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HRMCASE STUDY

BY:-

Amit Kumar

Anurag Pai

Ayush Gupta

Krishnam Raju

Manav Kejriwal

V. Fanindra

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CASE

• Company XYZ is a Pepsi bottler in Delhi. The market for its products are seasonal. It dips in the winter resulting in excess of skilled bottling staff between Oct-Feb. If laid off, these employees will be difficult and costly to replace. Each employee receives three months of intensive training before being fully qualified. There is a huge demand for these employees as well as there is a shortage of bottlers.

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WHAT IS TASK FORCE?

A task force is a group of people who are temporarily assigned to work together to achieve a very specific and clearly defined objective.

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OUR OBJECTIVE AS A TASK FORCE

• As a member of the task force what ideas can you

suggest so as to ensure that services of skilled

employees are available when they are needed year

after year and round the year.

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PROBLEM FACED BY COMPANY

• Excess of skilled bottling staff between October to

February.

• Cant be Laid Off.

• Huge demand for employees.

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SOLUTION

• Recycling

• Shifting of Skilled Employees

• Outsourcing

• Using different labour pay

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ALTERNATIVE - 1

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RECYCLING

• All the bottles which needs recycling will be done at

the time of October to February.

• This would help us in reducing the material cost for

that period, and can make up with the labour cost.

• Eco friendly process- Plant Based Material

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ALTERNATIVE - 2

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SHIFTING SKILLED EMPLOYEES FROM ONE PROCESS TO ANOTHER

The company has Number of processes out of which we have

took two processes and the solutions with which we came.

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THE PROCESSES

• In Cold drinks process we have poor demand for

Pepsi bottling services and at the same time we have

bulky demand of hard drinks during the time period

from October to February.

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CONTD….

• Hard drink Bottle Makers

• Lot of work for Employees

• Solution :-

• Job Rotation

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ALTERNATIVE - 3

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OUTSOURCING

• A strategy focusing on low-cost labour helps a firm keep a lid on workforce charges. This is particularly important for a company experiencing declining sales and poor performance, as it prevents the firm from going "underwater".• Outsourcing means subcontracting work to another

organization. In other words, a company outsourcing a work stream transfers the business function to an external service provider.• So for the month of October to February we will be the service

provider.

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CONTD….

• High demand for skilled labour in the market.• Providing skilled employees service to other companies.• Can manage off seasonal effect of Pepsi bottling. • Labour turnover can be reduced to minimum.• No additional cost to the company.• Company can maintain it’s goodwill of retaining their Labour.

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ALTERNATIVE - 4

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USING DIFFERENT LABOUR PAY STRUCTURE

ASSUMING STATS AS FOLLOWS :- Number of labors 100

• On Seasons: labour cost : Rs. 2 per bottle manufactured Avg. Production per labour per month : 100 unitsTotal cost : 2 * 100 = 200Total 100 labor cost : 100*200 = 20000• Off Seasons:Avg. Production per labour per month : 50 units Labor cost per head : Rs. 2* 50 = 100 Incentives and bonuses: 1 rs per headTotal cost 3 rs. Per headTotal cost - 3*50= 150Total labor cost – 150*100 = 15000

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CONT.…..

• Training cost• Total labor 100

Labor training cost 4 rs. Per head per month

Therefore,

Training cost per head for 3 months = 4*3 = 12

So total cost for 3 months = 1200 rs.

Compare to on season cost where we are paying rs 600 per head, here we are paying double the amount.

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CONCLUSION

• As we have came with the conclusion that we would like to put all the alternatives in front of the managers and would be looking for it as a future perspective.

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THANK YOU