Problem Formlation Eee

Problem Formulation

Engineering Employment Exchange

History

Smith joined the Engineering Employment Exchange in 1968 as president. He saw an opportunity and could run things how he saw necessary. Most of the placements were chemical engineers. He wanted to make EEE a national supplier; he did not want to be just a local area employment agency. Other employment agencies only had that local reach. Smith wanted to widen the chance of making a good match.

EEE, by specializing in chemical engineers, hoped to gain edge over competition. They tried to use engineers with a fair amount of experience, 2-15 years. They took interest in candidates and strived to keep contact. The goal was to get candidates to want a resume kit, which in return hoped to get candidates to list with them. EEE’s fee was paid by the employer. It was earned when the company hired an applicant who had been referred by the firm.

Their main strategy was their computer system. They entered information about candidates and on job openings. It shared information among associates.

Operations

Family Oriented

Since EEE opted for a national strategy a problem they faced is getting candidates that would be willing to move or change. Candidates are changing their values from the past. Instead of valuing their careers, they are starting to value their families more. They have other people that are involved with their life that they have to think about. Moving to a different location does not just involve the one person in this case. This creates a problem of needing to move everyone. If the candidate is willing to move the economy being in recession is a problem. They will need more money to move because the recession creates higher interest mortgages on the place. This makes it hard to have good candidates to increase production.

Handling of Candidates

Another problem is how the candidates are handled. The candidates are not assigned to any certain associate. They can be picked up and shared through out many people, there is not a limit. Any associate could submit a resume to an employer which makes for competition between associates. If they get commission when they match the candidate to the employer then that could motivate them to work just to send out resumes. They are not necessarily rewarded for productivity. Since they are rewarded for submittals that are matched, associates could just send out as many resumes in the hope of getting matched to get commission. These submittals may or may not be as qualified if there were a different reward system. Depending on the associate the productivity may not be motivated entirely on sending out quality submittals. This hurts the reputation of the company which makes fewer people want their service.

Unqualified candidates

If the associates of EEE are sending out resumes that are under-qualified then it could hurt the reputation of EEE. People will begin to notice that the quality of their submittals is suffering and not helping.

When trying to get qualified resumes or responses they give away free resume kits. This may be an incentive but it is not helping them make money. Many people might use it but it will not necessarily get good results of wanted people. Some people might use the free resume kit, and others will not. If they do use the kit it doesn’t necessarily mean that they are going to continue their services with EEE. This does not essentially give them an advantage over other companies. If they just rely on the free resume kits to get their clients for submittals it will not be efficient. It is going to cost them to give the resume kits. This will make them lose money if the people do not use their services. If they are not getting submittals through the resume kits then chances are they are going to rely on what candidates they do get. This might force them to submit under qualified candidates. This also, like before, can create a loss of credibility.

Capacity/speed

With the amount of candidates EEE had, physical files were creating