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Transcript of Harley Davidson
Marissa Christjohn HD dealership Retail 2020 Business HD was incorporated in 1981
Became publicially helid in 1986
Operates in two segments eligible to receive post retirement healthcare benefits at the age 55, after working at HD for 10 years.
contributed 200 million to further fund their pension plan laser focus on the best product opportunities
reduced time-to-time market
increased product development capacity through efficiencies The motorcycles and the related products segment
Financial services segment Marketing multi-generational & multi-cultural
Harley Owners Group
HD Academy of motorcycling
HD rentals worldwide
Independent dealers Customer Input Bringing right people & customers to design new models Multi-year plan that keeps the HD dealer central to the experience 100 Executives worked in dealerships 2012 Branding to different demographics The H-D culture provides employees with continued opportunities for growth and professional development because they believe that people are there only long term competitive advantage. Their culture believes in providing high customer satisfaction by supplying products and services that delight customers and offer value. And, Their culture values and promote employee development, diversity, and leadership excellence. "Throughout Harley-Davidson's history, the Company has remained vitally connected to neighbors and neighborhoods in all the communities where they have facilities, eager to reach out with a big heart and a helping hand. Together, Harley-Davidson and its employees strive to open NEW ROADS OF POSSIBILITY for others... starting in their back yards" A Culture of Empowerment has enabled Harley-Davidson to empower all talent to be true partners in its business. Leadership transformed the organization from a traditional, top-down model to an open and participatory model in which employees are provided with the tools and training necessary to make significant business decisions.
A Harley-Davidson business process and a set of core values that all employees are expected to learn and incorporate into their daily lives are the foundations of this transformation, and they are highlighted at each new employee’s formal orientation. Among other things, the values encourage employees to push back on all levels of decisions and take calculated, measured risks in their work—a way of operating termed “freedom with fences." These efforts are underscored by Harley-Davidson’s commitment to employee development and lifelong learning, which includes numerous training programs and opportunities. Finally, a performance-management and succession-planning process that annually brings together all senior leaders within each functional area to discuss employee performance, bench strength, and potential ensures that employees’ talents are visible not just to their own supervisors, but to all managers within their area and across other functional areas. Harley-Davidson has seen growth in the representation of women in its senior ranks. For example, women now comprise 17 percent of the vice president positions—an increase from 5 percent in 1995—and 29 percent of its corporate officers are women. HD’s Management philosophy and strategy aimed to control innovation, penetrate international markets, adapt to cultural differences while maintaining the brand image. Using an acquired needs theory, Harley-Davidson management exercised the need for achievement motivational theory with the desire to do something better to solve its problems, in particular, willing to change its corporate structure, its brand and marketing to generate and sustain its product offerings. Harley-Davidson management advanced its company practice through its strong relationships with workers which became a major component of the Harley-Davidson corporate culture. HD Culture continued... HD Culture continued... HD Culture continued... Three main aspects of Harley culture Harley has such an inclusive nature of Family, that it is able to bind its customers together through implementing them into a lifestyle. The employees are customers; they are a big part of the Harley family Harley Davidson is able to implement such strong cultural through the passion and value which Harley is able to provide quality and love of their product Accenture Human Capital Development Framework Strategic HR functions helped assess the company’s strengths and weaknesses helped the company prioritize its human capital investments Business Challenges In order to keep the company working efficiently, the company has to require a comprehensive, objective assessment of the performance of its workforce talent, and insights into how that performance could be improved as competitive, market and demographic factors changed over time comparative data provided invaluable insights into how far the company had come with its HR capabilities, and also where additional work was required. HRM valuing their employees provide their employees with the top-tier health care benefits Harley-Davidson signed a new labor agreement increased employee engagement and workforce adaptability. HD Vision Tell the Truth.
Keep Your Promises.
Respect the Individual.
