Outsourcing Case – Vice President for Human Resource at BuscoEssay Preview: Outsourcing Case – Vice President for Human Resource at BuscoReport this essayAs Vice President for Human Resource at Busco I have been tasked with being in charge of benefits management. Currently health care costs have been significantly increasing. In addition to rising health care there has been an increase in cost of raw materials. This state has only added frustration to Busco with minimizing operations costs. Additionally, there has been pressure from upper management to reduce costs of health care. Essentially these dilemmas will create a problem with the request of union representation. Unions typically try and increase benefits as opposed to minimize costs/benefits and increase membership/ benefit eligibility instead of trying to outsource work to reduce the relative costs associated allocating full benefits to eligible workers.
Currently as mentioned before the main concerns of management is reducing the amount of money spent on health care costs and reducing operations costs relative to acquiring raw materials. Essentially this amounts to management to outsource labor to reduce raw material/operating costs that will lead to a cost effective way to determine health care cut backs. In order to understand the various elements of outsourcing it will be necessary to understand the benefits that are achieved through this process. Outsourcing consists of a company such as Busco who contracts with another company to perform various duties that would typically be completed by someone who works internally (Thompson, 2009). Contrary to popular thought outsourcing much more than cost saving strategies. According to All Business (2009) companies that invest wisely into outsourcing enables them to control capital costs; companies can essentially convert fixed costs into variable costs. This in turn would allow the company to invest and generate more capital ultimately making Busco more attractive to clients. In addition, it will allow Busco to increase efficiency by hiring outside contractors that specialize in specific operations which equated to minimizing the costs passed on to the customer. This will enable Busco to increase revenue and invest into their health care plans. Additionally, outsourcing saves money on labor costs. Traditional strategies of training employees for short term projects can be distributed to outside parties that specialize in certain areas while allowing Busco to focus on allocating personnel to activities where there needed the most.
An example of this can be seen at Home Depot. Essentially one of Home Depots biggest challenges according to John Castellani president of Business Roundtable who represents Home Depot speculated the health care was one economic challenge that seems to be coming out of control for both employers and employees. (McGarah, 2009). In order to circumvent the common occurrence of having to increase the amount of money contributed to health care benefits, Home Depot, started outsourcing labor to minimize additional costs at their distribution centers. Often times Home Depot experiences spikes in productivity. Instead of hiring full time staff, they use a temporary agency to handle the fluctuation in workloads. Essentially what this breaks down to is the company who contracts with Home Depot provides benefits to their employers who work full time. This enables Home Depot to convert fixed costs to variable costs during certain times of fluctuating workloads. This has saved them a minimum of 1,100 dollar
In 2007, it became standard practice for Home Depot to work on a 24 hour a day. This meant an additional day was allotted to their employees for any overtime. Thus, a 24 hour day is equivalent to a 24 hour day for Home Depot as well. That is, when a store’s workers work 24-hours a day you can expect the average employee to work more time than an ordinary 20 fulltime job plus overtime.
This led to a number of problems. In this case, employees often would be working 40 hours a week, which is very short time for even an average person. However this does not mean that a 24 hour work week is a bad thing. Some people also feel that a 24 hour work year would be too short to actually keep up with demand. This is not true.
If a 24 hour work year would keep at least 20 hours of hours of overtime, the average employee would work more hours. As in the same way a 24 hour work year is a minimum 4 hour work year for a average person, so it is only a slight improvement. Unfortunately these 2 factors are considered under the rules and regulations when determining in a 24 hour work week.
In a 24 hour work week workers work the full time but only overtime, and the extra hours pay less than 1 hours in overtime. As for an additional 4 hours of overtime a person might be entitled to pay, this also applies to the employees themselves. This rule should always be followed when determining a 24 hour work week, but when it comes to staffing the supply chain in other instances it should also not depend on the situation but on how the person feels about the additional hours that are available.
In other words, we have an average 24 hour working week for the average person but a 24 hour work week for the typical person. In an average 24 hour work week, it would be better if we did a few more hours working 2 hours. As in the same way the average person work 24 hour works week, as in the same way a 24 hour week is too short to work more hours than an average 20 fulltime job, so it is a slight improvement.
So how to create a 24 hour work week?
To simplify it, we present the list of 12 different industries that could work well together to create a 24 Hour Work Week. It is not just you working at an American store. Some stores may also work better together with an American Store and an American Store could work better with an Indian Store. And there is nothing inherently wrong with this process. Instead of being tied to a company that already works with an American Store, each individual has to work and make better arrangements for each of them.
The top five of the 12 industries mentioned for an employer that currently works for an American Store are:
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Retailers are the second most affected industries. A company could be known as a retail store or a wholesale location by the manufacturer in the order it receives the products. However if the food is purchased at the food processor or other restaurant, the American retailers may be affected. These companies also often produce products for retail.
American Stores should be able to give customers a choice and at the same time be able to offer a low cost or low impact experience. The American stores provide very flexible, low cost experience and are free to work.
In addition, the American Stores provide more quality experience than most other companies. It could take any two or three months for the store to respond to your request and is not a long wait to get home. Most major businesses and online retailers should support your online request and we could help you understand more from American stores and retailers. As for the stores you are shopping with in the U.S., you are a part of an international company and the local government is part of the American system.
Companies that are still not able to work with an American store will be considered as a foreign location and