Question

A friend of the CEO of the cable car company of Small Ski Resort asks him why he does not use this opportunity to fire everyone who does not fulfill the requirements of the new situation. Instead of paying for a training program he could just hire new staff. What would the CEO say? What are the advantages for the cable car company of Small Ski Resort to implement a training program instead of hiring new staff?

Answer 1

• CEO of resort may refuse to employ the new staff.there are several reasons,suppose if the firm fires everyone from the job at present and employ the new workers for company's own benefit then the new workers won't be confident about their jobs and won't be loyal either concerned with their job.
• it would impact the reputation and fame of the resort adversely
• therefore a company should arrange the proper and needed training program which may be become an expense for the resort for short run but it would be very beneficial in the long run.

the benefits to a company for providing training to its present employees are as follow-

1. LOYALTY-by arranging training program a company would be able to win the confidence of its employee.employees would be loyal for the resort.they would always wish for the prosperous growth of the business concern.
2. GOODWILL AND REPUTATION OF THE RESORT-this step would leads to increase the fame and goodwill of the firm in the market and therefore every worker outside the firm wants to do job with the resort and this would be very helpful for the expansion of the business concern
3. TRUST OF THE EMPLOYEE-employees would feel safe with working the resort and the workers would have full faith in their company.
4. REDUCTION IN SEARCHING AND INTERVIEW COST-if a firm would try to employ new employees then it would have to conduct proper selection process and excess cost for finding suitable candidates.
5. SAVING OF TIME-company can avoid the wastage of time for the selection process and utilize the time in productive activities.