Performance management system
The current conditions surrounding Carter Cleaning Company evolves on a lackluster performance of both the rank-and-file and management level employees of the company. The following parts will be discussing the proposed performance management system to be imposed to the company in order to address the current issues that it is experiencing.
Rationale
The realization of organizational development will be inexorably unattainable without the concurrent improvement in the performance of the individual units of the company. (Taylor and Pierce 1999, 423) Development starts from the individual employee. This intent to achieve development is the basis of implementing a performance management system in Carter Cleaning Company. Studies have indicated that implementing such as system will allow the company to adjust areas of human resources, compensation and rewards system, learning, career planning, work design, recruitment and selection, performance coaching, and performance appraisal processes to suit the conditions and demands of doing business. (Gilley and Cunich 1998, 11) The succeeding parts of will present the performance management plan of the company.
Planning for the Required Standard of Performance
Based on the issues uncovered in the initial observations of the Carter Cleaning Company, the implementation of jobs of the employees (part-time cleaners, supervisors, and area managers) display overlapping and often times confusing elements on the exact demands of the work. It is in this part of the system that job descriptions are classified and clarified. (Dibble 1999, 31)
In the same regard, this is the part where the objectives of the company are formulated. More specifically, the performance expectations from the cleaners, supervisors and managers are established to mesh well with the general objectives and mission statement of Carter Cleaning Company. In establishing the goals of the company and expectations from the employees, the professional development and improvements in work quality are defined using the said goals as benchmarks. (Taylor and Pierce 1999, 423)
The job descriptions and expected work output is as follows:
Part-Time Cleaners
· Directly report to the supervisors before and after engaging in any cleaning activity;
· fulfill a minimum of four hours on the clock;
· Subject to the appraisal of the supervisors
Full-Time Cleaners
· Directly report to the supervisors before and after engaging in any cleaning activity;
· fulfill a minimum of eight hours on the clock;
· Subject to the appraisal of the supervisors
Supervisors
· Supervisors will have minimal cleaning detail;
· Focus on maintaining and monitoring the quality of work done by cleaners;
· Conduct performance coaching on the cleaners;
· Appraise the work done on cleaners; and
· Submit a report to area managers.
Area Managers
· Focus on recruitment and selection of employees;
· Acquire new contracts for the company;
· Review the appraisal reports of the supervisors;
· Determine who to retain among the cleaners based on the appraisal reports; and
· Provide recognition to those who do extremely well in their details, both cleaners and supervisors.
Supervision of Employee Performance
Monitoring of the employees is one of the cornerstones of proper personnel management. In doing this activity, it allows the management to determine which specific part of the job description the employees require improving. (Valentine 2001179) In the same regard, it is in this process where, aside from directly appraising the potential and consequent performance of the employee, performance coaching and even reinforcement is directly given to the cleaners of the company. In this regard, a balance between the performance and the level of motivation of the employees are maintained.
Development of the Individual Employee
It is in this part of the performance management system where the area of employee development is centered. The supervisors and managers of the CCC are the ones that are directly responsible for this part of the performance management system. Specific areas like learning, training and even career planning are covered by this area of the system. (Gilley and Cunich 1998, 11) Other minor tasks as providing certain assignments will establish the strengths and competencies of the employees.
Appraisal of the Employee
This area covers the appraisal period of the employees. Specifically, a period of 120 days minimum is set aside for the appraisal period. The cleaners are to be appraised by the supervisor. Consequently, the supervisors are to be appraised by the managers while the managers are to be appraised by Cara, Jack and Jill. In the middle of a fiscal year, a midterm review will also be conducted to establish whether any development in the weaknesses, strengths and competencies of the employees are seen. All in all, certain critical elements will be measured to improve the performance of CCC. These include:
· Value for the organization
· Customer Satisfaction
· Work Effectiveness
Recognition
The use of recognition as a tool for management has been mentioned in motivational theories like Herzberg’s motivators and Maslow’s level of self-esteem. (Kiel 1999, 167; Maidani 1991, 441) The imposition of awards and incentives based on the merits of the individual employees are to be based on the appraisal and merits provided for in performance management system.
