Human Capital Management

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Table of Contents

1.        Executive Summary        

2.        Introduction        

3.        Problem Statement        

4.        Analysis        

4.1        Performance Management System in Amaze:        

5.        Alternative Actions        

5.1        Assessment Centre        

5.2        Peer Review        

5.3        360 Degree Appraisal System        

6.        Recommendations        

7.        Implementation Plan        

7.2        Setting Performance Management        

7.3        Communicating Standards to Auditors        

7.4        Agreeing on the Goals and Criteria for Management        

7.5        Measuring Job Performance and Comparing with Standards………………………..

7.6        Providing Formal Feedback to Employees        

7.7      Annual Performance Review        

7.8        Action Taking        

8.        Conclusion        

9.        References        

1. Executive Summary

Human capital is one of very important resources of an organization different from other resources human capital tend to operate and control other resources the fact which make it a distinguishable resource among others. Due to this fact the report produced in this assignment focused on one core area of human resource management namely employees turnover and performance management it uses a stack ranking system for appraisal process. The assignment deals with the analysis done by the members of the group to identify the major issues that are responsible for the employee turnover in Amaze. Based on the analysis done by the members of the group and from credible independent survey the issues that are responsible for employee turnover were identified. We have inserted a turnover rate chart that shows the analysis of  the impact on the company’s operating cost and profits. Due to these issues the report addressed further the alternative actions which Amaze may take in order to reduce the employee turnover issue three alternative ways of action have been discussed in the analysis. The pros and cons of the various alternate actions were studied by the group and the best solution to the problem faced by Amaze is recommended. The recommendation need an implementation plan to roll out the new HR plan in order to tackle the issue faced. The study deals with how the recommended action is going to be implemented without affecting the business of the organization and to make the new system to work efficiently after the implementation.

2. Introduction

Amaze has a historic presence of 21 years since when Jeff Bezos who apparently serves as the company’s chief executive officer, chairman and president established it on 6th December 1994. The company has achieved global presence with its headquarters in Seattle Washington D.C. Amaze is categorized as electronic commerce company which uses online mode of transaction to operate its business where at first it begun with the online retailing of books which had later to date diversified to the selling of CDs, DVDs, MP3 Players, Video games, electronics, jewelry, toys, furniture, apparel and food where the mode done is B2B2C thus business to business to consumers because the mentioned products are produced by other companies and reaches to customers via Amaze (Anders, 2012).

Moreover, there are other products which are direct sold by Amaze as B2C since they are produced by Amaze as a company and sold direct to customers online those products are under Amaze own brand portfolios like Fire TV, tablet and Phone, USB cables and Amaze Kindle e-Book readers all of which are named as consumer electronics leading into further categorization of Amaze as a consumer electronic manufacturing company (Mutum et al., 2014).

Due to increase of business challenges and constant change in the business environment 10 years later Amaze started to open its subsidiaries which today are almost 40 subsidiaries globally; these subsidiaries are A9.com established 10 years after its establishment which is responsible for activities dealing with researching and building of innovative technology, Lab126 which was also established in the same year to that of A9.com is specifically for developing Amaze’s consumer electronics like Kindle, Endless.com was then established in 2007 to deal with shoes only and brilliance Audio the audiobook producing subsidiary to mention a few among 40 subsidiaries. In terms of financial area the company gained US$ 88.988 billion revenue at the total operating income of US$178 million from the total asset of US$ 54.505 billion in which the total equity was US$ 10.741 billion by 2014 financial year (Amaze.com, 2014)