Solving Business Problems: An Analysis of H&M's Challenges

This report analyzes the business problems faced by H&M, a multinational fashion retail company, focusing on its inefficiency in achieving set targets. The report identifies the core issue as the incapability of employees and the lack of effective strategies. It diagnoses the causes, including inadequat...Read More

Solve problems in a
business environment

Contents
INTRODUCTION...........................................................................................................................1
A) Identify a problem that exist within business....................................................................1
B) Analyse the business problem...........................................................................................2
C) Diagnose cause of problem...............................................................................................2
D) Confirm with other that they understand the problem......................................................3
E) Compare different solutions to the problem......................................................................3
F) Agree upon the solution.....................................................................................................4
TASK 2............................................................................................................................................4
A) Develop a plan to solve the problems...............................................................................4
B) Explain why they have chosen their approach..................................................................5
C) Explain how they will know when the problem has been solved......................................6
D) Allocate roles and responsibilities to support the plan......................................................6
TASK 3............................................................................................................................................7
A) Carry out own actions as set out in the plan......................................................................7
B) Review progress towards solving the business problem...................................................7
C) Make adjustments to the plan as necessary.......................................................................8
TASK 4............................................................................................................................................8
A) Evaluate their approach to solving the business problem.................................................8
B) Evaluate other approaches that may have been more productive......................................9
CONCLUSION................................................................................................................................9
REFERENCES................................................................................................................................9

INTRODUCTION
Business environment can be define as a sum of various factors of internal as well as
external environment (Raubenheimer and McIlgorm, 2017). These factors consist of employees,
customers, stakeholder, technology, demand and supply as well as various other factors which
have impact on operations as well as functioning of society in effective and efficient manner. It
is essential to manage as well as resolve all the problems that occur within organisation
environment. So that company can manage as well as resolve the issues of organisation in order
to gain set targets. There are various factors which will help company to deal with organisation
issues as well as resolve problem-solving in business environment. Chosen company for this
report is Hennes & Mauritz AB . This is one of the top brands which is dealing in fashion retain
sector. H&M company was established in 1947 and founder of this organisation was Erling
Persson. This company is providing different products and services such s ready to wear cloths,
footwear and other accessories products. H&M headquarter is located in Stockholm, Sweden and
it is providing its products and services to different part of the world. This report consist of
identify and analyse of business problems as well as diagnose causes of problem. Different
solution the problems and proper plan to resolve problem is developed. On the bases of problem
and issue various set of action needs to be developed in order to resolve the issue. Evaluation of
different approaches for solving business problem-solving.
TASK 1
A) Identify a problem that exist within business.
H&M company is a multinational company and it is providing products and services to
different parts of the worlds. It is very important for this company to identifies business problems
so that they can resolve major issues as well as conduct business activities in more effective
manners (Ulutas and Islier, 2015). It has been identified that H&M company is not able to meet
with set targets due to inefficiency of their organization. By identifying major problems of
organisation which is affecting organisation overall performance as well as productivity. This
company is face major issues and problems is successful completion of set targets. This is
affecting productivity as well as profitability of H&M company. It is very important for
respective organisation to successful achieve its business goals and mission. This could only be
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achieved only when all targets are successful accomplished. This problem needs to be solved as
it is affecting H&M sales as well as profitability.
B) Analyse the business problem.
It is essential that H&M company analyse the business problems which is affecting their
performance as well as productivity. It has been identified that the major issues or problems of
this organisation is that it is not able to match with set targets. This is affecting H&M overall
performance as well as profitability (Ayhan and Kilic, 2015). By analysing business problems in
more clear manner, organisation will be able to evaluating the major reason for the problem. It
has been analysed that H&M company is not able to accomplish its desired targets due to
incapability of employees as well as their ineffective. It has been analysed that respective
organisation is facing this issues because they are not able to hire right set of employees. Staff
play a crucial role in growth and development of business as it will help in conducting business
activities. Employees of H&M company is not using their full capabilities as well as not working
in effective and efficient manner to accomplish set targets. Employed staff member does not
potential and required skill so that they can develop effective business strategies. By analysing
the business problems, company will be able to conduct business activities in more effective and
efficient manner so that they can accomplish set goals. H&M company will only be able to deal
with the organisation issues when its business problems has been clearly analysed.
