How To Downsize Successfully While Using HRP

How  to  Downsize  Successfully  While  Using HRP

successful  franchise  owner  of a prestigious  spor­ting  goods  chain  is  feeling the effects  of  technology, with  more  and  more  online  sales  and  less and less customers in the shops. Locally there are three stores, and typically each store needs the following positions staffed for optimum profitability and success: a store manager,  an  assistant  manager,  five  department managers,  and  20  customer  service  representatives, averaging $1  200 000  in annual  revenue.  However, there has been a trend of  20 percent sales decline in stores, with an increase of 30 percent sales online (last year  the  online  revenue  stream  was $300 000). The franchise owner was able to handle all of the online sales  with  a  team  of five full-time  remote  workers (working from home) last year.The  owner wants  each  store to maintain  their productivity,  which he measures  as  the revenue  per employee. He also  thinks  that  there  is  potential  to grow the online business.Please help the owner by answering the following questions.


1   Using your HR planning expertise, forecast the demand of labour in the stores and the online environment over the next three years.

2   Assuming an annual 15 percent turnover level of in-store workers and a 30 percent turnover level of online-focused employees, determine HR supply estimates over the next three years

.3   Do you forecast a labour shortage or surplus? Develop a clear plan to help address the forecast labour shortage or surplus

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