Problem Solution: InterClean, Inc.
InterClean, Inc. is an industry leader in the industrial cleaning and sanitation industry. Over the years the company has graduated from being a spray and wipe products but rather a solutions and services industry. InterClean, Inc. is trying to make the transition from being a solely sales-based organization to a solutions-based organization. The company has acquired Envirotech in an effort to be a fully all inclusive organization. This has prompted various changes in the organization. In the following paper I will discuss issues and opportunities that could possibly face the company, stakeholders that are involved, alternative solutions, an optimal solution and the implementation of that solution.
Situation Analysis
Issue and Opportunity Identification
The new strategic direction that InterClean, Inc. is undertaking has led to a few very distinct issues. The issues have presented the company with new opportunities to better itself. The CEO of Interclean has determined that the employees of the company have low morale. There needs to be some type of employee motivation. The company will be adding new workshops that will instill confidence and get the employees excited about the changes that will be happening. Pay and other rewards can stimulate employee effort toward reaching key goals—such as high performance (Dreher & Dougherty, 2001).
Training and developing employees is necessary with all companies. In the Interclean scenario it highlights that in order for the company to become successful in the industrial cleaning market it must train and develop the employees. The company needs to continuously develop in order to stay competitive in the market. This practice, a core human resource management activity, is related to other ideas about the need for continuous improvement and development over time. (Dreher & Dougherty, 2001). High-performing firms display a greater commitment to training and skill development than their lower-performing counterparts (Dreher & Dougherty, 2001).
The CEO of Interclean plans to have the sales team go through some major pre/post training in the near future in an effort to prepare for the changes governing environmental safety. The hope is that the training will inspire technical skill and expertise that will be beneficial to the entire company in the future. The hope is that the training will inspire technical skill and expertise that will be beneficial to the entire company in the future. Research designed to evaluate the effectiveness of specific practices through the analysis of pre/post and correlation data (Dreher & Dougherty Ch.8).
The company needed to foster and usher in changes. The changes need to be expressed to the employees in a motivating fashion. A charismatic leader can inspire employees and foster change. In the case of Interclean the CEO sent out a memo to all employees that if the company introduced the new business strategy they would be the first and have potential for tremendous growth. The memo really motivated the employees. Making the case that the changing business environment, and resulting change in business strategy and technology, necessitates the redesign of work processes is the first step (Dreher & Dougherty, 2001).
Restructuring and downsizing are two very viable realizations that Interclean could face in an effort to meet the company’s goal. The company will need to look at the staff, the gaps that they may have and focus on what the sales team may need to improve. Interclean will need to evaluate what their staffing requirements may need to be in the future. Restructuring and downsizing was largely driven by the need to increase efficiency and cut costs. No longer do firms downsize only during difficult times now the restructuring process is becoming an ongoing corporate activity (Dreher & Dougherty, 2001).
Stakeholder Perspectives/Ethical Dilemmas
In any business stakeholders are a key component and play a vital role in the company’s success. The primary stakeholders in every organization have something to gain or lose in the course of everyday business decisions. InterClean, Inc. has three fundamental stakeholders involved with the company and they are; management, employees, and customers all of whom have varying interests, rights and values.
Management has the responsibility to ensure that the shareholders’ best interests are put foremost. They also must ensure that the company generates profits from a high quality product and maintains a competitive advantage. They need to ensure a comfortable work environment for their employees and also ensure their customers that they will continue to strive to be a “one-stop” shop for their cleaning solutions.
As with all companies the employees are the most valuable asset of the company. The employees of Interclean, Inc. want to maintain current compensations, responsibility and positions. The have the right to work in a hostile free work environment with a sense of job security. They are starting to doubt that security with the recent announcement of the merger with EnviroTech. While there has been no mention of any layoffs the rumors are starting to go around about a positions being lost.
The customers expect an innovative, safe and an all-inclusive cleaning company. They also are entitled to a sales person who knows the industry and can offer expert cleaning solutions and suggestions to them. The merger of InterClean, Inc. and EnviroTech should not affect the customer’s relationship with the company negatively nor should it adversely affect the services and solutions offered.
Problem Statement
InterClean, Inc. will be an industry leader within the domestic and global solution based cleaning services market. The company will achieve this by implementing strategy and developing human capital within the company.
End-State Vision
Interclean, Inc. end state vision is to be an all-inclusive leading industrial cleaning and sanitation solution-based provider in a global market.
Alternative Solutions
With the merger of EnviroTech and Interclean, Inc. there needs to be a comprehensive HR strategy to merge the both of the companies’ corporate cultures. This will result in the implementation of a solution-based selling strategy. HR will need to assess the current skill levels and skill sets of both groups of employees. The assessment may determine that some employees will need to be laid off. With those layoffs there will be a need for new hires and the development and implementation of new training programs in order to get all employees aligned with the new strategy of the merged company.
There will be a need to effectively and continuously communicate with employees to prepare them for the changes that will come with the merger. During a merger, the organizational structures and work processes need to be specified for the new merged organization current organization members need to understand that existing HRM practices that were useful in the past may no longer fit the new realities of the organization (Dreher & Dougherty, 2001).
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Analysis of Alternative Solutions InterClean, Inc. rates its solution based on the desired objectives. The objectives in this scenario are to increase employee motivation, implement training and development, behavioral impact of HRM practices, motivate the change and managing the restructuring process. In direct correlation, the first alternative is a comprehensive HR strategy. This is a must for the companies and will be needed in order for the company to successfully move forward. InterClean, Inc. rates this approach at 3.18. While not a high number there is a tremendous amount of emphasis that will be placed on the new strategy moving forward with the merger. Moving forward there is a tremendous emphasis placed on communicating with the employees about the changes that will be affecting them. The communication in the company was rated a very high 4.12 as it is imperative for the company to communicate. I raises the morale of the employees, motivates the changes and more importantly motivates the employees during what could be a very trying time with regards to the company.
Risk Assessment and Mitigation Techniques
There are always risks that are associated with business. With InterClean, Inc. there are various risks that it faces with some alternative solutions. By laying off employees that do not have experience in solution-based selling and only concentrate on retraining management level employees there is a very high risk. The company runs the risks of losing People with rapport with current customers, people with great customer skills and people experienced in the current market. Interclean, Inc. could try to retain as many employees as possible. The company faces the potential Loss of customers due to different sales people. It is a medium risk as many customers could move past it and with the proper handling of customers very minimal effects will take place. The potential risks are a decline in sales and customers leaving to follow their salesperson. In this situation the company should discuss the changes with customers and tell them how the changes will benefit them. Finally InterClean, Inc. needs to conduct a skills inventory assessment of all employees. This has a very low risk and can only benefit the company even more. Some employees that do not possess the skills to escalate the company will need to be laid off. An alternative to laying them off would be to offer training to bolster skills of current employees.
Optimal Solution
Interclean wants to implement a new sales model and to develop this approach they need to establish learning and training programs. They could look to General Motors for a good way to train and educate their employees. General Motors is a large company and training and skill development is imperative to the success of the company. High-performing firms display a greater commitment to training and skill development than their lower-performing counterparts (Dreher & Dougherty). The company needs to continuously develop and train its employees in order to stay competitive in the market.
In the Interclean scenario it highlights that in order for the company to become successful in the industrial cleaning market it must train and develop the employees as GM has. The success of the company increasing its presence is dependent on it.
The CEO of Interclean has determined that the employees of the company have low morale. There needs to be some type of employee motivation. The company will be adding new workshops that will instill confidence and get the employees excited about the changes that will be happening. Interclean should look to SAS for a general idea of how to motivate employees.
For the last two years the company has been on the top of CNN’s list of the 100 best companies to work for (CNN, 2011). According to CNN, strong employee feedback has contributed heavily to the company being on the list. SAS has a tremendous list of benefits and rewards that it offers its employees. Pay and other rewards can stimulate employee effort toward reaching key goals—such as high performance (Dreher & Dougherty, 2001). By taking care of its employees and making them feel that the company cares for them the employees give their best effort to the company. Interclean needs to do the same. They need to reward their employees or at least make them feel cared for and appreciated. With the possible merger coming there may be a decrease in the morale of the employees. It is up to Interclean to bring that morale back up to a comfortable level.