C) Diagnose cause of problem.
After identifying as well as analysing the problems which is faced by respective company
it is essential for them to diagnose causes of problems. H&M company needs to diagnose the
major cause of problems so that they can deal with these issues in more effective manner.
Diagnose refers to examining the problems in detail so that better strategies can be developed in
order to deal with these issues. This company dealing with the major issues that it is unable to
achieve desired targets. It is very important for H&M company to timely achieve its desired
goals so that they can gain more and more profits as well as expanding its business activities to
different parts of the world. It is essential for H&M company to clearly examine the major issues
which lead to failure of goal and target achievement. There are many reasons which lead to
unsuccessful accomplishment of targets. This could be because recruitment team of respective
organisation is not able to find and select employees with high skill and knowledge. Staff
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members are not contributing their maximum efforts in order to achieve set goals. H&M
company is not using any motivational tools and techniques in order to influences its employees
so that they perform better. It has been examine that there is lack of rewards and recognition
techniques for motivating employees so that they working with their full capabilities as well as
accomplish desired goals (Farahani and et.al., 2015). Employees of H&M company is not
capable that they can achieve the target set for them. Incapability as well as lack of required
skills of employees is one of the major reason which is affecting the overall performance of
employees.
D) Confirm with other that they understand the problem.
When business problems has been identified it is very important that company is
communicating this problems with other. So that they can understand major business issues as
well as know the reasons. Communication is very important for informing all stakeholder about
the major issues which is face by organisation which is affecting overall performance of H&M
company. Respective company needs to confirm with other that they clearly understand the
problems. By conforming that other have understood the problems will help in ensuring that they
are well aware about business problems. H&M company can use different tools and techniques
in order to communicate business problems in effective and efficient manner. It is essential that
all employees confirms that they have understand the business problems that organisation is not
able to meet with set targets.
E) Compare different solutions to the problem.
There are many solution which will help respective company to deal with this issues. It is
very important that H&M company analyse as well as evaluate each and every solution very
clearly and then implement best solution. The major problem this is face by this company is that
it is not able to achieve set goals and targets. It has been analysed and examine that this could be
because of lack of of capable employees within organisation or HR team of H&M company is
not able to hire right set of employees within organisation. This is affecting overall performance
of organisation and it is able to to achieve desired goals. (Hamilton and Webster, 2018) Different
solution for this problems is that it can motivate employees, hire and select new talent within
organisation, conduct training and development programme in order to improve skill and
capabilities of current employees. H&M company can use different motivation techniques in
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order to influence its customers. Motivational tool such as rewards and recognition techniques,
celebrating employees achievement and many more.
F) Agree upon the solution.
There are range of solution has be analysed in order to deal with the current issues and
problem of H&M business. For selecting and choosing best or most suitable solution for
managing current problems of organisation it is important to analysed as well as evaluate each
and every alternative solution (Jena, 2015). This will be very helpful in analysing and identifying
best alternative for H&M business problems. It is essential that this company determines
advantages as well as disadvantages of each and every alternative for respective company. In
order to hire new talent within organisation it will required more time and it will be very cost
consuming for the organisation. It has been identified that training and development program
will be most suitable solution for dealing current issues of H&M organisation. This will be very
helpful in improving skills and capabilities of employees so that they can achieve desired targets
in effective and efficient manner.
TASK 2
A) Develop a plan to solve the problems.
Problems solving plan refers to a process that consist of each and every steps that is
necessary for solving problem in effective and efficient manner. This is a systematic process that
consist of individual critical thinking skills. H&M company needs to develop as proper plan so
that they can timely solve problem of organisational overall performance and inability to achieve
set targets (Mousavi and et.al., 2015). There are five steps which will help respective company to
solve their business problems. Defining problem: This is the first step of solving the problem and in this H&M
company needs to identified as well as clearly define problem. It has been identified that
respective company is not able to meet with set targets. Identifying all alternative: After clearly defining the problem it is essential that H&M
company identify different alternative. For achieving set targets, there are different
alternative such as improve employees performance, skills or hire new talented
employees and motivate employees to achieve set goals.
