Introduction
Narkee Ltd is a UK designer and manufacturer of sports shoes and sneakers. The company is located in Birmingham, has 250 employees, and was established in 1990 (Ivanovic & Ivancevic, 2022). The company has a high-quality differentiation and high-cost specialist ranges, like Excel, among others. Not only does the company design and manufacture shoes, but it also offers repair services. Nevertheless, Narkee is experiencing high staff turnover rates, reduced profits, and increased expenditures.
This case analysis aims to evaluate Narkee’s strategies, its mode of talent acquisition, human resource management, and customer relations since they are the major influencers of the company’s performance. Through the structure of management challenges analysis and the four V’s model, problems relating to Narkee leadership will be identified, making it easier to offer effective recommendations. These recommendations will bring value to the company by suggesting ways in which the company can retain employees, improve the quality of its goods, and enhance customer relations. The analysis will focus on improving business performance in the context of human resource management.
People Management Challenges
In Association with Performance
In Narkee Ltd, many people management challenges are associated with performance. The main challenges affecting Narkee Ltd surround the staff and the management (Gupta & Yusuf, 2019). Narkee Ltd has yet to learn that it calls for a C-level champion to transform the performance management process and implement the necessary technology (Bratton et al., 2021). The company needs an executive who will understand that the transformation takes place on the front lines as part of the daily workflow.
Another challenge is measuring management by the leader’s mistakes. Many employees regard performance management as a measurement exercise when, in reality, it is all about feedback (Saeed et al., 2019). In other words, it is about what helps improve performance (Chaudhary, 2020). The Narkee Ltd individuals associated with the management have the challenge of not considering the factors such as mission and the areas of improvement (Saeed et al., 2019). Additionally, aspects that tend to raise the performance stages for both the people and the teams have not been adequately considered.
The other issue is leaders viewing technology as the solution. In this case, employees will need more than an instrument to perform management and be positioned to consider their work done. Talking about performance challenges needs integrating the process with the tools into the company’s workflow (Roscoe et al., 2019). If Narkee Ltd considers this, it will implement the performance management skill as a significant change project (Chelladurai & Kim, 2022). These individuals in Narkee Ltd who are in management ought to work with the business to comprehend how the company and the business are converting.
The issue is that employees need to trust the process at Narkee Ltd. It will be noted that the employee’s buy-in is just as essential as a key to earning, which is transparency. In this company, a challenge has been posed in that the employees need clarification about how they are rated (Pham, Tučková, and Phan, 2019). At Narkee Ltd, employees observe the rating system as furtive and unfair (Saeed et al., 2019). It has made them not support the process, affecting the employees’ experiences.
The other people challenges associated with performance are that managers are not trained. The company, through its management, needs to note that individuals are complex, and they bring this complexity to work (Tambe, Cappelli, and Yakubovich, 2019). It has made the aspect of managing and helping these managers to improve a difficult task (Ivanovic & Ivancevic, 2022). In this company, many managers prefer to keep their conversation comfortable, therefore exerting a lot of control (Roscoe et al., 2019). Narkee Ltd should create an approach for lecturing on performance challenges and for the leaders to prioritize performance management.
In Association with Discipline
In this company, insubordination, a fine line between sarcasm and disrespect, has been evident. In Narkee, some employees have blatant rudeness and a volatile personality, leading to viral outcomes in a team environment. Many cases regarding misconduct have been frequently dealt with here, but the company has come up with a permanent solution, posing a big challenge (Ivanovic & Ivancevic, 2022). There have been many cases of personality clashes among employees. The company should address this challenge immediately before the condition spreads.
This company seems to need to understand that its employees are here for one reason: to do their job effectively. Here at Narkee Ltd, there is slowness in operations and productivity due to specific individuals, and no disciplinary meeting has ever been scheduled (Chams & García-Blandón, 2019). The company should move forward with the trial era and the performance evaluations of what it needs to improve its output and avoid termination.
Narkee Ltd has experienced this challenge whereby the employees have rotated from buddy-punching to even often calling in sick. In this case, the hours lost from the employees’ time spent outside their workplace have adversely impacted the company’s bottom line. Issues like lateness and early, together with recurrent absences, are the most common issues evident here in Narkee Ltd. In this company, managers need to see the procedures as corrective, not punitive, hence failing to initiate formal attendance (Ivanov et al., 2021). The management has yet to find out the source of the problem, which has caused the employees to be absent from work.
