Improving Performance: HR as a Profit Center

Predicting Labor Needs

Valero Energy created a labor supply chain for improving the efficiency of its workforce planning, recruiting, and hiring process. It includes an analytic tool that predicts Valeros labor needs based on past trends. And, it includes computer screen dashboards that show how components in the staffing chain, such as ads placed on job boards, are performing according to cost, speed, and quality. Before implementing the labor supply chain system, it took 41 pieces of paper to bring on board an employee and more than 120 days to fill a position; each hire cost about $12,000. The new system eliminated most of the paper forms needed to hire an employee, time to fill fell below 40 days, and cost per hire dropped to $2,300.

Talk About it (Discussion): Explain how Valero might use the Towers Watson workforce planning process.

Answer instructions

The topic discussion focusing on the course content in at least one or more pages your explanation is required.