Homework Question on Cost-Benefit Analysis
- Write a five to seven (5-7) page paper in which you:
- Construct a Cost-Benefit Analysis matrix for an organization that is considering replacing its internal payroll system with a payroll outsourcing service. Include direct and indirect revenue enhancements and direct and indirect cost reductions.
- Assess the risks associated with integrating a new payroll system and suggest what the project management team can do to minimize those risks.
- Compose the tasks that would be needed to complete a Gantt chart (project schedule) for outsourcing the company’s payroll system. Compare the advantages and disadvantages of using a Gantt chart versus using the Performance evaluation and review technique (PERT) and critical path method (CPM) when managing projects.
- Propose three (3) types of feedback loops the project management team can implement so that potential users of the new payroll system can provide advice, suggestions, and guidance to the team during project development and implementation. Suggest how the project management team can filter out irrelevant information and target critical information provided by potential users of the new system.
- Suggest three (3) types of behavioral problems that employees can manifest as a result of replacing the organization’s legacy payroll system with an outsourced solution. Compose three (3) guidelines that a project manager can use to mitigate employee resistance to change.
- Use at least four (4) quality academic resources in this assignment. Note: Wikipedia and other Websites do not qualify as academic resources.
Homework Answer on Cost-Benefit Analysis
The Cost-Benefit Analysis Matrix
The human resource department is a very important part of organizational success because it provides coordination for all activities. According to Kavanagh, Thite, & Johnson (2012), a cost benefit analysis is an insight to determine the overheads and benefits that would accrue from a human resource investment project. The competitive and evolving nature of the international market has forced many organizations to outsource their services.
Although this trend is ubiquitous, it has to be carefully managed to reduce its impact risks. Project risk management has become an important aspect of the business because managers have to identify, alleviate, and manage all possible risks that can be involved in implementing a HRM service Therefore, it is important for managers to examine the new project to ascertain how the proposed change will create, promote, or reduce risks within the organization’s units.
Payroll is a business function that is very involving g and many organizations prefer outsourcing this service. This is done to save the organization time, costs and reduce penalties that are associated with preparing the payroll within the organization (Doody & Noonan, 2013). A cost-benefit analysis matrix will present, whether outsourcing a payroll service is worthy being replaced with a company.