Whole Foods Market Human Resources Perspective

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Transcript of Whole Foods Market Human Resources Perspective

  • 1. Whole Foods Market A Human Resources Perspective12/10/2012 Lisa Collins Capella University Student 1
  • 2. Table of Contents3 Introduction to Whole Foods Market 15 References4 Recruiting 16 References5 Training and Development6 Selection7 Performance Management8 Performance Management Methods9 Benefits10 Employee Discipline and Conflict11 Labor Relations12 Employee Litigation13 Summary14 Recommendations12/14/2012 Lisa Collins Capella University Student 2
  • 3. Whole Foods Market Whole Foods Market is the largest natural foods store in America. It has an accelerated customer base as a growing population of consumers are gravitating toward healthy, chemical-free, and organic diet choices. Whole Foods Market was founded in Austin, Texas, when four local businesspeople, who owned two different small stores that offered organic, and natural food products, decided the natural foods industry was ready for a supermarket. They began with 19 employees and one store; today there are over 350 retail and non-retail locations, as well as over 54,000 employees, and the company advertises its plan to open new stores. Part of the companys continued and outstanding success is attributed to its mission statement and core values relating to its employees. A substantial part of the companys culture and mission statements translate its desire to contribute to the happiness and welfare of its employees. In fact, the company has a career section in its web-site that boasts its fifteenth year in FORTUNE magazines top 100 places to work. Further, the company offers excellent benefits, open-door policies, team autonomy, diversity, and career path training as part of its human resources management strategy. Whole Foods Market publicly attributes its success to its team members and the cutting edge strategies used in recruiting and developing new talent; it is a progressive and attractive company to work for. Their Declaration of Interdependence promises openness and democratic management with mutual respect. (Anonymous, Whole Foods Market, 2012).12/14/2012 Lisa Collins Capella University Student 3
  • 4. Recruiting iCIMS software to track and centralize candidates applications locally and nationally as well as sort by skill level. Detailed job descriptions are posted in job fairs, career centers, store kiosks, web-site recruiting sites, and company web-site announcements. Further, internal recruiters aggressively recruit from colleges, as shown on a job announcement for a recruiter on a Simply Hired job posting (Simply Hired, 2012). HR managers are in positioned in each location. This provides a store with the ability to hire according to local cultural needs as well as expedite the hiring process. Regional HR Managers are staffed for additional support. Lastly, the company has links on its career site to social media accounts, which enable quick processing, in addition to their short web-site applications,12/14/2012 Lisa Collins Capella University Student 4
  • 5. Training and Development Workforce planning through training is the framework Whole Foods Market relies on for making staff and staff resource decisions that are linked to its mission, strategic plan, and unique customer base. A video clip is attached to Whole Food Markets training and development site that refers to team training, succession planning, and employee empowerment that makes the viewer feel the company is interested in its employees because it expects them to make mistakes, and encourages them to train for better outcomes. Further, the company demonstrates its commitment to training by investing in a sizable training staff. Each region has its own regional trainer who is responsible for overseeing the orientation and training of all new and existing team members. Additionally, many of their stores have educators or trainers on site. Moreover, many of their teams have an assigned team trainer. Additionally, Whole Foods Market is listed as a client of Adventure Associates, a company that provides team building, conflict resolution, and leadership skills training (Anonymous, 2012). Lastly, the company has its own university that enables employees to log-on in order to train for immediate improvement or for future elevated areas of responsibility. MentorsQuick Facts Test Evaluations and Yearly Surveys Peer Cross Training Vast Virtual Library ROI and Effectiveness shown in Sales Results 12/14/2012 Lisa Collins Capella University Student 5
  • 6. Selection Selection is Modern, Inventive, and Designed for Successful Selection Applicants are screened by local HR or store leadership personnel for skills/needs match. Referred to appropriate department leadership who may grant interview. Formal interviews are granted in peer-review panels for leadership positions: Team member participation in group interviews are considered employee empowerment philosophies put into action. Diversity in the group brings different aspects of the roles and responsibilities of the position to the interview process. Whole Foods Market offers the right to vote to local teams when it comes to hiring. New hires serve for a period of one to three months on a team, after which the team approves (or rejects) the candidate as a permanent team member by two-thirds vote (Whole Foods, 2012)12/14/2012 Lisa Collins Capella University Student 6
  • 7. Performance Management Gainshairing Philosophy Pay Program Whole Foods Market believes that employees who share in - Pay for Experience and Performance the organizations success will perform with optimum engagement. - Beginning pay based upon related experience. We strive to create a company-wide consciousness of - Gainshairing, which averaged an extra .60 per shared fate by uniting the interests of team members as hour last year for Team Members. closely as possible with those of our shareholdersWhen teams come in under budget due either to higher sales or - Team Members are eligible for a Performance lower labor costs, a portion of the surplus is divided among Review at 30-45 days, at 6 months of service, the team members and paid out every four weeks, and a and annually thereafter. portion is set aside in a savings pool (Whole Foods, SEC Report 2012). - WFM targeted average annual pay increase has been averaging 5% for the past several years (1% higher than the national average). - Wage structures and "Caps" are reviewed annually (WFM, 2012), $15.00 an hour plus stock options forQuick Facts the average unskilled team member-far above average. 12/14/2012 Lisa Collins Capella University Student 7
  • 8. Performance Management Methods 360 Degree Review Process Whole Foods Market utilizes software as part of its performance management system. According to Michelle Hirschof Whole Foods Market ProfileXT and CheckPoint 360 are the products we like to use for leadershipdevelopment. These tools give participants insight into their own skills (Hirsh, M.?).The organization has a clear formal feedback system in that it utilizes self-assessment, peer review, and scoringsoftware to give the human resources manager a clear picture of the employees performance.The employee is evaluated by raters set to compare the employees behaviors and performances to writtenorganizational standards, as well as peer and self-assessment methods. Peer Evaluation Openly Conducted HRIM software & Store measuremen L