Implementation Plan
It is a very chaotic time at InterClean, Inc. There is a merger going on and it can be very trying on the companies as well as the employees. There must be goals with time deadlines and established accountability for each task. The companies must merge their respective corporate cultures and it must be done immediately. Both CEO’s will be responsible for ensuring that this takes place. The companies need to take skills assessments and incorporate the most knowledgeable people to achieve a solution-based selling strategy. For the employees to be aligned and on the same page with the companies there must be a training program implemented within 60 days by the HR Department. The HR Department will need to develop a strategic plan within 90 days in order for the company to continue to move forward. Finally the company wishes to be a global leader and that will be at the upper management and CEO’s discretion. They should go for 3-6 years’ time frame.
Evaluation of Results
Results are at the very core of any changes are plans implemented. Employee satisfaction and motivation and customer service will need to be monitored. There should be feedback from time to time that they employees can provide to the management. There should also be a customer survey that can be utilized with each transaction. If the employees or customers can offer feedback or solutions to problems before they become problematic they can be corrected. Plus it is a very realistic way to see how effective the solutions to the problems have been.
Conclusion
In this paper I discussed the issues and opportunities that InterClean, Inc. could possibly face. The company, stakeholders that are involved, alternative solutions, an optimal solution and the implementation of that solution were also discussed. InterClean, Inc has the potential to be a global powerhouse as long as the company effectively communicates with its employees and customers.

