Chapter 1: Introduction
1.1: Company Profile
Kelly Services, Incorporation is one of the largest temporary help services providing organizations in United States of America. It was established in 1946 in Detroit, Michigan and had remained under the family management, with William Russell Kelly as Chief Executive Officer. The company emphasized on clerical and secretarial services, but also offering some other services like: Marketing, Light Industrial, Technical, Nursing and Home Health Care, Temporary Staffing Services, and Full-Time Placement. William Russell Kelly founded Russell Kelly Office Service in 1946, initially providing office services performed at Kelly's offices, rather than providing temporary staffing at the client's location. However, customers asked for the work to be performed at their locations, and the temporary staffing concept was born out of responding to this type of request. It was in 1946 that the first 'Kelly Girls' came into scope and the first 'Kelly Girl' was Adelaide Hess Moran who was able to demonstrate that this new working sphere for women could be one to enjoy. The temporary workers, who were usually female, became known as 'Kelly girls'. In recognition of this, the name of the company was changed to Kelly Girl Service, Inc. in 1957. The term 'Kelly girl' became a widely used term for a temporary worker, regardless of the worker's company affiliation or gender. In 1966 the name of the company was changed to Kelly Services, Inc., in order to reflect an expanding range of services.
Kelly operates in 37 countries and territories, 650 offices in the United States, Canada, The United Kingdom, and France. Kelly employs more than 530,000 individuals annually, in areas including office services, accounting, engineering, information technology, law, science, marketing, creative services, light industrial, education, and health care. Kelly opened 64 new offices in 1985 and 47 in 1984. But most of the company’s growth had come from increased business from existing markets and customers.
Chapter 2: Analysis of the Economy
Analysis of the economy means to analyze the economic condition at that particular time period, whether the economic conditions were in recession, or normal, or inflation. Kelly Service, Inc. belongs to the service industry of the USA economy. The economy of the United States is the world's largest national economy. The economy of the United States is a mixed economy and has maintained a stable overall GDP growth rate, a moderate unemployment rate, and high levels of research and capital investment. Temporary employed in the United States is booming. According to the Bureau of Labor Statistics, employment growth in the temporary help services industry has averaged 11 percent a year over the last 13 years, compared with a 2.1 percent growth rate for non-agricultural jobs throughout the economy. By 1982, 46% of temporary employment and 57% of receipts of temporary help services firms were earned at non-office jobs. A 1985 survey indicated that, of temporary help hired for office jobs, 58% were used in clerical positions and 25% were used for secretarial duties; the remaining 17% were used for such tasks as word and data processing and accounting functions. About half were hired to alleviate work overloads, and one-third was hired to cover for absent employees.
Chapter 3: Analysis of the Industry
Temporary employed in the United States is booming. According to the Bureau of Labor Statistics, employment growth in the temporary help services industry has averaged 11 percent a year over the last 13 years, compared with a 2.1 percent growth rate for non-agricultural jobs throughout the economy.
The increasing use of temporary help could be attributed to at least three factors. Such help was used as an employment buffer; it would decline early in a recession, but would rebound rapidly in an economic recovery in 1983, the first year of recovery from a...
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