Workforce Plan: Costco Wholesale Corporation – New Product Delivery Service

1. Brief Organizational Identification and Background:

Costco Wholesale Corporation is a multinational retail corporation operating membership warehouses across the globe. They are known for their bulk-buying format and wide variety of products, including groceries, electronics, appliances, and more.

2. Catalyst for Change:

New Product Delivery Service: As online shopping continues to grow, Costco plans to implement a new online ordering system with same-day or next-day delivery services.

3. Supply Analysis:

• Demographics:The current workforce primarily consists of full-time employees with an average age of 40+.
• Skills and Competencies:Existing employees possess strong customer service skills, knowledge of in-store operations, and experience handling physical inventory.
• Anticipated Turnover:The average annual turnover rate is around 5%.

4. Demand Analysis:

• Workforce Training Needs:
  • Employees will need training in online order processing, picking and packing for delivery, and potentially operating delivery vehicles.
  • Customer service representatives will need additional training to handle inquiries and concerns specific to online orders and deliveries.
• Available Labor:
  • The current labor market offers a potential pool of candidates with experience in e-commerce, delivery logistics, and customer service.
• External Forces:
  • Competition from other retailers offering online delivery services could increase the demand for skilled workers.
  • Changes in technology might require ongoing skills development to adapt to new delivery methods and systems.

5. Gap Analysis:

• Additional Employees Needed:
  • An estimated 10-15 new employees are needed for the initial launch of the delivery service, potentially including order pickers, packers, delivery drivers, and customer service specialists.
• Skills Gap:
  • Existing employees may require training in order to fulfill new roles related to online order processing, picking, packing, and potentially delivery operations.
  • There will be a need for new hires with expertise in e-commerce and delivery logistics.

6. Solution:

• Recruiting:
  • Focus on targeted recruitment efforts to attract individuals with e-commerce, delivery logistics, and customer service experience.
• Training:
  • Provide comprehensive training to existing employees on online order processing, picking, packing, and potentially delivery operations.
  • Offer ongoing skills development opportunities to keep pace with technological advancements.
• Contingent Staffing:
  • Consider temporary workers or part-time employees during peak seasons or to manage unexpected surges in demand.

7. Conclusion:

This workforce plan provides a foundation for Costco to address the challenges and opportunities presented by the new product delivery service. By utilizing a combination of recruiting, training, and contingent staffing solutions, Costco can ensure they have the right people with the right skills to successfully launch and maintain its online delivery service while minimizing disruption to existing operations.