Jones Electric Memo

In: Business and Management

Recently there is something wrong with the performance of our company and I think what we should do is to upgrade the office furnitures. Because more and more of our employees claimed about the poor working condition. We can reduce the surgery fee and the sick days from the employees after the upgrade. Therefore, we can increase our productivities a lot.

1 Increase health problem- More of our employees are having health problems because of the uncomfortable furnitures.
2 Sick days increase-Because of their health problem, employees asked for the extra vacation day.
3 Surgery fee increased- Three employees had to have carpal tunnel surgery, and another had back surgery
4 Insurance fee increase- The insurance carrier was threatening to raise its premiums.
4 Productivities reduce- The day-to-day productivity of the office reduced

The problem came up from last year. If we don’t care about the problem, it will cost us a lot. For example , we already have three employees need to do carpal tunnel surgery . Cost of surgery and rehabilitation is in the range of $5,000 to $10,000 (data from : we have one employee need to have back surgery. According to the data from This procedure costs an average of $12,000to$15,000. So far the maximum cost is approximately $45000. And if we ignore that, the number of employees who need surgery would double in the next year. However, we can spend $95000 to prevent this from happening.

My proposal is to update the office furniture and computer equipment as soon as possible. First, the overall cost would be approximately 60000USD last year and the price now has been up to 95000USD. Second, the amount of the reduced profit is much more than 95000USD. Third, there is convincing evidence that there...

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