Performance Management Process
Performance management is considered to be a continuous process that entails evaluating past performance, learning from it and identifying what can be done to enhance operation efficiency as well as add value for shareholders money. It is a process of planning, monitoring, and evaluating employee performance concerning his contribution to the organization to realize organization success (Robbins & Judge, 2013). An effective performance management strategy should mainly revolve around matters of accountability and directness. There are many elements to consider when to develop a robust performance management plan (Adler, 2011). Lumenpulse has gone a long way to establishing several mechanisms to boost performance culture. At the same time, they can link employee's goals and objectives and mapping with that of the organization to outdo rival companies and reach success.
The company's performance management process entails planning overall work roles and developing standards to be achieved. With the adequate provision of resources and experienced workforce, the responsible managers are required to plan efficiently, allocate, and coordinate resources and work responsibilities with the aim of achieving a common purpose (Cummings & Worley, 2014). Another aspect of the process includes monitoring daily operations. The secret to a high performing workforce to consistently analyze and review individual job tasks. Through constant monitoring and tracking, the company's management are made aware of employee's progress on tasks at the same time; they are likely to chip in and provide assistance and coaching where targets may deviate (Adler, 2011).
An effective appraisal structure is also essential. An assessment structure is a critical element that is used to motivate and nurture employee's growth and development (Cummings & Worley, 2014). An efficient appraisal structure should enable to provide constructive feedback regarding what the employee has been taught and what is yet to be learned. Performance appraisal provides an avenue to create an effective program to develop and improve employee skills and knowledge as well as talents and as a result minimize on skill gap that may be present and boost overall performance (McShane & Von Glinow, 2015). A sound reward system also sums up the performance management process. The company hugely invests in an efficient compensation structure that certifies retention of the high talented workforce as well as meeting organizational expectation and growth. It is important to note that employees ought to know that performance that supersedes expectation is entitled to handsome reward so as to steer good performance (Robbins & Judge, 2013).
Job Analysis
Job analysis entails collecting and evaluating employee roles and responsibilities and then providing feedback on the same. In most cases, supervisors tend to track employee tasks and time spent to complete a task, observe employees as they undertake their duties, interact with staff to assess their efficiency, and give comparisons to other duties in the same functional unit (Adler, 2011). The main aim of conducting job analysis is to evaluate the relevant skills and capabilities and knowledge to perform a particular task, understand the core functions of a job, track percentage time spent to complete a task, and evaluate the conditions in which work is performed and completed (Robbins & Judge, 2013). Lumenpulse conducts job analysis by supervising daily operations. The company's organization culture provides room for supervisors and managers to interact with their employees as they perform their duties. In this way, they can question employees about their job roles and tasks to gauge their level of job satisfaction and attitudes towards work. This offers employees with a great sense of belonging and will undoubtedly increase morale and drive their efforts and energy to enhance efficiency and realize organizational goals (Cummings & Worley, 2014).
Examination of Skills Gap Analysis and Performance Evaluation
The most important function of any HR department team is to acquire the right caliber of the workforce to get work done to achieve company goals (Robbins & Judge, 2013). The skill gap is a critical subject in the organizations. An analysis of the skills gap is, therefore, necessary to help get a real picture of the company’s present situation and the need for change which can undergo evaluation upon implementation of the proposed changes.
It is noted that the HR team is responsible for identifying and listing functions, roles, tasks, responsibilities, and experience needed while ensuring that they are linked to the organization's missions and goals (McShane & Von Glinow, 2015). A useful skill gap analysis development is the company’s initial stage is to identify the necessary loopholes or the struggles of the business and thus match the struggles with possible skills that are needed for the organization. In Lumenpulse, the company has been struggling with issues that are related to operational costs. Operational costs, as is well apparent in the manufacturing world affect the running of processes in organizations. The outcome of high operational costs is in the sense that the expenses of production would be manifested in the final product where consumers will, for instance, have to incur in some way when talking about the price of the final product. That said, the company risks losing out to competitors who are somewhat cheaper in their pricing strategies.
