Muffler Magic Company’s Human Resource Case

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Table of Contents

Recommendations about the function of recruitment, training and selection
Questions for structured interview
Whether to start paying sick days
Why Ron Brown should implement skill based pay plan
Why Ron should implement the incentive pay plan
Conclusion
References

Recommendations about the function of recruitment, training and selection

The first recommendation that Ron Brown and the HR manager should implement is boosting their recruitment practices through the use of better evaluation techniques. This method of quick hiring is clearly doing more harm than good to the firm because Muffler Magic is wasting so much time in supervising, disciplining and even retaining its staff (Lorsch & Donaldson, 1984). Instead, the organization should be more strategic in terms of its recruitment practices. Here, it should improve on its job descriptions and well as the analysis of resumes and the applications forwarded to the firm. This also means that the organization should not just end things after a first interview as a post interview assessment could ensure that it is able to deal with some of the missing elements. It should do in depth examinations in the actual interviews and focus on behavioral aspects – not just skills.

The company needs to have an applicant pool where it tracks data about the source of that candidate’s information, the qualifications that the individual possessed and the results of the interview. Tracking can be done through the appropriate software. This will provide a unique platform for ranking interviewees such that the organization will have a reliable place to look for candidates when the next vacancy comes in. Interview schedules should be placed at least one week prior to the commencement of the job not at the same time or on the same day as the actual job.

The company needs to implement a more effective training procedure than the current on-the-job one. It should teach employees about health and safety, skills and other issues like team spirit. The company should evaluate its effectiveness through an examination of adherence to safety rules, better attitudes in terms of culture, less absenteeism and greater return on investment as a result of the skills put in place

Questions for structured interview

Question 1: Why would it be important for you to ensure that all the parts in a car are functioning well before reassembly?

This first question is one that focuses on the amount of knowledge that a specific individual possesses about the job on offer.

Question 2: Suppose a client has come back with a certain fault in their automobile yet you are still working on a new vehicle with strict deadlines. What would you do?

This second question deals with a hypothetical situation. This question is bent on determining the kind of intentions that an individual has and these will always be illustrated by the kinds of responses that the interviewer gives. They will most likely respond to a question based on their value system and their principles.

Question 3: This job will involve a lot of safety hazards. Describe how you prevented accidents in the workplace from your previous job and how it was done.

The third question is designed to look at previous behavior so as to ascertain that the candidate is indeed capable of handling certain situations as they represent themselves to the said person. Past behavior will always be a good indicator of future behavior.

Whether to start paying sick days

It would be wise to implement the sick days policy as suggested by the HR professor because the company is losing more by not offering it. When sick employees report for work, they are already at half their capacity and most of them will only bring into the company about fifty percent returns (Newman & Milkivoch, 1999). Furthermore, it is likely that they may transmit the illness to those who are in the office and further slow down work. Although Ron argues that he would rather have someone who is working at half his or her normal rate than at zero rates, he should also remember that he is putting other healthy persons in the firm at risk of contracting a transmittable disease (Lorsch & Donaldson, 1984). The organization would then need to pay more in terms of medical costs and it would lose more manpower as well. Also, it is not humane to subject people to harsh conditions just because they cannot afford to get away from work. The company currently needs to reduce work related stress or to make members of the organization feel like they are really valued. Muffler magic needs to move away from too much focus on present situations and therefore dwell with some of the issues that are long term in nature or those that it would contribute towards a stronger corporate culture.

Why Ron Brown should implement skill based pay plan

Skill based pay plans have been shown to contribute towards greater levels of performance improvement. A survey on the effectiveness of the above method among the top 1000 Fortune firms revealed that half of them felt the scheme was successful and just six percent felt that it had failed (Billikopf, 1995). Essentially, this method will contribute towards greater flexibility in the firm. Skills will be easily interchangeable as those concerned will not just be specialists. Every employee will be better able to understand the jobs of others and this could reduce the tendency to blame others. Additionally, all ambitious workers will get a chance to boost their earnings and hence enhance their levels of job satisfaction. Currently the company is not operating at capacity in terms of its workforce. Its mechanics can work for the organization but once they take longer on an automobile, then the company is forced to suffer the consequences through additional costs. Clearly, Muffler Magic must look for ways of avoiding this mess by enhancing productivity and skill based pay would be the fresh tool that is clearly needed in this organization.

Why Ron should implement the incentive pay plan

An incentive based pay plan can offer this company that additional push that it requires in order for it to become highly effective (Billikopf, 1992). Employees will contribute towards the success of the organization. Currently Muffler magic is suffering from low productivity and they need a reason that would cause them to be highly productive. When monetary gains are included in a pay plan then individuals will tend to be motivated to reach out for it. Most incentive based pay systems may end up backfiring because they often pay workers for reaching a certain threshold which in this case is eighty percent and then stop at that. Some may offer only marginal benefits after that an employee may find harder to reach and this may frustrate their efforts on continual improvement. However, if workers can still access some bonuses after exceeding the threshold then this would definitely push them in the right direction. It is true that there may be other strategic issues that need to be handled but one of the biggest problems this organization has to deal with is the human resource problem as seen through under productivity. It is likely that the company may witness substantial rewards if they deal it.

Conclusion

Ron should follow the advice given by the professor because it will move away from short term thinking and hence propagate achievement of long term goals. All her recommendations in recruitment and selection, the pay plan and skill development are related to the challenge of presenteeism or short term thinking. Ron needs to move away from this if he has any chance of strengthening the grasp he has upon his organization.

References

Billikopf, G. (1992). Establishing and trouble shooting incentive pay programs.; Large Dairy Herd management, 45(2), 4.

Lorsch, J. & Donaldson, G. (1984). Decision making at the top. NY: Basic books.

Billikopf, G. (1995). APMP study on incentive pay. American Nursery man pay, October.

Newman. J. & Milkivoch, G. (1999). Compensation. Boston: McGrawhill.

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