Answer the following questionsin a 2 to 3 page and use APA format:
Critical Thinking Questions
Customer- Driven HR Costs and Benefits: Assessing the Business Case for Training
Managing Human Resources. After reading the case, please complete the following items:
Write a summary of the case,
Answer the critical thinking questions, and
Elaborate on two key learnings from the case related to training and development and its integration with the organization. Be sure to clearly state the two key learnings and defend them in well-organized, scholarly responses.
A key learning is defined as significant knowledge gained from reading the case. You may choose to explain your key learnings by offering a real-world application, personal insight, your thoughts and opinions about what was stated, how it is handled at your company, etc.
1. As you have read. training can increase revenue. The revenue could come from Increased quality of the customer experi. awe due to the Impact of training. Consider. as an example. the table of customer survey responses before and after train¬ing shown on the next page. The numbers are percentages of customer.; in each !satisfaction category six months before and six months after employees receised their training. A key change is a reduction in the "Very dixsatisfied—will never return" category of customers, which fell from 15 to 5 percent. What will this 10-percent change mean to the bottom line^
Assume that the average revenue generated pet month by a customer is $500.00. Also assume that you have 500 customers. What is the increased revenue due to the training for the past six months? What would be the revenue generated if you had 1,000 customers?
2. Training can also impact the bottom line by reducing a number of direct costs. For example, employee costs may be reduced because fewer overtime hours will be needed because of improved performance. Another cost reduction can be seen in reduced returns, because training may reduce errors or damage that can occur when the product or service is provided.
Make assumptions about the costs in each of these categories and any other direct costs you can think of. Also assume that you can expect a 10-percent reduction in each of these categories. Generate the direct cost savings estimate due to the training.
3. Training can also impact the bottom line by reducing indirect costs. These are costs that may not be obvious, but that are still
important. For example, safety of work processes or equipment can be improved due to training if workers handle materials
or equipment more safely. Employee turnover can also be re- duced, because of improved job satisfaction due to the training.
Assume that training results in a 10-percent reduction in your turnover rate. Also, assume that the cost of a turn¬over is 1.5 times the departing employee's salary. For a given average employee salary of your choosing, estimate the reduced costs due to the reduction in turnover.
4. Given your answers to the previous questions, estimate the combined impact of direct and indirect savings generated by training on the bottom .Extrapolate this number over a one- or two-year time nerind