OL 211 Final Project: HRM Review of Maersk
Andrew W. Peoples
Southern New Hampshire University
, OL 211 FINAL PROJECT: HRM REVIEW OF MAERSK 2
Human Resource Management Functions and Practices
Function
It is imperative that the human resource function is aligned with an organization’s
strategic plan since that particular position is responsible for hiring and managing employees.
For them to have proper hiring and management practices, they must have guidelines to follow
that facilitate their decision-making. With more accurate decision-making, the workforce they
created and manage should be well-equipped for the task at hand. For a look at how certain
situations can change an organization’s strategic plan, and what reactions may occur to satisfy
these plans, we will take a look at A.P. Møller - Maersk Group’s human resource department and
what changes they made throughout the years.
Global Conditions
Maersk’s initial business practices strongly revolved around a familial atmosphere.
Maersk would acquire young, motivated – but inexperienced people, and spend considerable
amounts of money for one of the best training programs in existence at the time. The training
programs might’ve been expensive, but employees would often stay with Maersk until
retirement, therefore making the investment worth it. However, during the 20th century, the field
started becoming very competitive. In fact, Maersk’s employees were starting to get recruited by
rivals due to the extensive training they had. As the years went on, Maersk’s turnover rate started
increasing exponentially. It became apparent that not only was the expensive training not as good
of an investment, but they also needed quicker ways to fill positions.