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 Selecting alternative: It is important that H&M company clearly analyse as well as
evaluate all alternative and select best or most suitable option. For this company needs to
evaluate pros and cons of each alternative and select best. Most suitable alternative for
H&M company is to provide training to its employees. Implementing plan: This step of refers to actual implementation of plan and in this phase
H&M company needs to conduct a training and development plan. This will help in
enhancing performance of employees as well as improve their skill and knowledge.
 Monitoring and controlling plan: It is the last stage of problem solving plan and in this
H&M company needs to monitor actual plan. It is essential to compare the actual
performance with the set standards as well as take corrective option in order to deal solve
business issues.
B) Explain why they have chosen their approach.
Training and development program is very essential for H&M company in more deal with
current issue. There are various types of training method which will help in enhancing skills
and capabilities of employees as well as help in conducting business activities in more
effective and efficient manner (Noe and et.al., 2017). Different type of training methods that
could be used by respective company is on the job training method as well as off the job
training methods. H&M company has chosen training program in order to deal with current
issues that is incapability to achieve set targets. Importance of training and development
program for H&M company is mention below.
Addressing weaknesses: Training program will help in identifying as well as evaluating
weakness of each and every employee. This will be very helpful in providing right training
by using more accurate tools and techniques. Through this H&M company will be correctly
addressing problems of employees so that they can successfully achieve set targets.
Improve performance: This is very effective method in enhancing skills and knowledge of
employees so that they can perform in more better way. Once employees of H&M company
develop right set of skills or capability for executing task they will be able to accomplishing
set targets as well as achieve desired goals.
Fostering growth: H&M company will only be able to resolve its business problem when its
employees are accomplishing set targets. In order to achieve desired goals as well as foster
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growth training and development of employees is very important. This method will be
beneficial for respective company in order to develop the quality of work.
Motivating employees: Motivation is crucial part of organisation as it help in influencing
employees to attaining set targets (Lee, Wang and Trappey, 2015). Training and
development in an effective method to motive its employees as well as boost their moral and
enough them to achieve set targets in order to solve business problem.
C) Explain how they will know when the problem has been solved.
H&M company should set targets for each and every employees and evaluate their
performances. This will help in understanding the progress of all employee as well as determine
whether business problem has been solved or not. Training and development is an effective
method for enhancing skill and capabilities of employees so that they can achieve set goals and
targets. It is essential that organisation provide specific targets to trained employees in order to
analyse their performance as well as compare their new and previous performance. H&M
company problems will be solve once employees will be able to chive set targets and improve
overall performance of employees.
D) Allocate roles and responsibilities to support the plan.
It is very important to allocate roles and responsibilities to each and every employees in
order to support the plan. Allocation of roles and responsibilities is essential part as it will help in
completing all task and duties of plan in correct manner. In order to accomplish set goals and
objective it is significant to provide different roles and responsibilities to each and every
employees so that they can work in effective and efficient manner. Roles and responsibilities are
allocated after determining capabilities as well as position of employees. Leaders are responsible
to providing training to employees as well as analysing there weakness. This will help in
providing correct training to employees as per their requirement as well as developing their
performances. Manager role is to develop an proper training and development plan as well as
analyse cost and budget that is requirement to conducts activities of training plan (Zein. and
et.al., 2015). Team leaders will identify results of training program and evaluate improvement in
employees performance. Leaders will have to communicate progress of employees performance
to the H&M manager so that they can take better business decisions as well as develop correct
strategies. Allocation of roles and responsibilities play a crucial role as it helps in accomplishing
defines goals as well as setting proper directions to employees. H&M company will be able to
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solve their business problem when each and every person will be performing their role and
responsibilities in effective and efficient manner.
TASK 3
A) Carry out own actions as set out in the plan.
