Analytical Report
1
Student
Prof. Ball
LLD 100WB
April 4th , 2018
ANALYTICAL REPORT
DATE: April 4th , 2018
PREPARED FOR: CEO and Board of Directors at Kiva Inc.
REPORT BY: Ilov Tu Write, Analyst
SUBJECT: Healthy Food Program
EXECUTIVE SUMMARY
Employee health and satisfaction is a major factor that contributes to a company’s overall success. One area of employee health and satisfaction employers have control over is food. Employees spend many hours working and rely on the food available at Kiva. The purpose of this report is to analyze and compare the advantages and disadvantages of implementing healthier food options at Kiva Inc.
Creating healthier food options for employees has many advantages. Eating healthy food is important for employees because it helps them maintain high energy levels throughout the workday. Furthermore, providing healthier options may help address specific needs or lifestyles, such as allergies, vegetarianism, or veganism. Having regular and easy access to healthy food at work will improve employee satisfaction rate. Employee satisfaction is linked to a variety of other factors, such as employee retention and overall productivity. High levels of employee satisfaction will help create an environment that is conducive for teamwork and success.
Implementing this new healthy food program also has some disadvantages. Cost must always be taken into account when creating new programs. Some of these foods may be expensive, which may affect Kiva’s budget. Thus, foods have to be analyzed through both health and cost perspectives. Another potential problem could occur if employees choose not to eat the healthy food provided. Employees are free to choose any food they wish to eat. If they prefer fast food over the food provided at Kiva, employees have the freedom to eat fast food. However, employees who are unhealthy are more likely to take additional days off due to illness, which causes a decrease in overall productivity. Kiva cannot force every employee to eat specifc foods. Depsite this fact, Kiva has the power to encourage healthy eating and provide better options for employees.
In conclusion, based on the following report, this new healthy food program has more advantages than disadvantages. Employees will be able to improve their diets, thus leading to greater productivity and energy levels throughout the company. Kiva will be also be able to improve their relationships with employees and increase overall employee retention rate.
These are my recommendations Kiva Inc. can use if they wish to implement these changes:
· Ask employees about specifc dietary needs to gauge the necessity for certain foods.
· Create different menus and options for every day of the week for employees to choose.
· Purchase foods that are both cost efficient and healthy to allow for a flexible budget.
· Inform employees about the health benefits and positive impact of eating the food provided by Kiva.
INTRODUCTION
PURPOSE OF THE REPORT: To show how eating healthily at work will translate to a more positive environment and create better habits for employees. This report will first examine different meal options presented to employees at various companies, such as Yahoo, Google, and Apple. After comparing these different options, I will present each company’s respective employee satisfaction level. Employee satisfaction level can be linked to other work related factors, such as productivity and employee retenion rates. By analyzing how different meal options can potentially affect satisfaction levels, I will be able to show the impact of eating healthily at work.
BACKGROUND: Work is the main priority in many people’s daily lives, as the average work day is around eight hours. As a result, work habits and lifestyles can easily translate to an employee’s personal life. According to research from the National Health Society in England (2016), “close to one third of an average employee’s calories are consumed at work or during working hours.” With almost 33% of daily calories being consumed while working, food has a large impact on an employee’s productivity and success. If companies do not provide healthy food options, employees may seek unhealthy fast food options. Many employees are attracted to fast food because of its affordability and taste. However, this is not the best choice for employees to eat. While it may may momentarily satisfy employees, fast food will ultimately be detrimental to their health.
SOURCES AND METHODS: My data will come from articles accessed through the San Jose State University King Library databases, photographs from company employees, company expenditure statistics, and satisfaction level research from current and former company employees.
SCOPE: The analysis in this report will focus on how bringing healthier food options to Kiva will benefit both employees and the company. The report will also present recommendations on how to implement this new policy without allocating a large portion of the company budget.
LIMITATIONS: This report will focus solely on improving employee satisfaction by providing healthier food options. Employee satisfaction varies from person to person and cannot be fully accounted for. Employee happiness and satisfaction may also be affected by external factors that cannot be controlled by Kiva. The analysis provided will only address the actions Kiva can take to improve food options.
REPORT ORGANIZATION: The report will first present multiple food options that are currently presented to employees at major companies. After showing these options, the report will compare these company’s respective satisfaction levels. The comparison will be followed by an explanation of how eating healthily improves an employee’s productivity. Lastly, there will be an analysis on the cost of implementing a similar program at Kiva with relevant company statistics. The report will be closed out with a conclusion and the recommended course of action.
FOOD PROGRAMS AT MAJOR COMPANIES:
1. Food provided to Google employees: The following photos were taken by Google employees in London and Los Angeles (Hartmans, 2016):
FIGURE 1
Google provides many sustainable and healthy options for their employees. The first image shows a bowl of oatmeal with an assortment of fruits, such as strawberries, pineapples, blueberries, and raspberries. The second image shows quinoa salad and a fruit smoothie. These meals provide many essential vitamins and nutrients for Google employees to feel energized throughout the day.
