VDAB CASE Harvard Case Solution & Analysis

VDAB Case Study Solution

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Date: 20thJuly 2017

Subject: Opportunity in IT on innovations for Business Model

Introduction and Problem Formation: VDAB is a public employment service company which was founded in the year 1989,operated in Flemish region of Belgium to offer employment services, training, and career counseling. The company was funded by the government to improve the employment rate in the country. The company faced several challenges from the labor market such as finding the right person with the skills to fill in the position of the people who have either left the company or retired, labor market being IT-driven and the changes in globalization which affected the labor market.

Information and Assumptions: To overcome the challenges being faced due to changes in the labor market, the company decided to target all the job seekers and non-active citizens which means that it will be targeting around 4 million people of working age rather than 450,000. For targeting so many people, the company decided to use IT for providing public employment service which would improve its overall efficiency and as well as reduction of its costs. The new CEO Paul Daniels who’s first task was to properly align IT departments for achieving in VDAB’s long term goals. The IT structure of the VDAB comprised of IT core Committee, Process Innovative Team, the Architecture, and Innovation unit and service delivery and operations. The three IT project portfolio which were Business Projects, Strategic Project, and Technical Project.

VDAB CASE Harvard Case Solution & Analysis

Analysis: After analyzing the case, to my understanding, the VDAB took an appropriate measure to counter the changing in labor. To overcome the challenges and problem faced due to change in labor, the company decided to work on improving its IT for providing better public employment services. Due to changes in technology people have started to look for jobs through online instead of searching in the newspaper or going to career counseling. Such as the tool made by VDAB by the name of ‘My Career’ which would help the people in assisting in their career in which they can give their entire information regarding their skills, education and others in which the employers would either manually select the candidate or through automatic matching.

Recommendation:With VDAB focusing so much on the innovations of IT, no doubt it would improve the jobs advertisement and employment rate, but VDAB’s focus was not just on providing jobs to people but was also on providing training and career counseling. The entire focus on IT would negatively impact the training and career counseling services as it requires directly be face to face with the client.

Alternatives Considered: The alternative which VDAB should consider is not to use the entire budget on the innovations of IT as it was on a tight budget rather than it should open some facilities near many locations in Flanders so it can provide training and career counseling to the people................

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