The expansion of The King Company in the United States depends on building new facilities in appropriate communities where the percentage of the skilled workers is rather high. If managers of The King Company are oriented to decreasing the costs associated with training of employees and focused on increasing the productivity, it is necessary to locate new facilities in communities where the labor market is characterized by the high proportion of human resources having degrees in the information technology and computer sciences. The target employees need to be qualified and certified as IT specialists, technicians, and programmers.
The Demographic Characteristics of the Quincy Labor Market
The Quincy community in the state of Massachusetts can be discussed as a location where new facilities of The King Company can be built. The King Company focuses on selecting the employees for developing the technology component. In this context, it is important to discuss the demographic characteristics of the labor market in the Quincy community. More than 45% of the population in the community are adults (aged 20-45 years) (U.S. Census Bureau, 2015). About 20% of the adult population are males. The highest percentage of the male labor force in Quincy has the Bachelor or Master Degree IT or engineering specializations (Bureau of Labor Statistics, 2015).
These degrees are mainly received in Massachusetts Institute of Technology School of Engineering and Boston University College of Engineering. It is important to state that the target employees recruited by The King Company are males with the Bachelor and Master Degree (Goodman, 2011; U.S. Department of Labor, 2015). Therefore, in Quincy, the company has the opportunity to address its needs regarding the skilled staff (Goodman, 2011, p. 44). However, the capital of the high-tech industry in Massachusetts is Boston, and The King Company should discuss the option of building the facility in this area.
Reasons to Expand in the Quincy-Boston Area
To address the needs of The King Company in skilled and diverse employees, it is reasonable to recommend building the new facility in the Quincy-Boston area of Massachusetts. This area has one of the highest percentages of technology-oriented employees who are qualified to work in the high-tech industry. During the period of 2005-2012, the number of qualified specialists in the area increased by 20%, when the number of new positions for technology-oriented specialists increased only by 4% (Bureau of Labor Statistics, 2015; Csorny, 2013, p. 2).
Such employers as the Hewlett-Packard Company and Balsam Technologies continue to invest in the Boston-based projects (Goodman, 2011, p. 44). As a result, The King Company should use an opportunity to add to the company’s technological progress and reduce human resource management costs while hiring skilled employees from the Quincy-Boston area (Kleis, Chwelos, Ramirez, & Cockburn, 2012, p. 43). The number of persons receiving the degree in the computer-related specializations increases each year, and Boston high-tech companies are characterized by the stable increase in profitability.
Conclusion
If the management of The King Company chooses to build the facility in the Quincy-Boston area in Massachusetts, this decision can be discussed as efficient. The reason is in possibilities to hire skilled workers, form teams of high-qualified specialists, and save costs necessary to organize prolonged training sessions. The demographics of the selected area can demonstrate the potential for the further increase in the supply of the skilled technology-oriented labor force.
References
Bureau of Labor Statistics. (2015). Boston-Cambridge-Nashua, MA-NH. Web.
Csorny, L. (2013). Careers in the growing field of information technology services. Employment & Unemployment, 2(9), 1-12.
Goodman, M. D. (2011). Lessons from the front lines of the 21st century economy: The structure of job opportunities in the Massachusetts Information Technology Industry. Career Planning and Adult Development Journal, 27(4), 44-60.
Kleis, L., Chwelos, P., Ramirez, R. V., & Cockburn, I. (2012). Information technology and intangible output: The impact of IT investment on innovation productivity. Information Systems Research, 23(1), 42-59.
U.S. Census Bureau. (2015). Web.
U.S. Department of Labor. (2015). Massachusetts labor trends. Web.