September 14, 2006
Denise Holcroft
President
Med Supplies Express Corporation
Dear Ms. Holcroft:
Over the past quarter, there has been a noticeable increase in the loss of accounts. It has come to my attention that this loss of accounts may have been triggered by a significant decrease in morale and even augmented the incidence of absenteeism among the employees. This is disconcerting considering this has been unprecedented since I have been the VP of Human Resources for five years now. It is my intention to submit a proposal seeking to amend this situation of the company before it totally compromise the firm’s reputation for giving efficient, accurate, personal, and courteous service.
Background
Based on the observations of the HR department, there is a major increase in the absenteeism among the employees. The claim is supported by the following data:
The table above presents a summary of the number of absences of incurred in the months of the third quarter of this year. It shows that the incidence of absenteeism has been increasing progressively over the months covering the third quarter. Absenteeism is triggered by two things: the ability of the employee to come to work, and the employees’ motivation to attend. Seeing the two reasons, it appears that we could generally control the latter reason for the occurrence of absenteeism. This also means that there is a letdown in the morale of the employees in the company. The problem in this context may possibly affect the overall performance of the organization. To illustrate, the past quarter revealed that there were several accounts that stopped availing our product and services.
Being the VP of the HR affairs, it concerns me that the possible decrease in the morale may be the root cause of the loss incurred by the company. As seen in the chart above, there were 16 accounts lost in the past quarter alone. This loss of account also bothers the supervisors in the firm. They claim that the loss of clients may indicate an unstable company, making them worry about their jobs. Thus, to deal with this predicament, the HR department intends to establish a clear and unambiguous evidence of the negative shift of the organizational morale. This proposal intends to define the needs of the employees to create a baseline regarding the motivational requirements needed. Specifically, I propose a HRM program intended to accomplish the following goals:
· Determine and monitor the motivation level of the employees to establish the motivational requirements of the company.
· Establish a set of program changes in the HR Department particularly geared towards the improvement in the motivation level of the employees.
· Review the policies regarding the rewards and incentives of the organization.
· Create a communication system that would allow the company to receive feedback from the employees.
Proposal
In order to regain the confidence of the clients and salvage what’s left of the morale of the organization, I propose the following plan:
Survey
A survey will be conducted in order to establish the necessary information needed to take into consideration the HR needs of the employees. The questionnaire will be formulated by the management level employees of the HR department. The questionnaires will be distributed to all of the employees in Med Supplies Express Corporation to acquire the general disposition of the entire workforce. The outcomes and findings of this survey will help in indicating the areas that needed change.
Analysis
The analysis of the data coming from the survey will be the key to improving the motivation of the employees. With the analysis of the data, the HR department will be able to (a) pinpoint the specific aspects of the operations that require changes; (b) possible changes needed in the policies regarding rewards and incentives of the company; (c) formulate the necessary programs to address the situation in Med Supplies Express Corporation.
Report
The findings of this endeavor will be forwarded to your office. A summary on the analysis and the data recovered will be presented in a concise manner using graphs and other visuals acquired from the survey. Moreover, the intended courses of action will also be provided in the said report.
Schedule
Pending the approval of this project, this is the expected timeline to which the activities will be carried out:
Activity
Week number
1
2
3
4
5
6
7
8
Drafting of the Questionnaire
Completion of the Survey
Analysis and Interpretation of the Data
Submission of the Report
Staffing
The project will be taking a staff from the Human Resource Department. The project team will be composed of a group of five individuals from the HR Department that has been trained to analyze and examine organizations using psychological theories and other methods that would indicate the level of motivation of the organization. Using psychometrics, acquiring a group of individuals from a singular department, specifically the HR Department, will maintain the confidentiality of the findings of the case as well as the possible courses of action. Moreover, the team, being versed with psychological tuition, will significantly be helpful in pointing out the valid and reliable psychological measure that should be used in the project. In the same way, they could objectively provide the data acquired from the tests. In addition, the data from the survey will be treated statistically using the Statistical Package for the Social Sciences (SPSS) software.
Budget
The project is anticipated to incur the following costs:
Activity
Estimated Hours
Cost Per Hour
Total
Drafting of the Questionnaire
40
0
00
Conduct of the Survey
120
40
4800
Analysis and Interpretation of the Data
120
120
14400
Drafting of the Report
40
120
4800
Total Costs
800
Request for Authorization
As seen in the effects on the last quarter, the motivation of the employees is imperative and essential in our line of work. Keeping our employees motivated and maintaining their high morale will continue to make our customers well treated. The way I see it, the company has marketed itself with our own brand of service. It is my belief that addressing the problem of motivation will be able to solve our problem not only with the absenteeism in the ranks; it will also solve the company’s loss of accounts and clients. The HR Department hopes you would approve of conducting the project with the projected budget above costing 800. We also believe that the problem should be dealt with swiftly. With your approval, the entire project will see results within eight weeks.
It is our intention to assist the company to achieve its organizational goals. I implore you to consider the proposal above.
Sincerely,
Ernest Soukup
Vice-President of Human Resources
Med Supplies Express Corporation
Credit:ivythesis.typepad.com
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