Homeboy Industries Company Human Resource Management

Introduction

Human resource management is arguably the backbone of any successful business or organization in the world today. This is to say that it determines the effectiveness of employees and the ultimate performance of an organization (Stones 2011, p. 4). However, this goal is never easy since there are countless challenges that have to be overcome in order to achieve reputable organizational performance. Among these challenges are the contemporary issues witnessed in almost every firm around the world. What are these issues? How do they affect an organization? Can contemporary business problems be avoided?

This paper explores and analyzes the Human Resource Management issues facing Homeboy Industries, a company located in Los Angeles. To achieve this target, an overview of human resource management has been captured in order to relate it with issues surrounding the company. Additionally, a brief description of the Homeboy Industries has been included to have the management issues discussed in the most appropriate approach and context. Based on the organization, several problems will be discussed in relation to how they affect its management and performance. Of great significance is also the fact that several management recommendations will be synthesized, as a way of finding workable solutions to the problems facing Homeboy Industries in relation to change management.

Human Resource Management

As mentioned earlier, human resource management is a crucial sector for any organization that dreams of becoming successful in the current business world. As a result, most organizations heavily invest in this area to gain sustainable business advantage by hiring the best employees, developing them and having their talents nurtured (CCH Australia Limited 2010, p. 6). All these efforts are usually geared towards realizing goal-oriented labor-force that is driven by the visions and objectives of the organization.

From a general perspective, human resource management revolves around the ability of managing the relationship between employers and employees, with an aim of achieving an organization’s objectives. Additionally, HR entails consolidated efforts that allow the satisfaction of employees’ needs, which may hinder their optimum performance (Stones 2011, p. 4). Unlike other elements of an organization, human resource management also ensures that that the quality of individual employees is improved so as to enhance the overall output of the entire workforce. It therefore follows that a company which has reputable human resources management is likely to impact its employees positively, thus enabling an organization to achieve its driving objectives.

Notably, HRM studies allow us to have an understanding of how people are managed in various organizations, promote team-work and allow respective people to select the best people to serve in various capacities. It is also believed that human resource management plays a crucial role in finding solutions that could be affecting an organization (Nankervis, Compton & Morrissey 2009, p. 1). This is essential in determining the future of an organization since some of the issues that face organizations have the ability to pull them down. Lastly, the image of an organization can only be created, nurtured and preserved through professional and excellent human resource management. This is extremely important in winning the trust and confidence of customers and the entire public beyond what the organization offers.

Homeboy Industries

As mentioned above, Homeboy Industries is located in Los Angeles. The program was founded Father Greg Boyle in the year 1988. It is believed that Father Boyle was highly motivated and compelled to establish this youth program based on his perception towards young people (Homeboy Industries 2008). He believed that kids were not destined to be gang members in the society; they deserved better life that does not expose them to the risk of landing in jails as criminals. The slogan for the organization is “Jobs For a Future.” It targets transformation of youths perceived to be criminals into productive individuals who can lead a meaningful life.

Another important aspect of Homeboy Industries is that it is a non-profit making organization. During its establishment, Father Boyle believed that taking kids off the streets and rehabilitating them would create business for the company in future. Nevertheless, the organization owns a wide range of businesses including but limited to Homeboy merchandise, Homeboy Bakery, Homeboy Graffiti Removal Services and Homeboy Silkscreen. Amazingly, the entire organization is managed by former gang members and several employees who offer voluntary services to the organization (Homeboy Industries 2008). Michael Baca, the operation director of Homeboy Industries, is also a close friend of Father Greg Boyle, the founder of the organization.

It is equally important to note that Homeboy Industries does not have human resource and marketing managers. As a result, most of the management roles and demands of the organization are solely handled by Michael Baca. Throughout its lifetime, Homeboy Industries has targeted the recruitment of highly-skilled employees as volunteers in order to boost the performance of its businesses and other services offered by JFF. For instance, the tattoo removal clinic is under Dr. Luis Moreno, who is involved in medical procedures of removing tattoos from gang members. These services are also accessible by people who intend to erase tattoos from their bodies.

HR Management issues at Homeboy Industries

Despite the fact that the organization is non-profit making organization, it has faced several human resource management issues in recent years. This segment of the analysis synthesizes three of these issues, which continue to haunt the success of the organization. The issues are: recruitment, performance management and training.

Recruitment

Homeboy Industries’ issues in recruitment emanate from the fact that the organization does not have division of management positions like marketing managers and HR managers. As a result, the manager who holds the highest position in the organization is mandated to oversee other departments, which do not have managers. It is therefore doubtless that the absence of these key individuals has significantly affected the efficiency of the organization. Additionally, the effectiveness of employees is compromised by the fact that the organization considers its clients as its main recruitment pool.

Performance management

Performance management has been a major issue of concern in the organization since it has insufficient managers and poor management structure. This has a broad impact on Homeboy Industries especially in record documentation and general organization. As a result, the company finds it difficult to favorably compete in the current business world. The emergence of this problem is mainly based on lack of structures that are necessary in decision-making. Additionally, the overall performance of employees and former gang members has not been impressive. Since most of the employees of the organization are former street kids, it is believed that they lack visionary guidance and goal-oriented attitude in their performance. This has been worsened by lack of human resource management.

