Вы находитесь на странице: 1из 11

MALAYSIAS HERBALINE FACIAL SPA:

HUMAN RESOURCE STRATEGY FOR


GROWING A STRATUP
ABDUL RIZAL - 29116363
RENDY S.M 29116550
SYNDICATE 13
Executive Summary
HerbaLine is a facial spa beauty chain in Malaysia, grew from one in 2000 to 55
outlets (23 owner operated and 32 franchised) in 2014.
Founded by Mr. Low Chee-Kwong (CK) and Ms. Liu Kim-Hwa (Kim) in 2000.
They using business model based on Beauty, Stress-free philosophy for
competing in beauty industry.
The phislosophy underline three major elements of the beauty spa operations:
services and products, environment and ambience, and pricing
Problems
Growing gap in service delivery from Herbaline owned outlets and the
franchised outlets
Problems in aligning franchise operators to match the Herbalines philosophy
and standard
Ability to continue profit-sharing scheme
Competitive pricing strategy with low-price
SWOT Analysis
Strength: Weaknesses:
- pricing strategy
- Disclosure of the Organizations
- natural products Potential
- ambience in spa location
- Risk of HR Issues
- positioning of outlets
- HR practices
- innovations of product
- internal franchise scheme
SWOT Analysis
Opportunities: Threats:
- Targeted Customers - Employees
- Low-Cost Leadership - HR Management
- International Expansion - Cost Competitive
- HR Practices - Marketing & Promotion
Competitive Advantages

Competitive
Advantage

Low Cost Profit Sharing


Advantage Scheme
Decision Criteria
1. Profit maximization
2. HR best practices
3. Low operating cost
4. Less competitives
Alternatives for Problems
Joint Venture
Derive focus from Profit sharing
Increase international diversification
Hire competent employees to manage
Acquired by it self
Solutions
The management of Herbaline should implement the proposed alternative
together by focusing on its existing strategy.
The company should access the market needs and competition and then
decide when to open a new franchise.
Recommendation
By focusing on expand the business internationally, it would help the company
to acquire greater market share and increase the revenues. Therefore, it is
recommended to the company that it should focus on its current strategy
which will enable it to open the new franchises and outlets together with
focusing on the international expansion.

Вам также может понравиться