Managing Human Resources
Human resources: the individuals within the firm, and to the
portion of the firm's organization that deals with the hiring, firing,
training, and other personnel issues.
IKEA:
Furnishing Good
Employees Benefits Along with
Dining Room Sets
Cami Ichiki & Stacy Iwai
Overview
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Pernille Spiers-Lopez
Employee Leadership
Employee Commitment
Employee Flexibility
Employee Benefits
IKEA History
SWOT analysis
Pernille Spiers-Lopez
President of IKEA North America
• Named president in 2001, when sales staff turnover
was 76%. The next year she helped the company
slash turnover to 56%.
• Believes that “The number one priority is family”
• Last fall, Working Mother magazine named IKEA
North America one of the 100 best companies for
working mothers and singled out Spiers-Lopez for
its Family Champion Award.
Employee Leadership
• Spiers-Lopez suggested that effective leadership
starts with self-examination.
• Leadership is about being in front of everyone and
taking steps that others can’t always see.
• Good leaders must recognize that they do not have
all the answers.
• Leadership today is really about enjoying change.
Employee Commitment
• It’s easy to be committed to the co-worker
who’s doing great.
• Spiers-Lopez believes that “The real
commitment is when the employee is
struggling. When I hire you, I am there until
you don’t want to do it anymore.”
Employee Flexibility
• A key part of Spiers-Lopez’s job is to convince her
managers to find ways to match their stores’ needs
with those of employees:
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using flexible work schedules
job sharing
compressed work weeks
other techniques
• The company has a strong commitment to
diversity and tries to attract employees who reflect
the communities in which stores are located.
Employee Benefits
• Full medical and dental insurance
(20+ hours/week)
• Coverage for domestic partners and children
• Paid maternity leave
• Tuition assistance
• Flexible work schedules.
IKEA History
• In 1943, IKEA was founded by Ingvar Kamprad
• Based in Sweden
• The stores exteriors are painted bright blue and yellow, Sweden’s
national colors.
• Originally sold pens, wallets, picture frames, watches, jewelry and
nylon stockings. Now IKEA specializes in fashionable furniture
and home accessories at low prices.
• In 1951, the first IKEA furniture catalog is published
• In 1985, the first IKEA store opened in the USA
• IKEA North America headquartered in Plymouth Meeting, Pa.
• IKEA numbers 76,000 employees in 200 stores in 31 countries
• Employs about 7,000 in the U.S. stores and plans to open 50
new stores over the next decade.
SWOT Analysis
• Strengths
– Low prices
– Advertising (catalog,
website, radio, word of
mouth)
– Good online presence
– Wide range of products &
styles
– Self-Serve area
– One-stop shopping
– Model rooms
– A typical IKEA has a
Restaurant, Grocery Store,
Supervised play area & Baby
care room
• Weaknesses
– Assemble products yourself
– Few locations
– Store layout (store too big
for some)
SWOT Analysis cont.
• Opportunities
– Have some assembled
furniture
– More stores
– Sell some of their
furniture in other retail
stores
• Threats
– No direct competition
– Intertypes
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Walmart
Kmart
Home Depot
Sears
– Pier 1
Sources
• http://www.ikea.com
• http://knowledge.wharton.upenn.edu/article/9
59.cfm
• http://www.google.com/search?hl=en&lr=&oi=
defmore&defl=en&q=define:Human+resource
• http://www.borg.com