MGMT 3860

MGMT 3860 Dr. Gavrilova Aguilar

Employee Referral Program - HRM Page | 1 of 3

Assignment 2 – Employee Referral Program To apply concepts learned throughout the course, you will be researching and recommending improvements to an Employee Referral Program (ERP) for an existing organization in order to enhance recruitment and selection practices and attract talent. You will select an existing organization and will analyze the design and effectiveness of the ERP. You must provide solid recommendations for improvement and demonstrate that you have conducted thorough and relevant research. You will also consider various legal and ethical considerations in your suggestions. This assignment resembles a consulting project that you may engage in as an external consultant who will be working with an actual organization. You will identify what the organization currently does for employee referral programs (if they do not have a program, then you will recommend how they can design one). You may select a corporation, a non-profit organization, a school district, a university, a governmental agency, a small business, etc. You may need to contact HR representatives or managers to gather the information if it is not readily available so choose wisely. Ideally, if you were to contact any representatives, you will do so virtually or by observing proper safety guidelines related to COVID-19. The purpose of Assignment 2 is as follows: 1. You will expand your knowledge of an HR program - Employee Referral Programs. These

programs are related to recruitment as well as compensation. 2. You will research a current, former, or potential employer and develop a brief organizational

profile outlining their recruitment process and how the organization is using employee referral programs (or not). You will make connections with industry professionals and learn specific practices (if applicable).

3. You will relate your findings to concepts we have discussed during the course. You will write a brief consulting report (1 page, min 500 words) regarding your organizational analysis, research of best practices, and recommendations on how to enhance an existing ERP or design one if it does not exist.

4. You will practice writing in a concise and compelling manner that elicits an action from others. You will provide a professional report that resembles a consulting/executive brief.

To complete Assignment 2 successfully, follow these steps: 1. Review the instructions for this assignment. 2. Research a probable organization (may need to contact an HR professional). 3. Conduct the organizational analysis explaining what the company currently offers (including

review of existing documents, promotional materials, emails, etc.). Write that portion of the report first. Focus on how many employees they have overall, what their strategic goals are, what the mission and vision of HR is, etc.

4. Research information regarding employee referral programs (in general). Use the SHRM resources and LinkedIn Learning video such as the one by Don Phin as a guide.

5. Summarize what you found out through your research (e.g., the advantages and disadvantages of ERPs are; how they can assist the organization achieve its goals).

6. Discuss the legal concerns with having ERPs. 7. Recommend improvements to an existing ERP or recommend the design of a new ERP. 8. Submit your assignment via Canvas as a separate Word document. 9. Attach any additional handouts or include in the same document as part of the Appendix. Chapter 5 (pages 151-152) includes information about referrals. You can also conduct other independent research through SHRM, Glassdoor, Forbes, HR blogs, LinkedIn Learning videos.

MGMT 3860 Dr. Gavrilova Aguilar

Employee Referral Program - HRM Page | 2 of 3

Deliverables: 1. You will submit a 2 page report (in MS Word format, 12-pt font, one-inch margins, single

space, at least 500 words) written objectively and in third person (e.g., eliminate “our company”) that includes the sections described below. You are an external consultant who is objectively reviewing the organization’s ERP and providing recommendations. Writing more than 2 pages is acceptable but please do not exceed 4 pages. Writing clearly and concisely is an important skill in the workplace. You must write articulate sentences that show a high level of thought. Your writing must be well-organized, unified, and error-free. You must format the report appropriately. Include in-text citations and references.

2. You will submit an Appendix and a References page that includes any supporting documentation you consulted and you wish for the organization to consider.

The assignment will be graded based on the following components: I. Introduction & Organizational Analysis (up to 25 pts). Include the following: 1. Brief description of the organization, its product/services, number of employees, number of

HR employees. Explain the hiring process and whether or not they have an active employee referral program and what percentage of employees participate in it. Discuss why the ERP was instituted and what the employer is hoping to achieve with it. If they had one in the past and it was discontinued, discuss that as well.

