research based report

To: Hope Allman, Store Manager, Starbucks

From: Muhammad Mujaddidi, Shift Supervisor

Date: November 17, 2020

Subject: Request to Conduct Research on Financial Wellness

Summary

If your employees don't understand how to manage their own money, how will they know what's really at stake when it comes to your business? By teaching them how to keep their finances in order, they'll be more in tune with helping to increase your bottom line. At Starbucks, the company pays us well, but does no effort to educate its workers on personal finance. I propose that Starbucks establishes monthly seminars dubbed the “financial readiness series” where they host a webinar and host industry professionals to guide us in becoming more financially stable and help us set us up for success.

What the Problem Is and Why It Needs to Be Investigated

The problem I see at our current store is that most of our partners are stressed financially and that they do not have any idea what their future will be like with no savings accounts. I see adding this series of seminars to help educate our partners as a way alleviate this type of stress in our store, it will boost overall morale, partners will come to work on time, happier and eager to work and deliver us results.

Not educating our partners about personal finance will pose a problem to our store, if our partners are not financially stable or not incentivized to work here, they will look for better opportunities or even split time with another job. I have seen instances where partners are just not focused at work and too worried about things that are just out of their control, we need to help them and most importantly educate them. It is our job as managers to attract and retain top talent.

Secondary Research

Secondary research that I have conducted on the problem has resolved on the fact that many adults have poor financial literacy, and how the lack of knowledge puts them at a disadvantage. In the wake of the recession, many employers have seen how financial distress reduces worker productivity, increases absenteeism, and undermines employees’ health. Large corporations have begun to take action, adopting creative approaches to enhance employee financial well-being. As a large corporation ourselves, we need to do our part in educating our partners and finding creative ways to promote financial wellness.

Studies show that educating individuals about personal finance will positively impact their lives and  can improve an individual’s decision-making capabilities and increase confidence. Financially secure people don’t just feel better about the present; they are also able to afford and plan for their later life, like retirement. This outlook is good for the economy and the community and can result from an employer-assisted financial education.

Employees that can get their finances in order have their minds freed from money-related anxiety and stress. Feeling better about life often helps people get more engaged in the workplace, at home and in their community.

Primary Research

Primary Research I will conduct about the issue will consist of an anonymous survey to all employees. I will personally hand deliver an envelope and will asked them to honestly fill out the survey in private and return to me within a week’s time. This survey will consist to 5 yes or no questions pertaining on the employees’ current level of financial readiness.

After completing the survey, I will then take the results into consideration and create a plan of action and develop a syllabus of some sorts and try to attract volunteers to come talk to our partners.

Why We Will Benefit from My Research

Financial education is a benefit that increases loyalty, improves retention, and helps an organization with workforce planning. It will also attract a whole new set of talent looking for companies with financial benefits such as a 401K and stock options.

Financial literacy training helps employers manage risk of liability and support employees with sufficient information to make decisions about retirement plans and other benefits.

And overall, it reduces financial stress and insecurities that employees might have, and will improve productivity while on the job.

Conclusion

Financially secure people don’t just feel better about the present; they are also able to afford and plan for their later life. Providing our partners with the tools to succeed in life will benefit not only them, but us as well. We will be providing some sort of stability in their lives and in return they will be more stable enough to continue working for us. With your permission, I will conduct the research needed on implementing the company wide financial wellness series.