Malaysia’s HerbaLine Facial Spa: A Human Resource Strategy for Growing Startup
Lim Beng Chong; Wee Beng Geok
The Asian Business Case Centre, NTU
The case study discusses the human resource strategy of a fast-growing company in the highly competitive beauty spa industry in Malaysia. It examines how the founders' personal values and philosophies were expressed in the human resource policies and practices and the influence of these on the company's customer service delivery and service culture.
HerbaLine's focus on excellent customer service enabled the founders, Mr Low Chee-Kwong and Ms Liu Kim-Hwa, to position the beauty spa operator as a viable alternative to expensive, high–end international beauty chains and low–cost, no–frills, individually–operated beauty salons. The success of their service strategy was reflected in their growth from one outlet in 2000 to 55 outlets in 2014.
With a vision to expand HerbaLine beauty spa to every major town in Malaysia, the founders embarked on a new profit–sharing scheme for high performing employees to reward performance and to sustain and grow the high levels of employee commitment and excellent service delivery that underpinned the company's growth. Could this be the motor that would enable the company to double its number of outlets to 100 by 2024?
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