Training

The attitude of most employees at Homeboy Industries equally impact negatively on the performance of the organization. For instance, they react negatively when faced with challenges like poor sales. This is tied closely to their previous lifestyle, characterized by gang-activities. Having been street kids, the job description at the organization appears to be a misfit to most of the employees since their personalities are characterized by emotions and high temperament. In this regard, it is important to note that the training of these boys is not up to date. The training should focus at changing their attitude in relation to their expected performance. In most cases, customers may consider shopping somewhere else where employees are friendly and more human in their service delivery (Nankervis, Compton & Morrissey 2009, p. 1).

Impact on the organization

Poor recruitment procedures and limited human resource managers to oversee the process affect the effectiveness of employees and the overall performance of the organization. This inefficiency further emanates from wastage of time on particular tasks to be done. Due to limited human resource managers, most of the tasks are carried forward, thus wasting time and affecting the performance of the entire organization. It is seen as a serious problem that needs attention before it adversely haunts Homeboy Industries. By the fact most of the employees are “homies,” the organization has to hire supervisors to oversee their performance in every department. However, this comes with an extra cost of spending money on expanding the workforce as a way of bettering the organization’s dwindling performance. Due to lack of human resource managers and quality assurers, employees are likely to be unproductive, and their work is prone to errors.

Performance management also impacts Homeboy Industries negatively. Since the organization has limited proper management, the quality of tasks performed is compromised through unrealistic decision-making and goal-setting. The turnover of employees is equally low and this directly affects the overall performance of the organization (O’Faircheallaigh, Wanna & Weller 1999, p. 111). It therefore follows that performance management problem facing the organization affects the entire organization and the stakeholders. Most of the workers who offer volunteer services become inefficient since they are employed on temporal basis. In general, the output of “homies” and volunteer workers is likely to drop and affect the performance of the entire organization.

Lastly, poor training of former gangsters affects the reputation of the company through employees’ actions and reactions especially when they are faced with poor sales. As a result, the organization is at the risk of losing its customers to other companies, which are offering better services (O’Faircheallaigh, Wanna & Weller 1999, p. 112). This may also have cost implication and time consuming since the organization has to retrain all the employees regularly to improve their service delivery, performance and shape their attitude towards the business.

Theories

In general, recruitment refers to the hiring of employees by an organization to perform certain prescribed duties and responsibilities. This task is usually executed by the human resource managers who identify the needs of the company and hire qualified applicants (James 2007, p. 182). However, these recruitment structures and procedures are not effective at Homeboy since there is limited proper management. The recruitment at Homeboy is categorized into two. The first is employment agencies and executive search organization. In this case, the organization concentrates on hiring top managers to improve its reputation and earn competitive advantage (James 2007, p. 182).

Additionally, recruitment can be done through adverts. For instance, Homeboy makes its advertisements through buses, radio and television to reach out to more street kids, who become clients before they are hired by the organization as employees. On the other hand, performance management entails the establishment of performance structures for the human resources. In essence, these structures usually aim at motivating, directing and monitoring employees. It is therefore instrumental in achieving set goals and objectives.

At Homeboy Industries, these structures do not exist. As a result, the performance of employees cannot be monitored. Similarly, rewards to motivate good performers are not appreciated by the company since it is a non-profit making organization. Performance improvement is therefore essential in order to realize pinnacle results by any organization today. Furthermore, training focuses on the preparing employees for future tasks (Towers 1996, p. 91). This improves competence among employees through acquisition of relevant skills and promotes competitive advantage.

Recommendations and Conclusion

This segment gives possible solutions and action plan to be adopted by Homeboy Industries in order to realize better performance. In dealing with the problem of performance management, the organization ought to embrace change management. First, there has to be diagnosis of the current management in order to give direction for a new course (CCH Australia Limited 2010, p. 6). After diagnosis, strategies and plans have to be established to drive Homeboy Industries to a new level. The last stage under management is implementation of strategies to achieve intended results. With regard to recruitment, Homeboy Industries has to hire employees and managers who possess different abilities to meet various needs of the organization.

Similarly, change in training is necessary to impart employees with knowledge and important skills to perform their tasks. Lastly, all stakeholders should embrace a positive attitude in order to have good reputation and win the confidence of customers (CCH Australia Limited 2010, p. 6). From this analysis, it is clear that Homeboy Industries is faced with serious management issues. However, if the above action plan is adopted, the organization will be able to realize global competiveness, meet the needs of stakeholders and augment the overall performance of the organization.

References

CCH Australia Limited 2010, Australian master human resources guide 2010, CCH Australia Limited, Sydney.

Homeboy Industries 2008. Web.

James, M 2007, [email protected]: Working for Australia’s Future, Career FAQs, Career FAQs, Sydney.

Nankervis, A, Compton, R & Morrissey, B 2009, Effective Recruitment and Selection Practices, CCH Australia Limited, North Ryde NSW.

O’Faircheallaigh, C, Wanna, J & Weller, P 1999, Public sector management in Australia: new challenges, new directions, Macmillan Education AU, Melbourne.

Stone, J 2011, Human Resources Management, John Wiley & Sons, Milton Queensland, Australia.

Towers, B 1996, The handbook of human resource management, Wiley-Blackwell, Melbourne.