Human Resource Management; SHRM theories

The report is based on Company/organisation/industry.

The focus of the REPORT will be to critically evaluate SHRM theories and strategies in regard to a topical issue relating to a specific organisation.

Choice of Organisation: The organisation selected is EF English First, which is part of EF Education First. Founded in Sweden in 1965 it has over 500 schools employing in excess of 43,000 staff in 54 countries. The core business is located in China, Russia and Indonesia. EF provides English Language training to all ages from beginners to advanced users and more specialised courses such as Business English and IELTS exam preparation.

Several branches of EF opened in Bangkok, Thailand. The first was EF Lardprao, by far the busiest. At its peak it employed over 60 staff, two thirds of these were working on a part-time basis. This branch delivered English Language Training to over 1000 students, both at the branch and ‘in house’ at various business locations. In addition several government operated schools sub contracted EF Lardprao to supply teachers. Spurred on by this rapid growth the franchisee opened another, smaller branch EF Silom, in the Bangkok business district. Although it generated a profit, this branch never saw the success of its predecessor.

The success of the brand continued, and more franchises opened in the vicinity, which became competitors. New English Language Schools opened branches and existing Language Schools continued to expand. The English language market had an oversupply of providers and became saturated. As a result EF Silom lost its core students and ran at a loss for several years, EF Lardprao diversified into Corporate English and continued to make a profit, but this was used to cover the losses. Due to the above issues and a lack of support from the franchisor, the franchisee made the decision to close EF Silom, break away from the EF brand and operate the remaining school independently.

SHRM Topic: As a result of the above the business plan has changed. HRM policies will need to be implemented to align with this. Focusing on managing change, employee relationship: voice, participation, involvement, motivation and compensation.

Feedback says it would be best to focus on 1 or 2 issues. 

Note: There is no HR department; HR duties are shared between the Centre Manager, Corporate Manager, Director of Studies and Managing Director.

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