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CHAPTER 12

Surf the Net1. 100 Great Places to Work. Go to http.//www.

greatplacetowork.com. Locate these three items atthe site:

Great Place to Work® Model©Business Benefits of Being a Great Place to WorkFinancial Results of Being a Great Place toWork

Print out all three Web pages, read and highlightfactors that relate directly to human resourcemanagement, and then submit your highlightedprintouts to your instructor to show you'vecompleted this assignment.Internet Recruiting. Select the tab "ForEmployers" located at the top of the followingsite:

http://www·wetftet.com

At this site you will learn more about how employ-ers are using the Internet to help them in therecruiting process. Locate information on recruit- .ment technologies (WetFeet Recruiter) and visitseveral of the sites listed under "Sample Clients"

Waterway Industries/

Waterway Industries was founded in the late 1960sas a small manufacturer of high-quality canoes.Based in Lake Placid, New York, the companyquickly gained a solid reputation throughout theNortheast and began building a small customer basein the Pacific Northwest as well. By the late 1980s,Waterway was comfortably ensconced in the canoemarket. Although earnings growth was fairly steady;CEO Cyrus Maher was persuaded by a friend to ven-ture into kayaks. After Waterway began selling itsown line of compact, inexpensive kayaks in 1998,Maher quickly learned that the decision was a goodone. Most of Waterway's existing canoe customersplaced sizable kayak orders, and a number of private-label companies also began contacting Maher aboutmaking kayaks for their companies. When LeeCarter was hired to establish a formal marketingdepartment at Waterway; things really took off.

Human Resource Management " .

(http://www.wetfeet.com/about/what/wfrecruiter/home.asp) to see this recruitment technology inaction. Summarize your findings in an e-rnail toyour instructor.

3. Compensation. Fill in the following informa-tion about yourself: After receiving the collegedegree you're currently pursuing,a. What kind of job do you see yourself doing?

b. Where geographically do you wish towork? (For this assignment, you will needto select a U.S. metro/state location.)

Now find the "Salary Wizard" at http.//www.salary.com. Provide the information requested and thenselect "View basic report." Print out the reportpages along with the pages at any links of inter-est to you, highlight the two or three pieces ofinformation you found most helpful, and sub-mit all the pages to your instructor.

Carter began bringing in so many large orders thatthe company had to contract with other manufactur-.ers to keep up.

" Managers began to envision the day whenWaterway would be a major player in water sportsequipment. They developed a long-range strategicplan that called for aggressive growth, new productdesigns, and nationwide marketing and distributionby 2003. Maher believes most employees are adjust-ing well to the faster pace at the company. Many ofthe shop-floor employees are outdoor enthusiastswho like making quality products that they and theirfriends use. Waterway has always had a relaxed, infor-mal working atmosphere, where employees get alongwell, enjoy their jobs, and get their work completedon time. However, the greater work load means peo-ple have less time for horsing around, and they can nolonger leave by 3 P.M. to enjoy canoeing or kayakingwhen the weather is good.

II PART 4 Organizing

Maher thinks workers have been given adequateraises to compensate for the faster work pace, but hehas recently been hearing complaints from the shopfloor about inadequate pay. He recently turned downa request from the plant supervisor for additionalhourly wage increases for rop performers, insistingthat wages were in line with what other local manu-facturers were paying. Unfortunately, a new automo-tive parts plant offering a slightly higher wagerecently lured away three of his best workers.

Several managers have 'also approached Maherabout salary adjustments. Waterway's two designerssuggested that they would be interested in equity(part ownership) in the company, whereby theywould receive a share of the profits if till:ir designs didwell. Maher's response was to give the senior designera modest pay raise and extra vacation and to increasethe bonuses for both designers. Both seemed satisfiedwith the new arrangement. Waterway's CPO, on theother hand, recently left the company to take a posi-tion with a power boat manufacturer after Mahertwice refused his request for a redesigned compensa-tion package to include equity. Now, on a trip to thecafeteria to get a cup of coffee, Maher has just over-heard Lee Carter discussing a possible job opportu-nity with another company. He is well aware of thelucrative packages being offered to sales and market-ing managers in the sporting goods industry, and hedoesn't want to lose Carter. He would like to find away to recognize her hard work and keep her atWaterway for at least a few more years.

Endnotes1. KeithH. Hammonds, ''Handle with Care,"Fast Campany

(August 2002), 103-107.2. Robert L. Mathis and John H. Jackson, Human

Resource Management: Essential Perspectives, 2nd ed.,(Cincinnati,Ohio: South-WesternPublishing, 2002),1.

3. Joy Persaud,"Game On," PeopleManagement (Septem-ber 25, 2003), 40--41.

4. JonathanPoet, "SchoolsLooking Overseasfor Teachers,"Johnson City Press (April 20, 2001), 6; and JillRosenfeld, "How's This for a Tough Assignment?"Fast Company (November 1999), 104-106.

5. See Jonathan Tompkins, "Strategic Human ResourcesManagementin Government: Unresolved Issues,"PublicPersonnelManagement (Spring 2002),95-110; Noel M.Tichy,Charles J. Fombrun, and Mary Anne Devanna,"Strategic Human Resource Management," Sloan

Maher has asked you, the company's sole humanresource manager, for advice about changing thecompany's compensation system. In the past, he hashandled things informally, giving employees annualsalary increases and bonuses, and dealing withemployees one on one (as he did with the designers)when they have concerns about their current compen-sation. Now, Maher is wondering if his company hasgrown to the point where he needs to establish somekind of formal compensation system that can recog-nize employees who make outstanding contributionsto the company's success.

Questions

1. Does Waterway's current compensation systemseem to fit the company's strategy of aggressivegrowth and product innovation? How might itbe changed to achieve a better fit?

2. How would you gather the data and design acompetitive compensation system forWaterway? Would your approach be differentfor hourly workers versus managers?

3. How can nonfinancial incentives playa role inhelping Waterway retain hourly shop workers?Aggressive and ambitious managers like LeeCarter?

Source: Based on Robert D. Nicoson, "Growing Pains," HarvardBusiness Review (July-August 1996),20-36.

Management Review 23 (Winter 1982) 47-61; CynthiaA. Lengnick-Hall and Mark L. Lengnick-Hall, "StrategicHuman Resources Management: A Review of theLiterature and a Proposed Typology," Academy ofManagement Revie» 13 (July 1988), 454-470; EugeneB. McGregor, Strategic Management of HumanKnowledge) Skills) and Abilities, (San Francisco: Jossey-Bass, 1991).

6. Tompkins, "Strategic Human Resource Managementin Government: Unresolved Issues."

7. Mark A. Huselid, Susan E. Jackson, and Randall S.Schuler, "Technical and Strategic Human ResourceManagement Effectiveness as Determinants of FirmPerformance," Academy of Management Journal 40,no. 1 (1997), 171-188; and John T. Delaney andMark A. Huselid, "The Impact of Human Resource

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