Human Capital Concept
Human Capital Concept
Human Capital Concepts Worksheet
Concept
Application of Concept in the Scenario
Reference to Concept in Reading
Prospector Firms
David Spencer, InterClean CEO, is driven to make the company an industry leader. InterClean’s goal is to become the first company to offer a full-service all-inclusive cleaning service by combining a range of high-quality products with high-quality service.
“Prospectors attempt to be the first to market with new products and services. These firms rely on innovation, flexibility, and speed. They exploit new market and product opportunities” (Dreher & Dougherty, 2002, p 103).
Managing the Restructuring Process
IntraClean has put in place practices to remain competitive in the sanitation cleaning industry as they are necessary for sustained growth and improved production and service. These practices include acquiring EnvironTech and incorporating the employees of the two companies as well as hiring new employees. The upcoming months the leadership at IntraClean is tasked with meeting the challenge of merging the two companies for a new strategic direction. Executive staff will be setting a role model for InterClean for guidance in customer service, sales, and marketing.
“A company may have many reasons to restructure and downsize, but the merger and acquisition process drives much of this activity…. As companies restructure and become more and more efficient, there is a clear tendency for each employee to carry far more responsibility for the sales, assets, and ultimately, the value of the company than before the restructuring” (Dreher & Dougherty, 2001, p.116 &118).
Employee Motivation
Employee motivation and morale has become low as a result of the staffing audit and rumors of hiring new employees. Reduced levels of employee motivation, morale, and cohesiveness could have a negative impact on the merger. The training program in which InterClean is initiating can be used to boost employee morale, cohesiveness, and motivation by giving them a gained sense of job security. The training will provide employees with new knowledge of different job sets motivating them with increased potential for job promotion and pay raise.
“Managers can put into place practices that encourage employee motivation. Practices to enhance expectancies and instrumentalities for high task performance and enhance employee valence perceptions opportunities” (Dreher & Dougherty, 2002, p 37-38).
Organizational Fit
Human resource is tasked with screening new sales hires with