Reference no: EM133441584

Case Study

You are a regional manager that looks after 15 retail stores. Senior management has some concerns about the company's performance, in particular the performance of your division. As a result, they have made some major budgetary changes that affect your team.

In a meeting with your store managers, they raise the following concerns about the recruitment freeze that will be enforced as a budgetary measure. The managers voice their concern that without casual staff to assist with the expected pre- and post-Christmas rush, there will be major impact on the quality of service provided to customers, which will have a 'knock-on effect' and further drive customers away from the store.

You have raised the concerns of the store managers of the recruitment freeze with senior management. They have indicated that the situation will not change.

Two weeks later you find out that one of your store managers has defied the freeze and has recruited three casual staff to start in two weeks' time. You need to take corrective action.

1. Explain the consequences the business can have due to the additional hiring?

2. How can this be prevented in future?