hrm case study 3

HRM Case Studies With Solutions

Published by admin on january 5, 2020.

Let’s study Human Resource Management Case Studies with solutions. HRM Case studies play a vital role in management education especially in subjects like Human Resource Management (HRM), Personnel Management, PAAP and related subjects.

It gives a clear picture of the concepts when you practise them through case studies. Here we have given some live HRM case studies that are short, useful & interesting. This will allow you to think beyond the theoretical part and make you capable to apply the concepts in real-time situations.

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We are also providing solutions which are free of cost. We welcome your feedback about these HRM case studies.

Below are short and simple Case Studies on HRM with Solutions, Questions, and Answers.

HRM Case Study 1

Harsha and Franklin both of them are postgraduates in management under different streams from the same B-School. Both of them are close to each other from the college days itself and the same friendship is continuing in the organization too as they are placed in the same company, Hy-tech technology solutions. Harsha placed in the HR department as employee counsellor and Franklin in the finance department as a key finance executive. As per the grade is concerned both are at the same level but when responsibility is concerned Franklin is holding more responsibility being in core finance.

By nature, Harsha is friendly in nature and ready to help the needy. Franklin is silent in nature ready to help if approached personally and always a bit egoistic in nature. They have successfully completed 4 years in the organization. And management is very much satisfied with both of them as they are equally talented and constant performers.

Harsha felt that now a day’s Franklin is not like as he uses to be in the past. She noticed some behavioural changes with him. During general conversations, she feels that Franklin is taunting her that she is famous among the employees in the organization, on the other hand, he is not even recognized by fellow employees.

One morning Mr. Mehta General Manager Hy-tech technology solutions shocked while going through the mail received from Franklin about his resignation. Mr. Mehta called Harsha immediately and discussed the same as she is close to Franklin. By hearing the news Harsha got stunned and said that she does not know this before she also revealed here current experience with him. Mr. Mehta who does not want to lose both of them promised her that he will handle this and he won’t allow Franklin to resign.

In the afternoon Mr. Metha took Franklin to Canteen to make him comfortable after some general discussion he starts on the issue. Franklin, after some hesitation, opened his thinking in front of Mr. Mehta. The problem of Franklin is

1) when he comes alone to canteen the people from others don’t even recognize him but if he accompanied by Harsha he gets well treated by others.

2) one day Both of them entered the company together the security in the gate wished them but the next day when he came alone the same security did not do so.

3) Even in meetings held in the office, the points raised by Harsha will get more value so many times he keeps silent in the meeting.

It happens to Franklin that he has to face such degradation in each day of work which totally disturbs him. Franklin also questioned that ” Harsha and myself have the same qualification, from the same institute, passed out in the same year both with first class. We have the same number of experiences in this organization. Moreover, the responsibilities with me are more valuable than those of Harsha. After all these things if I am been ignored or unrecognized by the fellow employees my ego does not allow me to continue here”.

By listening to this statement Mr.Metha felt that it is not going to be very difficult to stop his resignation. Mr. Mehta explained Franklin the reasons for such partial behaviour of the employees. After listening to Mr. Mehta Franklin said sorry for his reaction and ready to take back his resignation. And he called Harsha and spoke with like before.

Questions for HRM Case Studies: Case Study 1

Find the reason that Mr. Mehta would have given to Franklin.

Solution for HRM Case Study 1

Mr. Mehta listening to this case understood the situation and realized the reason behind the partial response given by the employees towards Franklin and Harsha. As Franklin said both Harsha and Franklin are passed out from the same college in the same year. Both of them joined the company together both have the same experience. Even in performance-wise, both stands in the same level i.e. both are constant performers and good performers.

Franklin analyzed all the above-said similarities between him and Harsha. He also stated that he holds more responsibility than that of Harsha. One thing Franklin did not notice or analyzed is the job profile of Harsha. It is true that Franklin holds more responsibility than that of Harsha but when it comes to direct interaction with employees Harsha wins the employees’ attention in this aspect. Harsha being a counsellor in HR she faces the employees every day. She developed good rapport among the employees due to her friendly nature. She is always remembered by the employees whenever they face any problem as she gives good counselling and most of the time she suggests the best solutions for such issues.

Franklin though holding a key position in finance his profile does not allow him to interact with the employees. Though he has a helping tendency he does only when someone approached him personally. As the employees of other departments do not have any relation with him they never approach him for help. Mr. Mehta having a good experience understood these things when Franklin explained his problems one by one. Later he relates each situation, explained by Franklin with the above said reasons and made Franklin understood the reality.

Mr. Mehta said that the security in the gate or the employees in the canteen who recognized Harsha and not Franklin would have interacted with her during counselling or approached her for any issues. And as usual, she would have counselled well or solved the issues of them that is the reason why they treat her and wish her whenever where ever they meet her. When it comes to the case of Franklin they would have hardly met him or interacted with him.

When it comes to the point that even in-office meetings Harsha, points are valued so Franklin keeps mum. For this, Mr. Mehta replied that the points put forward by her would be related to employees or from the employees’ point of view which actually the management wants to know so they give value to her points. And as quoted Fraklin after, one or two such incidents keep silent in the meeting. He never made an attempt to raise some suggestions so management does not have any option to listen to that suggestion.

After listening to all the explanations given by Mr. Mehta Franklin realized his mistake and felt proud of the Rapport developed by Harsha among the employees. He said to Mr. Mehta that he will take back his resignation. And rushed to Harsha to make an apology and to meet her as a friend as like his college days.

HRM Case Studies Part 2:

HRM Case Study 2

Watson Public Ltd Company is well known for its welfare activities and employee-oriented schemes in the manufacturing industry for more than ten decades. The company employs more than 800 workers and 150 administrative staff and 80 management-level employees. The Top-level management views all the employees at the same level. This can be clearly understood by seeing the uniform of the company which is the Same for all starting from MD to floor level workers. The company has 2 different cafeterias at different places one near the plant for workers and others near the Administration building. Though the place is different the amenities, infrastructure and the food provided are of the same quality. In short, the company stands by the rule of Employee Equality.

The company has one registered trade union. The relationship between the union and the management is very cordial. The company has not lost a single man day due to strike. The company is not a paymaster in that industry. The compensation policy of that company, when compared to other similar companies, is very less still the employees don’t have many grievances due to the other benefits provided by the company. But the company is facing a countable number of problems in supplying the materials in the recent past days. Problems like quality issues, mismatch in packing materials (placing material A in the box of material B) incorrect labelling of material, not dispatching the material on time, etc…

The management views the case as there are loopholes in the system of various departments and hand over the responsibility to the HR department to solve the issue. When the HR manager goes through the issues he realized that the issues are not relating to the system but it relates to the employees. When investigated he come to know that the reason behind the casual approach by employees in work is

• The company hired new employees for a higher-level post without considering the potential internal candidates.
• The newly hired employees are placed with higher packages than that of existing employees in the same cadre.
• Narrate the case with a suitable title for the case. Justify your title.

Solution for HRM Case Case Study 2

Employee Equality is not the need for every hour. In the above-said case, Watson Ltd had provided all facilities to employees at each grade in an equal manner. But still, the employees started creating certain issues like materials are meeting the quality supply schedule is not met etc. And the HR manager said that the policy of hiring new employees for the higher post without considering old potential employees is the major problem.

“Employee recognition VS Employee equality ”. As the HR manager states that employees are not been recognized for the potential rather the company has gone for new recruitment. Because of which the company faces problems.

• The points rose by the HR manager as the reason for the latest issues in the organization is justifiable or not. Support your answer with Human resource related concepts.

Yes, the points raised by the HR manager is justifiable because “Human beings are social Animals as popularly” said by many Human resources Scholars. So human minds demand social recognition, self-respect, consideration, etc for their work and performance.

In the above-said case, even the company provides and stands by the concept of employee equality when it fails to recognize the potential talents of existing employee they felt dissatisfaction towards the organization and they showed in the way of quality issues and slow down production.

Related HR concept.

Slow down Production:

The concept of slow down production is a type of employee’s strike. The Industrial Relations sates that when the employee wants to show their dissatisfaction to the management but don’t want to go for strike they follow slow down strike. The impact of which will be understood after a particular time period.

Employee Recognition:

Human beings can be easily motivated by Rewards and recognition than that of money. In this case, also the employee is not satisfied even after all facilities just because of the reason that they are not recognized.

Hawthrone Experiment:

In the four types of test conducted by Elton Mayo, the remarkable hike in production is recognized in the stage when they consulted the employees for the management decisions regarding them. The same thing was missing in Watson Ltd. Before the new hires if the management consulted the employees both management and employees would have avoided this issue

Hygiene Factor:

The theory of hygiene factors states that there are certain factors related to employees the presence of which will not create a major impact but the absence of such things will lead to a de motivation to the employees. Employee Recognition is one such factor when the management fails to do so it will Detroit the employees to a great extent.

• Help the organization to come out from this critical issue. If you are in the role of HR manager what will be your immediate step to solve this case.

If I was in the post of the HR manager I will try to discuss the issue and ask for the reason from the management for new recruiting rather than considering available potential talents. I will personally analyse the reasons provided by management and if acceptable I will discuss the same with the employees. Everything is possible with a discussion. So I will discuss and convince the employee that this won’t happen again in the organization. I will also initiate the collective bargaining process for reasonable salary hike for the existing employees.

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HR Training Resources

A Guide to Human Resources Management Case Studies

Human Resource Management case studies provide valuable insights into the challenges faced by HR professionals in diverse workplaces. In this comprehensive guide, we will explore real-life examples of HRM in action, showcasing the strategies and solutions implemented to tackle various HR challenges.

Key Takeaways:

• Human Resources Management Case Studies offer practical insights for HR professionals.
• Real-life examples highlight strategies and solutions for overcoming HR challenges.
• Case studies showcase the importance of effective HR strategies in organizational success.
• Diverse scenarios demonstrate the application of HRM practices in different workplaces.
• Continuous learning and adaptation are crucial for HR professionals to stay effective.

