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HUMAN RESOURCES CASE ASSIGNMENT #1 COST CUTTING RAISES STOCK PRICE BUT LOWERS SERVICE BUS -201 AB1-HUMAN RESOURCES

Submitted to: Liz Wiebe Submitted on: September23, 2014 Word Count: 1000 words

Submitted by: Jasmanpreet Kaur (300129888)

CASE BACKGROUND
Air Alpha which was one of the best airline Companies that provided highest quality service and has loyal and committed employees. Due to a financial crunch it suffered losses and to eliminate its effect it followed the strategy of “leadership 7.5”. This required downsizing employees which resulted in reduced quality of service and family atmosphere but has improved the financial position of the company.
Presently in the company unions are being formed, there is increase in complaints from customers regarding bad services and dirty airplanes, and there is reduction in family atmosphere and employee morale.

As the person in charge of SHRM for Air Alpha following would be my top priorities:
FEWER IN NUMBER BUT MORE EXPERIENCED STAFF THAT CAN GIVE QUALITY IN SERVICE
Experienced staff can tackle a wide range of areas; hence there will be greater profitability with productivity and improved customer services. According to Peter Cappelli, “ the productivity of the best performing staffs can be 5 to 20 times higher than the productivity of the worst performing staffs, depending on the industry” (as citied in Belcourt, Bohlender ,Singh & Snell 2014, p. 62 ).
BUILDING TRUST
Air Alpha needs to solve the problem of customer loyalty by building an outstanding customer service and by building a strong relationship with employees.

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