Expert answer:Each team should choose one team member and post the team simulation report to the discussion area in this module. Review and critique at least two final team reports and provide constructive feedback about your findings. Read Team Papers (attached) and provide feedback and critique of what the teams did right or wrong during the simulation. 150 words and provide at least one reputable reference.
group_a_team_paper_final.docx
group_c_team_paper_final.docx
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Running head: BIKEFIT HUB
1
HR Management Simulation Report
John Strickland
Holly Harn
An-Marie Ledesma
Lizu Hilton-Durham
Saint Leo University
Running head: BIKEFIT HUB
2
Introduction
Group A’s business is BikeFit Hub, a growing bicycle manufacturer with a human
resources function that has not kept pace with the company’s growth. The chief executive officer
ordered the team to get organized and gave the department authority to make decisions
concerning staffing, wages, benefits, training, programs, and special incidents to help the
organization meet its strategic goals. Over the past several weeks, the group learned, first hand,
how each of these decisions affect unit labor cost, quality, turnover, morale, accident rates,
grievances, productivity, and absenteeism. The HR department was also tasked with hiring more
female and minority workers. By the eighth quarter, the company met this goal and had higher
numbers than the industry. Actually, by the end of the second year, BikeFit Hub outperformed
the industry in every area, while staying within the approved budget (Table 1).
Coming into the simulation, we had a lot to do and not a lot of resources to do it. We had
to prioritize the most immediate and vital goals and spend resources sparingly, ensuring that we
would make progress slowly but surely, rather than trying to do a little of everything at once.
Morale was our biggest ally and enemy. Our first priority was meeting the production quotas. In
order to do this, we needed to have sufficient staff on hand at all times, and monitor morale
closely to ensure that staff were working to their fullest potential. Secondary to production was
morale. Production was primary to ensure that we met our quotas, but morale was a large factor
of production, as well as a factor in every other aspect of performance. Happy workers work
better, so we did our best to reward and motivate employees. Our tertiary priority was training.
Proper training for employees was vital, but we prioritized it under production and morale
because they were more immediately necessary to the function of the organization. Finally,
Running head: BIKEFIT HUB
3
quality was our lowest priority. Production, morale, and training came first, but once those bases
were covered all extraneous efforts went towards quality assurance.
Decision Making and Impact
Staffing. Hiring and promoting decisions evolved throughout the simulation. Initially, the group
did not fill every position and did not promote as much from within the organization. The
thought process behind not filling all the level one positions was to try and improve productivity
which would reduce the number of workers needed. Another perspective is that paying overtime
for the short term may be less costly than hiring new workers. Fewer promotions were awarded
since the case study indicated that there was not a formal training program and in order for
promoted employees to be successful, this needed to be in place. As the simulation progressed,
open positions for level two and higher were filled by promoting from within and only level one
positions were filled by hiring new workers.
By the fifth quarter, all positions were filled, leaving zero shortages as the team realized
that over-time costs were increasing and the business was not realizing a significant increase in
production from the investment in training and the additional programs implemented. Also, not
filling all the open positions affected other areas such as morale, grievances, absenteeism, and
quality. As the group maximized promotions and made sure there were not any hiring shortages,
other performance measures improved including labor unit cost and production (Table 2).
The group focused on hiring more women and minorities and implemented an affirmative
action program in order to facilitate that goal. The program was added during the fifth quarter
and it increased the percentage of female employees from 16 percent to 18 percent and minority
employees from 10 percent to 12 percent from the fourth to fifth quarter. By the end of the
simulation, the percentage of female employees was 22 percent and percentage of minority
Running head: BIKEFIT HUB
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employees was 16 percent (Tables 3, 4 & 5). The industry has 19.5 percent female workers and
14.9% minority workers (Table 6).
Wages and benefits. The group enhanced benefits and increased wages in the first quarter of the
simulation. The case study indicated that benefits and wages were below average for the industry
so the group addressed this quickly. While the improvements helped BikeFit Hub match the
industry and improved morale and grievances, it accounted for 55 percent of the money spent
that quarter. The team had to monitor expenses closely for the remainder of the first year.
