HR Practices of United Services Automobile Association Essay

The United Services Automobile Association (USAA) is a Fortune deoxycytidine monophosphate alliance as of the year 2009 that primarily sells career and property indemnification to its 7. 7 million members, which consists of active and retired host personnel and their family members (www. biz. yahoo. com). They as wellhead invite such(prenominal) services as banking and investment management, focused on sh ar war machine persons to manage their m whizzy wisely and offer them services at reasonable costs with low interest rates.As of 2009, the company employees 21,500 mess and competes in the industry of property and casualty insurance against otherwise companies such as MetLife, State Farm, and Government Employees Insurance Company (www. biz. yahoo. com). USAA is headquartered out of San Antonio, Texas, where twenty-five Army officers founded the company in 1922 and set out to insure to each one others cars while standing firm in the determine of honesty, integrity, d evotedty and great(p) service (USAA. om). USAAs mission is to facilitate the financial security of its members, associates, and their families through provision of a full range of passing combative financial products and services in so doing, USAA readks to be the supplier of choice for the military community, (usaa. com).This mission statement from USAAs website shows that the company has naturalized its target market, segmenting it into the realm of military personnel and their families. Their main business dodge in attracting nodes and beating out the competition for those customers is non only pass a wide array of financial and insurance services, but also by doing so at reasonable costs, rates, and carrying trading operations out with sea captain customer service.As a USAA customer having dealt with their elevation competitors also, I do firsthand that they initially attract customers by internet and television advertize mostly, and achieve customer loyalty by of fering a great product at a great price with high-performance customer satisfaction relationships this gives the company a extravagantly sustainable advantage in their industry and creates a high customer appraise in the market.This major(ip) corporation terminate afford to be such a customer-focused one because they are not a publicly traded company in other words, they answer not to stockholders, but rather to the members of the association to cater to their desires. This is how they are able to beat out the competition and gain the edge on acquiring and sustaining more customers than other companies in their industry. sympathetice Resource PracticesThe USAA unified websites careers section pitches employment with the company to interested potential employees as not simply taking orders from customers, but rather truly fashioning a difference in a military familys life with each and every call. One thing they do that is effective is pose a section titled, Whats in it for you? under which they share that the company pays competitively against the competition within the labor market and offer benefits such as a great 401(k) plan, fitness programs, and other beneficial incentives (usaa. com).From an employees perspective, USAA is a great company to work for because the pay is competitive, the benefits increase the value of the job above the pay rate, and there is tremendous job constancy once you become a part of their team. This website shows that the companys humane resource practices focus chiefly on pay and benefits to attract potential employees furthermore the job qualifications insinuate that they are looking for people that collapse some sort of military service completed, with a moderate college study but skills that are focused on customer satisfaction and interacting well with other people.Often times, customer service positions have a high turnover rate due to the nature of the position in relations with disgruntled customers, howeve r, USAA does a great job of attracting and retaining the type of individuals they are want by offering great pay and benefits that make the job problematic to quit. Ethical Philosophy The USAA company website states that their core values are, service, loyalty, honesty, and integrity the alike as the military community we serve, (usaa. om) this portrays the corporate philosophy and ethical locating quite clearly. They believe in working hard and faithfully to lurch the best service possible while doing what is best for the greater salutary of the society in which they operate. When compared with the Kantian Rights discussed in chapter one of our textbook, Fundamentals of Human Resource Management (Noe, page 15), USAAs company ethics gibe with them quite well.The four traits of service, loyalty, honesty, and integrity would completely incarnate the Kantian Rights of supernumerary consent, privacy, freedom of conscience, speech, and due process because these are the very thing s the military fights to defend, and the military is the market which USAA seeks to serve. Foreign Operations The extent of USAAs unknown operations is not too great considering they serve the people of the American military forces.However, they do handle customer accounts while they are in foreign lands serving in the military for instance, USAA offers great financial management uphold for military personnel who are about to be deployed so that they can use their combat and active duty pay wisely to support themselves and their family. HR Practices and Business StrategyOne trait that makes a hulking difference between successful corporations and lesser successful corporations is the companys ability to implement its ideals into everyday business operations and sync its human resource practices with the overall business strategy. Seeing as USAA is rated in the top one hundred best companies to work for, they must be lucratively creating an purlieu in which their human resource p ractices are sycophancying the overall business strategy.This creates loyal and satisfied employees that will, in turn, carry out their tasks with diligence and create the superior customer service that so greatly defines USAA. If the customer service employees at USAA were not satisfied, whether it be for compensation reasons or any reason for that matter, they would not be in a position or attitude to offer the core values of the company, thus the HR practices would no longer be in harmony with the overall business strategy.It is in this situation that we see the utmost importance of the human resource department and its ability to compliment the companys business strategy. Due to the companys competitive pay and long list of great benefits that increase the value of having a career with USAA, it is fair to say that their employees should be satisfied and adequately make to carry out the overall business strategy.