As Manager of Human Resources at Widgets U.S.A., a midsized manufacturing form, you
administer recruiting, hiring, training, and performance management programs. The HR Director,
John Reed, sends you an e-mail containing the following attachment
Mliteracy at Work
Top executives are reluctant to admit that some of their workers have trouble reading this sentence,
Top businesspeople are beginning to acknowledge a problem they have long denied, but that have further to
go. Nine in ten Fortune 1000 CBOS recognize illiteracy as a problem in the American workplace, but just
38 percent say it's a problem for their workers. Virtually all chief executives agree that workers" literacy
levels affect productivity and profitability in general, yet just 77 percent say that it has an effect on their
own business, finds a 1995 Opinion Research Corporation survey of Fortune 1000 CBOS sponsored by
Golden, Colorado-based Coors Brewing Company
The U.S. Department of Labor estimates that illiteracy costs US businesses about 5225 billion a year in
lost productivity. The costs stem from employee mistakes, injuries, absenteeism, tardiness, missed
opportunities, and other problems associated with illiteracy. Despite goverment documentation, executives
have been loath to acknowledge the problem for fear it will cast doubt on the quality of their companies
products and services, says William McVey, director of Laubach Literacy Intemational, a Syracuse, New
York-based nonprofit research group
McVey says that the results of the Coors survey are heartening in that they indicate some awareness of the
scope of illiteracy in the US. But enormous obstacles exist. Executives acknowledge the problem of
illiteracy but they don't necessarily think it's their problem to fix. Eighty-two percent of those surveyed by
Coors say that state and local schoolsystems have primary responsibility to boost workers' literacy rates.
Half as many say so about corporations, and sizable minorities think that the federal govemment and
individuals themselves should be responsible for tackling the problem.
Just 22 percent of CEOs surveyed currently have worker literacy programs in place, says Coors
spokeswoman Olga Garcia. Bigger companies and manufacturers are more likely than average to offer
them. On-site programs tend to be more cost-effective for large firms than for small ones, says McVey. The
recent emphasis on quality standards has encouraged literacy efforts in manufacturing firms more than in
service establishments
Reed writes to you that he is concerned about the high operational risks associated with alliteracy,
He has observed an increase in the number of production-line mistakes and injuries over the past
five years. He believes many of these incidents are caused by functionally illiterate employees.
Your Task: Write a brief memo report to Reed in which you: 1) state your purpose and
objective; 2) clearly and concisely state the business problem; 3) analyze the pros and cons of 2 to
3 possible solutions to the problem; and 4) recommend the solution that will best meet the firm's
business objectives.
Purpose: Persuade John Reed that you have thoroughly analyzed possible sohations to the problem and
your recommended solution is the best option.
Expected Outcomes: Create a well-formatted memo that helps busy readers quickly locate and
comprehend the problem the analysis, and the recommendation.
Establish credibility with your audience by composing a professional document free of spelling
and grammatical errors
Demonstrate problem solving and critical thinking skills, and a business style attuned to the
interests of your audience.
Assessment Measures: Content, Literacy, Audience, Strategy, Style.
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