Purchase Solution

Strategic use of Resources

Not what you're looking for?

Ask Custom Question

Provide a detailed cost breakdown for using a level vs. a chase strategy to meet the increased demand. Which strategy do you recommend? How much savings would result from the plan you recommend?

See attached file for full problem description.

Purchase this Solution

Solution Preview

First here is a good site for you to look at for further information although on specific number examples on specific strategies:


Basically a level strategy is one with all the implementations in place that would provide for a level output regardless demand and a chase strategy is one which would only provide resources for output when the demand was there for the product. Thus, the chase demand usually has poorer resources in place since it is only used on per demand basis. So for example, the labor force is only put into place and trained when the need is there making their performance poorer than that of the level strategy.

The cost breakdown for increased demand is as follows:

Hiring costs generally: Low for level strategy and high for chase strategy.
Why? Level- It is an investment in the employee to provide high quality work for the growth and sustainability of the company.
Chase- It is a short term hire meaning the employee needs to be trained in a short amount of time and then after the demand is over, will no longer be with the company and the process would be repeated on the next demand cycle. However, since there is increased demand, the chase strategy is equipped to dealing with this since this is basically the point of what the strategy does so it does not cost them any more than what would be usual. However, for the level ...

Purchase this Solution

Free BrainMass Quizzes
Organizational Behavior (OB)

The organizational behavior (OB) quiz will help you better understand organizational behavior through the lens of managers including workforce diversity.

Team Development Strategies

This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.

Managing the Older Worker

This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce

Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.