Group Assignment Case

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Executive Summary

As a fast growing enterprise, 7-Eleven is the world’s largest convenience store chain with more than 53,500 stores throughout the world. With the growth of company, an increasing number of problems have emerged such as the redundant organizational structures, chaotic human resource management, not fulfilled strategic planning, particularly staff turnover. This paper aims to analyze the reasons of employee turnover based on existing situation, and also has suggestions from the angle of human resources.

Table of Contents

Overview of the organisation 4

1. Introduction to 7-eleven 5
2. 7-eleven Franchise Structure 5

Human Resource  problems6

1. Common HR problems7
2. Identifying the problem in the selected organisation7

1. Problem statement7
2. Analysing the problem8
3. Reasons of High employee turnover at 7-eleven11

Problem Solution14

References17

OVERVIEW OF THE ORGANISATION

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Topic Includes:

1. Introduction to 7-eleven
2. 7-eleven Franchise Structure

Introduction to 7-eleven:

7-Eleven is the largest petrol and convenience retailer in Australia. It is privately owned by the Withers and Barlow Families. The Company has a license to operate and franchise 7-Eleven stores in Australia from the US based 7-Eleven Inc. In August 1977 it opened its first store in Australia. Now it operates approximately a total of 600 stores in Queensland, New South Wales, Victoria and the Australian Capital Territory. The company is generating sales of approximately $3.4 billion (7-eleven, 2014).

7-eleven Franchise Structure:

The process followed by 7-Eleven's management after selling a franchisee store is as follows:

• 7-eleven choose their franchisees sites, and provide them the design and fit out of the store and the list of required equipment.
• The franchisee is then licensed to operate the store in accordance with the franchise agreement.
• Franchisees also have to complete a franchisee training program, which provides them with in-store experience and classroom training.
• A district manager visits the store twice a month.
• 7-Eleven make manages the payroll of the convenience store franchise. Furthermore; 7-Eleven maintains book-keeping records for the store on the franchisees behalf.
• Marketing plan is also provided by the 7-eleven to the franchisee (7-eleven, 2011).

HUMAN RESOURCE PROBLEMS

Topic Includes:

Common HR Problems

Identifying the Problem in the Selected Organisation

• Problem statement
• Analysing the problem
• Reasons of High employee turnover at 7-eleven

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1. Common HR Problems:

Human is the most vital asset for an organization, therefore, how to manage them that have been being more and more important. While, it is impossible for organization to avoid HR problems. The common HR problems which has incurred in organization as follow: For instance, employee may do not do what the manager told them to do, employee work not as hard as they should do, employee redundancy, employees coming from different countries might have various views about some specific issues which is easy for them to conflict, there is no formal file to regulate employee, the company do not manage workplace health and safety, employee turnover is so fluent, do not have a plan for employee training, there is a high employee absenteeism.