The Changing Landscape of HRM

In the rapidly evolving global business environment, Human Resources Management (HRM) is constantly adapting to new trends and challenges. From the emergence of emerging markets to the digitalization of workplaces, HR professionals have had to navigate through various obstacles to effectively manage their workforce. One of the most significant challenges in recent times has been the global COVID-19 pandemic, which has necessitated swift and innovative HR strategies.

To gain a deeper understanding of how organizations have successfully managed these changes and optimized their HR practices, we will delve into a range of case studies. These case studies provide valuable real-world examples that HR professionals can analyze and apply in their own organizations. By studying these HR case studies , professionals can learn from the experiences of others, gaining insights into successful strategies and approaches.

Utilizing HR case studies for analysis allows us to discover how organizations have leveraged HRM to overcome obstacles and adapt to new circumstances. These real-life examples showcase the diverse ways in which organizations have effectively managed HR challenges, providing valuable lessons and strategies for HR professionals across industries.

Company XYZ, a multinational technology firm, faced challenges in attracting and retaining top talent due to the fast-paced nature of the industry. To address this, they implemented a strategic HR initiative that focused on creating a flexible work environment, providing opportunities for professional development, and offering competitive compensation packages. As a result, the company experienced a significant reduction in employee turnover and an increase in employee satisfaction and productivity.

This case study highlights how HR professionals at Company XYZ were able to adapt to the changing landscape of HRM by implementing innovative strategies. By analyzing such success stories, HR professionals can gain valuable insights into the strategies and practices that drive organizational success.

• HRM is constantly evolving to respond to new trends and challenges in the business world.
• Case studies provide real-world examples of effective HR practices in managing change.
• Successful organizations leverage HRM strategies to optimize their workforce and drive organizational success.

The Importance of Effective HR Strategies

Effective HR strategies are crucial for organizations to attract, retain, and develop top talent. By implementing strategic HR practices, companies can create a positive work environment that fosters employee engagement, productivity, and overall organizational success. In this section, we will explore case studies that highlight successful HR strategies implemented by companies across different industries, providing valuable insights for research and inspiration.

Case Studies: Success Stories in HR Management

Case Study 1: Company X

“Our HR strategy of prioritizing employee well-being and work-life balance has had a significant impact on our organizational culture. Through flexible work arrangements, wellness programs, and regular communication channels, we have seen a remarkable increase in employee satisfaction and productivity.”

Case Study 2: Company Y

“By investing in employee development and career progression, we have been able to attract top talent and retain key employees. The implementation of mentorship programs, training initiatives, and performance feedback systems has led to higher employee engagement and a stronger talent pipeline.”

Case Study 3: Company Z

“Our HR strategy focuses on promoting a diverse and inclusive workforce. Through targeted recruitment efforts, diversity training programs, and inclusive policies, we have successfully created a culture that celebrates and values diversity, leading to improved employee satisfaction and innovation.”

The Impact of Strategic HR Practices

These success stories demonstrate the tangible benefits of strategic HR practices. Organizations that prioritize effective HR strategies are better equipped to attract and retain top talent, foster employee engagement and satisfaction, and drive overall organizational success. By studying these case studies, researchers and HR professionals can gain valuable insights and inspiration to enhance their own HR practices and achieve similar levels of success.

By examining these HRM case studies for research and guidance, organizations can adopt successful strategies and adapt them to their unique contexts. The implementation of effective HR strategies is key to creating a thriving workplace culture that empowers employees, maximizes productivity, and ultimately drives the success of the organization.

Fundamental Concepts of HR Management

Before diving into Human Resources Management Case Studies , it is essential to have a solid understanding of the fundamental concepts that underpin HR management. This section will explore key definitions and concepts to provide a strong foundation for in-depth analysis of the case studies.

Definitions and Clarifications

Let’s start by clarifying some key terms:

• Management : Refers to the process of coordinating and overseeing organizational resources to achieve specific goals and objectives.
• Resources : In the context of HR, resources refer to the individuals who contribute to the organization’s success, including employees, contractors, and other stakeholders.
• Role of a Manager : A manager is responsible for planning, organizing, directing, and controlling resources to achieve organizational goals and objectives. In the HR context, managers focus on effectively managing human resources.
• Difference between Management and Administration : While the terms management and administration are sometimes used interchangeably, it is important to note the subtle distinctions. Management is concerned with the implementation of strategies and the coordination of resources, whereas administration involves the overarching policies, procedures, and regulations that govern the organization.

By understanding these fundamental concepts, we can delve deeper into the case studies and gain valuable insights into the challenges and solutions faced by HR professionals.

Inspiring Quote

“Management is doing things right; leadership is doing the right things.” – Peter Drucker

Key Definitions

Management Functions and Responsibilities

Effective management is essential for HR professionals in their role of overseeing an organization’s human capital. Understanding the four basic functions of management – planning, organizing, directing, and controlling – is critical for HRM success. Each function contributes to the efficient and effective management of human resources, ensuring organizational goals are met.

In addition to these management functions, HR managers have specific responsibilities that contribute to the overall success of the organization. These responsibilities include:

• Recruitment and selection of qualified candidates
• Employee onboarding, training, and development
• Creating and enforcing HR policies and procedures
• Ensuring legal compliance in all HR practices
• Managing employee relations and resolving conflicts
• Designing and administering compensation and benefits programs
• Developing and implementing employee engagement initiatives
• Overseeing performance management and evaluation processes

Furthermore, HR plays a vital role in the administrative cycle of an organization. HR professionals are responsible for managing and maintaining accurate HR records, handling payroll and benefits administration, and ensuring compliance with employment laws and regulations.

By effectively executing their management functions and fulfilling their responsibilities, HR professionals contribute to the development and success of an organization’s human resources, driving overall organizational performance and productivity.

Skills and Competencies in HR Management

The success of an HR manager relies on a combination of technical skills and personal qualities. Understanding and mastering these essential skills and competencies is crucial for effectively managing human resources in any organization. Here, we will explore the key characteristics that distinguish an effective HR manager and how they contribute to success in HR management.

1. Integrity

Integrity is the foundation of trust in any HR department. HR managers must demonstrate honesty, transparency, and ethical behavior in all aspects of their work. By upholding high ethical standards, HR managers cultivate a culture of integrity, ensuring fair and unbiased treatment of employees and fostering a positive work environment.

2. Flexibility

Flexibility is essential in an ever-changing business landscape. HR managers must adapt to evolving workplace dynamics, industry trends, and technological advancements. This includes being open to new ideas, embracing change, and continuously updating HR strategies to align with organizational goals and employee needs.

3. Resilience

HR managers often face challenging situations that require resilience and the ability to navigate complex issues. They must stay composed in difficult times, effectively manage conflicts, and find creative solutions to address HR challenges. Resilient HR managers are invaluable assets to organizations, as they can lead teams through change and uncertainty, ensuring continuity and stability.

4. Proactivity

Successful HR managers are proactive in identifying potential issues before they escalate. They anticipate future needs and create proactive strategies to address them. By staying ahead of the curve, HR managers can plan and implement initiatives that support employees’ growth, well-being, and overall job satisfaction.

“Proactive HR managers take a proactive approach to identify potential pitfalls early on, allowing organizations to prevent problems rather than just managing them when they arise.”

In addition to these personal qualities, HR managers must possess a range of technical skills to effectively manage human resources. Some of these skills include:

• Recruitment and selection
• Training and development
• Performance management
• Employee relations
• Compensation and benefits
• HR data analysis

To exemplify these skills and competencies, let’s take a look at a real-life HR case study:

By analyzing such HR case studies , aspiring HR professionals and organizations can gain valuable insights into the practical application of skills and competencies in HR management.

Now that we have explored the essential skills and competencies in HR management, it is clear that successful HR managers possess a unique blend of personal qualities and technical skills. These individuals play a vital role in driving organizational success by effectively managing human resources and fostering a positive work environment.

Employee Motivation and Engagement

Motivated and engaged employees are essential for organizational success. In this section, we will explore the crucial role of HR in motivating employees and fostering a culture of engagement. By examining real-life case studies, we will identify effective strategies and initiatives implemented by organizations to boost employee motivation and engagement.

Motivation through Recognition

Employee recognition is a powerful tool for motivating and engaging employees. Organizations that prioritize recognition programs create a culture of appreciation and reinforce desired behaviors. Case studies highlight the impact of tailored recognition programs on employee satisfaction, morale, and performance.

Professional Development and Growth

Providing opportunities for professional development and growth is another key driver of employee motivation and engagement. Organizations that invest in training, mentorship programs, and career advancement opportunities empower employees to enhance their skills and fulfill their potential. Real-life examples demonstrate how these initiatives contribute to higher employee satisfaction and loyalty.

Well-being Initiatives

Employee well-being initiatives play a vital role in nurturing a positive work environment and enhancing motivation. By offering wellness programs, flexible work arrangements, and promoting work-life balance, organizations prioritize the holistic well-being of their employees. Case studies highlight the positive impact of these initiatives on employee engagement, productivity, and overall satisfaction.

Effective Communication

Open and transparent communication is integral to fostering motivation and engagement among employees. Organizations that prioritize effective communication channels, including regular feedback, town hall meetings, and collaborative platforms, create an environment of trust and inclusion. Real-life examples demonstrate how improved communication positively influences employee engagement and overall organizational performance.

“Effective employee motivation and engagement are the cornerstones of a thriving organization. By examining real-life case studies, HR professionals and organizations can gain valuable insights into successful strategies and initiatives that fuel motivation and foster meaningful employee engagement.”

The case studies above demonstrate how organizations have successfully implemented strategies to motivate and engage their employees. By leveraging recognition, professional development, well-being initiatives, and effective communication, these organizations have created a positive work environment that drives employee satisfaction, productivity, and loyalty.

Strategies for Effective HR Management

HR professionals play a critical role in developing and implementing effective HR strategies. By analyzing real-life case studies, we can gain valuable insights into HR best practices. These case studies highlight successful strategies in key areas such as:

Recruitment and Selection

Training and development, performance management, compensation and benefits, labor relations.

Let’s explore how organizations have utilized these strategies to optimize their HR practices and achieve their business objectives.

“The key to effective HR management lies in understanding the unique needs and challenges of your organization. By analyzing case studies, we can gain valuable insights and tailor our strategies to drive employee engagement, productivity, and organizational success.”

