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Total Quality Management (TQM)

Armstrong Bpo- The Strategic Management Of Human Resources

Introduction:

Armstrong BPO demonstrates, in myriad ways, that it values its employees. As BPO shows, employee loyalty equals customer loyalty—which equals improved financial performance.

Non-negotiable:

BPO builds its strategic plans around what are called the Non-negotiables:

 

•       Increase the market share profitably.

•       Be the besteost supplier.

•       Increase the flow of successful new products.

•       Develop the human resource capability.

 

Each function within BPI, including the Human Resources (HR) unit, develops strategies that link to these Non-negotiables. The functional leaders agree on global action plans, after which the- members of each function meet to develop their own action plans, which include specific measures and goals.The HR plans have five strategic components:

1.       Safety.

2.        Employee development/empowerment.

3.        People development.

4.        Recognition and reward.

5.        Employee well-being and satisfaction.

 

BPO’s overall HR strategy:

BPO's overall HR strategy is:

•      To provide the opportunity for employees to reach their full potential by developing a high-performance organization which supports the operation's Vision, Mission, and Goal. The behavior in deploying the strategy will be consistent with our corporate Operating Principles. [Editor's Note: This strategy confirms workplace culture and practices for BPO—the first element in the Loyalty Model.]

•      To attract, develop, challenge, and retain a diverse workforce to en-sure that we have the skills and organization to build our business.

•      To involve and empower employees to improve processes and participate in decisions that affect the business.

•      To recognize and reward performance that contributes to the busi­ness strategy and goals.

 

The long-term strategies and short-term plans contribute to exceptional financial performance, the final element in the Loyalty Model, in 1994, the year before BPO won the Baldrige Award, the company reduced its operating costs by a record $40 million. it set company and industry safety records, maintained or enhanced its leadership position in every market, and distributed its highest-ever gain-sharing and incentive payouts. Better yet, it did not produce these accomplishments at its em­ployees' expense: BPO maintained or improved its already high levels of employee morale.