Running Head: HOUSEHOLD CONSUMER ENTERPRISES, INC.

(HCE)

Household Consumer Enterprises, Inc. (HCE) By: Mr. Christopher B. Dela Cruz Columbia College BUSI 535 Saturday, August 17, 2013 Instructor: Retha M. Barron

Running Head: HOUSEHOLD CONSUMER ENTERPRISES, INC. (HCE) 1. What geographic location might be best for the plant in terms of attracting sufficient quantity and quality of labor, especially for the key jobs? Answer: It is a vital resource of success for the right geographic location to build a site for Household Consumer Electronics. The corporate headquarter for HCE is in downtown Chicago, Illinois. The north central region consists of Wisconsin, Michigan, Ohio and the HCE headquarters. The new proposed site must meet the following criteria; road access,

efficiently meets clients and employee, this include suppliers delivery system. The site must have the ability to trained new employees. My question to the organization is; are we building from the ground up or renting a space? Assuming that the questions were answered; my best geographical location will be Wisconsin; the minimum hourly wage is $7.25 and based on the 24/6 schedule rotation the plant meets minimum standards with the State of Wisconsin. Thirty-six percent of all U.S. plastics manufacturing activity takes place within a 500-mile radius of Wisconsin. The significance of Wisconsins prominence in the industry can be attributed to a business climate favorable to the growth and prosperity of business.1 Wisconsin has many incentives for corporation who wishes to invest in Wisconsin. It has property tax exemptions and tax credit for research and development. The quality of labor is exceptional many employees of Wisconsin have technical expertise in machineries and heavy equipment. The state is committed to partnerships and helps each other collaborate in order for both companies sustainability.

2. Should the plant manager come from inside the current managerial ranks or be sought from the outside?

http://www.forwardwisconsin.com/sub52/Plastics

Running Head: HOUSEHOLD CONSUMER ENTERPRISES, INC. (HCE) Answer: I personally would hire internally who is capable of running the new site. According to Heneman (2012) Organizations wants to cultivate a stable, committed workforce, it will probably need to emphasize internal hiring. This will allow employees to use the internal labor market as a springboard for launching long term careers within the organization. Hiring a new plant manager (outside) will cost time and money to cultivate social culture of the organization. Internal hire will cultivate upward mobility for other employees and a long term investment of employees and the organization. 3. Should staffing be based on just the person/job match or also the person/organization match? Answer: Staffing should be person match base on the requirement provided by HCE;

with the new plant site, skilled laborer with experience in machineries is needed for the plant site to work. We have assemblers, warehouse worker and labors that are skilled to work on heavy equipment and machineries. 4. Would it make sense to staff the plant initially with a flexible workforce by using temporary employees and then shift over to a core workforce if it looks like the plant will be successful? If so, why? If not, why not? Answer: I would have to agree; it would make sense for a flexible workforce during the initial stage of the site. There has not been a feasibility study of the new product design and desired outcome of sales and volume will determine the outcome of employees. The risk is high due to venturing out of their comfort zone. The high start up cost for the site has eaten away the allocation pay for laborers. It also help them to benchmark the correct number of employees if it where to be successful. 5. In the early stages, should the plan be fully staffed, understaffed, or overstaffed?

Running Head: HOUSEHOLD CONSUMER ENTERPRISES, INC. (HCE) Answer: I would understaff the plan; my reason its because the company must outline sections needed to fulfill different stations. Honing skills for labor in batches is more efficient than having it fully staff with confusion on their responsibility.

6. Will employee retention likely be a problem, and if so, how would this affect the viability of the new plant? Answer: The retention will be low with a high volume turnover rate. The pay level will be at low end market, limited benefits and no potential pension plan for employees. Many potential employees seek job security in todays economy.

Running Head: HOUSEHOLD CONSUMER ENTERPRISES, INC. (HCE) Work Cited Page a. Heneman III, H. G., Judge, T. A., Kammeyer-Mueller, J. D. (2012) Staffing Organizations, Seventh Edition. By McGraw-Hill Irwin WI. b. No Author Provided (2013) United States Region Map by Maps of the World Site. Retrieved: August 17, 2013 from: http://www.mapsofworld.com/usa/usa-maps/unitedstates-regional-maps.html c. No Author Provided (2013) Wage and Hour Division by Department of Labor Site. Retrieved: August 17, 2013 from: http://www.dol.gov/whd/minwage/america.htm d. No Author Provided (2013) Plastics by Forward Wisconsin Site. Retrieved: August 17, 2013 from: http://www.forwardwisconsin.com/sub52/Plastics