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The risk associated with hiring people with high technical knowledge and experience lies in the fact that it is very expensive, it would out the budget ($ 200. 000 additionally). In addition and given that the organization will spend a significant capital; stakeholders are very reluctant to approve this option. However this option could give a timely and specialized customer seen. ‘ice required by an expensive product such as a forklift.

This risk could be overweight by the ROI in the near future since the sales are growing 10% per annum and it is expected that they grow even more due to the reduced costs of these vehicles and to the taxation benefits given to industries. On the other hand, retraining rental staff would be much more cheaper. It implies a very low risk in short term and economically speaking. However, the retraining rental staff would lack of the experience required to offer a high quality technical customer service, which, in the long run, could entails more expenses I. E. T may required to bring a manufacturer technician from the manufacturer company each time that a big issue occurs or face many complains from the customers. An a third option is hire just or three high technical knowledge for customer service to be settled in the main cities and retrain rental staff from ACH city for sales and for basic supporting customer service. This option is cheaper that the fist one and more expensive than the second one. It is still out the budged but it COUld be possible to renegotiate with the stakeholders to get their approbation.

ROI 1 option: – 700. 000 = 600% 700. 000 600% return on investment over the next 3 years. ROI 2 option: – = 320% 500. 000 320% return on investment over the next 3 years ROI 3 option: – = 536% 550. 000 536% return on investment over the next 3 years Option 1 may be the ideal option and has the higher ROI, however the investment is out the budget. Option 2 is the cheapest one and would have an important ROI, however the customer service would be in charge of inexperienced people which may be a big risk in the long run.

Option 3, although out of budget and with a ROI a bit smaller than option 2, would consolidate the image of a reliable organization. Recommendations SLAM: The strategy recommended to delivery HER service is Outsourced Model. This model fits with small a big companies and because of the big changes in JELL Industries an expert advice and manage is required. This option also reduce the need of invest in HER infrastructure, characteristic that makes this option ere convenient as JELL Industries will make a massive investment acquiring the sales rights.

Performance management should be carried out and have a rigorous tracking. Because the change in the HER delivery service model, it is necessary make an utter resuscitation. Legislation’s knowledge is very important and necessary to make the HER resuscitation plan. Problem solving skills should be one of the focus subject to make the merge between the two organizations. Action Plan: Activity Timeline Strategy/policy Resources Person Policy Outsourcing HER 1 week (first) Subcontract a hiring company HER agencies HER manager -Fair work act 2009.

Restructuring HER plan 1 week (Fourth) Outsourced Model. JELL Industries information HER Manager and the outsourced organization Evaluation of performance level plan 1 week (Third) Monitoring performance policy Feedback forms/ evaluation forms Knowledge About polices and legislation. (Second) Legislation and regulations. Website -Fair work act 2009. (Specially nondiscrimination polices) Problem solving skills (Fourth) Meeting with activities about problem solving Previous recorded cases Assessment Task 2 ABSORBERS B Service Level Agreement: Purpose:

The purpose of this SLAM is to establish a cooperative partnership between the JELL industries/HER Strategy and its customers. This SLAM will: – outline services to be offered and working assumptions between HER Strategy and its customers; – quantify and measure service level expectations; – outline the potential methods used to measure the quality of service provided; – define mutual requirements and expectations for critical processes and overall performance; – provide a vehicle for resolving conflicts. Vision: HER Strategy will provide a shared business environment for the JELL industries.

The business environment will continuously enhance service, compliance and productivity to its customers and core business practices. The primary goals for the service center include: – Integrate people, processes, and technology to provide a balanced service level to all customers. Create a collaborative environment where trusted relationships and teamwork are encouraged between administration, departments and suppliers to further Enterprise goals. – Create an organizational structure that balances strategic and tactical efforts that promote efficiencies. Reduce unnecessary costs. Through the use of creative organization design, economies of scale can be reached, resulting in lower operational costs. Design an environment that eliminates redundant processes and encourages solutions that maximize the goals and objectives Of the Enterprise. Service Performance: Mission: The mission of HER Strategy is to provide our customers with quality, timely and efficient services. We will achieve this mission by utilizing technology, cultivating the skills of our staff and building strong relationships with our customers.

We will operate our center understanding that we live in a nominative environment and our goal is to ensure our customers satisfaction. Scope: This Service Level Agreement (SLAM) records the commitment made by the HER Strategy for the provision of services of: Professional advice and support on HER issues. Payroll management. Management of Recruitment and Selection process. Training and Development. Legal Advice. Health and Safety. Competency and Performance Development (CAP) Process. Employee Relations. Personnel Management.. Sickness and Labor Turnover Key Performance Indicators (Kepi’s).

Occupational Health and Staff Welfare. Hours of operations: Daily hours of operation are 8:30 am to 5:00 pm Monday-Friday, with the exception of public holidays. Performance expectations: Service Expectation Performance metric Schedule Staffing and recruitment A vacancy job will be advertising within 2 days after notification. The recruitment process will last 1 month as maximum. High experience and knowledge is required to customer service vacancies. Relation vacancies in the beginning of the period/ vacancies at the end of it. %) Quarterly Training HER will schedule the require training by managers as soon as possible or according with the dated agreed. Also. Taking into account KIRK and other measurements, HER should program training when needed. Relation training programs scheduled/ training programs done throughout the period Monthly Relation number or training programs required/number of training programs developed on time Skill development HER will carry out performance tracking, programming regular assessments. Also will be in charge of the Competency Assessments program.

Competency Assessments Biannually % Successful achievement assessment Quarterly Relation # Assessments performance managed carried out/ # training employees Rewards and Recon action HER will be in charge of the employees’ payment and all that it implies. Relation # of processed payments/ # of employees (%) Monthly Relation # of rightly processed payments/ # of processed payments (%) process HER will support SLAM process Relation #administrative request/# administrative request completed (%) With each SLAM People HER will be in charge of measure employee satisfaction, turnover KIP and accident rate.

It will head an investigation in this regard if any issue occur and should propose solution about it. Turnover rate Satisfaction ratings. Accident rate. Productivity HER will employee productivity. Profit per employee Units produced per employee Cost per employee Revenue per employee Working assumptions: HER strategy will be appropriately staffed and funded, and supported. All the information needed by will be supply by the managers of each area.

Service constraints: – Increases in workload caused by natural or man made acts such as power outages, system unavailability or system response time may result in temporary reduction of service level delivery. – Conformance Requirements – HER Strategy policy changes and/or Federal or State regulations may alter procedures and service delivery Dependencies – Achievement of our service level commitment is dependent upon customer compliance with the policies and procedures of the JELL industries.

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