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Zendal Pharmaceuticals

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Submitted By ser118
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Memorandum
To: Karen Barton, SVP Human Resources, Zendal Pharmaceuticals
RE: Quantifying the Benefits of Leadership Development
Date: September 20, 2011

Issue You have hired QMDME Consulting to analyze both the impact and financial returns from executive leadership programs. You have also asked us to provide recommendations on how to present this analysis to your executive management committee, specifically your COO Dave Palmer. In the past, you were not able to provide the financials and quantitative analysis to support the funding of such programs, demonstrating they are a priority, not a perk, which adds to Zendal Pharmaceutical’s bottom line. Given the unstable economic environment that has persisted for several years, it is even more important to justify the costs of such programs. Justification must be communicated via skill enhancements/efficiencies, market competitiveness, and profits, not just through participant satisfaction surveys. Without a quantitative based argument, it is likely the 75% decrease in your budget will continue into the near future, and perhaps never be reinstated to prior levels. Also, you have asked QMDME Consulting to comment on the viability of an internal, custom leadership program or continuation of external leadership programs. We will address this issue in the context of Zendal’s recent acquisition of Premier.
Analysis of Business Issue
The Case for Leadership Development Program An important aspect of your presentation to Palmer will include communicating the value add of leadership development and dispelling his belief that it is a perk. Studies have shown that development programs ensure organizations will have a pipeline of strong future leaders with the depth and breadth of management skills to meet current and future organizational needs. It will be important to communicate to Palmer that great management

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