The group increased wages again fifth quarter to keep up with industry. Benefits were
increased in quarters six and eight in an effort to increase retention and morale. It is difficult to
say how much these enhancements impacted retention and morale since other programs were
implemented at the same time as well as the organization’s progression of promoting from
within.
Training. BikeFit Hub did not have any formal training program in place. As the simulation
progressed the group became more familiar with the analysis tools available within the system.
During the first quarter, the investment in training for new hires and promotions was calculated
by the number of new hires and the cost per person provided in the case study. Later, the training
analysis tool was discovered which provided the required the numbers for the group.
The group decided to invest the minimal amount necessary for the safety and accident
prevention program and the dollars necessary to implement a total quality management program.
Many of the initial decisions were influenced heavily by the case study until the team became
familiar with how each decision affected the company’s performance measures. The team
understood that investing in safety would reduce costs and help morale. Investing in a quality
program would also help the business and make employees proud of the bicycles they make.
Running head: BIKEFIT HUB
5
Over time, we steadily increased our training expenditures after stabilizing production and
morale, and ended up with a formidable training program across the board, from lower level
workers to upper level managers.
Programs. The first quarter of the simulation, the team invested heavily in staffing, benefits,
wages, and training. The only program implemented that quarter was the HR information system.
The group agreed that this was a solid place to start since the system would provide the business
with data to improve decision making in all areas of HR (Interpretive Simulations, 2017).
After the first quarter, however, we decided to heavily invest in programs since they were
relatively low cost but seemingly helpful to our employees. The idea was to raise morale as
much as possible while spending as little as possible to do it. To meet that goal, programs
seemed to be the most cost-effective area.
Special. For our special decisions, we used the same basic thought process for each decision.
Our primary concerns were production and morale. We always chose the options that seemed to
maximize production or morale, while keeping expense to a minimum. The first special decision
involved the best way to conduct a job analysis. Supervisors and managers were experiencing
confusion with job duties and this needed to be resolved. The group decided to select the option
that would benefit this group, the job analysis of the jobs in the production and operations
department. This was not the most expensive or cheapest option, but it seemed the most efficient
and best way to address the problem this group of employees was experiencing. The simulation
confirmed this was a wise choice in the newsletter that followed the final decisions for the first
quarter.
Quarter two the group decided to implement job rotation, enlargement, and enrichment
since workers communicated concern about the repetition of work, forced pacing, not
Running head: BIKEFIT HUB
6
understanding the end product, little social interaction, and no method for suggesting
improvements to the job (Job Design, 2017). Studies indicate that to keep employees motivated,
employers must focus on more than work efficiency, even though, this is important. Employers
also need to focus on work design to keep workers satisfied, reduce turnover and absenteeism
(Humphrey, Nahrgang & Morgeson (2007). The newsletter following the decision confirmed
that this was a good choice.
Quarter three’s special decision was challenging for the group as the group did not
completely agree. The decision involved completing a project for a customer that resulted in
BikeFit Hub having to decide how to get the work done. Should the company use current
workers and pay overtime or hire temporary workers. If hiring temporary workers, what is the
best way to approach it? This is something human resource teams deal with frequently when
faced with multiple decisions that each have a positive and negative consequence. The group
decided that we are team and regardless of the result, the group is in it together. The result of the
decision caused dissension and was expensive, but was only a temporary set back.
Other special decisions that the group made produced expected results. Sometimes
making the right decision angered others, but in the end it was the right choice. The decision
involving performance appraisals is a perfect example. The group decided to implement a
program that included the supervisor, subordinates, and self appraisal using the Behaviorally
Anchored Rating System (BARS). The BARS system allows the person to select the statement
that best matches the worker or supervisor’s behavior. As expected, supervisors were upset and it
lowered their morale, but it is important to give subordinates a voice in the appraisal process.