The arguments for and against the use of rating scales
It has been indicated above that the appraisal systems are vital parts of the overall performance management system. The use of rating scales will provide the CCC with the needed structure in their performance appraisal systems. More specifically, it intends to establish objectivity in the process. This is done by giving out standardized set of criterion that will be applicable to all employees. (Smith, Hornsby, Shirmeyer 1996, 10) In the same account, it provides a quantifiable measure of the behavior of the employees. (Goffin and Jackson 1992, 363) In uncovering this facet of the personnel, then the company will be able to understand what types of techniques that will best fit the organization with reference to the culture and behavior present. Moreover, with the scientific nature of rating scales, they are quick and rather uncomplicated to carry out. (Kovach 1994, 83) There are even some existing software that could exponentially increase the processing of the data. Overall, the use of rating scales allows a significantly precise manner of appraising the development of the individuals being rated.
However, like any method available at the company’s disposal, there are certain pitfalls in using rating scales. For instance, there is the possibility that the rating scale could be subjected to certain biases which is connected to attributes far from professional relations. (Kovach 1994, 83) The ones rating the other employee are predisposed to this type of action, not to mention the possibility of miscalculation on their parts. On the other hand, being a great determinant of behavior, rating scales does not indicate the cause of that behavior. (Smith, Hornsby, Shirmeyer 1996, 10) This also manifest that the data provided by the results of the rating scales are rather restricted to the attribute being measured.
All things considered, rating scales are great tools for the supervisors to appraise their subordinates efficiently. As maintained in the disadvantages of using rating scales, it often has a very large room for error coming from the rater. In this regard, the management of CCC has to provide some form of training and seminar on the supervisors as well as the other managers on the manner of using these scales as well as to establish the precise area on which the appraisal system intends to measure. More specifically, before the actual appraisal period commence, the supervisors and managers should be briefed on the appraisal tool and made sure that they understand what is required from them. In this manner, this room for error is minimized.
The roles of the supervisors, area managers, HR and business owners in performance improvement at CCC
The supervisors, area managers, human resource manager (Cara), and business owners (Jack and Jill) are tasked to carry out several roles in the process of performance improvements of the organization. The supervisors are the ones tasked to carry out the micromanagement functions in the performance improvement of the entire organization. Since they are the ones that directly function with the cleaners, it is their job to keep them motivated and at the same time monitor their work so as not to significantly veer away from the established standards of CCC. On the other hand, they are the ones that address customer needs of the existing clients. Thus, ensuring high customer satisfaction is a part of their responsibilities. (Peak and Sinclair 2002, 75)
The managers, on the other hand, are the ones that appraise the supervisors. They are also the ones who process the appraisal reports of the cleaners. However, it is not their job to analyze the said data. It would be advisable that the managers continue doing what they originally do, which is to acquire new contracts and keep the existing clients happy. Constant correspondence with these people through phone calls and even dinners would be a suitable complement in their customer relationship management initiatives. (Ebner, Hu, Levitt, McCrocy 2002, 49)
In the case of Cara, the Human resource manager, it is her job to make sense of the data acquired from the appraisal from the managers. It is her job to recognize who to retain, who to let go, who to recognize and who to have a personal talk. Moreover, it is her job to have a regular dialogue with the supervisors regarding the performance of the individual employees based on the respective clients’ premises. In this regard, the HR manager will be able to promptly substantiate whether the assessments provided to her are accurate or otherwise. (Luthans and Sommer 2005, 327) Moreover, it is her job to monitor whether the performance of all the personnel are developing or lagging based on their job descriptions.
Jack and Jill, on the other hand, being the company owners had the distinct responsibility of keeping the company afloat. (Ebner, Hu, Levitt, McCrocy 2002, 49) This means that it is their job to keep CCC in good financial standing and properly adhering to the policies and laws applicable to their operations. They have to make sure that the company is akin to a well oiled machine ready to take on the cleaning industry by storm.
