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training & development. Memorandum To: CEO of Xenon Corporation From: [put your name here] & Sons Consulting Subject: Training programs at Xenon Importance: High Date: Feb. 20 th, 2004 It is very smart for the Xenon Company to start thinking about the human resource development programs before the actual need for the given programs appears. First of all one should understand that the budget of $ 1500 /year per employee results in only some $ 28. 85 per week per employee. Therefore, here we should prioritize the programs and make some of them available on the weekly and some on the biweekly basis to get the maximum benefit from the limited supplies. 1. Xenon Corporation will be sending 20 upper-level managers to its production facility in Tokyo, Japan. In order to maximize this assignment, the managers should receive cross-cultural training so that they can function effectively as expatriates.
This program indeed appears to be very interesting and useful, while at the same time rather costly for the company with the limited budget. I would propose a 2 -week employee exchanges per year between the US and Japanese plants of Xenon. The assumed cost is $ 450 /week per person. Thus the total cost is $ 900 20 = $ 18, 000 /year. 2. In the context of requiring a more highly-skilled workforce, Xenon runs the risk of facing a shortage of fully-qualified applicants for entry-level production positions. In fact, recent estimates suggest that 43 % of entry-level hires lack basic math, reading, and writing skills.
To address this issue, Xenon is interested in providing basic skills / literacy training to those new hires that require such training. The need for this training is apparent taking into account the great number of unqualified applicants that enter the job market. Simply because, Xenon should understand that it should both educate the new entrants as well as not to spend too much money on them because they would flee Xenon for some other company, Xenon should provide the bi-weekly training meetings (math, reading / writing ) where the new entrants would be expected to get the homework assignment, that would then be discussed in class. The average cost of math and writing / reading trainings is $ 200 / hour from one group of 50 students, which would result in $ 4 /class per new entrant. Out of $ 28 allocated per person per week, $ 8 dollars / week will be directed towards education (math, writing, reading). 3. As the general workforce becomes more diverse and Xenon Corporation finds itself hiring more and more individuals, it is expected that Xenon employees will also become more diverse.
With this change, comes a need for all employees to be increasingly knowledgeable and sensitive of others' differences, an outcome that can hopefully be achieved through a diversity training program. This program is also vital for the development of healthy relations between the diverse employees at Xenon. Yet taking into account the current trend in learning about diversity in schools, universities and colleges, one should not make diversity appreciation class a frequent lecture. I propose to hold, monthly or bi-monthly meetings on diversity where during a 2 - 3 hour discussion, we would be able to understand the problems that go on with the diverse groups and with how to accommodate their needs at Xenon.
Per company, the ethnicity trainings should add up to $ 250 /month. 4. With an influx of new hires, Xenon will need to provide adequate orientation and socialization to these new recruits. As such, there is a need to create a new employee orientation training program. This program is certainly necessary for the proper employee-employer relationship development as well as for the employee socialization. I propose quarterly meetings / cocktail parties that would be preceded by the 1 day orientation for new hires.
The total cost of such parties / trainings is expected to be $ 1000 /quarter year, or $ 4000 / annually. 5. In order to limit worker compensation costs and maximize worker productivity, Xenon Corporation feels it is important for all 1, 800 production employees to receive training in ergonomics and safety as a prevention measure. This training is also advisable for Xenon company if it wants to improve productivity and efficiency at the work place. Yet just because, ergonomics is not a revolutionary science that develops on a weekly basis, I believe that the employees should get the proper training and lessons on a quarterly basis. The estimated cost of such training should be about $ 600 /lesson, or $ 2400 per year. 6.
Recent 360 -degree feedback sessions revealed that roughly half of Xenon's management group are viewed as ineffective managers by their subordinates. The principle source of the problem is Xenon's choice to promote from within, a process that results in the promotion of experienced production staff to the management-track. While these individuals are advanced technically, they tend to lack interpersonal skills including conflict-management skills, leadership skills, and social sensitivity. This group of managers requires training to address these dysfunctional behaviors. First of all I believe that the company should establish internal quality-improvements, self-education circles that would save the companys costs on external consultants that will teach our managers what a good management is.
The training for these top managers should be conducted on the semi-annual basis by external consultants, while the quality management circles should work on a monthly basis to assure that the Xenon's management is competent and effective enough for this company to retain its leadership position in the lamp industry. 7. In an attempt to streamline its organization and create a more responsive organizational structure capable of capitalizing fully on the impending growth, Xenon will be laying off 200 mid-level managers over the next two years. As a service, Xenon wishes to provide these individuals with outplacement training so that they may be better equipped to find another job quickly. This training is also much required and good if Xenon wants to have proper employee satisfaction level. Yet we also should remember that Xenon should be saving money at all time not to remain a super spender. Therefore, the management should make use of the existing courses and resources.
First of all, if the management feels that they lack some basic math, reading, writing, presentation skills, they should be more than welcome to attend the new hires course on math, writing and reading. Also, the middle level management should not be denied an opportunity to be present at the trainings for top management that would allow them to better understand their superiors and remain effective within the organization. These managers should also be present at the orientation that Xenon provides for its employees in order to be better prepared for the orientations that will be present at different companies in some 2 years. I believe that it would be extremely unwieldy and costly to teach them something absolutely new like Finance, accounting, or economics, yet I would recommend to buy used books that each employee could borrow and read. The cost for used books to accommodate 200 employees should be about $ 6000 one time cost that would buy different books (some 250 different books) on various subjects that the employees could borrow and read. 8.
Xenon faces an applicant shortage for its second and third shift production positions. As product demand increases, Xenon anticipates that it will become even more important to run a full production shift around the clock. Xenon is considering instituting a program for training the hardcore unemployed as a means of addressing this issue. The intent would be to establish a direct track into these positions for individuals who would otherwise be drawing welfare payments. An added bonus for Xenon would be its role as a social service provider. Certainly a bonus is necessary to motivate people to work in the evening or at night.
Still I would like to note that this is not a development program for the employees of any kind but a regular business decision pertaining to labor. Thus the finances should not come from the $ 1500 /year allocated per employee. Here I would like to advice Xenon to obey the state laws regarding the second / third shifts or would institute a 30 % bonus on the salary for employees working at night (3 rd shift) and 20 % bonus to employees working in the evening (2 nd shift).
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