2. Strategic information about the organization (mission, vision, values, strategic objectives) and whether and/or how an employee referral program aligns with the values of the firm, their strategic objectives, and their talent acquisition and/or pay incentives approach.

II. Research and Findings (up to 30 pts) if there is an existing ERP. Include the following: 1. Explain the process you followed to gather data about the organization. Who did you contact

and what data was provided? 2. Explain the process you followed to gather external data in support of the design of ERP. What

reputable websites did you consult? Reference the textbook, module materials, SHRM resources, and any other reputable sources.

3. Incorporate the answers to all/most of these questions: a) What is the process for providing the referral (e.g., online application)? b) How is the organization communicating the existence of the program to its employees? c) What incentives (e.g., money, vacation) do current employees receive for referrals? d) How much, if money is paid, do employees receive upon a successful referral that gets

hired? e) Do employees receive money when the referral is hired as well as after successful

completion of a probationary period (e.g., 90 days)? f) Are the referrals available for only hard-to-fill or non-exempt positions? g) Are all employees eligible to receive a referral bonus? Are some groups excluded (e.g.,

executives, managers)? Are there any legal concerns with that policy? OR II. Research and Findings (up to 30 pts) if there is not an existing ERP. Include the following: 1. Explain the process you followed to gather data about the organization. Who did you contact

and what data was provided?

MGMT 3860 Dr. Gavrilova Aguilar

Employee Referral Program - HRM Page | 3 of 3

2. Explain the process you followed to gather external data in support of the design of ERP. What reputable websites did you consult? Reference the textbook, module materials, SHRM resources, and any other reputable sources.

3. First summarize if there are any existing programs that offer monetary incentives for people (e.g., providing innovation ideas). Incorporate the answers to all/some of these questions based on your findings for best practices: a) What should be the process for providing the referral (e.g., online application)? b) How should the organization communicate the existence of the program to their employees? c) What incentives (e.g., money, vacation) should current employees receive for referrals? d) How much, if money is to be paid, should employees receive upon a successful referral that

gets hired? e) Should employees receive money when the referral is hired as well as after successful

completion of a probationary period (e.g., 90 days)? f) Should the referrals be available for only hard-to-fill positions or should they be given for

new hires at all levels and positions? g) Should all employees be eligible to receive a referral bonus? Should some groups be

excluded (e.g., executives, managers) from receiving a bonus? Are there any legal concerns with that policy?

III. Recommendations (Up to 40 pts) 1. Summarize the existing problem/opportunity area and the data you gathered through your

research. In one paragraph specify what the date reveals (e.g., there is a program, it is not utilized, it pays out a very small amount, the time to pay out the bonus is too long).

2. Clearly specify 2 recommendations on how to administer the program, how to change the existing program, or how to design a new ERP (focus on the stages of implementation), and provide justification.

3. Briefly discuss 2 potential disadvantages and legal concerns with implementing an ERP or your recommendations regarding the existing ERP.

4. It is acceptable to recommend that the ERP should be discontinued if that is one of your findings. Clearly support your reasoning and describe how the program should be disbanded and how to communicate it to employees and managers. Discuss how this recommendation aligns with the strategic plan of the organization.

VI. Appendix & References (Up to 5 points) - You will submit an Appendix containing any of the following, depending on your topic:

a) References (in APA format or another format you are familiar with; it needs to match all references you have included in your report).

b) Informational brochures of the organization c) links to relevant websites d) links to budget documents and financials e) sample communication you used to get in touch with your contact f) any other legitimate and reputable resources you consulted (e.g., DOL website) in support of your recommendations.

Include all supporting documentation as separate attachments with your submission. Any instances of plagiarism will result in grade of “0” for the assignment. Any issues with formatting and excessive spelling will result in deductions of up to 10 points.