Human Resource Management Analysis: Columbus Carpentry Case Study

This report analyzes the human resource management issues at Columbus Custom Carpentry, focusing on its high employee turnover rate and wage-related problems. The report identifies that the turnover is driven by factors such as low wages in the warehouse, assembly technicians being overpaid compared to other production staff, and the underpayment of craters. The CFO's role is outlined, aligning it with an accounting manager position. The report finds no evidence of pay discrimination based on sex, race, or ethnicity. The primary recommendations include reviewing employee salaries, establishing a clear compensation policy, and offering extra benefits to warehouse employees to increase retention and address wage expectations. The report utilizes references to support its analysis and recommendations.

Running head: HUMAN RESOURCE MANAGEMENT
HUMAN RESOURCE MANAGEMENT
Name of the Student
Name of the University
Author note

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Table of Contents
Question 1........................................................................................................................................1
Question 2........................................................................................................................................1
Question 3........................................................................................................................................2
Question 4........................................................................................................................................2
Question 5........................................................................................................................................3
Question 6........................................................................................................................................3
References........................................................................................................................................5

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Question 1
Columbus Custom Carpentry has been facing huge turnover rate presently due to
various reasons and situation in the organization. Previously the turnover was useful for the
organization because it allowed them to replace higher paid workers with lower paid new hires.
However, now the new workers are leaving the organization themselves due to several reasons
such as lack of wages in the warehouse department made many warehouse staffs quit. Further,
many expensive workers in manufacturing areas are being pulled out of assembly and get the
raw materials in place. Thus, such activity of driving the workers around and making them do on
which they are not trained has made many employees leave the organization. Moreover, the
warehouse employees are also quitting because of expecting higher wages. Similar shift issue has
also led to the turnover in the warehouse department of the company.
Question 2
Yes, it is seen that the assembly technicians are overpaid in the organization because one of
the managers of the manufacturing unit stated that they had to make the assembly workers get
raw materials and other works that need to be done by less expensive warehouse labor. Further,
from the data, it is seen that the salary of assembly technician without experience is $23,370 to
$63,090 for the ones that have 5 years’ experience. On the other hand, that of warehouse workers
ranges from $21,320 for without experience workers to maximum $29,800. This shows that the
assembly technicians are quite overpaid compared to other production unit workers. Further, it is
also noted that the assembly technicians of the manufacturing unit are paid way more than any
other workers in the organization. This is the reason behind many warehouse workers are

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demanding to transfer to manufacturing unit for higher wages and have also quit the job in case
they are not shifted to the manufacturing department.
Question 3
The craters in the organization are underpaid, which is seen from the fact that a new hire
wanted to shift to the manufacturing unit so that he is paid more and he is also unaware of the
reason behind why the craters are paid less than the forklift job. The organization pays less to the
crater because it is considered that the work of the crater is less as they are only responsible to
take the finished goods and require to build wooden shipping frames to protect the units while
storage. The crater will still be underpaid even if the custom handwork portion of their
responsibility is eliminated by the jig system because the crater is responsible for the last portion
of the work that is storage. The business does not consider this responsibility as crucial as the
manufacturing work and thus the manufacturing workers will still be paid more. Moreover,
manufacturing techs needs more technical expertise or knowledge than craters.
Question 4
The responsibility of the CFO is to supervise the accounting function of the organization and
report and compliance with GAAP standards. In addition to this, they are responsible for
approving the credit extensions to customers and coordinate to external parties for tax returns.
This is the position that the chief financial officer holds in Columbus Carpentry. The position of
CFO in the organization is the head of the accounting department that supervises other positions
such as staff accountant, database manager, and clerk. From the market information, it is seen
that the position of CFO in the organization best aligns with that of the role of an accounting
manager. From market information, an accounting manager holds the position of a senior

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executive responsible for all the financial actions in the company. Further, the accounting
manager is always responsible to ensure compliance with the law and the company’s policies.
They are one that performs assistant tax of preparing the financial statements and taxes. Thus,
both the position aligns with each other based on the responsibility that they have.
Question 5
No there is no discrimination in pay made in the organization between staffs based on sex,
race or ethnicity. The pay differences persist only based on performance or length of service.
This can be seen from the fact that the organization holds a strong equal employment opportunity
policy for their business. It offers equal opportunities to all its applicants and even wages
irrelevant of which race, sex, age or ethnicity they belong to. This policy is used in conditions of
employment and extend to other areas as well such as hiring, promotion, termination,
compensation, and rewards (Connolly Jr, Connolly & Feinstein, 2018). Thus, there are no
differences in wages faced in discrimination factors. It is solely due to the type of responsibility
each position holds and risk associated with it. In addition to this, the company also take actions
for those who practice any kind of discrimination or harassment to the employees related to their
wages or rewards. Every employee gets what they deserve at the end of every month for the
position they hold.
Question 6
From the above question, it is seen that the major issue faced in Columbus Carpentry is the
differences in wages and high turnover rates among employees due to wage expectation in a
different position. The company offers different wages for a different position such as in
manufacturing, warehouse and others depending on the responsibilities. To reduce the turnover

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rate of the employees and wage issue it is recommended that the business should review the
employee salary once and form a policy recording the type of responsibility and the salary for
each category of responsibility. In addition to this, to make the employees of the warehouse loyal
to the company, they should be given some extra benefits such as rewards, bonus, and others
more than an employee of another department so that their low salary is compensated
(Němečková, 2017). Employee benefit is an important tool that will help Columbus to deal with
the issue of employee turnover effectively. This is because they will be motivated to offer their
best effort for the business.

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References
Connolly Jr, W. B., Connolly, M. J., & Feinstein, J. (2018). A practical guide to equal
employment opportunity. Law Journal Press.
Němečková, I. (2017). The role of benefits in employee motivation and retention in the financial
sector of the Czech Republic. Economic research-Ekonomska istraživanja, 30(1), 694-
704.