Since its 1971 opening in London, Hard Rock Cafe has become a global phenomenon. Currently there are 108 Hard Rock Ca'fes in 41 countries, combining the spirit of rock music, memorabilia (value at 32$ million) from the hottest musical artists of the last 50 years, classic American foods and commitment to widespread humanitarian causes.

At Hard Rock, music is truly the universal language. In recent years, Hard Rock has expanded its cafe boundaries by reinforcing its "music connection" through music related products and programs such as collectible and fashionable HRC merchandise, the Hard Rock records music label, www.hardrock.com. Hard Rock hotels, casinos and Hard Rock lives music venues.

As the world changes and tastes shift and twist, Hard Rock has always been at the top of the hottest trends. Still, Hard Rock Cafe remains conscious to its founding objectives: delicious foods, awesome music, a high energy atmosphere and creating a rock 'n' roll experience their guests will never forget.

Hard Rock Cafe International, Inc. is a wholly owned subsidiary of London based the Rank Group Pic. (NASDAQ:RANKY).Hard Rock Cafe has been established in Indonesia since 1992. They operate two outlets through licensing agreement. PT Hasta Rahayu Citra (HRC) operates outlet at Jakarta and PT TBC operates outlet at Bali.

The management of PT HRC appreciates the Human Resources as one of the most valuable assets in the company. They built a team of qualified and highly motivated employees. PT HRC has successfully keeps remuneration system and healthy work atmosphere could be the factors behind it. It is contradictory with other HRC outlets in the world, which shows a relatively high employees turn over rate.



However, it will become a serious problem in the future when PT HRC keeps their current human resources for long time period. Based on the preliminary discussion with the top management of the company, there are some issues in the future, which are creating challenges to formulate actions upon it. The issues are as follows:



a.) It is about 50% of the employees who have more than five services years. The number is growing from year to year. The management believes that there might be a shifting of employees` motivation along with the growing age, marriage status, growing families` needs, especially for front-liners employees, such as service, host and cashier. They might also be trapped in a "comfort zone" with cause a lower service wuality levels.



b.) The employees become a specialist or expert in their respective job functions. However, the employees cost become more expensive along with the number of the service year.



c.) The management has difficulties in designing future career development for employees. There are several gaps between supply and demand of potential employees. Meanwhile the management mentioned that there will be only three outlets in Indonesia in the next years.



The GFP team believes in order to overcome the issues and also answer the challenge for the future, it is better for PT HRC to review their current human resources development capabilities.





Research Location : Hard Rock Cafe Jakarta