Reducing Costs and Enhancing Business Options for Learn For Life

Problem: During COVID, the students of tutoring company, Learn For Life,  are no longer coming to campus and demanding that they take lessons online. However, the company is considering a variety of options as it is having a hard time paying rent on the multi-storey office building it has been renting on College and Spadina where all classes used to be held pre-COVID and is considering the following options to reduce costs, while maintaining, if not enhancing, business.

Establishing Criteria:

Evaluating options by criteria:

Criteria used to evaluate potential business solutions in order of significance:

· Costs for running Learn for Life

· Cost to the students (including tuition, textbook… fees)

· Possibilities for business expansion

· Possibilities for attracting seasoned, efficient and creative instructors

Options presented for evaluation:

A) Staff continues to work on the same premises, which translates into continuing to pay a monthly rent of $3333 covering internet and other utilities; however, it encourages seasoned, efficient and creative instructors to work on the premises in separate rooms and eliminate the costs of purchasing 600-dollar per laptop for the twenty something instructors which it will require to take into consideration, if they are to work from home. Plus, working under safe circumstances on campus may allow for a sense of collegiality and professionalism unparalleled otherwise. Interviews will be conducted on campus for the hiring new instructors. This option will, most likely, lead to a boost in costs both for the company itself and the students, although it will ensure that Learn for Life attract the most efficient instructors and will only allow for business expansion should the company survive the vicissitudes of the pandemic;

B) Staff will stop paying the monthly rent of $3333 and hire new instructors through Zoom interviews. This choice entails the purchase of 600-dollar laptops for, at least, twenty something instructors to keep the momentum going. Business will become decentralized as everyone begins to work from home and the company will have to pay for the staff’s internet costs (which will differ from person to person depending on the proof of payment they present to the company). This option reduces the tuition fees on students and certain costs for the company; however, it curtails chances of business expansion and will not, necessarily, allow for the hiring of the best of the best;

C) This option will have the administrative staff work from the main office, in which case, Learn for Life, will only be paying $2000 on monthly rent as it will be operating on the first floor only. In this case, the company is no longer legally bound to pay for the internet costs of its employees and can reduce the costs incurred by the company, although the students will have to pay 15% more than they would be if the company opted for Option B. This option allows for the attraction of the best of the best instructors as it allows for a multi-pronged hiring approach. Once the pandemic is over, all staff can return and start operating on all floors.

 Based on the above information do your best to write a comparison/yardstick report that addressing the director of Learn for Life, Dr. Anthony Singh with the subject of “Choice of an Option as to how Learn for Life will run business during the COVID-19 pandemic.”

The above is all the information you have and, if need be, you can get creative within the confines of the information provided above and the assignment itself.

Please note that there is an example of a comparison/yardstick report on the slides for Week 7. You can find the example towards the very end of the powerpoint presentation slides that have been posted for Chapter 11 of your book and available in the folder for Week 7.