2. Food available for Apple employees: Apple employees have to pay for their food, unlike Google employees who receive their food for free. However, all Apple food comes at a reasonable and affordable price for employees. The following photos were taken by Apple employees in Cupertino (Stone, 2014):
FIGURE 2
The first image shows a poached egg served with a quinoa hash, which is a healthier alternative to traditional hash browns. The second image shows a plate of barbeque ribs with a side of potato salad and assorted greens. Apple provides many options for their employees that cover a wide variety of diets. The first dish may be better suited for a vegetarian or someone who prefers a light meal. The second dish is better suited for an employee who enjoys meat, but also wants to balance their diet with vegetables.
EMPLOYEE SATISFACTION:
1. Employee satisfaction at Google: In 2014, Google was rated the top company in America for employee satisfaction. Employee satisfaction results “are based on thousands of anonymous reviews by employees on Glassdoor, which advertises job postings and also advises prospective employees on office culture, leadership and salary negotiation.” (Zennie, 2014). One factor that contributed to their high employee satisfaction was their meals, as “Employees enjoy free gourmet breakfast, lunch - and even dinner - at the company's food courts. The food is so legendary that Hemispheres, the cafeteria at Google's New York office, is one of the highest-rated restaurants on Yelp.” (Zennie, 2014).
2. Employee satisfaction at Apple: In 2016, Glassdoor rated Apple as the 25th best place to work in America based on employee reviews. When asked about the meals Apple provides, “One employee described the food as the ‘best on-site food services you could ever imagine.’ Another says, ‘Apple subsidizes everything but the cost of ingredients so you can have custom sushi or pizza from scratch for less than $10. Dinners are usually free for people on iOS or OS X teams.’” (Kosoff, 2016).
EATING HEALTHILY IMPROVES EMPLOYEE’S PRODUCTIVITY:
1. The psychological impact of food: NASA (National Aeronautics and Space Administration) develops special meals for astronauts to help them maintain optimal levels of performance and energy while working. Vickie Kloeris, a food scientist at NASA, has designed food packages for astronauts since 1995. She explains that “The psychological impact of food has the quickest impact and response on our crew members.” (Smedley, 2015). As a result, astronauts need to have a balanced and nutritional diet to work effectively. Employees at technology and business firms, like Kiva, should also receive healthy diets in order to be productive throughout the day. While office employees may not be performing the same tasks as astronauts, both occupations require a large amount of mental energy.
2. The physical impact of food: Eating unhealthily can potentially have a negative effect on employee productivity and performance. For example, employers who provide health care, like Kiva, might have to spend more on unhealthy employees. In America, the average “overweight employee costs an employer $450 to $2,500 more per year in medical expenses and absences.” (Rosenzweig, 2014). Unhealthy employees are more likely to fall sick than healthy employees. As a result, they may miss more work days. This leads to employees missing important meetings, deadlines, and projects. In addition, research from the International Labour Organization found that “The workplace is a logical place for health intervention, for workers are usually there most days. Providing nourishing food to workers, even for a fee, can improve quality of life and work, and have positive “trickle down” effects for the family as well.” (Wanjek, 2005). Thus, the quality of food provided at work has a significant effect on an employee’s life. Eating healthy food may not only be beneficial for improving employee satisfaction and productivity, but it may also improve external factors, such as family.
THE COST OF PROVIDING HEALTHY FOOD:
1. The cost of free food at Yahoo: Yahoo, a web service provider, started to provide free food for all their employees in 2012. Yahoo spends about $20 per employee every day over 250 working days (Carlson, 2012). This service is only being provided at their Sunnyvale, Santa Clara, and San Francisco locations. These locations have a total of around 4,000 employees. As a result, Yahoo spends about $5,000 per employee on an annual basis. When multiplied by the total number of employees receiving this service, Yahoo spends about $20 million total per year.
2. The cost of providing a similar service at Kiva: In order to calculate the total cost Kiva will need to spend to provide healthy food to their employees, it will be assumed that the number of working days and cost per employee remain the same. Kiva currently has around 200 employees at their San Francisco headquarters. Assuming that they will be spending $5,000 per employee, the total annual cost will be around $1 million. In 2015, Kiva’s total revenue totaled close to $20 million. The $1 million needed to provide healthy food to employees will only be a fraction of the total expenditure.
CONCLUSION
When taking into consideration the benefits and costs of implementing a new healthy food program at Kiva, it can be seen that the potential advantanges outweigh disadvantages. Many companies who provide healthy food for their employees, such as Google, Apple, and Yahoo, also have very high employee satisfaction rates. Glassdoor has consistently rated Google and Apple among the best companies to work at based on employee satisfaction and happiness. The meals provided cover a variety of diets, such as vegetarianism, veganism, and other plant-based diets. Companies usually also provide breakfast, lunch, and dinner, which can cover meals for employees at any time of the day.
