the major subsidiaries where they found the presence of the different types of ethnic groups that include Chinese, Malay, and Indian. The different type of ethnic groups leads to
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the issues for the company due to change in the demand and preferences of customers vary a lot (Rastgoo, 2016). The implementation of the major changes occurs in the leadership, production, and organisation also with the focus in developing the culture of organisation (Saks & Burke, 2012). Further, it has been found that Carlsberg Winning behaviours implementation leads to the challenge related to the cumbersome translation of winning behaviours into the local languages. The local languages of the company are different because of the wide range of the ethical communities present in the market. This will affect the company working, as they will not be able to align the people on the same culture (Soderberg, 2015). In addition to this, the on-going difficulties faced by the Carlsberg company in selling the alcohol in predominantly Muslim country in which the advertisement of the beer was banned and it heavily taxed. 'Winning Behaviours' strategy in an Australian context IntheAustraliacontext,theCarlsbergcompanycanimplementtheWinning behaviour strategy effectively and it will perform well because of the presence of the western culture in the country (Noe, Hollenbeck, Gerhart & Wright, 2017). Australia follows the western culture in which the people welcome the alcohol and consume it on every occasion being it happy moments and sad moments (Aswathappa, 2013). Australian people are open with the consumption of alcohol as this is inherent in their culture. Thus, this allow the company to promote the advertisement of the beer and there no ban on it. In addition, the local languages of the people are common due to which the company do not find the issue in implementing the winning behaviour strategy. It has been found that Australia is also a multiculturalism country but it has a common language due to which the
unity would leads to the proper implementation of the strategy (Bailey, 2018). This leads to the positive approach for the company in implementing the strategy successfully. Recommendations The Winning Behaviour strategy would work effectively in the Australian context when they implement the steps. It is suggested to the company to conduct the proper market research in the Australian market, as this will help them in forming the effective place in the market. Moreover, the Carlsberg Company would get to know about the change in the preferences of the customers in the Australian market. It is recommended to the company to deal with the competitors present in the Australian market due to which they need to manage the effective competitive advantage in the market. This would help company to form an improve place in the market and to attain the profit (Collings, Wood & Szamosi, 2018).
Conclusion In the end, this can be concluded that Carlsberg Winning behaviour strategy is one of the new initiatives that are discussed in the case. The report is prepared based on the case study that includes the implementation of the new strategy in Malaysia and the related issues. The priorities of the HR are discussed in the report related to the case study. The rationale of implementing the Winning Behaviours strategy is discussed in the case. Further, it included the Winning Behaviour strategy gets align with different HR practices that include social responsibility and workforce planning and development. The difficulties related to the company are faced while applying this strategy in Malaysia market is presented which include the local language, Muslim culture in dominance and diverse customer awareness. In the end, the recommendation has been provided to the company to implement the strategy in successful manner.
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