In addition to the above challenges, harassment and discrimination problems have been at the top of the disciplinary issues associated with this company. There have been sexual harassment and discrimination claims that have made many employees not work here for long, making employee retention extremely low (Roscoe et al., 2019). These issues should be handled swiftly and by the book to avoid a costly lawsuit (Chams & García-Blandón, 2019). The company must not tolerate any level of discrimination, and the policies on how to report an incident like this ought to be spelled out along with the consequences to avoid disputes like the ones evident here.
The internet has led to the rise of a new and frequent headache, which Narkee Ltd and other companies ought to address. These are issues that have been most evident in this company, like the misconduct involving email protocols (Mahapatro, 2022). Online usage outside work-related tasks, together with social media posts, can jeopardize this company or even the reputation of the employees, which in this company has become a prevalent issue of discipline that can result in immediate termination. grievances
In Association with Grievances
Narkee Ltd does not consider the following for its employees. The first grievance is the pay and benefits of employees. In Narkee Ltd, employees are mostly unhappy with their salaries. Regarding that, employees want a higher salary increase, which the company needs to meet. Narkee Ltd also needs to consider the salary they pay employees who do a similar job, whereby some think that all employees working the same type of job should earn an equal salary (Vanclay & Hanna, 2019). In regard to the pay and benefits grievance, Narkee Ltd should ensure that they have a pay and benefits policy that clearly outlines how the company conducts salary and benefits reviews with its staff. Through such a policy, the company will be able to handle all employees correctly by ensuring that any documents an employee receives are in line with its policies.
Another grievance Narkee Ltd should take into consideration is the bullying of employees. The company should be in a position to ensure that all employees receive equal treatment and that none of them is bullied in the workplace. The company should ensure a zero-tolerance policy on bullying. Narkee Ltd should ensure that it issues every employee with anti-bullying and anti-harassment policies and ensure any updates are emailed to the employees. The company’s policies on bullying should include the disciplinary procedure that should be followed if any employee lodges a grievance for bullying. Narkee Ltd should also know that bullying is not allowed in any workplace (Macke & Genari, 2019).
The other grievance Narkee Ltd should put into consideration is working conditions. For the company to ensure that it does not lose its valuable employees because of workplace conditions, it should consider desk etiquette, as this ensures that the reception of employees is good and valued. Cleanliness in the office is also essential, as well as the prevention of health and safety hazards. Health is paramount to every employee, so ensuring that employees stay clean and that, once they feel unwell, the company covers their treatment is highly recommended.
Narkee Ltd should conduct workplace risk assessments regularly to identify possible hazards. The company needs a first aid kit, an officer, and signs designating fire exits. The company should ensure it fits its office with fire extinguishers as well. The company should also have refuse bins around the kitchen and near desks. Hand soap and sanitizers are also essential due to hygiene (Namugenyi et al., 2019). Good hygiene will ensure diseases like cholera are kept at bay. It is also advisable for the company to fit radiators in the office in case of cold during winter and air conditioning for the summer season.
Narkee Ltd should also check on workload grievances. The company should ensure that employees have equal workloads because, in many cases, one can find that an employee’s workload is increased when another employee leaves, rather than finding a replacement. The company should also ensure that employees’ workloads are kept the same, just because they have made other staff redundant to cut costs (Shet et al., 2021). The company should understand that only employees will be willing to do more work without extra pay or benefits. Employees may feel they are taken advantage of and do less work if such happens.
Applying the Four V’s Model of Operations Process
Challenges Related to Operations Management
The four’s model operations process entails volume, variety, variation, and visibility. There are operational management challenges associated with these V’s models. For instance, in terms of volume, Narkee Ltd. has had a challenge in producing small volumes of sports shoes that cannot satisfy its huge demand market (Feldmann et al., 2021). Looking at the company’s market statistics, the number of units the company has been manufacturing does not match the market demand, which seems to be huge despite many individuals not considering purchasing from this company. With this challenge and concerning volume, one can note the confidence of the buyers of the shoes from this Narkee Ltd, as well as determine the price and the selling patterns.
