INSTRUCTIONS:

$($a$)$ Font size: $12$

$($b$)$ Font Type: Times New Roman

$($c$)$ Line Spacing: $1\mathrm{.}5$

$($d$)$ Not more than $15$ pages

$($e$)$ Inadequate referencing shall attract a penalty

ASSIGNMENT ONE

At its inaugural meeting, the newly appointed Board of Directors for Mulechibwe PLC directed Management to engage a consultant to provide consultancy services for organization review and job evaluation exercise. The directive was against the backdrop that the Board of Directors of Mulechibwe PLC had just adopted a decline strategy owing to the stiff industry competition, resulting in reduced profit margins. Additionally, the labour costs as a percentage of the total revenue was very high. Furthermore, some board members stated that there was need for Mulechibwe PLC Management to leverage on technology in order to contain the escalating payroll costs.

Some of the recommendations of the organization review and job evaluation exercise included the following: in order to save costs, the department of human resource should be disestablished $($abolished$)$ as HR risks did not pose major threats to the business; HR services should be outsourced since they were not critical compared to other functions such as finance and marketing functions; and since the HR department will be disestablished, the position of HR Officer be introduced and reports to the Director, Finance for purposes of coordinating the out$-$sourced HR functions.

Given that the HR department will be the most affected by these recommendations, the Chief Executive Officer $($CEO$)$ has requested you as Director, HR to prepare a concept paper for presentation at the board's next meeting, justifying why the HR department should not be disestablished as it was equally a strategic function, just like finance functions. The CEO emphasized that the concept paper should clearly outline the following: the significance and benefits of maintaining a dedicated department to oversee HR functions; the role of HR in managing business$-$related risks; and the key HR metrics and how the impact the organisation.

$1$

Required:

As guided by your CEO above, prepare a position paper, outlining clearly with practical examples the following: the significance and benefits of maintaining a dedicated HR department; the role of HR in managing business$-$related risks; and the key HR metrics and how they impact the organisation.