The skills or competencies needed for effective performance review
There are several general skills and competencies that are needed to provide an effective performance review. One general competency is effective communication skills. Basically, the ones conducting performance appraisal reviews tend to be the link between the management and the rank-and-file of the organization. (Collins 1997, 1) They have to be aware of the culture that exists in the organization in order to maximize the utility of performance reviews. For instance, he/she has to have great listening skills to establish the needs and actual patterns of behavior of the employees. (Curtis and Sherlock 2006, 120) In the same manner, this will allow him/her to convey his/her observations to the management which consequently could provide some form of initiatives to address these issues. In addition, good coaching skills are also an admirable competency needed for effective performance review. (Grant 2006, 10) One must realize that a performance review is not a judgment of the individual alone, it seeks to develop the individual as a part of the organization. Thus, provision of good feedback is also a positive competency needed for having an effective performance review. (Mitchell and Rossmoore 2001, 79) In relation to the claims above, it is apparent that the supervisors and managers have a lot on their plate regarding their actual job descriptions. However, having such competencies will not only save the CCC from the current crises it is experiencing but also provide a single step in realizing the developmental goals of the company.
References
Collins, D. (1997) “Human Resource Assessment – the Link to Mission.” Public Personnel Management. 26(1), 1.
Curtis, R., and Sherlock, J. (2006) “Wearing Two Hats: Counselors Working as Managerial Leaders in Agencies and Schools.” Journal of Counseling and Development. 84(1), 120.
Dibble, S. (1999) Keeping Your Valuable Employees: Retention Strategies for Your Organization’s Most Important Resource. New York: John Wiley & Sons.
Ebner, M., Hu, A., Levitt, D., and McCrocy, J. (2002) “How to Rescue CRM: Even Dysfunctional CRM Systems May Be Well Positioned for Future Success. the Trick Is to Step Back and Think about Your Real Goals.” The McKinsey Quarterly. p49.
Gilley, J. and Cunich, A. (1998) Strategically Integrated HRD: Partnering to Maximize Organizational Performance. Massachusets: Perseus Books .
Goffin, R., and Jackson, D. (1992) “Analysis of Multitrait-Multirater Performance Appraisal Data: Composite Direct Product Method Versus Confirmatory Factor Analysis.” Multivariate Behavioral Research. 27(3), 363.
Grant, M. (2006) “Six Sigma for People? the Heart of Performance Management.” Human Resource Planning. 29(1), 10.
Kiel, J. (1999) “Reshaping Maslow’s Hierarchy of Needs to Reflect Today’s Educational and Managerial Philosophies.” Journal of Instructional Psychology. 26(3), 167.
Kovach, R. (1994) “Matching Assumptions to Environment in the Transfer of Management Practices: performance Appraisal in Hungary.” International Studies of Management & Organization. 24(4), 83.
Luthans, K., and Sommer, S. (2005) “The Impact of High Performance Work on Industry-Level Outcomes.” Journal of Managerial Issues. 17(3), 327.
Maidani, E. (1991) “Comparative Study of Herzberg’s Two-Factor Theory of Job Satisfaction among Public and Private Sectors.” Public Personnel Management. 20(4), 441.
Mitchell, R., and Rossmore, D. (2001) “Why Good Leaders Can’t Use Good Advice.” Journal of Leadership Studies. 8(2),
Peak, T., and Sinclair, S. (2002) “Using Customer Satisfaction Surveys to Improve Quality of Care in Nursing Homes.” Health and Social Work. 27(1), 75.
Smith, B., Hornsby, J., and Shirmeyer, R. (1996) “Current Trends in Performance Appraisal: An Examination of Managerial Practice.” SAM Advanced Management Journal. 61(3), 10.
Taylor, P., and Pierce, J. (1999) “Effects of Introducing A Performance Management System on Employees’ Subsequent Attitudes and Effort.” Public Personnel Management. 28(3), 423.
Valentine, S. (2001) “Men and Women Supervisors’ Job Responsibility, Job Satisfaction and Employee Monitoring.” Sex Roles: A Journal of Research.
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