Business // An HR SWOT Analysis of PAC Resources, Inc.
An HR SWOT Analysis of PAC Resources, Inc.
Objective – to conduct a SWOT analysis of the human resources practices of PAC
Resources, an imaginary computer parts manufacturing company in the upper Midwest. It was founded in 1994 by David Dukakis who later partnered with Cliff McNamara, who basically managed the company while Dukakis retained the idea function (Gusdorf, 2011 p 3)
S W O T
Strengths – PAC Resources, Inc. prides itself as turning out only all-American-made products, a quality workforce, a sustained health insurance coverage for its workforce, a merit bonus plan, a track record in safety and security, a wellness program, sustained salary levels for all hourly and salaried employees despite a freeze hiring policy, a knowledge management program to bridge the knowledge gap and inspire collaborative exchange, and an ergonomic audit program to regulate compensation claims.
Weaknesses – Management acknowledges a labor surplus despite an arduous freeze hiring policy, unjustified sales bonuses, a negative sales projection, a clearly non-working freeze hiring policy, having only one reliable customer, a lack of employee performance feedback system, various compensation and benefits issues, unpreparedness for necessary layoffs, hostile attitudes that damage products and lower productivity, union unrest as a result of sustained layoffs, the termination of the merit bonus system by the end of the current fiscal year, strict scrutiny of travel expenses and their approval by senior vice president Cliff McNamara alone, a delay in the delivery of equipment purchase orders by 90 days and again, only with McNamara’s approval, the discontinuation of the tuition reimbursement benefit, the impending termination of the wellness program, arbitrariness in decision and behavior of managers, animosity among them and with employees, very limited cooperation between managers and employees, contention over health coverage that ended with employees paying part of their premiums and which they view as a mere cut on their pay, poor working relations between managers and employees, ensuing poor communication between them, managers’ disapproval of employee involvement teams, discontinuity between line management and human resources especially in discriination and sexual harassment issues and managers’ disregard of human resource policy in disciplining employees (Gusdorf, 2011).
Opportunities – The Company may improve its ROI levels by opening Canadian and European markets, by conducting more responsive management training and reorganization, by restoring employee-management communication programs similar to “Talk to the Boss,” re-establishing the merit bonus plan, conducting training programs that support employee development, by re-implementing the tuition reimbursement program for college-level education relating to one’s work, in-house training meant to update recipients on safety and sexual harassment procedures (Gusdorf, 2011).
Threats – These include union actions, further sales decline, lawsuits following in-house fights between managers themselves, poor performance of training programs, legal actions by unions for unfair labor practices, limiting health insurance coverage to non-smokers, un-addressed sexual harassment issues, damage to company reputation and image and difficulty of hiring in the future as consequences of untimely layoffs, loss of talented employees, and failure to retain those with valued knowledge and long-time experience (Gusdorf, 2011).
Summary
PAC Resources, Inc. can well boast of an all-American-made product lines and a quality workforce behind them. It has successfully sustained the product demands of a single but large customer. Moreover, it has introduced a series of in-house programs and policies meant to raise revenue, motivate employee productivity and creativity, safety and health, and increased learning But it needs a really strong connection between organizational goals and actual HR practices.
WORK CITED
Gusdorf, M. L. (2011). PAC Resources, Inc.: a case study in human resource practices. Strategic
Human resource Management student workbook. Society for Human Resource Management
2017/5187
