As the Employee Benefits Manager at Immense Multinational Business (IMB), you are responsible for holding down the cost of employee medical insurance while still providing comprehensive quality medical care to IMB employees. Lately, you have noticed that some employees, usually those who smoke, have significantly higher medical claims than nonsmokers. Studies indicate that employees who smoke a pack of cigarettes daily have claims that are 18 percent higher than nonsmokers; smokers are 29 percent more likely than nonsmokers to have annual medical claims over $5,000. Estimates by the American Lung Association indicate that the medical benefits for smokers cost at least $1,000 more per year than for nonsmokers. Based on such information, you are considering whether IMB should impose an additional annual charge of $500 for medical benefits and insurance coverage on employees who are smokers. Would such an additional charge for smokers be legal? What arguments can you make for imposing the additional charge on smokers? What arguments can you make for not imposing the additional charge? Should IMB impose an additional charge? Explain your answers.
Critical Path Method
The critical path is the longest succession of tasks that has to be successfully completed to conclude a project entirely. The tasks involved in the sequence are called critical activities, as any task getting delayed will result in the whole project getting delayed. To determine the time duration of a project, the critical path has to be identified. The critical path method or CPM is used by project managers to evaluate the least amount of time required to finish each task with the least amount of delay.
Cost Analysis
The entire idea of cost of production or definition of production cost is applied corresponding or we can say that it is related to investment or money cost. Money cost or investment refers to any money expenditure which the firm or supplier or producer undertakes in purchasing or hiring factor of production or factor services.
Inventory Management
Inventory management is the process or system of handling all the goods that an organization owns. In simpler terms, inventory management deals with how a company orders, stores, and uses its goods.
Project Management
Project Management is all about management and optimum utilization of the resources in the best possible manner to develop the software as per the requirement of the client. Here the Project refers to the development of software to meet the end objective of the client by providing the required product or service within a specified Period of time and ensuring high quality. This can be done by managing all the available resources. In short, it can be defined as an application of knowledge, skills, tools, and techniques to meet the objective of the Project. It is the duty of a Project Manager to achieve the objective of the Project as per the specifications given by the client.
As the Employee Benefits Manager at Immense Multinational Business (IMB), you are responsible for holding down the cost of employee medical insurance while still providing comprehensive quality medical care to IMB employees. Lately, you have noticed that some employees, usually those who smoke, have significantly higher medical claims than nonsmokers. Studies indicate that employees who smoke a pack of cigarettes daily have claims that are 18 percent higher than nonsmokers; smokers are 29 percent more likely than nonsmokers to have annual medical claims over $5,000. Estimates by the American Lung Association indicate that the medical benefits for smokers cost at least $1,000 more per year than for nonsmokers.
Based on such information, you are considering whether IMB should impose an additional annual charge of $500 for medical benefits and insurance coverage on employees who are smokers. Would such an additional charge for smokers be legal? What arguments can you make for imposing the additional charge on smokers? What arguments can you make for not imposing the additional charge? Should IMB impose an additional charge? Explain your answers.
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