Business case Assignment: Healthy Babies Inc.

Assignment
For this assignment you are to prepare a business case to present the explanation and
rationale for the proposed approach. Remember, you are proposing an HR solution to a
business problem. It needs to be clear, direct, concise, and professionally written. It needs to be
convincing and supported by the results of your calculations. It should be in the form of a
memo to the CEO.
Your business case should cover the following:
Q1. Calculation of additional revenue and labor costs (FVs and PVs) for each of the options.
Q2. Calculate ROI for the entire project (3 years) for the two options. Which option is financially
more attractive to achieve the target?
Q3. What are the non-financial advantages of each of these options? Please think like an HR
professional
Q4. Which option would you finally recommend to the CEO? Give reasons.
Q5. If the contract had been for one year only, would your recommendation be the same?
Explain.
Writing, format and preparation of the report
BONUS Question
When companies hire new workers for a project, sometimes it is possible to accommodate
some of these employees in other areas of the company, instead of laying them off after the
project is over. If at the end of three years, Healthy Babies can redeploy half of the new workers
instead of firing them, would that impact the ROI and your recommendation? How?
The assignment should be typed in double space, saved in .doc or .docx format. You can
embed some tables into the doc file if you wish.
Note: The bottles are made with recycled plastic which is very cheap so you can ignore costs
other than labor while calculating ROIs

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