As a new member of the board of director for a local bank, Patrick Johnson was being introduced to all the employees in the main office. When he was introduced to Nelly Lim, he was curious about her work and asked her what the machine she was using did. Nelly Lim replied that she really did not know what the machine was called or what it did. She explained that she had only been working there for 2 months. However, she did now know precisely how to operate the machine. According to her supervisor, she was an excellent employee.

            At one of the branch office, the supervisor in charge spoke to Johnson confidentially, telling him that "something was wrong," but she did not know what. For one thing, she explained, employee turnover was too high, and no sooner had one employee been put on the job than another one resigned. With customers to see and loans to be made, she continued, she had little time to work with the new employees as they came and went.

            All branch supervisors hired their own employees without communication with the main office or other branches. When an opening developed, the supervisor tried to find a suitable employee to replace the worker who had quit. After touring 22 branches and finding similar problems in many of them, Johnson wondered what the main office should do or what action he should take. The banking firm generally was regarded as being a well-run institution that had grown from 27 to 191 employees during the past 8 years. The more the thought about the matter, the more puzzled Johnson become. He couldn't quite put his finger on the problem, and he didn't know whether to report his findings to the president.

Ascertain cause of the problems in the bank's main office and branches. (4 marks)

Do you think setting up a Human Resource Department in the main office would help? Describe by giving example.

                                                                                                                              (6 marks)

Explain the specific functions should a Human Resource Department carry out.

                                                                                                                              (10 marks)

Explain the HR functions would then be carried out by supervisors and other line managers.

                                                                                                                              (10 marks)

In the new HR organization, describe the role of the internet.

                                                                                                                              (5 marks)

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