Case Study:
Read the text and in group of two to five students answer the questions
As a new member of the board of directors for a local bank, Mr. Jack Nelson was being introduced to all the employees in the home office (Headquarters of a firm).
When he was introduced to Mrs. Johnson, he was curious about her work and asked her what the machine she was using did. Mrs. Johnson replied that she really did not know what the machine was called or what it did. She explained that she had been working there for two months and she has not received a clear list describing her tasks, duties and responsibilities yet.
At one of the branch offices, the supervisor in charge spoke to Nelson confidentially, telling him that "something was wrong," but she didn't know what. For one thing, she explained, employee turnover was too high, and no sooner had one employee been put on the job than another one resigned.
All branch supervisors hired their own employees without communication with the home office (Headquarters of a firm) or other branches. In case of job vacancy, the supervisor tried to find a suitable employee to replace the worker who had quit.
After touring the 22 branches and finding similar problems in many of them, Nelson wondered what the home office should do or what action he should take. The banking firm generally was regarded as being a well-run institution that had grown from 27 to 191 employees during the past 8 years. The more he thought about the matter, the more puzzled Nelson became.
He couldn't quite put his finger on the problem, and he didn't know whether to report his findings to the president.
Question 1: Identify and describe two main problems faced by the bank's home office and branches in terms of HRM. Justify your answer from the text.
Question 2: Discuss about HRM ineffective practices that led to such problems. Justify your answer from the text.
Question 3: Based on the Human Resources strategic qualities, discuss the way a high turnover rate can affect the efficiency of the bank.
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