Effective recruitment and selection processes are crucial for attracting and hiring top talent. Case studies in this area often showcase innovative methods used to identify and attract qualified candidates. From leveraging technology platforms for applicant screening to implementing targeted recruitment campaigns, organizations have successfully optimized their hiring processes.

Investing in employee training and development is essential for enhancing skills and fostering long-term growth. By examining case studies in this domain, we can learn from organizations that have successfully implemented comprehensive training programs, mentorship initiatives, and continuous learning platforms. These strategies contribute to a skilled and motivated workforce.

Effective performance management systems align individual and team goals with organizational objectives. Case studies in this area often highlight organizations that have implemented performance measurement frameworks, regular feedback systems, and performance-based incentives. This data-driven approach ensures transparency, fairness, and continuous improvement.

Strategic compensation and benefits programs attract, retain, and motivate talented employees. Case studies demonstrate how organizations have designed competitive salary structures, employee recognition programs, and comprehensive benefits packages. These initiatives contribute to higher employee satisfaction, engagement, and overall organizational performance.

Managing labor relations requires effective communication, negotiation, and conflict resolution skills. Case studies in this area offer insights into organizations that have successfully fostered positive relationships with unions, implemented fair labor practices, and resolved labor disputes amicably. These examples highlight the importance of proactive labor management strategies.

By learning from these case studies and applying the demonstrated strategies, HR professionals can optimize their HR management practices and create a positive impact on organizational success.

These case studies showcase the application of effective HR management strategies in different organizations. They provide practical examples of how organizations have achieved success by implementing various strategies tailored to their unique needs and challenges.

Leveraging HR Technology

HR technology has revolutionized HRM processes, enabling organizations to streamline operations and enhance efficiency. By leveraging the power of technology, HR professionals can optimize their strategic decision-making and ensure a seamless employee experience.

Let’s examine some insightful case studies that illustrate the successful implementation and utilization of HR technology. These examples demonstrate how organizations have harnessed the potential of HRIS (Human Resource Information System), talent management software, and data analytics tools to drive meaningful outcomes and achieve their HR objectives.

Case Study 1: Enhancing Recruitment with HRIS

In this case study, Company ABC implemented an HRIS software to streamline their recruitment process. The software automated job posting, applicant tracking, and resume screening, significantly reducing the time and effort spent on manual tasks. With the implementation of HRIS, the HR team at Company ABC experienced a 40% reduction in time-to-hire and an improvement in the quality of hires.

“The HRIS software has transformed our recruitment process, allowing us to focus on strategic talent acquisition. The automation and advanced analytics capabilities have enabled us to make data-driven decisions and hire top talent efficiently.” – Sarah Thompson, HR Manager, Company ABC

Case Study 2: Optimizing Performance Management with Talent Management Software

In this case study, Company XYZ adopted a talent management software platform to streamline their performance management process. The software offered features such as goal setting, continuous feedback, and performance analysis, empowering managers and employees to take a more proactive approach to performance improvement. As a result, Company XYZ experienced a significant increase in employee engagement and aligned performance goals across the organization.

“The talent management software has revolutionized our performance management process. It has fostered a culture of continuous feedback and empowered our employees to take ownership of their professional growth. The transparent performance analytics have enabled us to identify and reward top performers effectively.” – John Davis, HR Director, Company XYZ

Case Study 3: Leveraging Data Analytics for Strategic Decision-Making

In this case study, Company DEF implemented advanced data analytics tools to gain insights into their HR processes. By analyzing data related to employee engagement, turnover rates, and performance metrics, the HR team at Company DEF could identify trends, patterns, and areas for improvement. This strategic use of data analytics enabled Company DEF to make informed decisions and implement targeted HR interventions, resulting in improved retention rates and increased productivity.

“Data analytics has been a game-changer for our HR department. By leveraging actionable insights from our HR data, we have been able to proactively address employee concerns, enhance our talent acquisition strategies, and design targeted training programs. Our data-driven approach has significantly contributed to our overall organizational success.” – Lisa Johnson, HR Manager, Company DEF

These case studies demonstrate how organizations can harness the potential of HR technology to drive efficiency, improve decision-making, and enhance the employee experience. By leveraging the right combination of HRIS, talent management software, and data analytics tools, HR professionals can transform their HR practices and contribute to the strategic objectives of the organization.

Leveraging HR technology is essential in today’s digital era, where technology continues to shape the future of work. By staying informed about the latest HR technology trends and exploring case studies, HR professionals can identify opportunities for innovation and drive impactful HR initiatives.

Now, let’s explore another critical aspect of HR management – diversity and inclusion.

Diversity and Inclusion in HR Management

In today’s diverse workforce, creating an inclusive environment is essential for effective human resources management. Organizations that prioritize diversity and inclusion benefit from improved employee satisfaction, increased productivity, and enhanced innovation. Let’s explore some real-life examples of HRM case studies that highlight the successful efforts of organizations to foster diversity and inclusion within their workforce.

Case Study 1: XYZ Company

XYZ Company, a global technology firm, recognized the value of diversity and inclusion in driving organizational success. They implemented a comprehensive diversity program that focused on recruiting and retaining employees from diverse backgrounds. By promoting a culture of inclusion through training, mentorship, and employee resource groups, XYZ Company witnessed a significant increase in employee engagement and creativity. This case study demonstrates the positive impact of diversity and inclusion initiatives on overall organizational performance.

Case Study 2: ABC Corporation

ABC Corporation, a leading retail company, recognized the importance of diversity and inclusion in meeting the needs of their diverse customer base. They implemented unconscious bias training for their hiring managers and implemented policies to ensure equal opportunities for all employees. As a result, ABC Corporation experienced improved employee satisfaction, reduced turnover rates, and a boost in customer loyalty. This case study exemplifies the positive outcomes that can be achieved through a commitment to diversity and inclusion in HR management.

By analyzing these HRM case studies , organizations can gain valuable insights into successful diversity and inclusion initiatives. Implementing similar strategies, such as targeted recruitment efforts, inclusive policies, and diversity training programs, can help companies create a more inclusive and diverse workforce, fostering a culture of innovation and success.

Incorporating diversity and inclusion into HR management practices is not only a legal and moral imperative, but it also leads to tangible business benefits. Organizations that embrace diversity and create an inclusive workplace are better equipped to attract top talent, retain employees, and drive innovation. By learning from these HRM case studies , organizations can develop effective strategies to foster diversity and inclusion, ultimately contributing to their long-term success.

Adapting HR Practices in Times of Crisis

In times of crisis, such as economic downturns or natural disasters, HR professionals face unique challenges that require them to adapt their practices quickly and effectively. By analyzing HRM case studies that showcase organizations’ responses to crises, we can gain valuable insights into the strategies and approaches they employed to navigate through turbulent times and emerge stronger.

The Importance of Flexibility

One key lesson we can learn from HR case studies in times of crisis is the importance of flexibility. Organizations need to be agile and responsive to rapidly changing circumstances. HR professionals play a vital role in proactively adjusting HR practices, policies, and procedures to meet the immediate needs of employees and the organization as a whole.

“During the global financial crisis of 2008, XYZ Corporation faced severe economic challenges that threatened its survival. The HR team swiftly implemented cost-cutting measures, including a freeze on hiring and salary reductions, while carefully balancing employee morale and engagement. Through open communication and transparent decision-making, XYZ Corporation managed to weather the storm and emerge with a more resilient workforce.”

By adopting a flexible approach, HR professionals can help organizations navigate through turbulent times, mitigate the impact on employees, and position the company for recovery and future growth.

The Power of Resilience

Resilience is another critical factor in adapting HR practices during a crisis. HR professionals need to demonstrate resilience in the face of uncertainty and guide employees through challenging times. By instilling confidence, providing support systems, and fostering a sense of unity, HR managers can help organizations withstand the pressures of a crisis and emerge stronger.

Resilience can be seen in action through the implementation of employee assistance programs, mental health initiatives, and crisis communication plans. These measures help employees navigate the emotional and psychological challenges brought on by the crisis, ensuring their well-being and enabling them to contribute effectively to the organization’s recovery efforts.

Proactive Planning for Future Crises

The best HR case studies in times of crisis highlight the importance of proactive planning. While crises may be unexpected, organizations can anticipate potential challenges and develop contingency plans to address them swiftly and efficiently. By anticipating various scenarios and regularly reviewing and updating crisis response strategies, HR professionals can position their organizations for success even in the face of uncertainty.

In addition to crisis preparedness, proactive planning involves identifying key skills and competencies that will be crucial in future crises. By integrating training programs, succession planning, and talent management initiatives into their HR practices, organizations can ensure they have the capabilities necessary to navigate through any crisis that may arise.

Table: Strategies for Adapting HR Practices in Times of Crisis

Adapting HR practices in times of crisis requires a combination of flexibility, resilience, and proactive planning to ensure the well-being of employees, maintain productivity, and secure the organization’s long-term success.

Human Resources Management Case Studies provide HR professionals with valuable insights into real-world challenges and innovative solutions. By analyzing these examples, organizations can learn from best practices and optimize their own HR strategies. The showcased case studies highlight the diverse scenarios that HR professionals face and the creative approaches they employ to overcome obstacles.

Continuous learning from these experiences enables HR professionals to enhance their skills and contribute to the overall success of their organizations. These case studies serve as a source of inspiration, demonstrating the importance of adaptability, strategic thinking, and effective HR management.

By embracing the lessons learned from Human Resources Management Case Studies, HR professionals can strengthen their expertise, foster employee engagement, and drive organizational growth. These real-life examples reaffirm the significance of HRM for businesses in today’s dynamic and ever-evolving corporate landscape.

