What are the issues involved with retirement of the employees
Assignment Solutions, Case study Answer sheets Project Report and Thesis contact [email protected] www.mbacasestudyanswers.com ARAVIND – 09901366442 – 09902787224 International Business Case Studies CASE STUDY (20 Marks) Progressive Chemical Industries Ltd, is engaged in Manufacturing and export of specialty chemicals, having turnover of Rs 300 crores. The Company is growing and having good export orders. The CEO is in mood to expand the business and aiming to reach turnover of Rs 1000(thousand) crores in next 5 (five) yrs. The CEO is worried about the increase in input costs and workers’ demands. Union has threatened to go on strike indefinitely. Union has demanded 50% increase in salary and other benefits, but is not agreeing to link it to productivity. It has also raised issues like unsafe, hazardous working conditions, leakage of poisonous gases affecting the health of workers. The consultant has advised the CEO to be strict and take strict action against the erring employees and be ready to declare lockout if situation warrants. Answer the following question. Q1. What are the various laws which could be applicable in the above problems? Q2. Do you feel management policies/practices are right? Q3. As a HR Head how would you convince the Union and workers? Q4. Prepare a draft agreement for the above situation which could be acceptable for Management and union. CASE STUDY (20 Marks) Big business is attractive, with huge profits for some. But there's something to be said about small business as well, with lower risk and the potential for creativity. Darren Robbins of Big D Custom Screen Printing in Austin, TX found success in his business by pursuing customers with orders both large and small. Although Big D started out catering only to large orders, the shop sat idle in between orders, and through effective scheduling and transparent pricing, was able to fill in dead times with smaller orders. Big D found a profit in a market segment that other local screen printers weren't clamoring to fill. Experts believe this was a smart strategy, allowing Big D to spread out risk in their business and offer customized products. But at least one person is critical of the offering, pointing out that the niche has little upside potential, and may hurt the company's efficiency. Answer the following question. Q1. What strategy was adopted by Big D for profit? Q2. Give an overview of the case. CASE STUDY (20 Marks) Another important retirement issue is one of lost knowledge. What happens when retirees leave the office, taking years of experience and knowhow right along with them? Businesses lose all of that knowledge, but according to American Express, it doesn't have to be that way. Through a pilot program, AMEX created a workforce transformation group that would allow retiring participants to gradually give up some of their day to day responsibilities. In return, the employees would spend some of this time mentoring and teaching classes to successors. This resulted in a phased retirement, allowing employees to leave gradually and enjoy more time while still enjoying a portion of their previous salary, and regular benefits. This also meant that some employees stayed a year or more past traditional retirement age. AMEX believes this program is a success, allowing senior employees to enjoy their last years of work in a reduced capacity, as well as educating the existing workforce for future success. Consultant David De Long agrees, citing this program as an example of how job handoffs should really work. Answer the following question. Q1. What are the issues involved with retirement of the employees? Q2. In your opinion how the smooth handing over of responsibilities can take place. CASE STUDY (20 Marks) Lenovo Group Limited was founded in China ai Beijing in 1984 and within a span of 25 years it went global. While the company initially sold products of PC giants like Dwell and Compaq, it started sale of its own desk tops in 1990.Within 6 years it got its hold over domestic market. Before Lenovo went global, it acquired the PC division of IBM in 20042005. This gave Lenovo brand recognition in addition to increased sales. Lenovo’s low cost along with IBM’s skill and reputation made up a good combination for success. Lenovo emerged from east while IBM represented the west. Lenovo took some major steps to overcome the lingual and cultural barriers between the US and China. English was embraced as the corporate language and companywide campaigns were conducted to improve the English language skills of employees. The work culture was also changed so that the management focused on tasks rather than on people. Another step taken by Lenovo towards internationalization was becoming a partner sponsor in sports events like Olympic games, world cups, etc. Answer the following question. Q1. How Lenovo was benefited by acquiring the PC division of IBM? Discuss. Q2. How did Lenovo solve the problems of lingual and cultural barriers? Explain. Assignment Solutions, Case study Answer sheets Project Report and Thesis contact [email protected] www.mbacasestudyanswers.com ARAVIND – 09901366442 – 09902787224