References
CNN. (2011). 100 Best Companies to Work For. Retrieved from http://money.cnn.com/magazines/fortune/bestcompanies/2011/snapshots/1.html

Dreher., & Dougherty, T. W. ( 2001). Human resource strategy: A behavioral perspective for the general manager. New York McGraw-Hill/Irwin

Table 1
Issue and Opportunity Identification
Issue Opportunity Reference to Specific
Course Concept
(Include citation) Concept
The CEO of Interclean has determined that the employees of the company have low morale. There needs to be some type of employee motivation. The company will be adding new workshops that will instill confidence and get the employees excited about the changes that will be happening. Pay and other rewards can stimulate employee effort toward reaching key goals—such as high performance (Dreher & Dougherty, 2001). Employee Motivation
Training and developing employees is necessary with all companies. In the Interclean scenario it highlights that in order for the company to become successful in the industrial cleaning market it must train and develop the employees. The company needs to continuously develop in order to stay competitive in the market. This practice, a core human resource management activity, is related to other ideas about the need for continuous improvement and development over time. (Dreher & Dougherty, 2001).
High-performing firms display a greater commitment to training and skill development than their lower-performing counterparts (Dreher & Dougherty). Training and Development
The CEO of Interclean plans to have the sales team go through some major pre/post training in the near future in an effort to prepare for the changes governing environmental safety. The hope is that the training will inspire technical skill and expertise that will be beneficial to the entire company in the future.

The hope is that the training will inspire technical skill and expertise that will be beneficial to the entire company in the future.

Research designed to evaluate the effectiveness of specific practices through the analysis of pre/post and correlation data.(Dreher & Dougherty Ch.8) Behavioral Impact of HRM Practices

The company needed to foster and usher in changes. The changes need to be expressed to the employees in a motivating fashion. A charismatic leader can inspire employees and foster change.

In the case of Interclean the CEO sent out a memo to all employees that if the company introduced the new business strategy they would be the first and have potential for tremendous growth. The memo really motivated the employees. Making the case that the changing business environment, and resulting change in business strategy and technology, necessitates the redesign of work processes is the first step (Dreher & Dougherty, 2001). Motivating Change

Restructuring and downsizing are two very viable realizations that Interclean could face in an effort to meet the company’s goal.

The company will need to look at the staff, the gaps that they may have and focus on what the sales team may need to improve. Interclean will need to evaluate what their staffing requirements may need to be in the future. Restructuring and downsizing was largely driven by the need to increase efficiency and cut costs. No longer do firms downsize only during difficult times now the restructuring process is becoming an ongoing corporate activity. (Dreher & Dougherty, 2001) Managing the Restructuring Process

Table 2
Stakeholder Perspectives
Stakeholder Perspectives

Stakeholder Groups
The Interests, Rights, and
Values of Each Group

Management Management has the responsibility to ensure that the public shareholders’ best interests are put foremost. They also must ensure that the company generates profits from a high quality product and maintains a competitive advantage.
Employees As with all companies the employees are the most valuable asset of the company. They want to maintain current compensations, responsibility and positions. The have the right to work in a hostile free work environment with a sense of job security.
Customers The customers expect an innovative, safe and an all-inclusive cleaning company. They also are entitled to a sales person who knows the industry and can offer expert cleaning solutions and suggestions to them.

Table 3

Analysis of Alternative Solutions

Table 4
Risk Assessment and Mitigation Techniques
Risk Assessment and Mitigation Techniques
Alternative Solution Risks and Probability Consequence and Severity Mitigation Techniques
Lay off employees that do not have experience in solution-based selling and only concentrate on retraining management level employees • Very High risk. • People with rapport with current customers will be lost.
• People with great customer service skills will be lost.
• Losing people experienced in the current market • Try to retain as many employees as possible.

Loss of customers due to different sales people. • Medium risk • Decline in sales
• Loss of customers. • Discuss the changes with customers and tell them how the changes will benefit them.

Do a skills inventory assessment of all employees • Low risk • Some employees will need to be laid off.

• Offer training to bolster skills of current employees.

Table 5
Optimal Solution Implementation Plan
Deliverable Timeline Who is Responsible
Merge corporate cultures Immediately CEO’s
Implement Training Program Within 60 days HR Department
Become a global leader 3-6 years CEO, Management
Develop HR strategic plan Within 90 days HR Department

Table 6
Evaluation of Results
End-State Goals Metrics Target
Employee Satisfaction Periodic Feedback Complete satisfaction
Customer Satisfaction Customer Survey Complete Satisfaction
Gather Feedback Customer and employee information Offer solutions before problems become too large.