It is focused on a Human Resources Strategy for a company called Rafeeq. This is part of a strategy write-up that needs to be done for a Human Resources Masters Year Student: Rafeeq is a real-life company, and it’s website is as follows:Rafeeq is a local Qatar-based food delivery platform. Consumers download the Rafeeq app, either on their iPhone or Android, and place an order for food (fast food), which is then delivered to their houses / apartments with real live tracking. While Rafeeq’s main revenue source is deliveries through fast food chains across Qatar, it also offers other items to purchase online, including items you would normally find at a supermarket / grocery store, such as grocery items, cosmetics, fresh produce, soft drinks, fruit juices, over the counter medicines, flowers, etc. This student has been tasked with developing a “Human Resources Strategy for Rafeeq”. The following information is known:
• The Student must assume they have recently been appointed Head of Human Resources for Rafeeq. The company’s CEO has requested a “Human Resources Strategy” to be developed, which covers and addresses the following needs, objectives, and future ambitions of Rafeeq, under the following 8 specific areas, bearing in mind that the company plans to be listed on the Qatar Stock Exchange within the next year or two:
1. COST REDUCTION: (Top Priority for the company – Approx 500 words) Reducing costs significantly by reassessing the span of control and the company’s hierarchy (attached). There is clearly a lot of unnecessary IT staff and even accountants, and a lot of 1-to-1 reporting, which is unnecessary and causing excessive salary costs for the company. How can Rafeeq cut costs? You need to identify which areas you believe staff can be cut. In addition, you need to be creative, think out of the box, and come up with ways you think Rafeeq can further reduce costs. This could include reduced dependence on third parties; outsourcing non-essential work (if applicable – which functions?); cancelling outsourcing contracts and bringing work in-house if cheaper; redistributing work internally to make sure everyone is “pulling their weight” equally; benchmarking existing salaries with those of the market to ensure they are on a par; monitoring and limiting overtime and shift work; freezing non-essential HR initiatives; streamlining processes; identifying and applying for government programs and interest free loans through Qatar Development Bank and Qatar Business Incubation Centre; reducing external training and making all training in-house; dealing with under-performing employees (last resort – firing; first resort – cutting their salaries).
Please reference and refer to appropriate and applicable frameworks, models, and known strategies where applicable.
2. BUDGETING AND MANPOWER PLANNING (Priority # 2 for the company) Approx 250 Words: Budgeting regularly is an important step to improve corporate decision making. Management have prepared a high-level timeline for an anticipated budgeting process although they still need to develop a detailed formal budgeting process, including performance measurement methods and documenting guidelines. We emphasize the importance of budgeting and manpower planning, especially in the context of the high growth rate experienced in the business. Management should demonstrate their ability not to overbudget their performance and fall short. Please reference and refer to appropriate and applicable frameworks, models, and known strategies where applicable.
3. STAFF DUE DILIGENCE & RECRUITMENT (Priority # 3 for company- Approx 120 words) The Group relies on its contractors to perform checks on the outsourced delivery personnel. As Management intends to bring 80% of such contracted staff in-house, it is imperative that they organize background checks to confirm the absence of any involvement in criminal and / or anti-social activities.
• These initiatives would not only protect the Group from a reputation risk but also safeguard the interests of its customers.
• In addition, background checks should also be performed during the recruitment of new staff. Please reference and refer to appropriate and applicable frameworks, models, and known strategies where applicable.
4. IMPLEMENTATION OF AN HR DASHBOARD (Priority # 4 for company- Approx 120 words) The Group does not have a centralised system to track information such as employee details, attendance; time recording, leave, payroll and expense claims, performance appraisals and training history. The Group is considering to invest in technology solutions (an ERP system), which, if implemented will remediate this gap and automate the various HR processes. It will also improve operational excellence and efficiencies as it will allow interaction with other functions. What are some ERP systems the Group could consider investing in and what are the pros and cons of each? Please reference and refer to appropriate and applicable frameworks, models, and known strategies where applicable.
5. PREPARE A DELEGATION OF AUTHORITY MATRIX (Priority # 5 for company- Approx 120 words) A delegation of authority matrix across the Group and its functions should be prepared and regularly reassessed as the business grows. The level of authority delegated to Management should allow appropriate empowerment to make positive decisions. Please reference and refer to appropriate and applicable frameworks, models, and known strategies where applicable.
6. IMPLEMENTATION OF A FORMAL EMPLOYEE PERFORMANCE APPRAISAL SYSTEM / INCENTIVE POLICY FIT FOR A COMPANY ABOUT TO BE LISTED ON THE QATAR STOCK EXCHANGE (Priority # 6 for company- Approx 120 words) Rafeeq has very ambitious growth strategies for the near-term future, including listing on the Qatar stock exchange. The Student needs to come up with an HR Strategy which is aligned with a company that is soon to be publicly listed. This includes how performance appraisals may differ for listed companies’ employees; key performance indicators to measure the performance of individual staff and of the company as a whole. There is also currently no benchmark no standard benchmark to measure performance (e.g. number of tickets closed by customer Service representatives and time taken to resolve). As the Group continues to expand their operations and consequently, headcount, Management should devise an appraisal system that clearly articulates the process, frequency, expectation and criteria for promotion. Employee bonuses are at the discretion of function heads and there are no clear guidelines on salary ranges for different positions, salary increments and bonuses. Grading In order to retain talent, the Group should consider implementing a compensation structure in line with a listed company best practices by updating salary benefits (including incentives), guidelines and enacting yearly salary reviews. This also provides potential investors comfort on the stability of the Management. Please reference and refer to appropriate and applicable frameworks, models, and known strategies where applicable.
7. SUCCESSION PLANNING NEEDS TO BE INITIATED (Priority # 7 for company- Approx 120 words) Succession planning is an integral part of the broader strategic planning process to deliver the growth envisaged in the future and support business continuity. Whilst a succession plan is currently being prepared at the Board level, Management should also perform a similar exercise for all other key personnel in the Group (e.g. function heads) so that the identified successors can be adequately upskilled and prepared to step in if the situation demands. Please reference and refer to appropriate and applicable frameworks, models, and known strategies where applicable. 8. TRAINING & DEVELOPMENT (8th Priority for the company – Approx . 120 words) Management should evaluate the need to facilitate formal training and professional development sessions for staff from other functions, although their respective heads work very closely with their teams to upskill and help them achieve their potential. The Student should look at existing training and professional development programs that could ideally be run in-house (Finance training; HR Training; Sales and Marketing Training; Project Management Training; Training for those in IT department; training for those who actually make deliveries; possibly even training for the Board of Directors) Again, feel free to be creative here and use the Net to identify suitable training qualifications or courses that could be run in-house. Please reference and refer to appropriate and applicable frameworks, models, and known strategies where applicable.