Source Links

• https://www.shrm.org/credentials/certification/educators/teaching-resources
• https://www.e-elgar.com/shop/usd/case-studies-in-work-employment-and-human-resource-management-9781788975582.html
• https://gfoundry.com/everything-you-need-to-know-about-human-resources-a-manual-for-managers-and-professionals/

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A Guide to Human Resources Management Systems Analysis

An HRMS, or Human Resources Management System, is a suite of software applications used to manage human resources and related processes throughout the employee lifecycle. HR leaders and staff are the primary users of an HRMS, and it provides important benefits to other departments such as managers, employees, and finance teams. The terms HRIS (Human…

A Guide to Human Resource Management Workshops

Human resource management workshops play a crucial role in equipping managers with the necessary tools and skills to handle various HR situations. These workshops provide comprehensive training in areas such as interviewing, orientation, safety, harassment, and termination, ensuring that managers are well-prepared to address these critical aspects of HR management. With training manuals, PowerPoint slides,…

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• September 26, 2022

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HR as a function has undeniable importance from a business management perspective. With the advancement in technology, 2022 saw a huge technological shift in this aspect of business management as well. Apart from digitizing all other business aspects, organizations have begun to incorporate technology and data into HR practices as well.

HR Analytics Case Studies with Business Impact and its benefits are listed below:

An american mnc reduces attrition using people analytics and forecasting.

Case: This American MNC is a client of PeopleStrong and is suffering from a high turnover of employees at five locations. The company intended to install analytics in order to evaluate the main drivers of attrition and do forecasting for their occurrence at different business locations.

Solution: An integrated tool for workforce analytics was created and implemented. This tool could capture attrition results and their drivers and do a forecasting based on trends.

Also Read:  Executive Development Program In Human Resource Management From XLRI Jamshedpur

Result: The forecasting report predicted that 500 of the 5000 employees were going to quit in the next 6 months. Better employee retention policies were designed which included rewards and incentives apart from better people strategies. Even though 250 people still left, the figure was 50% lower than the prediction.

Under Armour digitized employee recruitment and enhanced employee experience

Case: Under Armour, an American organization dealing with the manufacture of sports and casual apparel and footwear, is a global company. With more than 130 global outlets and 8500 employees, their ATS system received more than 30,000 resumes in a month. Thus, hiring was a cumbersome process for them as well as candidates applying for a job.

Solution: They engaged in a digital recruitment system called Hirevue. With Hirevue, managers could create interviews with candidates with the help of pre-recorded questions. This screening process helped managers call in only employees who met their requirements for webcam or mobile recorded interviews.

Result: Managers could now hire new employees much more quickly. There was a 35% reduction in time in the overall interview to the hiring process. Talent quality also improved.

These above case studies show the emerging trend of incorporating analytics in the HR function of business management . This can also be seen to have positive results in the recruitment and retention processes. 

Human resource management is quite a recent term. Employees are treated with a lot of respect and regard nowadays compared to earlier. There were times when workers were considered to be expendable and they had few rights. Working conditions were miserable and people had no say in how organizations are operated or in the way they were treated. The industrial revolution is what brought changes. Companies started realizing that keeping employees loyal was essential for running businesses smoothly.  

Caring For Employees During The Industrial Revolution

Courses for human resources certification online teach that before the industrial revolution there were hardly any large industries and a need for managing workers was not felt. Working conditions were dangerous for them and pay was hardly commensurate with what work they did. In the late 1900s, companies like the UK-based Cadbury and Jacob from Ireland appointed welfare officers. These firms introduced a system of payment during sick leaves and cheap housing for employees.

Also Read:  Executive Development Program In HR Analytics From XLRI

It was F W Taylor during the early twentieth century who introduced a system for managing staff. He believed that people could be trained to become experts in certain jobs. The famous carmaker Ford adopted his methods. Tools in manpower management like job analysis, employee selection procedures, and training methods were introduced during this period. Certain fast food organizations also adopted Taylor’s theories. His mistake was that he did not think people can get bored with doing the same job.

Employee Management During The World Wars

Two events that changed many things for us are the first and second world wars. Employee unions had been formed during the first world war. As men went to fight wars, women came to be seen more in workplaces. In your HR training certification by IIM Raipur , you will learn how companies had to think about managing workers and form new rules. Recruitment, dismissal, bonus, and absence from work came under the scope of manpower management.

Researchers like Elton May opined that factors like motivation, job satisfaction, leadership skills, and group dynamics could influence performance. The improvement in the economy after the war saw many firms adopting a more flexible approach to staff members. Big companies used employee benefits to lure and retain people. Personnel and welfare work was in full swing during the second world war, but it was done in a bureaucratic style as government-run firms influenced law-making.

The Post-War Scenario

The 60s were not good times for industrial relations as it was found that none of the entities involved in negotiation had skills to discuss issues of employees. As the decade came to an end, employment opportunities improved, and along with this, people management techniques began to be used. When you study human resources certification online courses you will know that terms like motivation, organizational behavior, and management training were heard more commonly.

Also Read:  Executive Development Program In Talent Management

In the seventies, much was talked about rewarding employees. The next two decades saw economies sliding and companies becoming less profitable. But it was also then that many organizations realized the importance of retaining people. They began looking at workers as an asset that must be taken care of if the firm wants to have an edge over competitors. Humans started to be regarded as resources that need to be effectively managed. Human Resource Management was born.

The Nineties To Now

It is no more only personnel management and administrative tasks for workforce heads. The HR training certification by IIM Raipur will tell you that it is more about employee engagement and development that people managers are tasked with now. Human resource departments are strengthening the culture in an organization and finding people who can fit that environment. They are also tasked with ensuring that every employee gets an opportunity to use his or her talents for the benefit of their companies.

Also Read:  Why is it Important to Study Human Resource Management?

HR managers are more focused on workers than on processes. This department is also gaining more importance as management’s realize a need to attract and retain the best talents available in the market. HR leaders find themselves among the C-suite as their role in getting the best out of employees is increasing. They must understand the needs of a more diverse, multicultural, and multigenerational workforce and ensure to fulfill them. Retention of good hands has assumed much importance nowadays.

The Future Of HR Management

  The human resources certification online courses will teach that it is not just enough to employ and retain people, but they must also be trained and developed. The speed at which new technologies emerge, there is a need to keep employees abreast of modern developments. HR managers must continuously update themselves with modern technology and arrange training programs to empower workers with new skills. The journey of staff members in an enterprise will be that of continuous learning.

Acquiring best talents and retaining them will remain the focus of any progressive organization. People managers will have to find innovative means to attract those who are equipped with the latest skills required for a job. Engaging with prospective employees through social media platforms will be practiced by more HR heads. There will be increased use of automation for screening resumes and conducting initial interviews. This will speed up the process and reduce costs.

HR departments will be trying innovative methods to improve employee experience in the company. They will find out the requirements of the new breed of recruits. Learning opportunities will be improved. Promotions and salary hikes will no longer be based on experience or seniority. New procedures for evaluating employees will be used. Getting HR training certification by IIM Raipur will teach new methods that are used by global enterprises for appraisal and rewarding.

Looking at the evolution of human resource management can show you that there has been a shift from looking at employees as only a means to achieve company objectives, treating them as individuals, and satisfying their needs. There is a realization that it is equally important to ensure that their goals are achieved and these objectives are in line with that of the organization. HR departments will play a more important role as retaining good talent becomes crucial. Combining the human force with machines and using that synergy will be highly important in the future.

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An Introduction to Human Resource Management

Student resources, case studies.

Case studies exploring fascinating additional case studies from the author demonstrating HRM in practice around the world. From the internal vs. external candidate debate to employer branding abroad, learn how companies of all sizes approach different aspects of HRM.

• People Management at Seaside Hotel ​

Seaside Hotel is an independently owned, three-star hotel situated in Newquay in Cornwall. It has 108 rooms and permanently employs 30 full-time staff and approximately 40 part-time employees. During the period of peak demand between May and August, the hotel virtually doubles its labour force with casual and temporary labour. Cornwall presents a challenging environment for any business, particularly those that serve the tourism market. Business is highly seasonal with hotels experiencing very low occupancy during the off-season and many hotels choose not to operate during this time. The Seaside Hotel operates all year round by supplementing its tourism trade during the off-season by offering discounted conferencing facilities for local businesses and as a cheap base for corporate events and activities, such as teambuilding weekends. Tourism is, however, vitally important for the region and its businesses and provides a significant proportion of all jobs in the South West. Cornwall can, however, be a difficult place in which to work.  For instance, Newquay – Cornwall’s most popular holiday destination – is one of the UK’s unemployment black spots due to the seasonality of jobs, with an unemployment rate several times higher than the national average, albeit falling considerably during the summer.

Maintaining a relatively large, permanently employed workforce of 70 employees is a problem for the Seaside Hotel, given that demand during the off-season is highly unpredictable, and when occupancy rates are low it can place a significant burden on the hotel to pay their wages. Conversely, when demand is unexpectedly high during this time, considerable pressure is placed on this ‘skeleton’ workforce to service the needs of customers. In order to cope with this variability of demand, the hotel has trained most of its ‘core’ workforce in a range of skills (for example, silver service waiting, bar work, food preparation, housekeeping, front-of-house, etc.), in order to enable them to cover shortfalls in labour where and when required. The view is taken that even though the wage bill in winter is proportionately higher than in the high season, there is a desire to retain ‘the best and most experienced staff on a year-round basis’. The comprehensive training provided to the core workforce to allow such an approach does, however, present a problem for management. The range of skills possessed by these workers makes them highly employable in the local labour market and the hotel has experienced high turnover among this group in the past. In recognition of their importance, however, the hotel has begun to offer higher than average wages, bonuses attached to length of service and good terms and conditions of employment (for example, a generous holiday entitlement), in order to ensure both staff loyalty and commitment. This has resulted in a largely stable core workforce, many of whom have been at the hotel for several years. This group largely ‘manages itself’ and enjoys a good working relationship both with each other and the hotel management. They are often consulted over new practices or changes being made to the hotel and often make valuable contributions to decision-making. Each month, a member of core staff is chosen to be an ‘employee of the month’ and receives a cash bonus.

