White Goods: A Case Study

Good Essays
White Goods SSC will use other practices outside of layoffs for downsizing. The use of multiple cost reduction techniques will help ensure the success of the downsizing process. As the restructuring plan needs to cut fifteen percent of costs, alternative cost cutting methods will need to be put into practice to ensure successful results. Such alternatives can not only prove more cost-effective than redundancy in the short term but can also help White Goods SSC become more resilient in coping with the downturn and better prepared for the economic recovery. Implementing alternative cost cutting methods within White Goods SSC is expected to result in a 5 percent savings for the organization which will help meet the overall fifteen percent cost …show more content…
Offering remote working arrangements is therefore suggested. Providing office space for all employees is costly and often unnecessary. Office space can be freed up to rent or downsize by keeping essential staff onsite and sending those that qualify to work remotely. Remote software packages will can allow managers to video-conference with employees, or keep tabs on them.

Justification:

Offering more flexible working arrangements, such as remote working, is extremely cost effective and will help decrease organizational expenses. Additionally, with more employees working remotely there is the opportunity to increase revenue by renting out office space. Employees will see the benefits by spending less money on gas, auto expenses and the purchase and maintenance of business attire. Remote working is associated with increased productivity and job satisfaction. In addition, White Goods SSC will see reduced real estate costs and overhead expenditures.

4.2.5 Reduce Work
…show more content…
For White Goods SSC, savings in salaries will reduce labor costs and productivity will increase as employees are achieving a better work life balance. For employees, fewer hours are viewed better than no hours at all. The sense of shared sacrifice can therefore build morale, increasing employee engagement.

4.2.6 Mandatory Vacation

In a bid to save money while waiting for the economy to improve, establishing mandatory vacation is proposed. White Goods SSC shall enforce the workforce to use vacation time in the year it was accrued or they lose it. There will be no more carrying unused days into the next year. It is suggested having employees use a certain number of vacation days in a designated time period or have workers earn their paid time off throughout the year rather than receiving a handful of vacation days each year.
Justification:

Mandatory vacation is geared toward controlling and cutting labor costs. Employees might not want to use their vacation days in this manner, but they will prefer the job security over forced vacation. If the workforce uses all of their available vacation days, the economy will greatly benefit and so will White Goods. Additionally, White Goods SSC will see increased productivity, stronger workplace morale and greater employee

Related Documents

  • Decent Essays

    Helping people get out of poverty would also decrease the need for families to have public assistance as well. I think that this is an important factor because families get to learn how live life on their own without having to ask for help. Which helps because it boosts families confidence and brings up their pride. Another pro is that the more money they get the more they spend. when they spend their money it helps other businesses economic growth increase.…

    • 754 Words
    • 4 Pages
    Decent Essays
  • Decent Essays

    This will make it easier for others who need jobs to find them. Working families would have more time for community life and their life will be much less stressful. Americans would start to reclaim the middle-class by having more money readily at hand. This money will allow them to buy products on a daily basis that they may not have before and this is beneficial for the economy because the money will be recirculate into the local financial districts. Another primary reason that raising minimum wage is good is that raising it is good for the economic recovery and the shift will get the economy back on track, spending power has to be in the hands and readily available of those who actually spend in the local economies.…

    • 1266 Words
    • 6 Pages
    Decent Essays
  • Decent Essays

    7). More families will have the chance to make more money and support themselves. Families will be able to buy more consumer goods to maintain their family resources. Raising the wage while the economy is weak helps families in need by generating economic activity that benefits the entire population. If the minimum wage is raised, even by a little bit, consumer good prices will lower and the middle class will be able have more purchasing power (Barnett, par.…

    • 1007 Words
    • 4 Pages
    Decent Essays
  • Decent Essays

    Your business will also be able to improve their capital projects and accounts on the balance sheet when you accurately perform inventory forecasting. Inventory is actually one of the biggest drains on your balance sheet. By accurately forecasting for it, you can cut down on the amount of inventory you need to keep stored at your facilities. In the end, this will help improve your finances because you will not have the huge impact on capital that you normally would. Revenue.…

    • 1303 Words
    • 6 Pages
    Decent Essays
  • Decent Essays

    Through these observations, the pros seem to out way the cons of raising minimum wage. Furthermore, when workers have jobs and make enough money to live off of, they are able to spend more on goods and services, benefiting those companies, and the government does not need to spend as much to support low-income families. Therefore, raising minimum wages would be a positive occurrence that overall helps improve the…

    • 1619 Words
    • 7 Pages
    Decent Essays
  • Decent Essays

    This flexibility motivates employees because it boosts morale and job satisfaction. The office benefits because there is a reduction in absenteeism, tardiness, over-time pay, and an increase in productivity. Second, my office has the option to telework. The requirement at my office is that you must be on board one year, have a satisfactory performance review, and meet the office quotas for case workup. The reasons not to telework given to me have been either the home life is too stressful and he or she would not be productive or they would miss social interactions.…

    • 739 Words
    • 3 Pages
    Decent Essays
  • Decent Essays

    Increasing minimum wage would have a positive effect on the economy as it would increase the spending in the economy. By increasing the spending throughout our economy it would ultimately boost demand of products, reduces turnover, cut costs that low-road employers impose on taxpayers, high human capital, and pushes business toward a high road. These are only some of the positive effects of increasing minimum wage. Though they would not show significant or dramatic changes to the economy, it would definitely be a starting point to help better this country in the years to come. Also by increasing minimum wage the distribute of economic wealth would be more equivalent, as there wouldn 't be such a gaping gap between the rich and poor as well as it would not hurt job creation.…

    • 1043 Words
    • 4 Pages
    Decent Essays
  • Decent Essays

    Yet, to look at it from another perspective, this would mean that lawyers can now no longer abuse success fee setting. It would shift the demand of this market to the hands of the claimants. In a way, this provides competition, keeping success fees low and efficient. It would also solve the problem of case dragging, since lawyers would be pressured by claimants not to take so much time. Although this means more lawyers would exit the market because of low profits, I would feel that it is still an advantage as it increases efficiency and cost.…

    • 1734 Words
    • 7 Pages
    Decent Essays
  • Decent Essays

    In the United States, the retirement principle was also used. The US valued the stronger, faster, and younger workers so it allowed the companies to go without having to fire them (Novak, 269). The employers and the unions supported the retirement age since, they could retire the older workers and hire younger and cheaper ones for the company. At this time, the companies had wanted to speed up the production and get more work out of the employees. The unions agreed with the companies if, the workers could have a shorter work week, in exchange for the faster work speed.…

    • 1137 Words
    • 5 Pages
    Decent Essays
  • Decent Essays

    The M2M technology will provide more efficient labor by increasing a server’s utility function. As an example, the server will only tend to the customer when they call for service; therefore eliminating the issue of checking on customers when they do not need any assistance. The elimination of duties will allow the company to scale back their workforce and thus wage expenses over time. There will no longer be a need for cashiers and the number of servers will also be reduced. Another area that costs may be cut is through the more efficient communication that the M2M technology will provide.…

    • 834 Words
    • 4 Pages
    Decent Essays