Airline MNC

I: A multi-national airline company is trying to implement a new HR System but its facing resistance from its employees. You are the CHRO of the MNC. What should you do?

C: That seems like an interesting case. I have a couple of questions to understand the situation a little bit better. What exactly is the new HR System about? Can you please elaborate further?

I: The HR Management System is an HR Software aimed at managing human resources and related processes throughout the employee lifecycle.

C: Where is the client operating?

I: The client is operating across the globe.

C: Is the issue specific to any location or is it present across all the countries?

I: The issue is primarily in Indonesia only. Now that you have all the relevant information, how will you proceed further?

C: So I would like to segment the organization as per the different departments. The different departments in an airline company would be Finance, Marketing, Human Resources, and Flight Operations. Does this seem like a comprehensive list or am I missing out on something?

I: You have covered all the relevant ones.

C: Do we have any data about whether employees in any particular department are facing this issue? Or this issue is prevalent in all the departments?

I: Employees in the Flight Operations are facing this issue.

C: Okay. Now that I have identified the department, I would like to segment the employees further under three major heads: Cabin Crew, Ground Staff, and Airport Staff. Is any specific group out of these facing the issue?

I: Only the ground staff are facing this issue. Now that you have identified the group of people, can you think of some possible reasons for the same?

C: Possible reasons for the same can be internal or external. Internal reasons would include fear of change, lack of digital awareness or skills to understand the HRMS, and improper communication from top management. My hypothesis is since all the other employees are not facing this issue, the reason being improper communication is very unlikely. Apart from these, resistance from the Union can be an external reason.

I: That’s great. The company is facing resistance from the Union regarding this change. Now, that we have identified the issue, how would you like to proceed further?

C: Solutions to the issue can be either short-term which would be temporary fixes or long-term which would be aimed at solving the issue entirely. Short-term solutions would include breaking the union, implementing pay cuts, and laying off dissenting workers. Long-term solutions would include either changing the system or engaging in collective bargaining with the union.

I: Those are some great solutions. Which one would you like to go ahead with?

I: I would like to engage in collective bargaining with the union as it would be the most mutually beneficial step.