The Performance Management Process

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Read “Case Study 2-2( Attached) : Disrupted Links in the Performance Management Process at Omega, Inc.” in your textbook. The six links in the performance management process outlined in the text are interrelated. If any of the links is missing, unclear, or compromised, it will have an effect on the entire process, and employees may not understand what is required of them. Consider each of the links of the performance management process shown in the Figure 2.1 in your textbook. Discuss whether each of the links are present and in what form in the performance management system described. What can be done to fix each of the disrupted links in the process?

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  • standards and APA style guidelines.
  • Write a four-part essay One page (i.e., an essay that includes an introduction paragraph, the essay’s body, and a conclusion paragraph)

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Chapter 2 • Performance Management Process 39 Prerequisites Performance Planning Performance Execution 0-0-0-0-0 Performance Assessment Performance Review Performance Renewal & Recontracting FIGURE 2.1 Performance Management Process of clarity regarding where the organization wants to go, or if the relationship between the organization's mission and strategies and the unit's mission and strategies is not clear, there will be a lack of clarity regarding what each employee needs to do and achieve to help the organization get there. CASE STUDY 2-2 Disrupted Links in the Performance Management Process at "Omega, Inc." Omega, Inc., is a small manufacturing company whose sales Omega faces a challenging situation because it does not have success or failure rests in the hands of sales representatives control over the people working for the independent dealer- employed by franchised dealers operating independently . ships. It is the performance of these individuals that dictates 56 Part I. Strategic and General Considerations Omega's sales success. To make things more complicated, until discussions were not documented. This lack of feedback recently there was no clear understanding of the role of the continued, and although sales quotas were being met for the sales representatives and there were no formal sales processes first few months, franchise owners received complaints from in place. Sales representatives varied greatly in terms of their customers about the low quality of customer service they level of skill and knowledge; most put out little effort beyond were receiving. Subsequently, sales began to decline. taking orders, and they did not feel motivated to make addi- Furthermore, many orders were often incorrect, forcing tional sales. Finally, franchises varied greatly regarding their customers to return items to Omega management strategies and follow-up with Omega. While the new performance management process was Recently, understanding the need to improve the per- an improvement over no performance management (at least formance of sales representatives, Omega agreed to partially initially), the franchise owners were still far from having a fund and support a training program for them. The network of system that included a smooth transition between each of the franchise owners in turn agreed to work together to imple- components of the performance management process. Based ment a performance management system. As a first step in on Omega's situation, please answer the following questions. creating the performance management system, the franchise 1. Consider each of the links of the performance manage- owners conducted a job analysis of the role of the sale repre- ment process as shown in Figure 2.1: sentatives, wrote a job description, and distributed it to all sales representatives. The franchise owners also adopted a a. prerequisites performance planning franchise-wide mission statement based primarily on the need b. performance planning → performance execution to provide high-quality customer service. This mission state- c. performance execution - performance assessment ment was posted in all franchise offices, and each franchise d. performance assessment performance review owner spoke with his employees about the contribution made e. performance review → performance renewal and by individual sales on achieving their mission. As a second recontracting step, the managers set performance goals (i.e., sales quotas) f. performance renewal and recontracting → for each employee. Then, all sales representatives attended prerequisites extensive training sessions. The employees received feedback Discuss whether each of the links is present and in what based on their performance in the training course and then form, in the performance management system described. were reminded once again of their sales quotas. 2. Given your answers to question 1, what can be done to Back on the job, managers gave feedback to their fix each of the disrupted links in the process? employees regarding their standing in relation to their sales Source: This case study is loosely based on J. Swinney and B. Couch, Sales quotas. Since the employees had no way of monitoring their Performance Improvement Getting Results Through a Franchise Sales own progress toward their quotas, the performance feedback Organization. International Society for Performance Improvement Case consisted of little more than a reiteration of monthly sales Studies (2003). Available online at http://www.ispi.org/services/gotResults/ goals. There was no performance appraisal form in place, so 2003/GotResults_Swinney.pdf. Retrieval date: March 6, 2007.
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Running head: THE DISRUPTED LINKS IN THE PERFORMANCE MANAGEMENT AT
OMEGA

THE DISRUPTED LINKS IN THE PERFORMANCE MANAGEMENT AT OMEGA
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DISRUPTED LINKS IN PERFORMANCE MANAGEMENT SYSTEM AT OMEGA

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Disrupted Links in Performance Management System at Omega
Performance management system is integral to an organization (Buchner, 2007).However,
despite the effectiveness of these systems, a high percentage of this system fails to work
(McCunn, 1998).For a company to achieve the intended results, they have to know the...


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