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Case Study 14.1 The Great Singapore Sale at Jurong Point: Finding and Retaining Bargain Employees and 2017. As competition heats up, existing retailers Singapore is an island of 646 square kilometers, about the size of Chicago. It is located at one of the are seeking new and innovative ways to engage and crossroads of the world. Singapore's strategic posi- retain their employees.2 tion has helped it grow into a major center for trade, HR at Jurong Point has launched a number of ini- communications, and tourism. In just 150 years, tiatives to attract the right talent into its fold. One Singapore has grown into a thriving center of com- of the most effective means has been the organiza- merce and industry. Shopping is second to eating tion's in-house staff referral program, shares Sally as a national pastime in Singapore. The island has Yap, senior HR and administration manager at Jurong an outstanding range of products that are available Point Shopping Centre. "They receive cash incentives in shopping malls, department stores, boutiques, if the employee is confirmed after three months." and bargain stores. Avid shoppers love the annual Recruitment efforts do not stop at in-house and Great Singapore Sale, which usually falls in June to July. It has become a legendary annual event for operational roles but extend to the tenants. The mall launched its own job portal in 2012 to help its ten- both Singaporeans and visitors alike. Wide ranges ants look for staff. It also runs regular recruitment of goods, including designer products, are marked fairs to attract suitable candidates. This additional down to present a mighty shopping extravaganza. The bargains are genuine and definitely give value for help is especially valued by the mall's smaller shops that have resource constraints, shares Yap. money. Shoppers can also expect private events that are hosted by the distinguished Sotheby's, Christie's, Jurong Point has also beefed up its service levels to Tresors, and Glerums & Bonhams and feature exclu- keep its customers coming for more. One of the ways sive items, such as works of art and jewelry. Antique it achieves this is by conducting training programs rugs and carpets can also be bought at a cheaper price for its tenants. Employees from the mall's various out- during the Great Singapore Sale.80 lets are taken through bite-sized modules that focus on areas such as how to serve people better, personal Jurong Point Shopping Centre ("Jurong Point") is a grooming, and basic conversational English. The lat- leading suburban retail mall situated in the western ter can be a barrier for some staff, so courses like these part of Singapore. Strategically located next to Boon help them perform their daily tasks better, says Yap. Lay MRT Station and Bus Interchange, Jurong Point "We treat our tenants like family. We won't be strong serves as the gateway to the Jurong West industrial if they are not strong." The mall is also partnering estate, Singapore's key educational institutions, and with Singapore Polytechnic (SP) to offer a service the residential population in the west. Jurong Point training program for its retail and food-and-beverage in 2014 is the largest suburban mall in Singapore, staff. In this program, employees undergo 30 hours housing about 450 retailers and showcasing their of training focusing on areas such as retail strategies products and services to 6 million visitors a month. and operations, visual merchandising, restaurant The revamped Jurong Point houses a range of retail management and challenges, and menu design and zones--expanded and revamped Ginza Delights, pricing. Upon completion, course participants receive Mongkok, Rackets & Track, Korean Street, Malaysia a joint certificate from SP and Jurong Point. "It's a Boleh, Takeaway Alley, Gourmet Garden, and many sweetener that will encourage them to stay at Jurong more. In addition, there are also a 67-bay air- conditioned bus interchange, 11 civic community Point," Yap says. "It adds value and enhances their tenants, and to top it all off, a 610-unit condominium employability." nestled above the retail podium. Jurong Point is fully absorbing the cost of training Jointly owned by Guthrie GTS Limited and Lee Kim and hopes to put 500 to 700 service staff through the Tah Limited, Jurong Point is poised to take a leap for- program's 2-year pilot phase. It plans to extend it to ward to be the "heart of a vibrant community, abuzz the mall's full staff within the next 5 years. According with activity and a passion for life, offering WOW to Yap, the customized training will focus on improv- experiences for one and all."sl Jurong Point Shopping ing the productivity, emotional intelligence, and Centre has an HR staff of 3 employees who oversee entrepreneurial mind-set of in-house and tenant staff. 160 in-house staff with an additional 2,500 employ- Once employees are recruited and trained, an ees working for the mall's tenants. Singapore is seeing a growing number of mall projects as more foreign employee empowerment program sets the culture for the firm. A bottom-up team approach gives employees retailers enter the local market, with 13 new malls the freedom to work out the operational details with in the works and scheduled to open between 2014 their teams. This makes decisions less hierarchical, Resource Managers 383 United States and Asia. They are looking to extend their expertise to booming markets in China and South Korea. Assuming they wanted to break into the Singapore market, what international expansion strategies might they have relative to Jurong Point? 2. Assuming Taubman was to purchase Jurong Point, what legal and cultural issues must they address in order to facilitate a smooth ownership transition? and employees are also happier as they are not micro- managed, says Yap. Employees are not limited to the roles that they initially signed up for. If an employee in the operations department is interested in a mar- keting role, they can get a transfer when the right opportunity arises. This flexibility is appreciated by the organization's younger employees in particular. "They are more restless and don't want to be stuck at the computer doing mundane things. We are very open to doing things differently," says Yap. The HR team at Jurong Point follows this ethos and takes a nontraditional approach to its role. It works very closely with other departments to push out new ideas and programs. It also serves as the umbrella HR organization for the mall's tenants and is actively involved in ensuring a consistent culture across the also property. Interaction between departments encouraged through activities such as overseas trips. "Every department is represented by a team member, and it allows employees to bond outside of work," says Yap. Quarterly buffet lunches are organized to encourage employees to eat and mingle together while exchanging updates on the latest happenings. "We don't work in silos and like to come together to support each other," says Yap.83 3. Given your answer to question 2, what global staffing issues would Taubman have to immediately address? Longer-term issues? 4. Human resources play a critical role in Jurong Point's competitive strategy. What HR functions does the small HR staff focus on? Why? 5. Jurong Point's HR staff outsources some of its functions to its tenants. What are those functions, and how does this HR strategy fit Jurong Point's generic strategy? 6. Organizational culture seems to be a distinctive competency for Jurong Point. What is their culture, and what HR policies nurture that culture? How might this culture change if Jurong Point were acquired by Taubman? Questions 1. Taubman Centers Inc. (TCO) is the owner, manager, and/or lessor of regional, super- regional, and outlet shopping centers in the Case created by Herbert Sherman, PhD, and Theodore Vallas, Department of Management Sciences, School of Business Brooklyn Campus, Long Island University