Regarding variety, the Narkee has faced a challenge since it offers a limited variety of sports shoes. Instead, it is said to design and manufacture only two types of brands. By so doing, the company fails to satisfy a huge demand gap in the market for customers who might have different tests and preferences for shoes apart from the sports shoes the company manufactures (May et al., 2018). This company is limited to only two brands of shoes and also faces the challenge of having decreased sales and profit potential. Some customers want to buy the Narkee brand shoes, but they find it difficult since many do not prefer sports shoes that the company does not design and manufacture. Narkee Ltd faces the challenge of having a low variety, which does not add more flexibility to produce goods that match the customers’ requirements.
The other aspect of the model is variation, whereby Narkee Ltd has faced management operations challenges related to this aspect. With this company, the level of demand for the Narkee company products in the last 12 months changed due to external factors (Diaz‐Carrion, López‐Fernández, and Romero‐Fernandez, 2021). At the start of this company, the level of demand for its products was so high. The company could record high sales volumes, which translated to high profit margins. During that period, the company was leading, but with time it was overtaken by other sports shoe design and manufacturing companies that had correctly mastered the market requirement (Shet et al., 2021). Narkee has made most of its business processes not exist as singular entities but as a plurality of variants that must be collectively managed.
The other aspect is visibility, and as noted from this Narkee ltd, the value chain of every process this company puts together could be more pleasing. It depicts that the company has had a superficial visibility level as the customers have yet to be in a position to experience the company’s products (Chams & García-Blandón, 2019). Additionally, it has been challenging for many customers to locate the company for purchases (Zeebaree, Shukur, and Hussan, 2019). The company should put in place track and trace software that will enable their customers to see where the packages are at any given time.
Challenges Related to Flow or Layout
The Layout depicted in the Narkee Ltd company has posed some challenges that need to be addressed. For instance, there is the aspect of production volume as the Layout of the company did not consider the quantity of production that was to be produced (Jumady & Lilla, 2021). The company is expected to adopt batch production of its shoes, whereby identical products should be produced based on customer demand. Batch production was not considered during the formulation of the company’s layout, which is why it has challenged the company.
The company should also consider its mass production, which entails continuous production of its standardized goods on a large scale (Carnevale & Hatak, 2020). This strategy creates unusual, unique, or non-standard products in response to customer orders (Greer, 2021). Each product demands a different job throughout production because they are non-standardized and vary in size and Nature (Bressanelli et al., 2019). The machines and equipment are configured in such a way as to meet the needs of a specific job.
The other challenge is the availability of floor space. It has been a deceiving factor in this company as its Layout has posed a more significant challenge. Space has been scarce since the production layout was not considered. The company faces this challenge as it has little space, which could have led to the adoption of the process layout. In addition to space availability, the type of commodities produced here, such as shoes, has adversely affected this company’s layout. The company could have gone for a product layout since it deals with a production process that must be carried out in series (Brown et al., 2018).
The company faces the challenge of not knowing that heavy and bulky items require a different layout than small and light items. The company also should have noted that those complex and dangerous products, like the rubber used in the production of the shoes, require an isolated place, not process integration, hence the challenge. A continuous or uninterrupted production flow can be achieved by placing the machines in the correct order of operations. For units used in mass production, product layout is ideal.
The other layout challenge faced by this company is the plant location. The Layout of a plant is significantly influenced by its location. The general Layout and the flow of work into and out of the building will be influenced by the chosen site’s topography, shape, climate, and size. The issue of policy management is that, before choosing a plant layout, it is vital to consider numerous managerial policies and plans (Bonilla et al., 2018). The facility’s scale, the integration of the production processes, the amenities for the staff, the sales and marketing strategies, the purchasing strategies, and other administrative policies all relate to future output volume and expansion. These strategies and rules have a beneficial effect on how plants are laid out.
Recommendations on the Improvement of Performance Levels
Regarding people and operations management, there are some recommendations that need to be implemented in the Narkee Ltd company. These recommendations are for improving the performance levels. The issue of leadership buy-in and missing change management can be improved by the company being clear about the problem it is trying to solve (Kerksick et al., 2018).
