Needs Analysis Strategy

Executive Summary
PJ Enterprises is a mail-order catalog business that has been in operation for the past six years and employs 50 people. The company develops, manufactures and markets high-quality gifts, apparel and home accessories and distributes them through its mail-order catalog and its retail store. The company recorded a net profit for this year of $1M on annual sales of $6M and a 41% increase in sales. They also experienced a 31% increase in catalog customer lists to whom they can market in the coming year. PJ Enterprises faces several key challenges, including sustaining growth commensurate with increased profits, addressing increased demands on technology, training, and employee retention, which will need to be addressed if they are to be successful in reaching their goals.

PJ Enterprises Stated Business Goals

Management has stated that their goals for the upcoming year are: Grow aggressively to maintain or exceed projected targets Maintain profitability Focus on quality and customer service with 10% improvement on customer service scores Focus on quality of work environment, staff development and recognition in order to reach targeted goals of: o $7 million in annual sales o o o o o $13 million in catalog sales $7 million from the retail division $12 million from acquisitions 40% increase in customer lists Net profit of $2 million

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Stakeholders
Stockholders and investors (if they have them) Customers Executive Management Catalog Director, Judie Thompson Merchandising Manager, Sheena Perez Customer Service Supervisors & operators Warehouse supervisors & staff IT Manager and staff related to potential project(s) HR Manager and staff related to potential project(s) Financial Analyst(s) Facilities Manager All other PJ Enterprise associates

Gap Analysis Methodology

We will perform a preliminary scan of business operations and working environment, review key metrics and conduct a detailed needs analysis. The methodology we will use to conduct the needs analysis will be to: Review and analyze all pertinent data and documentation, including call center volume, customer complaint data, and HR statistics and policies In addition to direct observation, we plan to conduct face-to-face interviews with management, select employees and other stakeholders, as well as focus groups. We will develop a survey based on information gleaned from the initial meetings that will be distributed company-wide. We will also create a customer-service follow-up survey to all current customers and conduct preliminary market research to assess the companys potential for maintaining the current rate of growth Document findings in Gap Analysis report and present to management We will then document the gaps that exist between the present reality and the desired future state and present our findings to management.

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Primary Area to Address
The most critical area for improvement lies in customer service operations in the areas of

Product knowledge Quality of service o Phone Etiquette o When & how to refer customer to supervisor Managing calls to increase customer service and call volume o Quick and accurate entry of orders o Thorough but brief responses to customer inquiries o Reach goal of 6 calls/hour Customer service operator and supervisor staffing levels Operator retention and satisfaction Sales techniques (e.g., learn better how to cross/upsell)

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Gap Analysis Summary for Primary Area to Address
Where are we now? Where do we need to be by FY end? Improve customer service scores by 10% Recommendations Customer service problems suggest a need for a higher level of requisite competencies Adopting industry best practices for call center may be appropriate Poor customer experience may be attributed to inadequate technology and/or employee o direction o procedures & processes o HR policies o recruitment, selection, hiring and training o staffing levels o satisfaction

- Customers dissatisfied with service;

2/3 (66%) of all survey respondents had a complaint (30% rise over last year) regarding: Being placed on hold too long Operators lack of product knowledge Operators poor phone etiquette Being asked to call back or put on long hold to talk to supervisor

- 50% of customers surveyed are not

inclined to do business with PJ again due to poor customer service Operators take 3 calls/hour Only have 25 operators and four supervisors for a 24/7 operation High turnover (lose 1 staff per month)

Increase customer inclination to do business with PJ again to 75%

Increase volume to 6 calls/hour Increase staffing levels

Better recruitment, selection, hiring, training and management techniques to reduce turnover by 50%

50% of operators informally interviewed indicated dissatisfaction with their jobs to the point of wanting to leave

Increase employee satisfaction level to 75%

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Secondary Area to Address
The secondary problem our company would address in this project is addressing overall Human Resource issues: Recruiting & hiring Employee satisfaction Performance evaluations/self-evaluations Staffing levels Scheduling Compensation Performance Incentives Training Supervision