During the summer months, casual employees are largely recruited from among those making informal enquires about employment. Some of these transient workers have previous experience of hospitality work but many are unskilled with no prior experience. These casual employees are typically used to ‘top up’ in the kitchen, restaurant, bar and housekeeping – those areas most sensitive to fluctuations in demand. Many of these workers come to Cornwall during the summer months to enjoy the nightlife in Cornwall but are vital for the local economy during this time, as the current hotel manager recognises, stating that ‘Cornwall would not function, could not survive, if people did not come to work here in the summer’. Training is typically minimal and takes place ‘on the job’. Staff are often thrown in at the deep end, after having been briefly instructed on a limited range of simple tasks, with core workers retaining the more skilled work. Casual employees often complain that they are left with the ‘dregs’ in terms of tasks and are used as ‘scivvies’ by the core workers, and senior managers at the hotel often refer to the casual workers simply as ‘bodies’: those employed simply to make up the numbers. The hotel experiences high levels of turnover of staff from this casual workforce but the hotel manager is unconcerned by this, arguing that it simply represents ‘natural wastage’ and that these workers are meant to be ‘disposable’. Casual workers are, subsequently, offered no set hours or guarantees of employment from one day to the next and are paid only the national minimum wage.

• Which elements of the approach taken to the management of employees conform to ‘hard’ and ‘soft’ HRM, respectively?
• What are the potential problems that the current way in which labour is organised and treated might create?
• To what extent do you think that the approach taken to the management of labour in the hotel is ethical?

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Free HRM Case Study with Solution

• Post author: myspeakhr
• Post category: Case Study
• Reading time: 7 mins read

The HRM case study with a solution which focuses on the importance of communication in the organization. This free case study on human resource management with answers elaborates the statement ‘Proper communication Channel a way to Effective Management’. This HR case study is related to how the communication channel is important to make effective management. The hierarchy and reporting system must be effective to avoid any demotivation among the employees.

HRM Case Study with solution

Title of case study: Proper communication Channel a way to Effective Management

Background of the case study

AutoSpare public Ltd is an Age-old automobile industry involves in the manufacturing of engine Spare parts. They are highly valued among the customers as they are a monopoly in some of their parts. Most of the Indian Automobile leaders are the customers of Auto Spare to name a few TATA, Force Motors, M&M and Cummins, etc.

Auto spare has 3 manufacturing Unit and all of them are situated in 3 various places in Southern India and the management is been done from one of the Manufacturing plants located in Chennai. As most of the customers are located in the Northern and western regions of the country the marketing managers are spread in those places convenient to meet the customer. Only the VP Marketing and GM Marketing are working from the head office. They act as a link between the company and the marketing people as they communicate the targets to the marketing people and submit the reports, send by those people, to the higher authorities.

Mr.More, Mr.Mehta, Mr.Rajesh are the marketing team looking after the western region, from where more number of customers are operating. The Job profile of these people includes getting monthly requirements from the clients, mailing the same to the respective departments, looking after the supply whether the goods are reaching the customers as per schedule, and attending the customers in case of any quality issue regarding auto spare parts. And sending the weekly report consists of reports in detail about all the above-said things to the VP & GM Marketing.

In recent days the western region of Autospare is facing a different problem. Even though there is a slag in the Automobile industry being a monopoly Autospare doesn’t face a problem as it gets a continuous schedule to supply from the customers. But the marketing department finds it very difficult to get the material from the plant and supply it to the needy customers. Most of the time it happens that the production itself was supposed to be stopped due to the non-availability of materials from Autospare.

The marketing team has to attend quality issues at least thrice a week. They have sent a number of reports regarding these issues but all at the vein, no improvement from the production side. The marketing executives were losing their good terms with the customers. Slowly the customers started to develop other sources for the parts manufactured by Autospare Pub Ltd. Still, they are finding it difficult to develop such sources as the raw material required is unique. In this situation, the CEO of Autospare visited the customers of the western region. Almost all the customers highlighted the quality as the main issue. And most of them also stated that Autospare fails to supply the products as per schedule most of the time.

As soon as he returned to head office he sent a mail to all the marketing executives in the western region claiming that:-

• “The executives failed to maintain their rapport with that of customers.
• The sales in the western region are not up to the mark due to the irresponsive nature of the marketing department.
• Failed to check out whether the schedule is met or not.
• All the employees in the marketing department of the Western region including the territory head, along with GM and VP must give a detailed explanation about the issue.”

He also demanded a detailed report, from Production VP, regarding Production and dispatch of products along with schedules received by the production department from the Marketing Department.

He also instructed HR Head to investigate the issue and submit the report and also suggest a reporting model that will avoid such an issue later.

Questions on this HRM case study

1. Who is at fault in this case CEO or VP GM Marketing or Production Department or marketing people in the western region. Justify your answer. ( can make necessary assumptions if required)

2. Consider yourself as one of the marketing executives from the western region and frame a report as demanded by the CEO ( can make necessary assumptions if required)

3. If you are the HR Head how will you proceed for the investigation? what will be the reporting model that you will suggest to the CEO?

By analyzing the case it is clearly given that the Marketing department of the western region has sent a number of reports all in vain. Hence the fault, in this case, is on the CEO only. we can quote two major reasons for this a) If the marketing department has sent a number of reports it is the duty of the CEO to take action against these reports and give directions for rectifying actions b) the customer has highlighted the quality issue as the main issue. Even after that, the CEO didn’t consider it as a problem.  Hence CEO is at fault (assumptions: VP GM has reported the reports sent from the western region to the CEO)

Considering myself as a marketing executive I will frame a report highting the following points:

• Number of earlier reports sent to the head office
• Number of quality issues faced during last month from each customer
• Number of times the company failed to supply the materials to the customers on time
• How frequently the western region keep updating the schedule to the production department

( You can add other details which you feel relevant to the case)

Being Head HR I will conduct the investigation in the following manner:

• with western region marketing people- To understand the real problem. Will intimate them to submit a report on the same
• With VP and GM Marketing: To understand their communication and reporting patterns. Whether they comminate with all departments and CEO properly and timely
• With the production department: How they process the communication received from the marketing department. Is there really a quality issue exist.

The report model will be like:

The communication flow needs to be regularised. Both the marketing department and Production department must submit a weekly report and monthly report and the same need to be addressed to CEO also. A review meeting must be kept specifically to address the quality and supply issues. The report of the same must be sent to the CEO.

The solution to this HRM case study will be published on 28 April 2020. Stay tuned.

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The Global Human Resource Management Casebook

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The third edition of The Global Human Resource Management Casebook provides a wide range of international teaching cases exploring contemporary human resource management (HRM) challenges. Each case focuses primarily on one country and illustrates a critical HRM issue confronting managers and HRM practitioners. This real-world application provides students of HRM with a unique opportunity to examine how key HRM theories and ideas translate into practice.

The case studies emphasize the national and cultural contexts of HRM, providing readers with a global understanding of HRM practices like recruitment, reward systems, diversity, and inclusion, as well as recent developments including the impact of the COVID-19 pandemic, remote working, sustainability, and digital transformation. In this edition, the editors and authors have made significant updates to reflect recent developments in the field and cover a broader range of countries. The authors also delve into new industries including consulting, energy, healthcare, IT, and education. With 31 international cases followed by further reading and learning resources, this extensive collection is an invaluable resource for any student seeking to explore contemporary HRM on a global basis.

TABLE OF CONTENTS

Part i | 40  pages, western europe, chapter chapter 1 | 9  pages, chapter chapter 2 | 9  pages, chapter chapter 3 | 10  pages, chapter chapter 4 | 10  pages, switzerland, part ii | 32  pages, scandinavia, chapter chapter 5 | 10  pages, chapter chapter 6 | 9  pages, chapter chapter 7 | 11  pages, part iii | 60  pages, central and eastern europe, chapter chapter 8 | 10  pages, chapter chapter 9 | 9  pages, chapter chapter 10 | 9  pages, chapter chapter 11 | 10  pages, chapter chapter 12 | 11  pages, chapter chapter 13 | 9  pages, part iv | 64  pages, mediterranean, middle east, and africa, chapter chapter 14 | 9  pages, chapter chapter 15 | 9  pages, chapter chapter 16 | 7  pages, chapter chapter 17 | 9  pages, chapter chapter 18 | 8  pages, chapter chapter 19 | 10  pages, saudi arabia, chapter chapter 20 | 10  pages, part v | 60  pages, asia and the pacific rim, chapter chapter 21 | 9  pages, chapter chapter 22 | 10  pages, chapter chapter 23 | 8  pages, chapter chapter 24 | 10  pages, chapter chapter 25 | 11  pages, south korea, chapter chapter 26 | 10  pages, part vi | 50  pages, the americas, chapter chapter 27 | 10  pages, chapter chapter 28 | 8  pages, chapter chapter 29 | 9  pages, chapter chapter 30 | 10  pages, chapter chapter 31 | 11  pages, united states.

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1.4 Cases and Problems

Chapter summary.

• Human resource management is the process of employing people, training them, compensating them, developing policies relating to the workplace, and developing strategies to retain employees. Three certification exams, which are offered by the Human Resource Certification Institute, can be taken to show HRM skills and become more marketable.
• Human resource management involves seven main areas: (1) staffing, (2) workplace policies, (3) benefits and compensation, (4) retention, (5) training, (6) employment laws, and (7) employee protection.
• Human resource managers need many different types of skills. Being able to organize, multitask, and communicate effectively, as well as having specific job skills, such as how to run a particular computer program, and a sense of fairness and ethics, is crucial to a successful career in HRM.
• There are many contemporary challenges associated with HRM. First, it is up to everyone in the organization to contain costs. HR managers need to look at their individual departments and demonstrate the necessity and value of their functions to the organization. HR managers can also help contain costs in several ways, such as managing benefits plans and compensation and providing training.
• The fast-changing nature of technology is also a challenge in HRM. As new technologies are developed, employees may be able to implement innovative ways of working such as flextime . HR managers are also responsible for developing policies dealing with cyberloafing and other workplace time wasters revolving around technology. Employee stress and lack of work-life balance are also greatly influenced by technology.
• Awareness of the changes in the economy allows the human resource manager to adequately plan for reductions and additions to the workforce.
• The aging and changing workforce is our final factor. As baby boomers retire, there likely will not be enough people to replace them, and many of the skills the baby boomers have may be lost. In addition, having to work with multiple generations at once can create challenges as different expectations and needs arise from multigenerational workforces.

