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ACKS Consulting
Austin Babb – Christy Choe – Kevin McDaniel – Shriya Velloor
HRA IU Case Competition
School of Public and Environmental
Affairs
February 24, 2017
THE INCIDENT!
https://www.youtube.com/watch?v=sijfmW
8UuiQ
AGENDA
Summary
Finance, Risks, and Mitigation
Implementation and Timeline
Case Questions
Company Policy Drug/Alcohol Policy EAP Policy
Case Analysis
Standard Chemical SWOT Analysis
CASE ANALYSIS
Standard Chemical
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
High Job Performance
Safety of Workers
Rehabilitation
Standard Chemical’s GOALS
Standard Chemical’s PROPOSAL
Drug/Alcohol Policy
• What is reasonable suspicion?
• Company Policy vs Drug/Alcohol Policy
• Company Policy vs EAP Program
CASE QUESTIONS
• Suspension justified and appropriate?
• Appropriate but not justified
• Termination justified and appropriate?
• NO
• Rights Compromised?
• YES
• Appropriate action taken?
• NO
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
Standard Chemical Company will become
the industry leader in safety management, job performance,
and fair Drug/Alcohol Testing
 Mitigate confusion
between policies
 Maximize efficiency
and safety
 Show Fairness
 S.A.F.E Policy
 Clear processes
 Union Cooperation
 Rehabilitate
 Confidential
environment
 Improve
performance
SOLUTION PROPOSAL
Company
Policy
Drug/Alcohol
Policy
EAP Policy
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
Strengths
• Establishes Safety Standards
• Improve Individual
Performance
• Enforces quality
control/checks
Weaknesses
• Conflict with Drug policy
• No training (HR and
employees)
• Policy is vague
Opportunities
• Training increases
productivity, protection,
safety
• Fear-free environment
Threats
• Future policies may conflict
with company policy
• Lawsuits
COMPANY POLICY SWOT ANALYSIS
COMPANY POLICY SOLUTION
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
Suggested Improvements
1. Provide a detailed description of how EEs will be assessed on whether
they are assessed to be under the influence
2. Align company policy with SHRM policy on what constitutes Reasonable
suspicion
3. Do not solely rely on the opinion of management. Notify Union
Representative and jointly assess the conditions resulting in accidents
4. Specify the kinds of circumstances that warrant continued employment
Strengths
• Rehabilitation vs retaliation
• Union and management
agree
• Paired with EAP Policy
Weaknesses
• Vague “reasonable suspicion”
• Program outcomes undefined
• HR director does not know
policy
Opportunities
• Provide safer workplace
• Increases efficiency
Threats
• Lawsuits of unlawful
termination
• Reactive vs proactive
DRUG/ALCOHOL POLICY SWOT ANALYSIS
DRUG/ALCOHOL POLICY SOLUTION
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
Redefine Reasonable Suspicion
S Speech – Slurred, vulgar, abnormal
A Appearance – Disheveled, deterioration
F Failure to perform – routine activities, job requirements
E Equipment Misuse – Damage, harm to others
Strengths
• EAP Counselor
• Outsourced
Weaknesses
• Vague Process
• Conflicts with drug
policy
Opportunities
• Minimize terminations
• Improve performance
• Good company culture
Threats
• Legal issues
• Employee abuse
EAP SWOT ANALYSIS
EAP SOLUTION
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
Standard Chemical Company will provide confidential* and voluntary
assistance through its 12 week employee assistance program (EAP) to all
employees who may be faced with drug and alcohol related problems. For
the welfare and safety of the employees as well as for effective business
operations, Standard Chemical Company encourages its employees to take
advantage of this valuable benefit of employment with the company.
Drug testing results are confidential unless the employees fails the program 3
times, then the HR Manager will be notified
Employees may go through the EAP Program up to 3 times, afterwards the
employee will be subject to termination at the discretion of the HR Manager
Standard Chemical Company will become
the industry leader in safety management, job performance,
and fair Drug/Alcohol Testing
 Mitigate confusion
between policies
 Maximize efficiency
and safety
 Show Fairness
 S.A.F.E Policy
 Clear processes
 Union Cooperation
 Rehabilitate
 Confidential
environment
 Improve
performance
SOLUTION PROPOSAL
Company
Policy
Drug/Alcohol
Policy
EAP Policy
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
IMPLEMENTATION AND TIMELINE
3 Step Plan
Step 1: Make policies official
Step 2: Provide employees with
education on new policies
Step 3: Re-educate during
performance reviews
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
FINANCIALS
Hiring New Employees is Expensive
Costs of Recruiting
Advertisement
Internal Recruiter
Review Resumes
Interviewing
Drug Screens
Background Checks
Training and Development
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
Corporate
Policy:
• Employees unaware of
policy
• Mitigation: Education
during performance
evaluations
Drug Policy :
• Abused by employees
• Mitigation: Employees
abide by company
policies and union
policies
EAP Policy:
• Repeat offenders
• Mitigation: Ensuring
rehabilitation comes
first
RISKS
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
 Case Analysis
 Our Recommendations
 Addressing Threats and Weaknesses
 Timeline
 Risk and Risk Mitigation
SUMMARY
Case Analysis
Solution
Proposal
Implementation
and Timeline
Finance Risks Summary
THANK YOU, WE WILL NOW OPEN
FOR QUESTIONS!
