Granite Rock Case Study

Report Title

MGT 301 – Operations Management

Semester – Summer 2016

Students Name (Full Name)

Student Numbers

Table of Contents        

Executive Summary        

Introduction        

The Impact of HRM Strategies on Quality Improvement        

IPDP at Granite Rock        

Establishing an Environment of Trust        

Conclusions        

Recommendations        

References        

Executive Summary

Recognizing the need to achieve customer satisfaction through a focus on improving quality, Granite Rock has adopted a human resource plan that aims to develop a well-trained and well-motivated workforce. In order to meet its goal of quality improvement the company knows that choosing human resources as its focal point will have sustainable positive outcomes.

Through initiatives such as relevant training programs, employee growth oriented performance management appraisals and creating an atmosphere of trust, Granite Rock hopes to achieve employee satisfaction levels that will then translate into satisfied customers, who are ultimately the entities through which quality is best measured.

Introduction

Granite Rock is a Californian mining and construction company that has over the years realized the importance of focusing on quality. To achieve this end it has implemented several human resource management (HRM) initiatives thereby getting employees at all levels on board with the company’s philosophy.

The Impact of HRM Strategies on Quality Improvement

According to CEO Bruce Woolpert, a quality management system with a focus on employees is vital in order to achieve consistency throughout the organization. Without such a system, what has been communicated to the customer by the sales team cannot be translated into a complete follow up by the production and operations teams, leading to eventual customer dissatisfaction. Kotler (1998: 46) defines product quality with regards to the extent to which customers’ demands, needs and expectations are met. To this end, ‘the discrepancy between customer’s expected product and delivered (perceived) product is a basic measure for quality of product and customer satisfaction. (Piskar, 2007: 46)

Hence, in order to measure up to quality standards and achieve customer satisfaction, it is important to adopt a streamlined process where all employees are not only aware of the customer’s expectations but also capable enough to undertake the necessary steps to meet those expectations. Granite Rock is seen to use several HRM strategies to achieve the desired result. These include conducting employee training, adopting an innovative approach to performance management and establishing an environment of trust.