Happy Culture

11/4/2022

They are heavily funded by the Canandian Government
FY is April - March
Gov't was very forgiving during the pandemic
This year, they are not funding any training unless there is a mechanism for immedieate feedback
HC also invested a lot of money on content creation, videographers, etc.
As such, will not be renewing with Northpass.
They need to convert all their stuff into man power, which is less profitable
This is challenging their structure and profitability
They need to prove to clients that within a year, they will reach their ROI for the training
What's covered and what isn't by the Government:
- 20 people in training
- HC charges 12 hours of online training, for example
- The only way that is covered if the 20 people are together, watching together, providing feedback to each other.
- But that 12 hour could only be charged once. So it would have to be a 12 hour sitting.
- Then each 20 would have to book with the instructors for 1:1 coaching
- That would be a ton of hours per employee, a huge sunk cost
How are they going to change their business model?
- 2k per head, minimum 10 people clients
- Break that 2k into small chunks and charge x 10 or20 depending on the number of people