The company has also had the gap of labor acquisition procedures which would mean that the right people in the enterprise may not be available indicating a limitation in the operations of the company. It is essential to note that the other gap that existed in the company as related to repairs and maintenance. The outcome of having a task force that has a limitation in such a fundamental area of production means that costs would be incurred on outsourcing of such like repairs and maintenance services. The other gap that existed in the company was in the field of research and development in as far as innovation was concerned. Innovations are a clear picture of whether a company is headed in the right direction or not. The right innovation is a plus in this case; otherwise, the company would plunge into losses in the event of innovation that goes wrongs & Judge, 2013). For the enterprise to deal with the above-noted issues change ought to be imminent and in saying so, organizational change management is addressed.
Lumenpulse resorted to dealing with the issue of high operational costs by the incorporation of technology in its processes by the adoption and implementation of an ICT structure. Organizational culture change can address the overall struggles in the skills mentioned above. Retrenchment is one of the changes that would have to take effect to cut further down on costs given the incorporations of an ICT structure. Organizational culture change has been attributed to addressing the gaps that exist in the personnel and retrenchment is one issue that would require a sound corporate culture. When mentioning the element of the corporate cultural shift, much reference is accorded to the adoption and implementation of the ICT project that is aimed at touching the items of the gaps noted above. It is interesting that need for collaboration between the various capacities in the organization can do good for the company given that the levels of commitment would be quite evident in the enterprise (Cummings & Worley, 2014). When talking of collaboration, insight on the various departments that would be part of the ICT project is critical.
The next step that follows after identification of the skills gap and noting their possible remedies, it is the evaluation of the results through benchmarking actual and set standard performance. This can be enhanced by giving comparisons between employee skills and the skills requirement (McShane & Von Glinow, 2015). Where performance does not conform the organizational objectives, corrective action is taken through either facilitating more training or development program as a way to enhance personal and professional growth leading to improved performance (Robbins & Judge, 2013).
Performance evaluation is an essential element for any organization as it aids to assess employee efficiency and the developmental process of the said employee. Performance evaluation is meant to be rational and well-adjusted assessment exercise of employee’s performance (Adler, 2011). For the Lumenpulse case, evaluation or rather follow up was to be conducted by the HR functionality. The HR team would be in a position to gauge the progress of any given implementation that served to transform future operations in the company. The ICT structure, a component of the broader technology change is aimed at improving the functioning of the business and so an assessment by the HR functionality, concerning the changes in the costs will give a blueprint on the evaluation of the company's address to its skills gap. A program that would facilitate the determination of the success or the failure of the technology remedy to solve the operational costs struggle would be in order. The expenses of the new project should be maintained at a level where it is deemed to be reasonable and that the program implementation should be portraying a shift towards the better.
Assessing Counseling for Exceptional or Negative Performance
The aim of a counseling program is to enable improve on performance. Relatively, it is a communication tool that seeks to address unsatisfactory performance and establish possible answers to the problem. An effective counseling program will contribute to enriched employee performance (McShane & Von Glinow, 2015). Lumenpulse management is highly involved in producing desirable performance and is also keen to take action when problems first arise. The company can resort to provide performance improvement programs in its counseling sessions. In the sessions, systems thinking approach for the employees to for instance understand the need for retrenchment of some of the employees as well as to reduce the impact of the said employee number reduction. Likewise, an empowerment program for counseling can also be provided for employees with exceptional performance as a way of facilitating recognition and acknowledgment for a job well done and also for providing some form of empowerment to help transform negative behavior.
Conclusion
An effective performance management policy is essential for any organization as it seeks to build an engaged, proficient, and balanced workforce for long-term business success (Robbins & Judge, 2013). Performance management is much critical in the event of corporate changes like the changes that occurred in Lumenpulse. Failure to establish one, businesses risks losing a lot in terms of time, cost, employee turnover, and competitive advantage.
References
Adler, R. W. (2011). Performance management and organizational strategy: How to design systems that meet the needs of confrontation strategy firms. The British Accounting Review, 43(4), 251-263.
Cummings, T. G., & Worley, C. G. (2014). Organization development and change. Cengage learning.
Lumenpulse, (n.d). Retrieved 26/08/2016 from http://www.lumenpulse.com/en/pages/company/about-us
McShane, S. L., & Von Glinow, M. A. (2015). Organizational Behavior 7/e.
Robbins, S. P. & Judge, T. A. (2013). Organizational Behavior (15th Edition). Upper Saddle River, NJ: Prentice Hall.
