The company to be considered is American Express, and the subject of human resources planning or staff planning will be examined in terms of achieving greater organizational effectiveness by aligning the staff and staff planning with the overall business strategy of the company. American Express had a solid reputation and a strong position in the marketplace, but more recently the company has experienced problems based on competition from various credit card services, other financial institutions, and changes in the economy. Some of the company's problems have been directly related to the labor force and to ideas about downsizing and creating a more competitive company structure.
Human resources have to be considered in terms of the particular product and service mix of the individual company, the business environment in which it operates, the challenges is faces, and the skills and capabilities of the potential work force at every level.
The American Express Company has a long history. It was formed in 1850 by Henry Wells and his two main competitors when they combined their delivery services into American Express. The founders are related to another important American financial institution--when directors of the company balked at expanding to California in 1852, Wells and his vice president William Fargo formed Wells Fargo. American Express itself merged with Merchants Union Express in 1868 and developed a money order to be in competition with the postal money order offered by the government. When Fargo had difficulty cashing a check in Europe, the company developed the idea of offering Travelers Cheques in 1891, and other services for U.S. travelers followed. During World War I, the government nationalized and consolidated all express delivery services, offering compensation to the owners. After the war, American Express incorporated as an overseas freight and financial services and exchange provider.
The America...