The Bernard case is about identifying direct, indirect, tangible and intangible costs, as well as the assumptions about how to use these costs in developing answers. Note that there is overlap in the classifications. For example, an intangible cost can be direct, but most likely it is indirect. Another prominent feature of the case is the development of an EXCEL spreadsheet. Please make sure that the spreadsheet is professionally looking. The assignment questions are:

1. List all potential costs associated with employee turnover. These should be listed according to category:

a. Direct

b. Indirect

c. Tangible

d. Intangible

2. Briefly discuss why you selected the specific costs in question one. Include a discussion about their relevance in calculating employee turnover costs. What are the assumptions behind the calculations of direct, indirect, tangible and intangible costs? Direct costs probably require the least amount of discussion and documentation so focus more on indirect/intangible costs. How important are intangible and indirect costs with respect to employee turnover costs?

3. What problems do you encounter when calculating employee turnover costs? Include in your answer what problems you encounter when you calculate the costs of human resource management costs (as an example).

4. Should supervisory disruptions be included when calculate employee turnover costs? Are there any other "disruption" costs that you should include? If so, why?

5. Calculate total employee turnover costs, including lost opportunity costs, direct costs, indirect costs, tangible costs and intangible costs for all the departments involved. Then, show it on a per employee basis (cost) and as a percentage of total salaries.

Deliverables: A WORD and PDF document answering questions one through five, as well as a fully developed spreadsheet with proper labels and calculations when answering question five. Copy and paste the spreadsheet (using landscape format) into the word document. The assignment should include maximum three pages of text (use either single space or 1.5 spacing at your discretion) and not more than two pages for the copied spreadsheet. Ideally, there should be two pages of text (maximum) and one page with the Excel sheet. Include a title page but no executive summary. Include the spreadsheet as an Excel file as a separate attachment.

Note: In this assignment, I use the term direct, indirect, tangible and intangible costs to help ascertain that you include all costs. There is of course going to be overlap in these definitions.

Answer rating: 100% (QA)

1 List Potential Costs a Direct Costs Severance Pay Payments made to departing employees Recruitment Costs Advertising screening interviewing expenses ... View the full answer