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BSBHRM513 Manage Workforce Planning - BSB51918 - Diploma of Leadership and Management

Assessment - Case Study & Role Play

Question 1. Review and analyse organisational data relating to staff turnover and demographics. You should identify the levels of turnover rate and issues about workforce diversity.

Answer:

The level of staff turnover rate is 22.77% in overall workforce of Mercury. The breakdown of the staff turnover shows that among senior manager the turnover rate is 25% and among the branch managers and line managers the turnover rate is 33.33%. Among the sales force and customer service and mechanics, the turnover rate is 31.25%.
There are two major issues in the workforce diversity and these issues are listed below.
• There is no aboriginal or Torres Strait Islander staff in the workforce of the company.
• There is lack of gender equality in the workforce of the company.

Question 2. Review organisational strategies and describe what objectives you would establish about modification or retention of the workforce.

Answer:

The objectives that should be established about the modification or retention of the workforce are listed below.
• Diversity - one of the objectives should be increasing the diversity of the workforce of the company.
• Employee Career growth and opportunities - Another objective is bettering the career growth and opportunities of the employees in the organisation.
• Effective working culture - The third objective is to establishment of the working culture of the company in which there is health competition and growth of the employee based on its performance of the employees.

Question 3. Review the workforce plan and summarise the main reasons for exiting employees. What is the main workforce change?

Answer:

There are few reasons that have been identified and those reasons will be discussed here. The first reason is the lack of opportunities in Mercury Pty Ltd for the employees. The second reason is the retirement as a significant portion of the workforce is of older age. The third and fourth reason is the unhealthy working culture and lack of recognition of the work that the employees have done.
The main workforce change that Mercury is experiencing is that it needs to convert its rental service workforce into retail service workforce. This lead to the company needing to upgrade the skill set of the employees according to the retail service requirement of the company like customer service skill.

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Question 4. Describe 3 possible factors that may affect workforce supply for Mercury's sales and mechanics positions.

Answer:

The three possible factors that may affect workforce supply for Mercury's sales and mechanics positions are listed below.
• Demand and supply - one of the factor that may affect the workforce supply for Mercury's sales and mechanics position is the demand and supply of the sales and mechanics labours in the market. For example, if the demand is higher and the supply is less, then it will create problem for the supply of the sales forces and mechanics in the company.
• Compensation rate - Another factor that may affect the workforce supply in the company's sales and mechanics positions is the compensation rate that Mercury offers compared to its competitors.
• Labour rules and regulation - The third factor that may affect the workforce supply in Mercury is the different labour rules and regulation and other relevant regulations related to the labour environment in Australia may affect supply of the sales forces and mechanics in the company. For example, if the rules and regulation related to labour are favourable for the business, then it will help the supply of the workforce or vice versa.

Question 5. What experience, qualification, gender, number of staff other factors would Mercury require for labour needs to ensure a skilled and diverse workforce? Where could you find this information?

Answer:

Mercury will have different requirements to ensure that the company has a skilled and diverse workforce and these requirements will be discussed here. The first requirement is having a hiring a female workforce in the senior and branch manager level of the management of the company. Around 140 employees have to hire by the company. Also, the company need to hire aboriginal or Torres Strait Islander staff in their workforce. The company also need high skill level in the labour that they are hiring specially the company need labour with high IT and technical skills. This information had been gathered after analysing the data given in the assessment brief.

Question 6. Consider a list of actions for the purpose of addressing unsuitable staff turnover. Choose one action that best supports agreed objectives. Explain your reason and create an action plan to implement the action.

Answer:

There are some actions which Mercury should take for the purpose of addressing unsuitable staff turnover and these actions will be discussed here.
• Changing the performance appraisal system - Mercury should change its performance appraisal system as under the current performance appraisal system, the employees feels that they do not get proper recognition for their work.
• Changing the working culture of the company - The company should change the working culture to enable healthy environment in the company as the employee feel the current working culture is creating a unhealthy environment in the organisation.
• Improving the career growth and opportunities - The company should improve the career growth and opportunities of the employees in the company as many employees are leaving the company due to lack of growth and opportunities in the organisation.
• Better compensation package - Another step that the company should take is better compensation package in which the variable payment of the employee will be linked with its performance in the company.

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Question 7. Describe two (2) objectives/benefits for Mercury about each area below:

Answer:

A. Retaining required skilled labour
The two benefits or objectives of the retaining skilled labour are reduction in the training cost of the business and higher quality of output of company (Richardson, 2016).
B. Having workforce diversity
The two benefits of the workforce diversity are increase in the productivity of the business and better reputation of the business in the labour market (Pearl-Martinez & Stephens, 2016).
C. Having cross-cultural management
The two benefits of having cross-cultural management for mercury are better communication skill of the employee and more flexibility in the management to adapt in different situation (Bird & Mendenhall, 2016).

Question 8. Summarise the information from Table 3 including areas of over or under supply.

Answer:

The information from Table 3 shows that there has been under supply of staff in the organisation as a huge proportion of the vacancy in the organisation remained unfulfilled. Although, the number of vacancy unfulfilled in the organisation is reducing day by day. On the other hand, the new recruitment requirement is also increasing significantly in the current due to growth of the company.

Question 9. Mercury will no longer recruit employees for their rental department. Explain what potential effects this labour demand change could have on labour supply trends.

