The Human Resource Management Simulation
April 18, 2012|
Our major focus at the beginning of the Human Resource Management Simulation was to implement programs and policies that would balance the needs of employees and the needs of the company while creating a profitable company that we would be proud to work for. A major part of balancing these needs was to carefully manage the budget allocated for the simulation. We created a budget spreadsheet to achieve this goal and used the spreadsheet to run various models each week. Our six goals for creating a superior workplace included: reducing turnover and increasing morale, diversity, quality, safety, and productivity.
Our strategies for accomplishing the six goals included raising wages and benefits to the market rate to remain competitive in the hiring market, introducing safety and quality programs to increase productivity, and implementing special programs to increase company profitability and long-term viability. Additionally, increases in internal promotions and training were planned as a mechanism to reduce turnover and the introduction of Human Resource programs (e.g., Employee Participation, Grievance, Orientation, etc.) were planned as mechanisms to increase morale among employees. With such lofty goals and a limited budget, our team developed a long-term strategy that required patience during the first few quarters as the strategy took hold. To adhere to the 3-year budget, the plan was to increase wages, benefits, and programs gradually in order to capitalize on the increase in goodwill, productivity, quality, and safety. Caution was taken to avoid front-loading the wage and benefit increases to prevent diminishing goodwill as employees became accustomed to the new environment and expected further increases. Our wage approach was to grant an initial wage increase of 1.67%, making our company competitive in the hiring market,...