Conclusion
Running head: BIKEFIT HUB
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Overall, this simulation boiled down to a balancing act between expense and
performance. We were constantly forced to make decisions in which we did not have all of the
information. In reality, one never does have all the information. To solve this, we had to set
priorities and determine what the most immediately important goals were. In order of
importance, we chose to focus on production, morale, training, and quality. Production comes
first to ensure that we meet our quotas. Morale is second because it affects performance,
retention, etc. Training increased productivity, prevented accidents (which increases retention
and decreases expenses), and increased quality. And when all of those goals were taken care of,
we put our remaining efforts in quality.
Our method of prioritization was based on the hierarchy of needs. The idea is that one
must take care of basic, foundational goals that are essential to operation before focusing on
lesser goals that are important but not necessary to operation, such as quality. When one sets out
to build a house, one cannot start painting until the walls are erected, and one cannot put up walls
until the foundation is set. Focusing on setting a sturdy foundation allows one to build upwards,
always making forward progress, rather than having to go back and forth or stop to tie up loose
ends as you go.
Running head: BIKEFIT HUB
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References
Hitt, M. A., Miller, C. C., & Colella, A. (2015). A strategic approach to organizational behavior.
In Organizational behavior (4th ed.). Hoboken, NJ: Wiley.
Humphrey, S., Nahrgang, J. & Morgeson, F. (2007). Integrating Motivational, Social, and
Contextual Work Design Features: A Meta-Analytic Summary and Theoretical Extension
of the Work Design Literature. Retrieved from https://www.shrm.org/hr-today/news/hrnews/documents/humphreyetal2007.pdf
Interpretive Simulations. (2017). 1: HRManagement Case. Retrieved from
http://app4.interpretive.com/hrmf17/doc/case.pdf
Interpretive Simulations. (2017). Job Design. Retrieved from
http://app4.interpretive.com/hrmf17/doc/special/inc2/incident.pdf
Running head: BIKEFIT HUB
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Appendix A
Table 1
Table 2
Table 3
Table 4
Running head: BIKEFIT HUB
Table 5
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Running head: BIKEFIT HUB
Table 6
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Running head: Socialme: HR Management Team Report
1
Socialme: HR Management Team Report
Team C
Robert Turner, Joseph Mack, Farrah Diaz, Donald Atkins, Logan Randale, Theresa Jeanty &
Kizzy Lee
Saint Leo University
Socialme: HR Management Team Report
2
Abstract
In this report we will describe the simulation project, what situations required decisions, why we
made those decisions, and what the outcome of the project was. First we will describe what the
simulation project required, then we will describe each quarter, the decisions that were made,
why they were made in that manner and the results of those decisions.
Socialme: HR Management Team Report
3
Socialme: HR Management Team Report
Organizational behavior is a field that has been studied almost endlessly in the last 75
years. One huge player on the organizational field is the Human Resources (HR) management
team. Within this field we know the importance of human capital and throughout the simulation
we evaluated where and how we could strategically ensure that we have diverse and experienced
employees. The strategies and decisions of this team affect the entire company. At best, these
decisions reflect the mission, vision and strategic objectives of their company and at worst, these
decisions reverberate into the future and may affect revenue and profits for years to come. This
paper will detail the results of an HR management simulation exercise undertaken as part of an
undergraduate course. It will summarize the decisions and financial state of the company
Socialme in terms of some key indicators and will also analyze the efficacy of the decisions and
what might be done differently was the simulation to be repeated.
Most companies believe that the ultimate objective of their strategic plan, mission, and
vision is to maximize profit. HR management often lives in a tight corner of this world, being
both agents of the organization and advocates for the employees. The simulation undertaken in
class demonstrated the challenges that HR faces as they try to balance the needs and priorities of
administration as well as grow and develop a stable, productive workforce (Hitt, Miller &
Colella, 2015).