Eating healthily has both psychological and physical effects on an employee’s health, as doing so helps employees work effectively and maintain high levels of productivity. Eating healthily at work may also improve an employee’s quality of life outside of work. On the other hand, unhealthy employees are more likely to take days off due to health concerns, which can hurt the company’s overall success. In addition, companies may need to allocate more money towards unhealthy employees for health coverage and other medical expenses.
The cost of implementing a new healthy food program is relatively cheap when compared to the company’s overall expenditure and revenue. Thus, bringing healthy food options to Kiva will not hurt the company’s budget. Employees will be able to stay healthy and keep performing at high levels without negatively affecting Kiva’s overall revenue.
RECOMMENDATIONS
1. Ask employees about specifc dietary needs to gauge the necessity for certain foods.
Asking employees about foods they enjoy will help Kiva spend money on food the majority of employees will eat. If employees do not like the food provided, they will seek alternatives outisde of work. Thus, Kiva will have less control over employee’s health and eating habits. Employees will be inclined to eat fast foods and other unhealthy meals, which will be detrimental for their health in the long run. It is important for Kiva to provide options that all employees enjoy to make the best use of implementing a new healthy food program.
2. Create different menus and options for every day of the week.
Allowing employees to choose a from a variety of options will help keep employees continually engaged with the food program. Employees can submit feedback on specific foods, which will help the company improve their food selection over time.
3. Purchase foods that are both cost efficient and healthy to allow for a flexible budget.
While healthy food is important for employees, it is important to purchase cost friendly foods that do not hurt the company budget. The examples listed below are organized by meal times.
· Breakfast: oats, fresh fruits (apples, oranges, grapes, bananas), yogurt, eggs.
· Lunch: quinoa, salads/assortment of vegetables, lentils, soups, chicken breast,
red meat (in moderation), sandwiches.
· Dinner: pasta, fresh fish (cod, salmon, trout), skillets, curry, noodles.
4. Inform employees about the health benefits and positive impact of eating the food provided by Kiva.
The most important part for this new healthy food program to be effective is for employees to understand the benefit it has on their health. If they lack proper understanding, employees might not take advantages of the food being provided. One possible way to inform employees would be to hold seminars or sessions that discuss the benefits of eating healthily. Another way to improve employee understanding of Kiva’s healthy food program would be to print pamphlets or brochures that give brief details on what the new program entails and how it would benefit them.
REFERENCES
Boost your health at work. (2016, Jul. 27). Retrieved March 5, 2018, from https://www.nhs.uk/Livewell/workplacehealth/Pages/workplaceoverview.aspx
Carlson, N. (2015, Jul. 30). Here’s How Much All That Free Food Will Cost Yahoo. Retrieved March 5, 2018, from http://www.businessinsider.com/yahoos-free-food-budget-5000-per-employee-20-million-per-year-2012-7
Hartmans, A. (2016, Aug. 26). 21 photos of the most impressive free food at Google. Retrieved March 5, 2018, from http://www.businessinsider.com/photos-of-googles-free-food-2016-8
Kossoff, M. (2016, Jan. 22). Apple employees reveal the 19 best things about working for the world’s most valuable company. Retrieved March 6, 2018, from http://www.businessinsider.com/best-things-about-working-at-apple-2016-1
Rosenzweig, W. (2014, May 27). Food at Work: Setting the Table for a Healthy Workforce. Retrieved March 6, 2018, from https://www.huffingtonpost.com/william-rosenzweig/food-at-work-setting-the-_b_5376081.html
Stone, M. (2014, Oct. 13). 25 Amazing Dishes Being Served At Apple’s Campus Cafeterias. Retrieved April 2, 2018, from http://www.businessinsider.com/25-amazing-dishes-at-apple-headquarters-2014-10
Stone, M. (2015, Nov. 2). Google's latest free lunch option is a fleet of 20 fancy food trucks — and the food looks incredible. Retrieved March 6, 2018, from http://www.businessinsider.com/googles-latest-free-lunch-option-is-a-fleet-of-20-fancy-food-trucks-and-the-food-looks-incredible-2015-10
Smedley, T. (2015, May 26). Should your employer discourage junk food at work? Retrieved March 6, 2018, from https://www.theguardian.com/sustainable-business/2015/may/26/employer-discourage-junk-food-workplace-health-lifestyle
Wanjek, C. (2005). Food at Work: Workplace Solutions for Malnutrition, Obesity, and Chronic Diseases. Geneva, Switzerland: International Labour Organization.
Zennie, M. (2014, Dec. 10). Looking for the best place to work? Google it. Search giant rated top company in America for employee satisfaction. Retrieved March 6, 2018, from http://www.dailymail.co.uk/news/article-2869148/Looking-best-place-work-Google-Search-giant-rated-company-America-employee-satisfaction.html