It could also be solved by making the problem relatable. Limiting distractions and setting milestones are recommendations that can significantly help Narkee Ltd. (Armstrong & Taylor, 2020). Limiting possible distractions is a piece of advice that many individuals know yet infrequently implement, as it is challenging to eliminate them. Additionally, momentum is simple to develop once one begins to cross items off the list.
The other recommendation that will be of help to Narkee Ltd is setting goals that are vibrant and achievable. The company should be aware of its levels of energy and the magnitude of work it completes in a single day. The company can stay on track by breaking its big goals into smaller and manageable ones and setting achievable goals (Boon, Den Hartog, and Lepak, 2019).
Improving time management can also significantly help the company (Boon, Den Hartog, and Lepak, 2019). The company’s time management capabilities ought to be improved, and it should schedule its time early. Working backward from the due date of a job that the company knows will not be completed soon. Three hours of last-minute work are less efficient than one hour of focused labor per week. Taking short breaks will help minimize the cases of absenteeism.
The company should ensure that it engages its employees. The other recommendation is to focus on the company’s business strategy, including customer privacy. Customer privacy entails providing personalization to match each customer’s unique demands, delivering exceptional customer experiences, and establishing enduring relationships with customers.
Besides, in terms of operational effectiveness, I offer clients a broad range of budget-friendly goods and services. It is more about giving clients value than price competition because it helps them save money (Vrontis et al., 2022). Offering cutting-edge goods and services based on the newest techniques and technologies. It depends on having a robust research function and frequently introducing new, enhanced products and services that are distinctive and successfully address the client’s wants.
Conclusion
In conclusion, despite the many challenges currently faced by this Narkee company, there is a high chance that the company will become active once again. The company only needs to ensure that its issues are correctly addressed. By so doing, the company will be back to its top competitors in the sports shoe design and manufacturing industry.
For the last few months, the company’s staff turnover rates have been reported to be increasing, and the company has found it increasingly challenging to recruit for the positions that have been left vacant. It has also been noticed that the recruits need to pass their probation periods. Generally, the company has faced many challenges ranging from management, employees, and customers.
Reference List
Armstrong, M., and Taylor, S. (2020) Armstrong’s handbook of human resource management practice. New York: Kogan Page Publishers.
Bonilla, S. H., Silva, H. R., Terra da Silva, M., Franco Gonçalves, R., and Sacomano, J. B. (2018) ‘Industry 4.0 and sustainability implications: A scenario-based analysis of the impacts and challenges’, Sustainability, 10(10), pp. 3740.
Boon, C., Den Hartog, D. N., and Lepak, D. P. (2019) ‘A systematic review of human resource management systems and their measurement’, Journal of Management, 45(6), pp. 2498-2537.
Bratton, J., Gold, J., Bratton, A., and Steele, L. (2021) Human resource management. New York: Bloomsbury Publishing.
Bressanelli, G., Perona, M., and Saccani, N. (2019) ‘Challenges in supply chain redesign for the Circular Economy: A literature review and a multiple case study’, International Journal of Production Research, 57(23), pp. 7395-7422.
Brown, S., Bessant, J., Lamming, R., and Jones, P. (2018). Strategic operations management. Chicago: Routledge.
Carnevale, J. B., and Hatak, I. (2020) ‘Employee adjustment and well-being in the era of COVID-19: Implications for human resource management’, Journal of Business Research, 116(9), pp. 183-187.
Chams, N., and García-Blandón, J. (2019) ‘On the importance of sustainable human resource management for the adoption of sustainable development goals’, Resources, Conservation and Recycling, 141(7), pp. 109-122.
Chaudhary, R. (2020) ‘Green human resource management and employee green behavior: an empirical analysis’, Corporate Social Responsibility and Environmental Management, 27(2), pp. 630-641.
Chelladurai, P., and Kim, A. C. H. (2022) Human resource management in sport and recreation. New York: Human Kinetics.
Diaz‐Carrion, R., López‐Fernández, M., and Romero‐Fernandez, P. M. (2021) ‘Constructing an index for comparing human resources management sustainability in Europe’, Human Resource Management Journal, 31(1), pp. 120-142.