In our simulation project, we were to assume a newly created human resources director
position for a medium sized form with approximately 660 employees. The scenario described the
firm has experienced significant expansion in the past few years the human resources department
had not kept pace with the growth. The chief executive officer (CEO) instructed to build strong
reliable human resources (HR) department. The annual budget for the first year was set at $1.4
Socialme: HR Management Team Report
4
million and our decisions were made on a quarterly basis. The second-year budget increased to
$1.6 million, which allowed more benefits for employees.
First Quarter Summary
The simulation took place over eight quarters at Socialme. The first year and quarter start
with the hiring of a brand-new team to manage the HR function with a budget of 1.4 million
dollars. Armed with the results of surveys on wages, training, production, and performance, as
well as rising industry wages and labor costs, the HR team promptly establishes a job analysis
program for all employees. It makes sense to accomplish these objectives at the beginning of
their tenure because it helps them understand the business more clearly and get a real sense of
the tasks and responsibilities of each work level. It lays a solid foundation and is an excellent
move. Fifty level one workers are hired and while this might be necessary, it was costly, and
there are not enough supervisors to support this increase. Training and productivity take a hit. In
hindsight, it may have been preferable to hire level two and three workers and promote a few
more to fours and fives.
In the first quarter, we had to set our quarterly limitations for the year. We decided that we
would split our annual budget over quarters to ensure we didn’t overspend and had enough each
quarter to accommodate any special situation within the organization that may need attention.
First, we had to figure out how to interpret the data within the simulations. Having the analysis
and reports sections were extremely helpful. The newsletter provided much-needed information
regarding complaints, industrial changes, and any special decisions that needed to be made.
Staffing for the first quarter wasn’t too difficult. It was identifying which positions we
wanted to fill with new hires and which from promotions. We identified an internal promotion
system for all level 2 and up employee positions. All level 1 positions would be naturally filled
Socialme: HR Management Team Report
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by new hires. We felt this approach would increase morale within the organizations, show there
was job growth available, reduce the amount of needed training at higher levels, and retain the
knowledge and experience within the organization. Having to focus on this many new hires in
one quarter also resulted in a lowering of the overall quality.
Wages were an area that we disagreed on at first. There was much debate on how much
to add to quarterly increases. Many in the group hadn’t experienced quarterly increases in wages
within any organization we had worked for, so it was a new concept. The newsletter was very
vague in describing the industrial average for wages. It only stated that industry wages lag local
averages. We decided to go with a set amount for each level within the organization. We started
with $25 for level 1 employee’s and increased the amount by $25 for each higher level, maxing
out at $125 for level 5 employees.
The group understood that benefits tend to keep employees around for the long haul.
Wages are important, but many employees have families and are looking to save for retirement.
Besides wages some employee look at the overall benefits offered within and organization when
making a decision work for them. Some people are driven by incentives in the workplace such as
tuition assistance, health insurance, and bonuses. If there are no benefits to assist employees in
certain benefits then they will likely find other employment down the road. The issue the group
had was the constraint in the budget each quarter. During this quarter we decided to select tier 1
health care which had the highest deductible, dental and eye care, term life and legal services and
tuition reimbursement. These benefits were just a start and we planned to increase these as we
went over the simulation.
The training analysis for this quarter reflected the minimum cost to train the new hires
and promoted employees. This minimum cost came out to $32,000. At this point, the group
Socialme: HR Management Team Report
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hadn’t taken into consideration all the analysis reports to assist in the decision making process.
This would be a focal point for future decisions. For this quarter the group decided on $11,500
for new hires and promotions, $11,500 for manager and supervisor training, $11,500 on the
safety and accident program, and $11,500 on establishing the quality program.
Programs for this simulation were employee participation, grievance procedure,
orientation program, HR information system, performance appraisal system, and affirmative
action program. The entire group agreed that the best way to start was to invest in all programs.
These programs all had varying set prices and all were selected. The group felt that all programs
played a critical role in assisting the organization work towards a more efficient, fair and reliable
organization. This deci …
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