As a learning and training advisor there are different set of action plans has been carried
out in order to resolve the problems. In this situation is its essential to implement a plan in proper
and effective manner. I have first analyse as well as evaluate strengths, weakness as well as
opportunities and threat in order to develop better strategies. SWOT analysis model is a very
effective tool to take better business decisions. Though this I was able to evaluate internal as well
as external business environment which is affecting H&M working and organisational activities
(Edmondson and Edmondson, 2018). After this I have clearly understand vision and mission of
respective company so that development strategies can be created as per organisational
requirements. It is very important to develop a SMART objective which will help in solving
business issues in more effective and efficient manner. I have identified weakness of employees
and H&M organisation so that better training and development program could be created.
Objective is to resolve H&M business problem and improve performance of employees. Proper
training and development plan needs to be produces so that employees skills and capabilities can
be improved and business issues can be resolved within set time frame. It is essential to monitor
as well as analyse performance of employees so that outputs and results of training plan can be
identified.
B) Review progress towards solving the business problem.
Training and development progress can be reviewed by cleanly analysing the
performance of employees as well as evaluating goals and objectives. There are various ways
through which company can identify its progress as well as determine whether H&M company is
able to resolve business issues or not. For this reaction of employees or trainees need to be
analysed clearly so that their feedback regarding training and development program can be
identified (Edmondson and Edmondson, 2018). I has been analysed that employees of H&M
company are satisfied with training program and leaders was able to clear their doubts and
issues. This is very helpful in enhancing their skills and performance to archive set targets.
Learning of employees needs to be evaluated by taking test or exam. Test scores of employees
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will be very helpful in identifying their actual leaning as well as output of training program.
Employee behaviour will be major factor in reviewing progress of H&M progress as through this
business issues can be solved. H&M company is able to meet with set targets as its employees
are performing business activities in more effective and efficient manner. It has been analysed
that H&M company is meeting with set targets as well as business objectives.
C) Make adjustments to the plan as necessary.
Adjustments to plans are very necessary as it helps in conduct plan in more effective and
efficient manner. H&M company is able to achieve set goals and targets and most of the
employees performing in better manner and contributing their skills to successful accomplish set
goals (Watkins and Wilber, 2015). It has been identified that all employees are more able to
develop as well as enhance their skills as each and every employee have different mind set. In
order to make all employees more efficient and capable it is important to make some specific
adjustments in the problem solving plan. Employees whose results and outcomes does not match
with requirement need it is essential to use different method of training in order to improve
employees performance. There are different methods of training and develop employee
performance which will help in enhancing their performance. Each and every employees of
H&M company should be providing training by addressing their weakness and capabilities
which is lacking. Adjustments will be very helpful in solving problems in more effective manner
as well as achieving set targets of H&M company.
TASK 4
A) Evaluate their approach to solving the business problem.
There are different approaches which will help in solving current business problems of
H&M company. It is essential to analyse all of the alternative solutions to business problem
which help in achieving set targets of organisation. All of the other approaches to solve business
problems are mention below in detail.
Hiring new talent: H&M company can solve their business problem by hiring new talented
employees within organisation. Major issues of this organisation is that it is not able to achieve
set targets dues to incapability of employees. By hiring new and talented employees will lead to
increase overall performance of employees.
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Develop milestones: This company can develop short milestones for employees as well as guide
them properly to achieve each and every milestones (Neelankavil, 2015). H&M company can
break large targets into small parts as well as divide each and every task to other employees.
Motivation: This is a method of influencing employees to work in effective and efficient manner
so that company can achieve desired goals and objectives. There are various ways to motivate
employees such as appreciation, reward, recognization and many more.
B) Evaluate other approaches that may have been more productive.
Motivation is also an effective method to improve productivity of H&M organisation. there
are various ways through which company can influence employees. Respective company
can provide different types of rewards and benefits to their employees so that they use their
full capability as well as achieve goals and objectives of organisation. This will be a cost
effective approach to improve productivity as well as profitability of H&M organisation.
CONCLUSION
From the above report it can be concluded that it is essential for an organisation to deal
with business problems as well as evaluate different ways which will help in solving this
problem. In order to solve business problems it is very important to identified issue of
organisation and provide better business solution (Trevino and Nelson2016). Training and
development programme is an effective method to enhance skills and capabilities of employees
as well as improve their overall performance. Company should motive its employees by
increasing their current skills and knowledge so that they can perform effective and efficient
manner as well as accomplish set goals.
s
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