Assignment #1 Hrm 530
Mountain Bank
Strategic Human Resource Management – HRM530005VA016-1118-001
Professor
23 October 2011
1. Discuss the strategies that Mountain Bank should implement to achieve a competitive advantage in the marketplace.
Mountain Bank already has the necessary tools to implement a variety of strategic plans. The key will be making the necessary changes and implementing them in order to gain a substantial and competitive advantage in the marketplace. The banks recent internal studies concluded that their best resources are their tellers. Based on this information I would recommend focusing on this echelon of the workforce strategically. As a part of the human resource management (HRM) team I would recommend a duel fold strategy that melded the competitive business strategy and the human resource strategy. a. Competitive business strategy: This strategy would focus on the needs of the customers and how to meet them efficiently and consistently. Every banking business that truly wants to succeed must ask “why will customers bank with us?” This question is the basis for the strategy they must adopt. For Mountain Bank I would recommend a #1 focus on customer service and satisfaction. I am not talking about simple courtesy but the type of incredible service that stands out far from our competitors. Numerous studies have shown that superior service will always beat cost of fees or price. BIGresearch.com, an Ohio-based market intelligence firm, conducted a four year study showing that most customers will put service ahead of price - if given the the opportunity (BizBest Media Corp, 2005). b. Human resource strategy: My initial recommendation would primarily focus on the training of the personnel who directly interact with the customers, specifically the tellers and shift supervisors. There have been numerous studies that have proven that a good work environment and satisfied employee’s are much more productive, enthusiastic, committed
Strategic Human Resource Management – HRM530005VA016-1118-001
Professor
23 October 2011
1. Discuss the strategies that Mountain Bank should implement to achieve a competitive advantage in the marketplace.
Mountain Bank already has the necessary tools to implement a variety of strategic plans. The key will be making the necessary changes and implementing them in order to gain a substantial and competitive advantage in the marketplace. The banks recent internal studies concluded that their best resources are their tellers. Based on this information I would recommend focusing on this echelon of the workforce strategically. As a part of the human resource management (HRM) team I would recommend a duel fold strategy that melded the competitive business strategy and the human resource strategy. a. Competitive business strategy: This strategy would focus on the needs of the customers and how to meet them efficiently and consistently. Every banking business that truly wants to succeed must ask “why will customers bank with us?” This question is the basis for the strategy they must adopt. For Mountain Bank I would recommend a #1 focus on customer service and satisfaction. I am not talking about simple courtesy but the type of incredible service that stands out far from our competitors. Numerous studies have shown that superior service will always beat cost of fees or price. BIGresearch.com, an Ohio-based market intelligence firm, conducted a four year study showing that most customers will put service ahead of price - if given the the opportunity (BizBest Media Corp, 2005). b. Human resource strategy: My initial recommendation would primarily focus on the training of the personnel who directly interact with the customers, specifically the tellers and shift supervisors. There have been numerous studies that have proven that a good work environment and satisfied employee’s are much more productive, enthusiastic, committed
References: (1) Satisfied Customers: What Do Customers Want? By BizBest Media Corp, 2005 Retrieved from http://www.startupnation.com/business-articles/1103/1/AT_What-Customers-Want.asp (2) Linking Employee Satisfaction with Productivity, Performance, and Customer Satisfaction, published July 2003. Retrieved from www.corporateleadershipcouncil.com (3) Strategic Approach to HRM, 23 March 2011 Retrieved from http://palo-oja.com/2011/03/23/strategic-approach-to-hrm/ (4) Innovating Customer Service: Retail Banking’s New Frontier, published 22 December 2006. Retrieved from http://www.strategy-usiness.com/sbkw2/sbkwarticle/sbkw061222?pg=all