HRM3701
ASSIGNMENT 2 2025
DUE 25 MARCH 2025
SEMESTER 1 2025
,Assignment 2 (2025):
Semester 1
Unique number:
Due date: 27 March 2025
Purpose:
The purpose of this assignment is to assess your ability to practically apply HRM theory,
processes, and practices in the workplace, or in a simulated environment.
Employee layoffs at Hope Regional Medical Centre
Questions:
1. Identify and explain key external and internal factors that have contributed to
the financial decline of Hope Regional Medical Centre.
External Factors
Changing reimbursement policies and adjustments in how healthcare providers are
reimbursed have reduced the hospital’s revenue, making it harder to maintain financial
stability.
There is a growing emphasis on outpatient care, reducing the demand for inpatient
hospital stays and leading to lower occupancy rates. Increasing competition means
more hospitals and medical facilities have emerged, creating a competitive market
where patients have more choices.
Economic downturn meltdown led to reduced spending on healthcare services, affecting
hospital revenues.
Internal Factors
, The hospital’s occupancy has dropped significantly from 76–82% to 57%, reducing
revenue from inpatient services.
Despite financial strain, the hospital has only implemented limited cost-cutting
measures, such as tightening equipment purchases, without broader financial
restructuring.
The current performance appraisal system is inadequate, making it difficult to ensure
cost-effective human resource management. The hospital has never laid off employees
before, making it unprepared for workforce reductions, potentially leading to
inefficiencies.
2. Aside from employee layoffs, examine other alternatives (at least 4) for dealing
with the factors that you have identified in Question 1.
Shift to Outpatient Services and Service Diversification
Redirect resources to expand outpatient care (e.g., telehealth, same-day surgery,
chronic disease management) to align with industry trends and generate new revenue
streams. Addresses declining occupancy rates (57%) by repurposing underutilized
inpatient beds and tapping into the growing outpatient market. Reduces reliance on
inpatient reimbursements.
Operational Efficiency and Cost Optimization
Implement technology upgrades (e.g., Electronic Health Records, automated billing
systems) to reduce administrative overhead. Streamline supply chain management by
renegotiating vendor contracts or adopting bulk purchasing.
Targets inefficiencies in workforce management and delayed cost-cutting measures.
Reduces non-labor expenses (e.g., supplies, equipment) without cutting jobs.
Voluntary Workforce Adjustments Offer voluntary early retirement packages, reduced
work hours, or temporary furloughs for employees in overstaffed departments (e.g.,
ASSIGNMENT 2 2025
DUE 25 MARCH 2025
SEMESTER 1 2025
,Assignment 2 (2025):
Semester 1
Unique number:
Due date: 27 March 2025
Purpose:
The purpose of this assignment is to assess your ability to practically apply HRM theory,
processes, and practices in the workplace, or in a simulated environment.
Employee layoffs at Hope Regional Medical Centre
Questions:
1. Identify and explain key external and internal factors that have contributed to
the financial decline of Hope Regional Medical Centre.
External Factors
Changing reimbursement policies and adjustments in how healthcare providers are
reimbursed have reduced the hospital’s revenue, making it harder to maintain financial
stability.
There is a growing emphasis on outpatient care, reducing the demand for inpatient
hospital stays and leading to lower occupancy rates. Increasing competition means
more hospitals and medical facilities have emerged, creating a competitive market
where patients have more choices.
Economic downturn meltdown led to reduced spending on healthcare services, affecting
hospital revenues.
Internal Factors
, The hospital’s occupancy has dropped significantly from 76–82% to 57%, reducing
revenue from inpatient services.
Despite financial strain, the hospital has only implemented limited cost-cutting
measures, such as tightening equipment purchases, without broader financial
restructuring.
The current performance appraisal system is inadequate, making it difficult to ensure
cost-effective human resource management. The hospital has never laid off employees
before, making it unprepared for workforce reductions, potentially leading to
inefficiencies.
2. Aside from employee layoffs, examine other alternatives (at least 4) for dealing
with the factors that you have identified in Question 1.
Shift to Outpatient Services and Service Diversification
Redirect resources to expand outpatient care (e.g., telehealth, same-day surgery,
chronic disease management) to align with industry trends and generate new revenue
streams. Addresses declining occupancy rates (57%) by repurposing underutilized
inpatient beds and tapping into the growing outpatient market. Reduces reliance on
inpatient reimbursements.
Operational Efficiency and Cost Optimization
Implement technology upgrades (e.g., Electronic Health Records, automated billing
systems) to reduce administrative overhead. Streamline supply chain management by
renegotiating vendor contracts or adopting bulk purchasing.
Targets inefficiencies in workforce management and delayed cost-cutting measures.
Reduces non-labor expenses (e.g., supplies, equipment) without cutting jobs.
Voluntary Workforce Adjustments Offer voluntary early retirement packages, reduced
work hours, or temporary furloughs for employees in overstaffed departments (e.g.,
