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I am studying HRM in a MBA program and need assistance with a case problem. My mission is to follow Bernthal's approach to calculating the ROI for selection systems in addressing this question:
How can Apple Computer, Inc improve the ROI on its selection system?
Please assist me in answering this question by providing the following information:
1. Introduction - description of Apple Computer, Inc and its current selection systems (1 page) (NOTE: Focus exclusively on the selection system, not on recruitment.
2. Analysis of direct and indirect costs associated with the current selection system(s) (2 pages)
3. Strategy to reduce direct & indirect costs, and the estimated ROI of the revised selection system (clarify assumptions you make - 1-2 pp.)
4. Process needed to implement (i.e. steps, resources, people - 1 page)

Please see attachment

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The response addresses the queries posted in 2496 words with references.
// Companies should always try to make improvements in their different systems and processes so that they can reap up the benefits of improved qualities. Similarly Apple Computers Inc. can also make improvement in its return on investment by revising its existing employee selection system. In this paper we will discuss ways to improve the ROI but should start the paper by giving the introduction of the company like this: //


Apple Computers Incorporation commenced its business in the year 1976 as a US based company by Steve Jobs. It has started the business of providing personal computers to its customers in the America. Today, it has a worldwide network through its almost more than 200 stores that cater to the needs of customers of different countries and thus has gained the status of a multi-national company (Apple Retail Store, 2009). The company has expanded its range of products and has started focusing on the consumer electronics items besides its core business of personal computers and computer software. The company's iphone and the ipod range have a huge reputation in the global market. The company has gained recognition on the international status as a quality product provider.

The company has been rewarded the status of most admired company by the Fortune Magazine in the year 2008 among the American companies (America's Most Admired Companies 2008, 2008) and again in the year 2009. Apple is considered as a benchmark company for all the companies that advocates providing highest quality to its customers. Apple has around 34,300 on roll employees working with the company (Form 10-K: Apple.Inc, 2009). It has earned revenue of around 8.34 billion dollars and net profit of around 1.23 billion dollars for the quarter ended on July, 2009 (Apple Reports Third Quarter Results, 2009).

//As we have given an introduction of the Apple Computer Inc., we will move forward and discuss the existing employee selection system of the company. The employee selection system helps the company to select their employees. //

Apple is a company that looks after the real talent when goes for an employee selection process. It focuses on the persons that possess excellent skills and capabilities. The potential persons with innovative and creative skills and ideas are selected. The selection system of the company is based on the behavioral interviewing. Behavioral Interviewing performed by Apple helps it to identify how the people behave and the expected behavior they will show in the future. This selection system identifies how well a person has reacted in a situation in the past instead of following how he will react in the future when a specific situation occurs. The employee selection system is quite good but as company brings in a large number of interviewees in the last stage of selection process the interviewers has to devote a substantial amount of time to select the best employees. This will cost a lot as the cost associated with the interviewer will increase since he has to take more number of interviews. The interview will last for almost 2 hours in which the candidate has to give a personal interview, presentation and has to perform role plays (Job opportunities at Apple, n. d.).

// We have focused on the existing selection system of the company and now we will analyze the different costs that incur in the selection process. The costs should not include the recruitment costs. The different costs are the direct and indirect costs. //

Analysis of the direct and indirect cost incurred in the current selection process

Selection process of any company incurs heavy expenses. Apple also has to bear certain direct and indirect cost associated with the process of employees' selection. Direct costs are those costs that can be directly attributed with the process that has been performed. Instead of that indirect costs are those costs that cannot be easily attributed to the process but they are the part of that process. For instance the direct costs for Apple, Inc. while selecting the employees following the recruitment process are the cost of interviewing the ...

Solution Summary

The response addresses the queries posted in 2496 words with references.