Doc - Capsim Business Simulations.DOC

? The Human Resources screen tracks the cost of hiring and firing workers.A company will need new workers when Production schedules are increased. A company will need fewer workers when Automation is increased and / or Production schedules are decreased.  Needed Complement ? Your plant has set of production lines, one line for each product. Each line contains a workstations, and a worker staffs each station. Each line has a Capacity, which is defined as the number of units that can be produced on a single shift. Needed Complement ? The plant can work into the night by adding workers to a 2nd shift. 2nd shift costs are 50% more than straight time (the first eight hours of the 1st shift). On any given line, if you schedule a production run in excess of your 1st shift Capacity, a 2nd shift will be hired. Needed Complement ? Increasing Capacity will reduce the number of workers on the 2nd Shift, and therefore decrease labor costs. However, increasing Capacity will not decrease the overall Needed Complement. Recruiting Costs ? Recruiting costs are incurred when new workers are hired. Recruiting costs average $1,000 per worker. Separation Costs ? Decreasing Production schedules, whether it is because Capacity has been sold, or production curtailed to sell excess inventory, will result in lay-offs.Separation Costs are generated when workers are laid-off. Separation costs average $5,000 per worker.  Your professor has the option of enabling an advanced Human Resources Module. When activated, three areas will be addressed:Complement — the number of workers in the workforce. Needed Complement is the number of workers required to fill the production schedule without Overtime (Figure 1). Figure 1 The desired Complement is entered in the This Year Cell on the Production Screen. Note: If the This Year Cell is colored red, you have too many employees!Caliber — the talent of the workforce. If teams are willing to spend the money, they