Appendix
SHRM Policies - https://www.shrm.org/resourcesandtools/tools-and-
samples/policies/pages/cms_019908.aspx

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Human Resource Association - IU Case Competition

  • 1. ACKS Consulting Austin Babb – Christy Choe – Kevin McDaniel – Shriya Velloor HRA IU Case Competition School of Public and Environmental Affairs February 24, 2017
  • 3. AGENDA Summary Finance, Risks, and Mitigation Implementation and Timeline Case Questions Company Policy Drug/Alcohol Policy EAP Policy Case Analysis Standard Chemical SWOT Analysis
  • 4. CASE ANALYSIS Standard Chemical Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary High Job Performance Safety of Workers Rehabilitation Standard Chemical’s GOALS Standard Chemical’s PROPOSAL Drug/Alcohol Policy • What is reasonable suspicion? • Company Policy vs Drug/Alcohol Policy • Company Policy vs EAP Program
  • 5. CASE QUESTIONS • Suspension justified and appropriate? • Appropriate but not justified • Termination justified and appropriate? • NO • Rights Compromised? • YES • Appropriate action taken? • NO Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary
  • 6. Standard Chemical Company will become the industry leader in safety management, job performance, and fair Drug/Alcohol Testing  Mitigate confusion between policies  Maximize efficiency and safety  Show Fairness  S.A.F.E Policy  Clear processes  Union Cooperation  Rehabilitate  Confidential environment  Improve performance SOLUTION PROPOSAL Company Policy Drug/Alcohol Policy EAP Policy Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary
  • 7. Strengths • Establishes Safety Standards • Improve Individual Performance • Enforces quality control/checks Weaknesses • Conflict with Drug policy • No training (HR and employees) • Policy is vague Opportunities • Training increases productivity, protection, safety • Fear-free environment Threats • Future policies may conflict with company policy • Lawsuits COMPANY POLICY SWOT ANALYSIS
  • 8. COMPANY POLICY SOLUTION Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary Suggested Improvements 1. Provide a detailed description of how EEs will be assessed on whether they are assessed to be under the influence 2. Align company policy with SHRM policy on what constitutes Reasonable suspicion 3. Do not solely rely on the opinion of management. Notify Union Representative and jointly assess the conditions resulting in accidents 4. Specify the kinds of circumstances that warrant continued employment
  • 9. Strengths • Rehabilitation vs retaliation • Union and management agree • Paired with EAP Policy Weaknesses • Vague “reasonable suspicion” • Program outcomes undefined • HR director does not know policy Opportunities • Provide safer workplace • Increases efficiency Threats • Lawsuits of unlawful termination • Reactive vs proactive DRUG/ALCOHOL POLICY SWOT ANALYSIS
  • 10. DRUG/ALCOHOL POLICY SOLUTION Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary Redefine Reasonable Suspicion S Speech – Slurred, vulgar, abnormal A Appearance – Disheveled, deterioration F Failure to perform – routine activities, job requirements E Equipment Misuse – Damage, harm to others
  • 11. Strengths • EAP Counselor • Outsourced Weaknesses • Vague Process • Conflicts with drug policy Opportunities • Minimize terminations • Improve performance • Good company culture Threats • Legal issues • Employee abuse EAP SWOT ANALYSIS
  • 12. EAP SOLUTION Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary Standard Chemical Company will provide confidential* and voluntary assistance through its 12 week employee assistance program (EAP) to all employees who may be faced with drug and alcohol related problems. For the welfare and safety of the employees as well as for effective business operations, Standard Chemical Company encourages its employees to take advantage of this valuable benefit of employment with the company. Drug testing results are confidential unless the employees fails the program 3 times, then the HR Manager will be notified Employees may go through the EAP Program up to 3 times, afterwards the employee will be subject to termination at the discretion of the HR Manager
  • 13. Standard Chemical Company will become the industry leader in safety management, job performance, and fair Drug/Alcohol Testing  Mitigate confusion between policies  Maximize efficiency and safety  Show Fairness  S.A.F.E Policy  Clear processes  Union Cooperation  Rehabilitate  Confidential environment  Improve performance SOLUTION PROPOSAL Company Policy Drug/Alcohol Policy EAP Policy Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary
  • 14. IMPLEMENTATION AND TIMELINE 3 Step Plan Step 1: Make policies official Step 2: Provide employees with education on new policies Step 3: Re-educate during performance reviews Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary
  • 15. FINANCIALS Hiring New Employees is Expensive Costs of Recruiting Advertisement Internal Recruiter Review Resumes Interviewing Drug Screens Background Checks Training and Development Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary
  • 16. Corporate Policy: • Employees unaware of policy • Mitigation: Education during performance evaluations Drug Policy : • Abused by employees • Mitigation: Employees abide by company policies and union policies EAP Policy: • Repeat offenders • Mitigation: Ensuring rehabilitation comes first RISKS Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary
  • 17.  Case Analysis  Our Recommendations  Addressing Threats and Weaknesses  Timeline  Risk and Risk Mitigation SUMMARY Case Analysis Solution Proposal Implementation and Timeline Finance Risks Summary
  • 18. THANK YOU, WE WILL NOW OPEN FOR QUESTIONS!
  • 19. Appendix SHRM Policies - https://www.shrm.org/resourcesandtools/tools-and- samples/policies/pages/cms_019908.aspx