Human Resources Case Study See the attached file for guidance: HRMN 300 Assignment 3 INSTRUCTIONS.  Also follow rubrics listed on the file titled Things t

Human Resources Case Study See the attached file for guidance: HRMN 300 Assignment 3 INSTRUCTIONS. 

Also follow rubrics listed on the file titled Things t

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Human Resources Case Study See the attached file for guidance: HRMN 300 Assignment 3 INSTRUCTIONS. 

Also follow rubrics listed on the file titled Things to consider, 2

1
The New Human Resource

Management Process

Case 1.1. The Changing
Role of Human Resources in
Organizations: The Curious Case of Zappos
In the 1980s, when you were interviewed or hired for a job you often met a person
from the company who worked in the Personnel Office. The Personnel Office was
viewed as a place where each employee filed the necessary forms to work at the
company.

The Personnel Office was considered a staff management area where you learned
about the policies and rules of being an employee at the company. Personnel was con-
sidered a staff management area, since they only advised line managers in some field of
expertise. For example, Personnel would have consultants with specialized experience
in accounting or providing input on legal issues to support the line managers that
were creating the product.

Fortunately, over the years the Personnel Office became known as the Human
Resources (HR) Department. HR has become a larger part of the strategic planning pro-
cess in many companies. The HR manager often helps to set policies and strategies in
relation to the workforce at an organization. At the same time, HR managers continue
to support line managers by constantly improving areas such as finding prospective
new employees, training employees, improving employee motivation, searching and
evaluating lower cost and higher quality health-care benefits, providing information
on retirement services, and many other activities designed to make sure employees are
able to complete their jobs.

Zappos, a very successful online retailer that sells shoes mainly to women, is an
example of a younger company that provides a modern approach to human resource
management. The human resources department at Zappos organizes unique events to
help celebrate the excitement at Zappos. To begin the process of working at Zappos,
the initial job interview is often conducted in an informal atmosphere to allow the

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AN: 1945902 ; David Kimball.; Cases in Human Resource Management
Account: s4264928.main.eds

Chapter 1 • The New Human Resource Management Process 3

prospective employee to feel comfortable. New employees are offered $2,000 if they
don’t want to stay with the company. Very few employees decide to leave the company
since they are excited to work for Zappos and their exciting CEO Tony Heish.1

Zappos has been so successful that it was purchased by Amazon in 2009 for over
$807 million. Zappos runs independently of Amazon to protect its unique human
resources department.2

Rebecca Henry is the former director of human resources for Zappos. She believes
the company consciously decides what the corporate culture needs to look like based
on ten core values. Each new employee is trained by an HR person on each of the
following ten values:

1. Deliver WOW Through Service

2. Embrace and Drive Change

3. Create Fun and a Little Weirdness

4. Be Adventurous

5. Be Creative and Open-Minded

6. Pursue Growth and Learning

7. Build Open and Honest Relationships With Communication

8. Build a Positive Team and Family Spirit

9. Do More With Less

10. Be Passionate and Determined, Be Humble3

The HR Department works with upper-level management to develop employee job
descriptions, the hiring process, on-the-job training, and the day-to-day work envi-
ronment based on these unique core values.

Zappos is always exploring new ideas to improve its human resources process.
For example, to improve the recruiting process, it has developed a social network
known as Zappos Insiders. Zappos Insiders allows prospective employees to interact
with current employees to see if they would be a good fit with the creative culture
at Zappos.4

Tony Heish’s latest idea is to make sure the people working at Zappos are truly
motivated to work at his company. All employees were offered the option to leave
the company with a severance package if they didn’t want to participate in a self-
management program. Self-management is a newer management idea that is based on
having agile workers. Employees learn to manage themselves and move from job to
job instead of staying with a single static job. The goal is for employees to give up tra-
ditional job titles and work on multiple tasks, rather than at a specific job. An employ-
ee’s job is constantly changing instead of being static.

Overall, 220 employees (14%) took the severance package offered by Heish to weed
out employees who wanted to change companies, who were ready for retirement,

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Part I • 21st-Century Human Resource Management Strategic Planning and Legal Issues4

or decided to leave for their own reasons. However, that also means 84 percent of the
remaining employees are employees who are motivated to make Zappos an even more
successful online retailer.5

Case 1.2. HRM Careers:
Five Growing Areas of Human Resources
What does it mean if you say you want to work in human resources? Actually, if you
can show a desire to work in HR, that is great! Too many students lack a focus on what
they specifically want to do for a job and a career. So, being able to say one wants to
work in HR shows that a student has scoped out an area he or she would like to learn
more about and gain experience in.

A person who would like to work in human resources can expect to work closely
with the other people in the organization. Thus, an HR employee needs to have good
people skills, as the HR job will be to take the lead in the management and maintenance
of the organization’s people. The HR person might find his or her job to be as delightful
as helping employees who have a new baby in their family or as sad as helping with
employees who leave the company, are laid off from the company, or even pass away.