Chapter Case

Changes, Changes

Jennifer, the owner and manager of a company with ten employees, has hired you to take over the HRM function so she can focus on other areas of her business. During your first two weeks, you find out that the company has been greatly affected by the up economy and is expected to experience overall revenue growth by 10 percent over the next three years, with some quarters seeing growth as high as 30 percent. However, five of the ten workers are expected to retire within three years. These workers have been with the organization since the beginning and provide a unique historical perspective of the company. The other five workers are of diverse ages.

In addition to these changes, Jennifer believes they may be able to save costs by allowing employees to telecommute one to two days per week. She has some concerns about productivity if she allows employees to work from home. Despite these concerns, Jennifer has even considered closing down the physical office and making her company a virtual organization, but she wonders how such a major change will affect the ability to communicate and worker motivation.

Jennifer shares with you her thoughts about the costs of health care on the organization. She has considered cutting benefits entirely and having her employees work for her on a contract basis, instead of being full-time employees. She isn’t sure if this would be a good choice.

Jennifer schedules a meeting with you to discuss some of her thoughts. To prepare for the meeting, you perform research so you can impress your new boss with recommendations on the challenges presented.

• Point out which changes are occurring in the business that affect HRM.
• What are some considerations the company and HR should be aware of when making changes related to this case study?
• What would the initial steps be to start planning for these changes?
• What would your role be in implementing these changes? What would Jennifer’s role be?

Team Activities

• In a group of two to three people, research possible career paths in HRM and prepare a PowerPoint presentation to discuss your findings.
• Interview an HR manager and discuss his or her career path, skills, and daily tasks. Present your findings to your class.

Human Resource Management Copyright © 2016 by University of Minnesota is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License , except where otherwise noted.

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Performance of calf circumference in identifying sarcopenia in older patients with chronic low back pain: a retrospective cross-sectional study

• Hee Jung Kim 1 ,
• Ji Young Kim 1 &
• Shin Hyung Kim   ORCID: orcid.org/0000-0003-4058-7697 1  

BMC Geriatrics volume  24 , Article number:  674 ( 2024 ) Cite this article

200 Accesses

Metrics details

Calf circumference is currently recommended as a case-finding marker for sarcopenia, but its usefulness has not been determined in chronic pain conditions. Therefore, the present study aimed to evaluate the predictive performance of calf circumference in diagnosing sarcopenia in older patients with chronic low back pain.

Ambulatory adult patients aged ≥ 65 years with chronic low back pain were enrolled. A diagnosis of sarcopenia was established based on the criteria outlined by the Asian Working Group for Sarcopenia in 2019. Patient demographics, pain-related factors, clinical factors, and sarcopenia-related measurements were compared between non-sarcopenic and sarcopenic patients. Linear regression analysis was used to evaluate the correlation of calf circumference with muscle mass, strength, and physical performance. Also, a receiver operating characteristic curve analysis for calf circumference in predicting sarcopenia was conducted; and area under the curve (AUC) values, along with their corresponding 95% confidence intervals (CI), were calculated.

Data from 592 patients were included in the analysis. Eighty-five patients were diagnosed with sarcopenia (14.3%), 71 of whom had severe sarcopenia (11.9%). A higher prevalence of sarcopenia was observed in female patients (9.0% vs. 16.7%, p  = 0.016). After adjusting for age, BMI, and comorbidities, calf circumference correlated positively with muscle mass but not with muscle strength and physical performance. The AUC values for sarcopenia were 0.754 (95% CI = 0.636–0.871, p  = 0.001) in males and 0.721 (95% CI = 0.657–0.786, p  < 0.001) in females. The cut-offs for calf circumference in predicting sarcopenia were 34 cm (sensitivity 67.1%, specificity 70.6%) in males, and 31 cm (sensitivity 82.5%, specificity 51.5%) in females.

Conclusions

Even though sex differences in its predictive value for sarcopenia should be considered, our findings suggest that calf circumference can be used as an indicator for predicting muscle mass and may serve as a potential marker for identifying sarcopenia in older patients with chronic low back pain.

Peer Review reports

Sarcopenia is currently defined as the decline in skeletal muscle mass and strength that occurs with advancing age and is often accompanied by diminished physical performance in its severe form [ 1 , 2 ]. Sarcopenia is associated with adverse health outcomes, including increased risk of falls and fractures, higher rates of hospitalization, and elevated mortality risk [ 1 , 3 ]. This condition is an increasing problem in our aging society; thus, sarcopenia prevention, treatment, and rehabilitation have become significant public health concerns when considering the economic and societal burden of sarcopenia. [ 3 , 4 ].

Chronic low back pain (CLBP) is one of the most common and major disabling health conditions among older adult populations [ 5 ]. The prevalence of sarcopenia among older patients with CLBP seems to be somewhat higher than in patients without pain [ 6 ]. Also, sarcopenia is associated with poor CLBP treatment outcomes [ 6 , 7 ]. Therefore, early identification of older patients at risk of sarcopenia is important for those with CLBP.

In the Asian Working Group for Sarcopenia 2019 (AWGS 2019) guidelines, calf circumference is recommended as an anthropometric measurement for identifying sarcopenia, facilitating early detection in older adults [ 1 ]. The role of calf circumference in the diagnosis algorithm for sarcopenia is supported by validation reports [ 8 , 9 , 10 , 11 , 12 , 13 ]. Calf circumference demonstrated a positive correlation with skeletal muscle mass assessed through dual-energy X-ray absorptiometry [ 8 , 9 , 10 , 11 , 12 ] and was also significantly associated with both muscle strength and physical performance [ 12 ]. However, these results were obtained from samples of the community-dwelling older population [ 12 ]. In recent reports, calf circumference showed promise for the screening for sarcopenia in subgroups with several comorbidities such as stroke, Parkinson’s disease, and diabetes [ 14 , 15 , 16 ]. However, the usefulness of calf circumference as a screening marker for sarcopenia has not been investigated in older patients with symptomatic degenerative lumbar spinal disease.

Accordingly, the aims of this study were to determine calf circumference cut-off values for sarcopenia prediction in older patients with CLBP and to evaluate its diagnostic performance using AWGS 2019 criteria. Also, the relationship between calf circumference and skeletal muscle mass, muscle strength, and physical performance was investigated in this population.

Study population

This study received approval from the Institutional Review Board of Yonsei University Health System, Seoul, Republic of Korea (IRB No. 4-2024-0094). In our previous studies, we have observed that low handgrip strength and high fat infiltration of paraspinal muscles resulted in poor treatment outcomes in older patients with CLBP [ 17 , 18 ]. Therefore, in 2022, we began sarcopenia screening and diagnosis for older patients with chronic pain at their initial visit to our pain clinic. The present study employs a retrospective cross-sectional observational design. Specifically, it is a retrospective audit of CLBP patients who completed sarcopenia assessment based on the AWGS 2019 diagnostic protocol. Patients who visited our clinic seeking treatment for low back pain from January to December 2022 were enrolled in the study. Based on the patho-anatomical approach of CLBP used for confirmation [ 19 ], adult patients aged 65 years and above diagnosed with degenerative lumbar spinal disease, such as spondylolisthesis, herniated disc, spinal/foraminal stenosis, and facet joint arthropathy, confirmed by radiological evaluation within one year from the date of initial visit were included. Pain duration of three months or longer was used to define chronicity. Non-ambulatory patients or patients with severe cognitive impairment that precluded completion of the sarcopenia assessment protocol were excluded. Patients with abnormal calf asymmetry with a difference in circumference greater than 2.0 cm between calves [ 20 ] or pitting edema of the lower limbs were excluded. To assess lower limb pitting edema, visual inspection for swelling or skin changes, gentle palpation to assess skin indentation, and observation for persistence of indentation after pressure release were conducted. In addition, patients with incomplete medical records for this study were excluded.

Sarcopenia assessment

All measurements followed standard protocols for each measurement based on AWGS 2019 recommendations [ 1 ]. An independent nurse practitioner experienced in comprehensive geriatric assessment conducted all measurements throughout the study period. Calf circumference was measured at the widest part of both calves using a non-elastic tape to capture the maximum value. Patients were instructed to stand with their feet shoulder-width apart to ensure equal distribution of body weight. The tape was applied snugly but without compressing the calf and was positioned flat on the skin and parallel to the floor. After measuring each calf twice, an average circumference was recorded. Handgrip strength (HGS) was assessed by conducting three measurements on each hand using a Smedley-type dynamometer (EH101; CAMRY, Guangdong, China). Patients were instructed to stand with their elbows fully extended and to exert a maximum-effort isometric contraction while squeezing the dynamometer. The highest reading obtained from three measurements on each hand was recorded, and the maximum value from either hand was utilized for analysis. Appendicular skeletal muscle mass (ASM) was measured using a bioelectrical impedance analysis (BIA) device (Inbody H20N, InBody Co., Ltd., Seoul, Korea). Participants were instructed to undergo BIA measurements in the morning on an empty stomach to standardize body water distribution, ensuring they emptied their bladder and bowels and refrained from physical activities, showering, sauna use, or any activities affecting body moisture beforehand. Skeletal muscle mass index (SMI) was calculated by dividing ASM by the square of the patient’s height. A short physical performance battery (SPPB) was conducted, and its subtest scores and timings were determined. The SPPB consists of three subsets including static balance, gait speed, and chair sit-to-stand test [ 21 ]. To evaluate static balance, patients were instructed to maintain three standing postures of increasing difficulty, feet-together, semi-tandem, and full-tandem stance, for up to 10 s each. Patients were timed until movement or until 10 s had elapsed. For the gait speed test, patients walked at their comfortable pace across a 4-meter distance, and the average time for two trials was recorded. To assess chair sit-to-stand time, patients crossed their arms over their chests and, as quickly as possible, performed five stands from a standard chair. The time taken to complete the five sit-to-stand tasks was recorded. Each of the three subtests was scored on a scale from 0 to 4; the total score, ranging from 0 to 12, was the sum of these subtest scores.

Definition of Sarcopenia

In this study, cut-off values recommended by AWGS 2019 were utilized for identifying low calf circumference (males: < 34 cm and females: < 33 cm), low SMI (males: < 7.0 kg/m 2 and females: < 5.7 kg/m 2 ), low HGS (males: < 28 kg and females: < 18 kg), and low SPPB score (total score ≤ 9 for both sexes) [ 1 ]. Calf circumference cut-off values were used for screening or case-finding of sarcopenia. Sarcopenia was defined as cases with both low muscle mass and strength (low SMI + low HGS), irrespective of the SPPB score, and cases with poor physical performance were classified into severe sarcopenia (low SMI + low HGS + low SPPB score) [ 1 ].

