Clean Car Care Case Study

¶ … company on the market, because this has certain characteristics that play a role in the decision making process regarding the type of offer that 3Cs can make to the two potential future managers. The case study mentions that Arlan Autospritz has strategically cornered the car wash market. This translates into 3Cs having a monopoly on the car wash market, which is also translated in the fact that the only existing competition two coin-operated car washes on the outskirts of the city.

This monopolistic position presumably means that 3Cs controls the market, including the price of a car wash. The fact that the price of the service can be thus manipulated means that Arlan can consider redirecting a part of the revenues towards the human resource part of his business, namely towards ensuring that he hires an excellent future unit manager. The second characteristic that has to be mentioned is the fact that the human resource market is highly competitive.

There are at least two arguments in this sense, deriving from the case study. The first is that unemployment is low (3.8%) and continues to decrease. This means that there is a high occupancy of the workforce, which translates in the fact that there are fewer people available for hire. For 3Cs, this meant that the company was no longer able to follow through on its traditional strategy of hiring at entry level and then promoting through the ranks.

The second argument is that both candidates for the managerial position (candidates who, as shown in the case study, were shortlisted from a longer list of five applicants) have promising positions in their own companies. Both of the candidates have competitive salaries, with an attractive benefits package. Jane is up for promotion, which will improve her position and pay in the company. Neither of the two candidates is looking to leave their current positions, unless they receive a better job offer.

All these arguments (highly competitive job market, low number of candidates from the selection and recruitment process, candidates satisfied with their current positions) support the idea that Jane should be offered a best shot offer. First of all, a lowball offer will likely have no effect. Jane is not looking to leave her current job and, in fact, she has an excellent position and is up for promotion. A lowball offer will probably only make her believe that 3Cs is not really interested in having her services.

A competitive offer does not seem to be the best choice either. First of all, it is difficult to discuss what competitive means: is it a competitive offer compared to other offers on the market or to her current position (something that Arlan will have a hard time evaluating, since the package at her current company is likely confidential). At the same time, one needs to reemphasize the fact that Jane is not looking for a new job.

She is satisfied with the current job and is likely only willing to consider changing it if she receives a significantly better offer, particularly since she would need to relocate for 45 miles, among other things. The best offer option seems to be the best, first of all because Jane really needs some strong incentives to make her move from her current job, with which she is satisfied and where she is up for promotion.

As mentioned, she needs to relocate as well, so the package has to really be a "best offer" package to convince her in this sense. Additionally, such a package will also give Jane a better impression about the future company. The company will look as a serious company, one that needs her services and that is prepared to offer her a good deal in that sense. There are several additional elements and soft incentives that can be added in the offer.

Kazim Ladimeji (2013) mentions several, among them moving fast when making the offer, flattering the future employee, talking about future career opportunities and pay raises. All these apply in Jane's case as well: she needs to understand what her future will be with the company, particularly in terms of what she will receive in return for her services, in the medium and long run. Moving fast will also show Jane that 3Cs is really interested in her services, working as.