Human Resources employees are increasingly asked to see the big picture of
the organization. They need to know where the company is going so they can hire
the appropriate people to fill those positions. For example, if a supermarket chain
decided to add gasoline stations to its stores, then the company might need to hire a
person who had experience in gasoline sales instead of—or along with—knowledge
of food sales.

The Bureau of Labor Statistics (BLS.gov) provides data on human resource manage-
ment jobs for the 2012 to 2022 range. Median pay in the field of human resources is
expected to be just under $100,000 per year, or $47.94 per hour. The data are based on
a person having a bachelor’s degree and 5 years of related work experience. Job growth

Case Questions

1. Should Tony Heish be concerned
that a large number of managers
and employees might reject self-
management, leave the company, and
accept a severance package?

2. What benefits or incentives do
employees experience at Zappos
that make them want to stay with the
company?

3. Does it appear the Human Resources
Department at Zappos is a staff or
a line area?

4. Does human resources at Zappos
create revenue for the organization?

5. If you were the HR manager at Zappos,
would you support the Zappos Insider
program as a reliable source of
acquiring new prospective employees?

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Chapter 1 • The New Human Resource Management Process 5

over the 10-year period is expected to be 13 percent, which is considered as fast as the
average growth in all occupations. The average job rate in all occupations is expected
to be 11 percent.6

HR jobs can be classified as either generalist or specialist. An HR generalist may
operate in many different areas of the discipline. A specialist focuses on a specific dis-
cipline of HR. Many smaller organizations have only one or two employees in their
HR office. The HR employees will have to be generalists inasmuch as they will have to
help employees in many different areas.

The following are the human resources positions that are expected to grow in the
next five years:

1. Compensation and Benefits Managers. The Bureau of Labor Statistics (BLS.gov)
explains that these managers plan, direct, and coordinate how much an organi-
zation pays its employees and how employees are paid. Benefits managers plan,
direct, and coordinate retirement plans, health insurance, and other benefits
that an organization offers its employees. For example, employees can select
a health-care plan for their family from the benefit manager. Employees will
then periodically ask questions about their plan throughout the year. The ben-
efits manager will end up answering questions regarding the deductible level
in the plan, which the family must pay before most medical services are free.
One plan, for example, may have a $4,000 deductible. That amount of medical
care money must be spent before services are reimbursed. Employees can also
ask the benefits expert for help with purchasing medical supplies via mail order
instead of using a local pharmacist. Salaries can range from $48,000 to $98,000,
depending on where you live.

2. Training and Development Specialists. The median wage for trainers was $56,000
in 2012. Training and development is the area of the company where employ-
ees receive education. Trainers need to have good communication skills, as they
lead training sessions on topics such as leadership, teamwork, and product-
specific information.7

3. Employment, Recruitment, and Staffing Specialists. These HR workers are employ-
ment specialists who screen, recruit, interview, and place workers. The goal
of staffing specialists is to get talented people interested in working for their
company. Mean wages are around $63,000 a year.

4. Human Resources Information (HRIS) Analysts. This person uses computer skills to
help ensure the data within the human resources department. They ensure the
integrity of the data, testing of system changes, and analysis of data flows for
process improvement.

5. Employee Assistance Plan (EAP) Managers. Many small to large businesses have an
EAP program to help employees with their personal health. EAPs can include
counseling for work-related stress, financial problems, and substance-abuse
problems. Wellness programs can include assistance with weight problems and
encourage physical fitness programs.

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Part I • 21st-Century Human Resource Management Strategic Planning and Legal Issues6

Case Questions

1. Which of the previous positions listed
deals with problems you might have
regarding your health-care program?

2. Which positions would be well suited
to someone who likes to make
presentations?

3. A person with computer skills would be
best suited for which position?

4. A person with social worker experience
would be well suited to which type of
position?

5. A person who would find, attract, and
assign people to a certain division
would have which job title?

Notes

1. McFarland, Keith, “Why Zappos Offers New Hires $2,000 to Quit,” Bloomberg Business,
September 16, 2008.

2. Hof, Rob, “Amazon.com Acquires Shoe E-tailer Zappos,” BusinessWeek, July 22, 2009.
3. Heathfield, Susan M., “20 Ways Zappos Reinforces Its Company Culture,” Humanresources.com.
4. Feffer, Mark, “The Democratization of Talent Management: How Technology and Gene-

rational Changes Are Transforming HR,” Society for Human Resource Management, April 7,
2015.

5. Feloni, Richard, “7% of Zappos Managers Quit After Recent CEO Ultimatum to Embrace Self-
Management or Leave,” Businessinsider.com, June 9, 2015.

6. http://www.bls.gov/ooh/management/human-resources-managers.htm.
7. http://www.bls.gov/ooh/business-and-financial/training-and-development-specialists.htm.

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