DE Formal Report Proposal Revised

To: Dr. Paterson, ENGL 301 Professor
From: Danae Echeverria, ENGL 301 Student
Date: 10 July 2022
Subject: Revised Proposal for implementing retention strategies to reduce employee burnout and combat staffing shortage at local café, C Market Coffee, in Port Coquitlam, BC.

Audience
This formal report is intended for the C Market Coffee store manager, Jun Park, who takes on a supervisory role and leads the management team by overseeing all aspects of the café’s operations including hiring and scheduling staff, maintaining inventory, monitoring sales, expenses, and budgets.

Introduction
The covid-19 pandemic had a significant impact on the Canadian labour market that became central to how small and medium-sized enterprises (SMEs) were affected by the crisis; and now that the large baby-boomer generation is heading to retirement, British Columbia’s (BC) workforce is experiencing an even greater decline. As a local café that has recently opened up a second location—the headquarters—in Port Coquitlam, C Market Coffee is one of many local businesses that are experiencing the negative repercussions of BC’s labour shortage.

The new venue offers coffee, alcoholic beverages, and food, and is designed to seat 75 people. It also plans to function as a training center for new baristas, coffee brewers, and roasters looking to advance in their coffee knowledge. While the new establishment has received positive feedback and reviews, it has also led to an increase in demand for staff to keep up with service and production at the second location. According to a study about the labour shortage in Canada, 56% of entrepreneurs said existing staff must work more and 43% said a shortage of workers hinders their company’s growth (Wormstall 6). The lack of workers at the café has led to overworked staff and is deteriorating employee morale. Moreover, C Market Coffee is also paying an opportunity cost when senior staff spends more time supporting production as it prevents them from working on new projects and high-value activities that can encourage growth. The café needs time to train new hires, but there is difficulty in retaining them—new employees are quitting before training is complete because they are dissatisfied or have found a better opportunity.

Statement of Problem
The staffing shortage at C Market Coffee is causing senior staff to face additional workloads and spend extra hours on the shop floor. Consequently, employees are experiencing difficult workplace challenges such as intense levels of burnout and this is leading to an increased intention to quit. To limit the rates of attrition, a burnout prevention plan should be implemented to mitigate the effects of labour shortages and improve employee morale and retention.

Proposed solution
This proposal addresses the staff shortage problem from the viewpoint of a C Market Coffee staff member experiencing burnout. Identifying the extra challenges faced by senior staff as a result of the current operating system offers a realistic and effective plan for streamlining hiring and retention strategies to improve the well-being of the existing workers and increase staff numbers. Potential strategies can involve changing compensation practices to attract new employees and retain existing ones by:

1. 1. 1. Increasing base and performance pay
      2. Offering company stock to key employees
      3. Organizing social activities and events
      4. Allowing flexible schedules to enable a better work-life balance

Scope
To assess the feasibility of developing a plan to combat staffing issues and ensure it aligns with the strategic objectives, I plan to pursue five areas of inquiry:

1. 1. 1. How do existing C Market Coffee employees perceive the business?
      2. What additional workloads are senior staff facing?
      3. What are the key aspects of the company that employees value most?
      4. Which hiring strategies and training programs are we currently using? How can we communicate the company’s vision, values, and objectives for the café’s potential and existing employees?
      5. What are the potential strategies for offering compensation and developing strong HR Policies?

Methods
The primary data sources collected for this formal report will be my own observation of the company’s operations, and workplace-wide surveys with both new and senior employees. This will allow me to get first-hand feedback from employees about their engagement with and motivation to work.

Secondary sources will include publications on recent labour shortage studies in BC as well as different mutually-benefiting hiring and retention strategies that small businesses can potentially implement in their companies.

My Qualifications
I have been employed at C Market Coffee for over three years since the opening day of the first location, and plan to remain a loyal staff member at the recently established second location. Being highly familiar with the café’s daily operations and having a close relationship with the baristas and kitchen staff permits me to execute an in-depth feasibility study on improving employee morale and increasing staff numbers.

Conclusion
Labour shortages are not expected to improve for at least a decade. The direct link between a shortage of workers and slower growth in company sales is a major concern for many small and medium-sized businesses, including C Market Coffee; a decrease in employee morale leads to poor quality work and in some cases, attrition. The company must have a strong employee foundation with proper compensation and efficient operating systems if the goal is to increase sales and further develop the brand.

Works Cited
Bouchard, Isabelle. “How to Adapt to the Labour Shortage Situation.” Business Development Bank of Canada (BDC) 2021.

Wormstall, Michael. “Labour Shortage: Here to Stay.” Business Development Bank of Canada (BDC) 2018.