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Advanced HRM - Case 2

Jack Nelson, a new member of the board of directors for a local bank, toured the bank's 22 branches and found several problems. Many branches experienced high employee turnover, with new employees quickly resigning. Supervisors struggled to train new employees as positions turned over rapidly. Additionally, each branch hired employees independently without input from the home office. Nelson was puzzled by these issues, unsure of the underlying cause or what actions to take to address the problems.

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Amr Ahmed
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53 views1 page

Advanced HRM - Case 2

Jack Nelson, a new member of the board of directors for a local bank, toured the bank's 22 branches and found several problems. Many branches experienced high employee turnover, with new employees quickly resigning. Supervisors struggled to train new employees as positions turned over rapidly. Additionally, each branch hired employees independently without input from the home office. Nelson was puzzled by these issues, unsure of the underlying cause or what actions to take to address the problems.

Uploaded by

Amr Ahmed
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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E-JUST.

MBA HRM501 Case Study (2)

JACK NELSON’s PROBLEM


As a new member of the board of directors for a local bank, Jack Nelson was being
introduced to all the employees in the home office. When he was introduced to Ruth
Johnson, he was curious about her work and asked her what the machine she was
using did. Johnson replied that she really did not know what the machine was called
or what it did. She explained that she had only been working there for 2 months.
However, she did know precisely how to operate the machine. According to her
supervisor, she was an excellent employee.
At one of the branch offices, the supervisor in charge spoke to Nelson confidentially,
telling him that something was wrong, but she didn’t 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. With customers to see and loans to
be made, she continued, she had little time to work with the new employees as they
came and went.
All branch supervisors hired their own employees without communication with the
home office or other branches. When an opening developed, 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.
Questions
1. What do you think is causing some of the problems in the bank’s home office and
branches?
2. Do you think setting up an HR unit in the main office would help?
3. What specific functions should an HR unit carry out? What HR functions would
then be carried out by supervisors and other line managers? What role should the
Internet play in the new HR organization?
Source: From Claude S. George, Supervision in Action, 4th ed., 1985. Adapted by permission of
Prentice Hall, Inc., Upper Saddle River, NJ.
CONTINUING C

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