The case study selected for this case is “deciding whether to use flexible staffing. Many organizations experience varying demands from their workforce. It is difficult to find an organization that is fully satisfied with the quality of its labor force at any given time. The constantly changing work environment has proved difficult for job seekers as it widens the gap between college and career. Job seekers need help to survive current job offers as it proves them underqualified. Underemployment has also been observed through workers being employed in jobs that exhibit a high mismatch between jobs and education.
The case study about Kaiser Manufacturing Company is about the staffing challenges that have embarked on the company and the organization’s efforts to address the matter for its survival benefits. The company’s sales have been affected by the company’s staffing problems, with a flat curve observed in the company’s sales since 2008 (Heneman, Judge & Kammeyer-Mueller, 2003). The staffing challenges have made the company process the ever-increasing product orders. The organization has no option but to change its staffing strategies and focus on contracting staffing organizations for solutions to the present problems. The organization suffers from extremely high labor costs because a large proportion of its labor force is aged. However, the company can still approach flexible staffing to solve its problem. It is an emerging trend where organizations fill job vacancies using part-time workers, temporary employees, or going for independent contractors to solve staffing problems (Spurk & Straub, 2020). It is an alternative to hiring permanent employees, especially for financially distressed organizations. Flexible staffing services are an entrant in the staffing industry seeking solutions for different organizations. The agency specializes in ensuring that companies assess qualified employees. FSS furnishes customers in the production, clerical, technical, and professional categories. The agency participates in the recruitment, selection, and hiring the people to work for the companies and forwards them to the companies to address their staffing problems. The employment terms following the approach include specific rules and regulations concerning the working terms and conditions. A meeting with the manager and FSS aimed at contacting FSS by KMC to address its staffing problems. A brief report answering the following questions is preferred to guide the organization in adopting flexible staffing by contracting FSS.
Advantages and Disadvantages of Flexible Staffing
The question addressed the advantages and disadvantages of flexible staffing. The employer experiences the approach’s advantages, and the employee feels the disadvantages. The advantages of flexible staffing are outlined below. The approach ensures that the overtime workers must do less, leading to lower labor costs that impact the firm’s profitability. The approach is also associated with high labor efficiency, where the worker’s output is considerably high. The organizations end up saving money and time because it is the agencies that engage in the hiring and firing. Additionally, the organization does not suffer additional costs in firing the employees. Finally, workforce maintenance costs less, which benefits the organization (Klindžić & Marić, 2019). However, flexible staffing is also associated with numerous disadvantages. The employee suffers few worker benefits because the organization is not legally responsible for providing the benefits. Therefore, health insurance and retirement plans may not be available. The organization faces the challenges of keeping excellent working workers because workers jump to employers who provide quality jobs, which is every worker’s dream. Finally, the workers are exposed to lower pay, a common practice for jobs linked to temporary jobs as opposed to the case of permanent employment.
Advantages and Disadvantages of Using FSS as a Service Provider
The questions address the merits and demerits of using the flexible services provided by FSS. The advantage includes the flexibility associated with the services. The use of the services by KMC will guarantee maximum flexibility in its staffing to match the ever-changing product demands. The flexibility will also ensure that the firm permanently moves from fixed labor costs, currently a burden to KMG, to variable labor costs. The services will guarantee the firm administrative convenience by relieving it from recruitment and selection issues. Finally, the organization will enjoy the freedom from litigation as the FSS will be the employer. Litigation, in this case, is the process of legal action that a firm may enter because of contractual issues. The company will be free and protected from such litigations because the FSS is the employer and not KMC.
However, the flexible staffing services by FSS are also linked to some demerits that may lead to a lengthy decision-making process as the company evaluates the approach. The services stipulate base wages aligned with the market wages, which may not be feasible for the organization during challenging times. It may also disrupt the firm’s operations, especially when employees exit. Untimely exit from the organization, permitted by this approach to staffing, puts the company at risk in its operations and may incur additional labor costs for its activities to proceed smoothly.
Additional Information to Gather and Use in Decision-making Process
Much information is needed as part of the organizational decision-making process on flexible staffing through the FSS services. Information on the contractual agreements conditions is required to shield the organization from any additional costs arising from the trade. Information is needed on the experience of other organizations that have used the services offered. Information is also needed on how ethical dilemmas resulting from the contract are resolved to protect the relationships between the parties.
The Bible also has verses about employment where staffing is a related issue. The Bible states, “The soul of the sluggard struggles and gets nothing, and the soul of the diligent is richly supplied” (KJV, Proverbs 13:4). The verse motivates employees to work with motivation for them to earn their pay. According to the verse, workers should be devoted to working for them to get paid well regarding the quality of the job they have done. The position of the Bible applies to flexible staffing in that the employees are guaranteed to better pay if they complete the tasks allocated to them on behalf of FSS as they work for the company.
Staffing problems remain a challenge to many organizations across the globe, and firms have needed help to balance labor costs and labor demands. The staffing industry has come up to address the problems that these companies face. One of the new entrants into the industry is FSS which provides flexible staffing as a solution. The services offered by the company propose value addition to companies because of the advantages and disadvantages that outweigh the disadvantages. Given the advantages of the services by the agency in attention to those of flexible staffing, the company needs to consider additional information, such as the detailed conditions of the contractual agreements, before arriving at the final decision. In conclusion, KMC should consider adopting the FSS flexible staffing services to help it fully address its staffing challenges.
Heneman, H. G., Judge, T., & Kammeyer-Mueller, J. D. (2003). Staffing organizations. Middleton, WI: Mendota House.
Klindžić, M., & Marić, M. (2019). Flexible work arrangements and organizational performance–The difference between employee and employer-driven practices. Društvena istraživanja, 28(1), 89-108.
Spurk, D., & Straub, C. (2020). Flexible employment relationships and careers in times of the COVID-19 pandemic. Journal of vocational behavior, 119, 103435.
KJV. Bible. Proverbs 13:4.