Feldmann, J., Youngblood, N., Karpov, M., Gehring, H., Li, X., Stappers, M., and Bhaskaran, H. (2021) ‘Parallel convolutional processing using an integrated photonic tensor core’, Nature, 589(7840), pp. 52-58.
Greer, C. R. (2021) Strategic human resource management. New York: Pearson Custom Publishing.
Gupta, R., and Yusuf, S. (2019) ‘Challenges in managing and preventing ischemic heart disease in people of low socioeconomic status in LLMICs’, BMC Medicine, 17(1), 1-11.
Ivanov, D., Tang, C. S., Dolgui, A., Battini, D., and Das, A. (2021) ‘Researchers’ perspectives on Industry 4.0: multi-disciplinary analysis and opportunities for operations management’, International Journal of Production Research, 59(7), pp. 2055-2078.
Ivanovic, T., and Ivancevic, S. (2022) Human resource management: Encyclopedia of Tourism Management and Marketing. Chicago: Edward Elgar Publishing.
Jumady, E., and Lilla, L. (2021) ‘Antecedent and Consequence the Human Resources Management Factors on Civil Servant Performance’, Golden Ratio of Human Resource Management, 1(2), pp. 104-116.
Kerksick, C. M., Wilborn, C. D., Roberts, M. D., Smith-Ryan, A., Kleiner, S. M., Jäger, R., and Kreider, R. B. (2018) ‘ISSN exercise & sports nutrition review update: Research & recommendations’, Journal of the International Society of Sports Nutrition, 15(1), pp. 38.
Macke, J., and Genari, D. (2019). Systematic literature review on sustainable human resource management. Journal of Cleaner Production, 208(2), pp. 806-815.
Mahapatro, B. B. (2022) Human resource management. Minneapolis: PG Department of Business Management.
May, C. R., Cummings, A., Girling, M., Bracher, M., Mair, F. S., May, C. M., and Finch, T. (2018) ‘Using normalization process theory in feasibility studies and process evaluations of complex healthcare interventions: a systematic review’, Implementation Science, 13(1), pp. 1–27.
Namugenyi, C., Nimmagadda, S. L., and Reiners, T. (2019) ‘Design of a SWOT analysis model and its evaluation in diverse digital business ecosystem contexts’, Procedia Computer Science, 159(8), pp. 1145-1154.
Pham, N. T., Tučková, Z., and Phan, Q. P. T. (2019) ‘Greening human resource management and employee commitment toward the environment: An interaction model’, Journal of Business Economics and Management, 20(3), pp. 446-465.
Roscoe, S., Subramanian, N., Jabbour, C. J., and Chong, T. (2019) ‘Green human resource management and the enablers of green organizational culture: Enhancing a firm’s environmental performance for sustainable development’, Business Strategy and the Environment, 28(5), pp. 737–749.
Saeed, B. B., Afsar, B., Hafeez, S., Khan, I., Tahir, M., and Afridi, M. A. (2019) ‘Promoting employee’s proenvironmental behavior through green human resource management practices’, Corporate Social Responsibility and Environmental Management, 26(2), pp. 424-438.
Shet, S. V., Poddar, T., Samuel, F. W., and Dwivedi, Y. K. (2021) ‘Examining the determinants of successful adoption of data analytics in human resource management–A framework for implications’, Journal of Business Research, 131(6), pp. 311-326.
Tambe, P., Cappelli, P., and Yakubovich, V. (2019) ‘Artificial intelligence in human resources management: Challenges and a path forward’, California Management Review, 61(4), pp. 15-42.
Vanclay, F., and Hanna, P. (2019) ‘Conceptualizing company response to community protest: principles to achieve a social license to operate’, Land, 8(6), pp. 101.
Vrontis, D., Christofi, M., Pereira, V., Tarba, S., Makrides, A., and Trichina, E. (2022) ‘Artificial intelligence, robotics, advanced technologies and human resource management: a systematic review’, The International Journal of Human Resource Management, 33(6), pp. 1237-1266.
Zeebaree, S. R., Shukur, H. M., and Hussan, B. K. (2019) ‘Human resource management systems for enterprise organizations: A review’, Periodicals of Engineering and Natural Sciences (PEN), 7(2), pp. 660-669.