Answer:

There are some potential effects of this labour demand change could have on labour supply trends and these effects has been identified and discussed here. The first potential effect is the change in the skill set required in the employees of the company who is being transferred from rental to retail service. The second is decrease in the new recruitment of the company than required as the company will try to accommodate its existing staffs of the rental into the retail service specially the skilled labours. This increases the source of supply of labour of the company in its retail service.

Question 10. Describe three (3) strategies to source skilled labour.

Answer:
The three strategies that can be applied to source skilled labour are listed below.
• First strategy is to source skill labour is upgrade the skill labour of the existing labours of the business.
• The second strategy is to source skill labour by give a competitive compensation rate to hire skill labour in the market.
• The third strategy is to use different medium like social media or website to advertise for the job vacancy of the skill job in the company.

Question 11. When you are solving workforce issues within Mercury, complete the forms below to develop contingency plans to cope with extreme situations.

Possible situation 1

Lack of diversity in the workforce  due to not having aboriginal or Torres Strait Islander staff

Contingency plan :

Making a quota system in which the management has to hire aboriginal or Torres Strait Islander staff in the new recruitment process for certain minimum proportion of vacancy.

Possible situation 1

Lack of gender equality in the upper management level of the company

Contingency plan :

Making a program in which the best performing women staff are groomed to become branch manager or senior manager after a fixed duration of time.

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Assessment Task - Project & Role Play

Part A Project

1. Introduction
In this project, the workforce plan of Mercury will be established according to the different changes in the external and internal environment of the business.

2. Examples of internal and external changes which may prompt to adjust the workforce plans
There are some examples of internal changes that may prompt to adjust the workforce plans are listed below.
• The failure to retain the skilled labour from the rental service workforce of the company.
• The company fails to find the aboriginal and female workforce in the recruitment process of the business.
• The lack of quality in the senior manager or branch manager level labour of the company.
There are some examples of external changes that may prompt to adjust the workforce plans are listed below.
• The change in the global recruitment trend of the industry in which the companies are recruiting the skilled labour from other countries.
• The decrease in the supply of skilled labour in the labour market from which the company is recruiting labour.

3. The workforce changes are in Mercury
The workforce change in Mercury is increase in the requirement of the skilled labour of the company as the company founding it risky to outsource their technical and IT workforce. Another change in workforce is the change in the organisation culture to accommodate the diverse workforce in the company.

4. The updated workforce objectives and strategies Mercury would need to deal with internal and external changes that could affect organisation goals

The updated workforce objectives and strategies are listed below.
• The first strategy is the change in the organisational value of the company to accommodate the diverse workforce of the company.
• The use of global recruitment method to increase the diversity of the workforce of the company.
• The change in the training and recruitment process to hire and train the senior and branch managers of the company.

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5. Strategies to assist in meeting the organisation's workforce diversity goals
• The first strategy is the global recruitment process in which the labour from other countries will be hired by the business.
• The second strategy is to train the female workforce to groom them for the promotion to the senior manager or branch manager level position in the business.
• The third strategy is to change the organisational value to accommodate the diverse workforce.
• The fourth strategy is to make proper interaction section between all staffs of the company to increase the understanding between them.

6. Labour supply trends factors that may affect workforce supply
• One of the labour trends is that to get high quality of workforce, the companies need to hire skill labour from other country or region.
• Another trend is that increase in the competition to get and retain the skill labour of the businesses.

7. Demand for labour that will impact on labour supply trends
Some of the labour supply trends that will be impacted are listed below.
• One of the trend is the companies had to give high benefit and compensation rate to retain the employee.
• Another trend is that the skill labour has lot of option to choose which company is giving him the best growth and opportunities option.
• The third trend is increase in the recruitment of skill labour from other region or countries due to shortage of labour in the domestic market.

8. Recommendation in response to global recruitment trend
The recommendation that the researcher will give in response to the global recruitment trend is finding ways to hire affordable labour from different developing countries which has high skill labour especially in IT section like India and making proper arrangement for their living in Australia. This recommendation is given as this labour can give high productivity in an affordable compensation rate.

9. Other examples of global workforce trends
• One of the global workforce trends is the increase in the emphasis on gender equality in the organisations.
• Another trend is the emphasis on the performance based compensation of the employees (Chen & Yu, 2016).
• The third trend is the emphasis on the teamwork and employee relationship to retain the employees.
• The fourth is increase in the popularity of the open working culture in the global organisation (Vance & Paik, 2015).

10. Response to potential government policy changes related to competency, visa requirements or any other incidents in the future
• The company should make a proper plan to meet all requirements of the government regulation regarding the employees hired by the company from another company.
• The company should make its compensation package in a way that it meets all the government regulation.
• The company should make planning of recruitment in a way that the HR team has enough time to recruit and make arrangement for the employee to come to Australia in proper time when he will be required in the company.

11. Evaluation of effectiveness of change processes against agreed objectives
• The regular review of the strategies should be done to according to the industry benchmark to assess its effectiveness.
• The feedback of the employee should be taken into account to assess the effectiveness.
• The customer feedback should be taken into account to assess the effectiveness.

12. Conclusion
In this project, the workforce plan of Mercury will be established after analysis of the different aspects of the Mercury.

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