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University Open Polytechnic (OP)
Subject 71225: Human Resource Management

Chea has been working as a radiologist for the past 25 years after immigrating from Cambodia but has now decided to take redundancy and do something different. She saw a local cosmetics manufacturing business, Nature’s Skincare Ltd, advertised for sale and was very interested.

Nature’s Skincare Ltd produces a range of organic skin care products including creams, lotions, oils, and soaps produced from native plants grown on their property in Hawke’s Bay. The business includes an 8-hectare farm, a processing shed, a chemistry lab, production and packing facilities, and a warehouse. They have regular supply contracts with a pharmacy chain and health and well-being shops, and exports small amounts to Australia.

After investigating the business, Chea saw an opportunity to improve and expand the operation. Chea believed the business lacked a clear strategy and needed new leadership and energy, but she considered it a worthwhile investment, so used her redundancy and some money from the sale of her house to purchase the business.

Chea thinks the business’s human resources (HR) function could be improved and is worried about what she thinks is a range of inefficiencies at both the administrative and operational levels. The business employs 35 people on a permanent basis and around 15 more in the spring and autumn, across several different roles, including propagating and growing plants, processing and manufacturing, the onsite retail shop, sales, and distribution.

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Nature’s Skincare Ltd’s HR management is disorganized, with many processes being managed manually, no job or person specifications, and no clear indication of how job roles contribute to business performance. Chea would like to make some changes to improve the overall performance of the business and wants some advice on the types of jobs in the business already as well as their current contribution to business performance and where improvements could be made. She is also keen to review and most likely change the current business strategy.

Chea plans to expand the business and increase the number of outlets being supplied, increase sales overseas, and sell online through a revamped website. She is, however, unsure how to begin planning and preparing for more staff, so up-to-date and accurate job and person specifications will be essential. Another concern is that there are several other similar companies elsewhere in New Zealand Aotearoa who could compete for staff.

Nature’s Skincare Ltd will be hiring several new staff, including a Business Development Manager. The BDM will be responsible for maintaining existing and developing new markets and working with key stakeholders both inside and outside of the business. They will report directly to Chea and be part of the management team. The role will manage a small team of sales representatives and will be responsible for representing Nature’s Skincare Ltd to all customers (retail and trade) as well as ensuring all necessary contracts are in place.

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