Patient demographics and clinical data

Demographic information, pain-related data, and clinical data were extracted from the institutional electronic medical record database system. Patient characteristics encompassed age, sex, and body mass index (BMI). Patient history of diagnosed comorbid conditions and current medications was obtained. Conditions assessed included fall history, cerebro-cardiovascular diseases, diabetes mellitus, osteoporosis, and urinary incontinence. The presence of leg pain (a sciatica symptom), pain duration, and average pain intensity score using a 0 to 10 numeric rating scale (NRS) for the preceding week were identified as pain-related variables.

Statistical analysis

Descriptive statistics were utilized to summarize continuous variables and are presented as mean values along with standard deviations (SD) and ranges. Categorical variables are expressed as counts and percentages. For data not conforming to normal distribution, median values and interquartile ranges (IQR) are reported with the Shapiro-Wilk test normality assessment results. To compare patient characteristics between the non-sarcopenia and sarcopenia groups, various statistical tests were employed. Independent Student’s t-tests compared means for continuous variables with normal distributions, while the Mann–Whitney U test compared medians for continuous variables with non-normal distributions. Chi-squared tests or Fisher’s exact tests were used for categorical variables. To explore the relationship between calf circumference and SMI, HGS, and SPPB score, linear regression analysis was performed with adjustments for age, BMI and comorbidities that showed significant differences between sarcopenia and non-sarcopenia groups. Specifically, calf circumference was adjusted based on BMI categories (< 25 kg/m² [normal], 25–29 kg/m² [overweight], and ≥ 30 kg/m² [obese]), as recommended by Gonzalez et al. [ 22 ], to address potential underestimation in individuals with excess weight who could otherwise show falsely normal calf circumference values. Receiver operating characteristic (ROC) curve analysis was utilized to assess the predictive ability of calf circumference, and corresponding area under the curve (AUC) values and confidence intervals were calculated. Sex-specific calf circumference cut-off values for predicting low SMI, sarcopenia, and severe sarcopenia were determined using ROC analysis and the Youden index. Statistical analyses were conducted using IBM SPSS Statistics, version 25.0 (IBM Corp, Armonk, NY), and statistical significance was set at a p -value less than 0.05.

Within the study period, 988 patients presented with low back pain as their chief complaint at our clinic. After excluding 396 patients based on the study’s exclusion criteria, 592 patients aged 65–90 years (mean age 71.77 ± 6.24 years) were included in the analysis. The sample consisted of 187 males and 405 females. All participants underwent sarcopenia assessment according to the AWGS 2019 criteria, with 507 patients classified as non-sarcopenic and 85 patients (14.3%) classified as sarcopenic (Fig.  1 ). There was a notable difference in the prevalence of sarcopenia between male and female patients; prevalence was 9.0% among males and 16.7% among females ( p  = 0.016). The number of patients diagnosed as having severe sarcopenia was 71 out of 592 patients (11.9%).

Study flowchart. MRI, magnetic resonance imaging; AWGS, Asian Working Group for Sarcopenia

A comparison of patient demographics, comorbid medical conditions, sarcopenia-related measurements, and pain-related data between patients with and without sarcopenia is presented in Table  1 . For both sexes, older patients and patients with lower BMIs were more frequently diagnosed with sarcopenia. In the sarcopenia group, more patients of both sexes had a history of falling. The prevalence of osteoporosis was higher in women with sarcopenia than in those without sarcopenia. Smaller calf circumference, lower muscle mass, lower HGS, and lower SPBB scores were observed in the sarcopenia group. Between the two groups in both sexes, there were no significant differences in pain-related variables. Also, after adjusting for age, BMI, and comorbidities, calf circumference showed a positive correlation with SMI but not with HGS and SPPB score in both male and female patients (Table  2 ).

The results of ROC analysis for predicting low muscle mass and sarcopenia using calf circumference values are illustrated in Fig.  2 . The AUC values for low SMI and sarcopenia were 0.776 (95% CI = 0.698–0.854, p  < 0.001) and 0.754 (95% CI = 0.636–0.871, p  = 0.001), respectively, in males, and 0.717 (95% CI = 0.663–0.771, p  < 0.001) and 0.721 (95% CI = 0.657–0.786, p  < 0.001), respectively, in females. The cut-off values of calf circumference for predicting low SMI and sarcopenia were 34 cm (sensitivity 71.8%, specificity 68.4%) and 34 cm (sensitivity 67.1%, specificity 70.6%), respectively, in males, and 32 cm (sensitivity 74.9%, specificity 57.1%) and 31 cm (sensitivity 82.5%, specificity 51.5%) respectively, in females. When applying the AWGS 2019 cut-off of calf circumference, < 33 cm, for predicting sarcopenia in female patients, sensitivity and specificity were 57.3% and 75.0%, respectively.

Receiver operating characteristic curves for calf circumference in predicting low muscle mass and sarcopenia. Receiver operating characteristic curves for calf circumference in the prediction of low muscle mass (solid line) and sarcopenia (dotted line) in males (A) and females (B) The area under the curve values with 95% confidence intervals for low muscle mass and sarcopenia were 0.776 (0.698–0.854) and 0.754 (0.636–0.871), respectively in males, and 0.717 (0.663–0.771) and 0.721 (0.657–0.786), respectively, in females

In this study, we observed that calf circumference cut-off values for predicting low muscle mass and sarcopenia were determined to be 34 cm in males, while in females, these values were 32 cm and 31 cm, respectively, which diverged from the AWGS 2019 recommendations. Furthermore, our findings indicated a significant positive correlation between calf circumference and muscle mass, though no such association was observed with muscle strength and physical performance measures.

Previously reported cut-offs for calf circumference were 32 to 34 cm in men and 32 to 33 cm in women among the older Asian population [ 8 , 9 , 10 , 11 , 12 ]. These values were developed in consideration of the increase in sensitivity and were consistent with AWGS 2019 recommendations of < 34 cm for men and < 33 cm for women during sarcopenia screening or case-finding [ 1 ]. The AUC value of calf circumference cut-offs suggested by AWGS 2019 for predicting sarcopenia (defined by low SMI and low HGS) was 0.647 in 2123 adults aged 70 to 84 years [ 11 ]. In 657 adults with mean age of 76.2 years, the AUC values of calf circumference for predicting sarcopenia met AWGS 2019 criteria, 0.82 for men and 0.72 for women [ 12 ]. Thus, the predictive performance of calf circumference for sarcopenia in the study population, AUC = 0.754 in males and AUC = 0.721 in females, was similar to previous results from the older population data according to AWGS 2019 criteria. These data are clinically acceptable; however, the predictive power of calf circumference for muscle mass and sarcopenia was lower in women than in men in this study. This observation was consistent with previous results [ 7 , 12 ]. As higher fat mass in the legs is generally observed in women compared to men [ 23 ], this factor could potentially affect the predictive power of calf circumference regarding muscle mass and sarcopenia in female patients in this study.

The pattern of changes in calf circumference in patients with symptomatic degenerative lumbar spinal disease has not been widely studied. Peripheral nerves originating from the lumbar spinal nerves are distributed to the muscles of the lower limbs. In this anatomical context, muscle denervation as the result of neural compression following degenerative change of lumbar spine structures causes a reduction in muscle size in the affected area of the lower limbs [ 24 ]. In older patients with CLBP, leg pain and neurogenic claudication can precipitate a detrimental cycle in which reduced physical activity contributes to muscle atrophy and exacerbates deconditioning and disability [ 25 ]. Furthermore, electromyographical evidence suggests that reinnervation of muscle fibers in the older population with sarcopenia to compensate for the loss of innervating motor neurons and denervation of muscle fibers was observed significantly less frequently than in healthy controls [ 26 ]. These potential changes of calf circumference in our study population might affect relatively lower sensitivity values of calf circumference for identifying low muscle mass and sarcopenia when compared with those from general older papulation data [ 12 ].

Also, the clinical features discussed occur more among women with CLBP than among men; in addition, among patients with degenerative lumbar spinal disease, female patients have higher pain scores and more frequent functional impairment and lower quality of life than male patients [ 27 ]. In this study, the prevalence of sarcopenia was almost twice as high in female patients compared to male patients. The difference in the prevalence of sarcopenia between sexes varies depending on which guidelines are applied. In recent European and Asian guideline reports, sarcopenia was more prevalent in men than in women [ 11 , 28 ]. Although the causal relationship between sarcopenia and pain cannot be determined from this study, female patients seem to be more vulnerable to the risk of sarcopenia in chronic pain conditions.

Our results showed that the proposed AWGS 2019 calf circumference cut-off values were valid for predicting sarcopenia in male patients with CLBP. However, in female CLBP patients, the sensitivity of calf circumference for predicting sarcopenia was 82.5% when applying a cut-off of < 31 cm; however, when applying the AWGS 2019 recommended value of < 33 cm, a 30% reduction in sensitivity resulted. Therefore, when using calf circumference as a case-finding marker for sarcopenia among patients with CLBP, sex difference in predictive value for sarcopenia should be considered.

Notably, severe sarcopenia was more prevalent in the study population than in the general older population. In a previous study using AWGS 2019 criteria, the prevalence of severe sarcopenia was 3.3% [ 11 ], but our prevalence was 11.9%, almost four times higher. In this study, physical performance was measured using SPPB, a tool designed to evaluate lower limb function encompassing balance, strength, and mobility [ 21 ]. We found that the presence or absence of sarcopenia did not correlate with differences in reported pain levels or pain-related characteristics among our study participants. However, it is important to note that patients with CLBP often experience leg or foot pain and may exhibit difficulties in walking, which could adversely impact their SPPB scores. This suggests that while sarcopenia may not directly correlate with reported pain levels, the functional implications of CLBP are significant considerations in this patient population.