Gap Analysis Summary for Secondary Area to Address

Where are we now? High turnover of staff on all levels, particularly with the telephone operators, customer service supervisors, and warehouse staff lose on average 1 staff per month Severely understaffed in customer service, both operators and supervisors Weaknesses in recruiting, selection, hiring, training, and managing new people Recently instituted performance evaluation/ self-evaluation process Inequitable employee performance incentives Where do we need to be by FY end? Reduce turnover by 50% Recommendations Survey employees, improve training, investigate incentives and other ways to increase morale

Increase staffing levels

Research industry standards

In line with human resources best practices Ensure all employees have been evaluated by due date Equitable incentive plan in place Employees compensated for meetings and work schedules accommodate training

Research best practices / industry standards Review HR follow-through plan

Restructure incentive plan

Employees not compensated for meetings, nor given scheduled-in opportunity to attend

Meet with management to study feasibility of new compensation and work adjustment policy

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Implementation strategy
The strategy we will use to conduct the needs analysis will be to Review and analyze all pertinent data and documentation, including call center volume, individual operator and supervisor performance, and customer complaint data; employee satisfaction surveys and performance reviews; and HR statistics. Review current training Interview managers, supervisors and employees both individually and in groups utilizing one-on-one discussion groups and surveys/questionnaires having both open- and close-ended questions Document findings in Gap Analysis report and present to management

Potential Road Blocks to Successfully Achieving Company Goals

Potential Road Block Lack of availability of, or access to, critical staff Lack of funding for initiatives Delays in receiving new product line information (for training purposes) Negativity among the staff Reticence among employees to express their concerns and opinions regarding the work environment Lack of access to company data, reports, or facilities Mitigation Strategy Appeal to project sponsor to schedule time to access employees Put project on hold or look for other funding options Contact Sheena Perez manager Strategize ways to build rapport and trust One-on-one face-to-face communications; anonymous surveys

Contact project sponsor for access or sneak in in the middle of the night Work toward consensus by providing industry standards and best practices; help management with team-building skills Reality Check: Communicate concerns (through data) that customer service and operational issues dont support aggressive growth goals

Lack of management agreement regarding recruitment, hiring practices, and employee rights and responsibilities Lack of flexibility on the part of management to re-think aggressive growth goals in light of the major issues, particularly in customer service and overall employee morale/retention that exist and need to be addressed first

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Gap Analysis Questions
Gap Analysis Question For Management How are employees learning the knowledge, skills, or tasks right now? What are current recruiting, hiring and retention policies, and how are they being executed? Are there any employee incentive programs in place? What do you think contributes to low morale? What do you see as potential roadblocks to improvement in customer service? What is the trend in customer complaints, employee retention and call-to-sales ratios for the past five years? For employees below management level What do you feel are the most important issues facing the company? What suggestions to do you have to improve the work environment? What factors do you think contribute to low morale? What would you do differently if you were the supervisor? Has the training you have received prepared you well for the job you are asked to perform? Purpose Determine best training practices.

Review and revise employee recruiting, hiring and retention policies.

Obtain opinions (clues) as to what might be going on Raise awareness of the obstacles that might lie ahead Data analysis interpretation to better guide company best practices decisions Gauge employee understanding of current company issues, as well as their own personal concerns Assist management with improving the work environment and increasing employee retention levels Assist with development of employee rights and responsibilities best practices for the company Assist with development of training materials.

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Team Members (roles)
Something Spectacular Project Team Team Members Name Patty David Dawn Ramin Bev Vaillancourt Joy McGinty Everyone Role Project Coordinator SME Project Manager Technical Writer Business Analyst Responsibilities Develops weekly activities and corresponding deadlines. Takes the lead (not solely responsible) on the development of the instructional design document that is required as one of the project deliverables. Assures communication with team members and Instructor. Oversees project at high level. Collects individual work and prepares draft for group edit. Assures that all documents conform to a common form and style and submits finalized document to the drop box. Helps research, looks at the bigger picture, and asks thought provoking questions like, "What if?

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