Encourage Intellectual Curiosity. The company fosters these values by actively communicating their importance and encouraging employee involvement and development Employee Involvement Open door policy Easy access to senior management bonus plan tied to the Company’s performance Leadership and Strategy Council (LSC) Create Demand
Provide Support Employees are encouraged to volunteer and commit their time and talent to non-profit community organizations. The hours they contribute are matched with a company contribution to the organization. non-smoking incentives
smoking support group
reduce overall insurance expenses
healthier people have more energy
workout facilities on site
home life improves due to knowledge brought home
happier home means better mood employee Harley wellness programs
lower insurance cost
employee productivity is high
happier business organization Competitive advantages
on site family clinic
family workout facility discount
yearly bike runs for charities/scholarships Changes HD Culture HR Systems Provide advice on other human resources-related issues, including reward strategy and incentive design, competitiveness of compensation programs and health care and group benefits plans. Stock Ownership Guidelines for the executives Provide benefits to the executives, which are the same benefits that salaried employees in general.They include medical and dental benefits; retirement plans; employee savings plans; deferred compensation; and death benefits Due to the past returns on investments Harley-Davidson has shown the ability to increase revenue even with their less successful decisions Strategy First strategy Harley-Davidson uses is customer focus. Harley-Davidson offers a wide range of products and services, from children tricycles, clothing accessories, and affordable motorcycles to more higher-ended luxury motorcycles targeting customers in all age groups. Second strategy Brand loyalty. Some strategies that help build brand loyalty and selling dreams are to have groups, such as: Harley Owners Group (HOG) Buell Riders Adventure Group (BRAG), References Becker, B., Huselid, M., & Ulrich, D. (2001). The hr socrecard linking people, strategy, and performace. Boston: Harvard business review press.
Harley-davidson usa. (2001). Retrieved from http://www.harley-davidson.com/en_US/Content/Pages/home.html
Lengnick-Hall, M., Lengnick-Hall, C., Andrade, L., & Drake, B. (2009). Human resource management review. Strategic human resource management:the evolution of the field, Retrieved from www.elsevier.com/locate/humres
Lewis, R., & Heckman, R. (2006). Talent management: a crtical review. Retrieved from www.socscinet.com/bam/humres
Liu, W., Lepak, D., Takeuchi, R., & Sims, H. (2003). Matching leadership styles with employment modes:strategic human resource management perspective. Retrieved from wwwHRmangementreview.com
Noe, R., Hollenbeck, J., Gerhart, B., & Wright, P. (2005). Huamn resource management. New York: McGraw-Hill Irwin.
Pure wellness. (2012). Retrieved from http://www.purewellness.com/purewellness/purewellness-customer-markets-employers.html?gclid=CPW4ubWu9LMCFYpFMgodhmIAmQ
Rasli, A., & Khalaf, B. (2011). 5(26), 10446-10451. doi: 10.5897/AJBM11.1663
Werbel, J., & DeMarie, S. (2005). Aligning strategic human resource management and person-environment fit. Retrieved from www.sciencedirect.com
Wright, P., Dunford, B., & Snell, S. (2001). Journal of management. doi: 10.1177/014920630102700607
Human Resources Committee. (2009). Wikiinvest. Retrieved from http://www.wikinvest.com/stock/HarleyDavidson_(HOG)/Human_Resources_CommitteeHarley-Davidson Motor Company: Strategic HR Function. (2012). Accenture. Retrieved from http://www.accenture.com/us-en/Pages/success-harley-davidson-motor-company-strategic-hr-function-summary.aspx HR Scorecard HRM competencies Will Insure that HRM understand how to be a....
(Noel, et all, 2005) Cultural Steward Developing culture Talent Manager describes the developing talent as well as creating reward systems (Heckman & Lewis, 2006) Talent is crucial
role of a strong HR to manage everyone to high performance Credible activist being able to deliver results
build trusting relationships
being able to influence others
taking risks Strategic architect able to recognize business trends
develop employee strategy Business Ally HRM understands how the company makes money Operational Executer HRM will implement policies, technology, and management of employee HR Alignment Customer perspective HR deliverable entail empowering employees
entail learning organization
entail psychological contract with employees
entail talent management HR Efficiency Looks at...
stakeholders HRM looks at
revenue per employee Workforce Scorecard Outlines how the company and workforce work together Mindset and culture is....
where the workforce understands how to live the mission statement
value of company
(Mitchelli, 2007) Recommendations SHRM and globalization adoption of cultural diversity
team effectiveness and collaboration among the diverse team members
managing the challenges of globalization
(Khalaf & Rasil, 2011) Adopting different HRM practices Contingency model
Situational leadership theory
path-goal theory Sub fields of HR Micro HRM
Strategic HRM (Andrade, et all, 2009) Competitive advantage Resource-based view Create Value by either decreasing costs or increasing revenues
have human resources with talent that are inimitable
Have an organizational system that will generate better performance from employees (Value, rarity, inimitably, non-substitutability, and organization) (Andrade, et all, 2009) Build employees knowledge , skills, and abilities as a competitive advantage (DeMarie & Werbel, 2005) create a unique culture
-consensus (DeMarie & Werbel, 2005)