Anthropometric measurements do not reflect body composition including intramuscular and subcutaneous fat. Therefore, calf circumference does not fully reflect muscle quality which is closely related to muscle strength and physical function [ 29 ]. Indeed, calf circumference did not significantly correlate with muscle strength and physical performance in this study, which contrasts with the results from the general older population [ 12 ]. Recent research has indicated that age-related declines in skeletal muscle strength, muscle mass, and muscle quality vary between the upper limbs and lower limbs, leading to potential differences in clinical interpretations for diagnosing sarcopenia [ 30 , 31 ]. Therefore, when diagnosing sarcopenia and evaluating the severity of sarcopenia for this population, it is crucial to employ a multidimensional assessment approach that considers not only anthropometric measurements and functional assessments but also integrates the clinical characteristics of the chronic pain condition and specific muscle group impairments.

This study has some limitations. The study was conducted at a single tertiary care hospital and included patients of a homogeneous racial and ethnic background, potentially limiting the generalizability of our results to other clinical settings and populations. Our study specifically included patients with confirmed degenerative lumbar spinal diseases identified through radiological evaluation, excluding those with idiopathic low back pain, which is the most prevalent type. This selection criterion may restrict the external validity of our findings. The sample size, particularly for male participants, was small. This not only increases the possibility of sample bias but also limits the statistical power to detect differences and associations accurately within the study cohort. This retrospective analysis only included patients with complete clinical data; the presence of selection biases in the findings cannot be entirely ruled out. The ROC curve can be influenced by class imbalance, where the number of non-sarcopenic cases outweighs the number of sarcopenic cases. This imbalance can lead to misleading optimism about the diagnostic performance of calf circumference as a predictor for sarcopenia. As this study adopts a cross-sectional design, a causal relationship between calf circumference and sarcopenia could not be established. Consequently, longitudinal studies are necessary to validate our findings and elucidate any potential causal associations. BIA is not considered the gold standard for body composition measurement. Also, we did not exclude patients taking diuretic and corticosteroid medications from the analyses, which could affect body water distribution and potentially influence BIA results. However, BIA measurements with multifrequency devices have shown closer correlation with ASM measured by dual-energy X-ray absorptiometry and its adequate performance across multiple domains [ 32 ]. Additionally, while there is no worldwide consensus on the exact list of geriatric syndromes, we collected data on several important factors leading to geriatric syndromes, including falls, urinary incontinence, functional decline, and sarcopenia. Although polypharmacy was not explicitly investigated, the comorbidities we examined are based on current medication diagnoses and thus reflect drug administration to some extent. Specific malnutrition and cognitive impairment statuses were not measured with dedicated tools for each individual; however, we excluded patients who were non-ambulatory or unable to complete the sarcopenia assessment due to severe cognitive impairment. Future studies should include a broader range of factors to provide a more comprehensive assessment and to better inform clinical interventions.

In conclusion, calf circumference appears to be a proxy marker for muscle mass estimated by BIA measurements and may serve as a potential case-finding marker for sarcopenia in older patients with CLBP. Also, although the predictive characteristics differed between the sexes, the predictive performance of calf circumference for sarcopenia in the study population was similar to the results from the older, community-dwelling population data. Therefore, our results suggest that calf circumference is a clinical indicator for predicting muscle mass and may serve as a case-finding marker for sarcopenia in older patients with CLBP.

Data availability

The data that support the findings of this study are available from the corresponding author upon reasonable request.

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The authors thank C.H. Hwang, BS, for helping with the data analysis for this study.

This work was supported by the National Research Foundation Korea grant funded by the Korea government (No.RS-2023-00245723).

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Kim, H., Kim, J. & Kim, S. Performance of calf circumference in identifying sarcopenia in older patients with chronic low back pain: a retrospective cross-sectional study. BMC Geriatr 24 , 674 (2024). https://doi.org/10.1186/s12877-024-05263-z

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Optimizing urban form to enhance dispersion of carbon emissions: a case study of hangzhou, 1. introduction, 2. literature review, 3. materials and methods, 3.1. study area, 3.2. data sources and processing, 3.3. methodology, 3.3.1. calculation of urban carbon emissions, 3.3.2. simulating carbon emission dispersion trajectories, 4.1. spatial distribution of urban carbon emissions, 4.2. spatial distribution of carbon emission diffusion trajectories, 4.3. experimental simulation design, 4.4. impact of building location and height on carbon emission diffusion, 5. discussion, 5.1. optimizing building locations, 5.2. optimizing building heights, 5.3. implications for future building design, 6. conclusions, 6.1. findings, 6.2. limitations and future research directions, author contributions, data availability statement, conflicts of interest.

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Sun, S.; Xu, L. Optimizing Urban Form to Enhance Dispersion of Carbon Emissions: A Case Study of Hangzhou. Buildings 2024 , 14 , 2478. https://doi.org/10.3390/buildings14082478

Sun S, Xu L. Optimizing Urban Form to Enhance Dispersion of Carbon Emissions: A Case Study of Hangzhou. Buildings . 2024; 14(8):2478. https://doi.org/10.3390/buildings14082478

Sun, Shaoxin, and Lihua Xu. 2024. "Optimizing Urban Form to Enhance Dispersion of Carbon Emissions: A Case Study of Hangzhou" Buildings 14, no. 8: 2478. https://doi.org/10.3390/buildings14082478

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Payments 3.0: how payment strategies will determine who wins and loses—an igaming case study.

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Danny Shader is the founder and CEO of PayNearMe .

No matter the business, payments play a critical role in the consumer experience—which means getting the payment process right is essential for attracting and retaining customers.

Any business hoping to thrive in a Payments 3.0 world must offer a frictionless experience. That’s no more evident than in the iGaming industry, where the ability to deposit and withdraw funds quickly and easily is essential to the experience successful operators must offer to players.

To succeed, operators look to payment platforms that support all of the deposit and withdrawal methods players use—from digital wallets to the ability to receive instantaneous credit for cash deposited at the casino cage or a retail store—with a single integration. With modern technology, they can add and remove payment types and channels, compliance and reconciliation and data collection, all of which are essential to providing a hyper-personalized customer experience.

As part of our Payments 3.0 series, let's explore an iGaming case study to see how delivering better payment experiences can influence which operators win and lose players. As the CEO of one of several companies developing Payments 3.0 technology, there are several ways that this technology can evolve to create better payment experiences.

While the focus in this case is on iGaming, the lessons learned are universal. Regardless of your industry, I hope these insights encourage you to reassess the impact your payment experience has on acquiring and retaining customers.

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It has been a wild ride for iGaming operators in the U.S. as more states approve the practice and consumer interest grows. Currently, six states allow online casino betting, 30-plus states plus the District of Columbia have approved online sports betting, and others are debating proposals. The total annual revenue for iGaming is projected to reach $124 billion by 2027.

This dramatic growth has prompted operators to make enormous investments in the development and marketing of iGaming apps to capture market share while consumers are up for grabs.

My company, PayNearMe, recently sponsored a new study of iGaming players in partnership with Betting Hero that suggests that the iGaming operators who offer a seamless, elegant experience for players will rise to the top since payments sit at the center of the overall user experience in betting apps.

Do bettors care about payment? You bet.

iGamers require fast, hassle-free transactions so they can engage in events and enjoy their play. But here’s the rub: As one respondent said in the survey, “Other industries seem to get funds moved more quickly than any type of gaming payments.”

The iGaming study supports this perspective:

• Nearly a quarter (23%) of respondents said they would abandon an app if they had any problems depositing funds.

• About a third (32%) said they would abandon an app if it took too long to fund their account.

• 17% would leave if their payment was often declined.

Consumers initially gravitate toward brands they know, but they'll go elsewhere unless those brands provide a great customer experience. Payments are an integral part of that experience.

Payments 3.0 technologies can streamline deposits and withdrawals and enhance the user experience. Here are three tech-forward strategies that will shape the future of iGaming—and are equally applicable to other industries:

1. Enable seamless payment through a hyper-personalized interface.

iGamers are typically savvy consumers of online experiences, and today’s e-commerce sites set a pretty high bar that most gaming operators don’t yet meet. In the aforementioned survey, 22% of respondents listed UX and UI issues as their primary day-to-day frustration.

With Payments 3.0 technology, each customer’s payment history and practices can be used to personalize the experience; for instance, simplifying the player’s payment screen to display the individual’s preferred payment types, while facilitating quicker, faster payments with higher acceptance rates.

2. Make a great first impression with AI-assisted initial deposits.

When the process of setting up an account is cumbersome or doesn’t work, the opportunity to make a good first impression is gone forever—often along with the player.

In the survey, 20% to 27% of players said they were unable to fund their accounts on nine popular gaming apps. Twenty-three percent immediately abandoned the app, causing operators to forfeit both their player acquisition costs and future revenue; and 21% reached out for assistance, adding to customer service expenses.

Payments 3.0 will continue to evolve to deliver modern, AI-powered payment platforms with user interfaces (UIs) that make the initial deposit experience seamless.

In the event of a declined deposit, sophisticated AI and machine learning algorithms will recognize the reason and suggest corrective actions. This can be achieved by making real-time adjustments to the player's payment options within the user interface or initiating a push notification or text message with recommended steps to resolve the issue.

3. Improve the security and speed of withdrawals.

iGaming is all about the immediacy and excitement of the experience, including celebrating wins. About half of players overall (49%), and 60% of those who experienced payment issues, said they would be likely to switch to a new or competitor app if it promised faster withdrawals.

As Payments 3.0 solutions employ machine learning, this will help to verify player identities and prevent fraudsters from withdrawing winnings with less manual intervention. When operators spend countless hours manually reviewing and verifying each withdrawal, a player’s ability to withdraw winnings is delayed.

AI/ML can analyze large sets of payment data to detect issues substantially faster than an operator’s staff can do manually, which promises faster withdrawals for players.

Improving The Odds Of Success—In iGaming And Beyond

The iGaming industry, while unique, offers valuable lessons about creating frictionless payment experiences that apply to every competitive business. A Payments 3.0 platform that delivers fast, personalized transactions is crucial for customer retention and loyalty across all industries.

Companies that prioritize seamless payments alongside a strong sales and marketing strategy will ultimately build the successful enterprise they and their investors desire.

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