Performance Management System Implementation

This assignment details the implementation of a Performance Management System (PMS) within a company. It includes a breakdown of potential limitations such as time constraints and funding requirements, along with a commitment to ethical practices like proper referencing and data protection. The document proposes an action plan with specific dates for gathering employee and manager feedback, summarizing recommendations, deciding on PMS implementation steps, providing final recommendations, conducting performance management training, and briefing workers on the new system by consultants and experts.

PROPOSAL
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Table of Contents
INTRODUCTION................................................................................................................................3
1.1 Background of the study............................................................................................................3
1.2 Rationale....................................................................................................................................3
1.3 Research aims and objectives....................................................................................................3
1.4 Research Questions....................................................................................................................3
LITERATURE REVIEW.....................................................................................................................4
2.1 Role of employees in performance management.......................................................................4
2.2 Impact of effective reward mechanism in enhancing employees’ performance........................4
2.3 Analyse the effect of motivational models.................................................................................4
2.4 Impact of training and development on staff productivity.........................................................5
RESEARCH METHODOLOGY.........................................................................................................5
ACTION PLAN....................................................................................................................................6
REFERENCES.....................................................................................................................................7
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INTRODUCTION
Title: “To analyze the effectiveness of performance management system on staff productivity, A
case study of Welsh Utility Regulator (WUV)
1.1 Background of the study
Performance Management System (PMS) refers to the process of managing and regulating
employee’s performance in order to attain targeted corporate goals. Welsh Utility Regulator (WUR)
is a public body founded in the year 2004 and responsible to regulate the utility sector in Wales.
Currently, lack of targets, ineffective management practices, falling staff performance raise concern
to employ various actions & policies to exceed their targets and meet goals. SCG (Success
Consultancy Group (SCG) is one of the leading consultancy firm that provides excellent
consultancy services to the global companies like Bloomberg, Deloitte & Allianz. Thus, the present
research aims at devising the best PMS plan for maximizing WUR’s employee’s performance,
which in turn, it can meet or exceed their defined goals successfully.
1.2 Rationale
WUR is facing issues in the recent period due to declining staff performance and non-
accomplishing their created goals and objectives. It is an area of concern for the organization,
henceforth; this is the only reason behind conducting this investigation to devise a new PMS and its
implementation effectively to set organizational targets.
1.3 Research aims and objectives
Aim: To analyze the effectiveness of performance management system on staff productivity: A case
study of Welsh Utility Regulator (WUV)
RO: 1. To analyze the role of employees in performance management process
RO: 2. To investigate current on-site and off-site PMS, appraisal process & competency framework
of WUV
RO: 3. To evaluate the effectiveness of training & development on employees performance in
WUV
RO: 4. To devise a new plan of performance management system for WUV to attain desired goals
1.4 Research Questions
RQ: 1. What is the role of employees in the procedures of performance management in an
organization?
RQ: 2. What are the current practices and appraisal process used by WUV to manage workers
performance?
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RQ: 3. How training and development sessions plays a vital role in maximizing staff productivity?
RQ: 4. How a new PMS plan can be devised for WUV to attain set organizational targets & goals?
LITERATURE REVIEW
2.1 Role of employees in performance management
As per the views of Nimmo and Clapham (2016), worker plays an essential role in the
process of performance management, because they are the ones who are responsible to give superb
quality services to the consumers. Therefore, their enthusiasm, creativity, sincerity, hard work,
dedication leads to increase performance or vice-versa.
2.2 Impact of effective reward mechanism in enhancing employees’ performance
In the light of the findings of Nachiappan, Anantharaman and Muthukumar (2016), it has
been stated that rewarding workers on the basis of their efforts or contribution made is important to
encourage and promote workers. Companies can reward their personnel through high salary, better
appraisal, bonuses, commission, incentives & others monetary benefits called financial reward.
However, Blechert and et.al. (2016), commented that monetary reward has several downfall side as
it increase business cost and result in lower yield, hence, targeted yield cannot be achieved. Thus,
they presented non-monetary reward mechanism as more effective tool, in which, firms can render
benefits to their workers through sense of accomplishment, more responsibilities, better working
conditions & others.
2.3 Analyse the effect of motivational models
In the current times, Healy (2016), presented that the problem of high staff turnover raise
concern for the corporations HR to focus their staff motivation. Here, Maslow’s hierarchy is
considered as the best motivational models that is available to the businesses to encourage &
promote their personnel through satisfying their needs and wants in an order, physiological, safety,
belongingness, esteem & self-actualization.
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(Source: Healy, 2016)
However, on the other hand, Yamuna and Devi (2016), criticized the theory on the basis that
it does not take into consideration individual differences. Moreover, the study also argued that the
model has been created after studying a narrow segment of the population, hence, cannot be
considered as a universal model. The study presented Herzberg motivational theory that classify the
factors into two, hygiene factors & non-hygiene factors. First includes both the intrinsic & extrinsic
motivational factors like healthier relationship, better recognition, challenging work whereas later
comprises status, high salary & other fringe benefits that raise up the workers motivational level
results in high productivity. However, non-hygiene factors leads to cause dissatisfaction among
workers like poor relationship, ineffective working condition, strict HR policies & others.
2.4 Impact of training and development on staff productivity
As per the views of Bell and et.al., (2017), T&D provides a valuable insight to the workers
about their work responsibilities so that people can perform better with better competency and level
o knowledge. The process is really helpful for the company to maximize their people talent,
intellect, capabilities and competencies, which in turn, they can give their best to meet targets.
RESEARCH METHODOLOGY
Research method: This investigation will be carried out following qualitative research, in
which, various concepts and performance management techniques like training & development,
motivation, reward mechanism and others will be evaluated to investigate its effect on staff
productivity (Silverman, 2016).
Data collection: Data will be gathered using primary technique to get first hand information
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through focus group survey from the WUV’s employees and managers. For the same, a
representative sample of 10 managers will be chosen as per purposive sampling method (Leary,
2016).
Data analysis: For the analysis of obtained information, graphical presentation and thematic
approach of evaluation will be used to present the findings in a coherent and logical manner.
Limitations: The most important limitation of the study will be that data obtaining process
will take lot of time to prepare questionnaire and gathering information from the selected participant
(Karlsson, 2016). Along with time-constraints, excessive funding also will be the limitation of the
current investigation.
Ethical implication: In order to maintain ethics, all the sources will be given credit through
following Harvard style of referencing so as to overcome any possibility of use of copy pasted data.
Moreover, data protection act will be followed throughout the study to secure and prohibit from its
unauthorised use.
ACTION PLAN
10th November 2016 On site information gathering from employees &
line managers
13th November 2016 Summary & Recommendation to CAD
Two days Deciding steps for the implementation of
proposed PMS
20th November 2016 Final recommendation
21st November 2016 On site performance management training for
the line managers
22nd Nov.2016 On site briefing for the workers by 2 SCG
consultants & experts
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REFERENCES
Books and Journals
Bell, B.S. and et.al., 2017. 100 Years of Training and Development Research: What We Know and
Where We Should Go. The Journal of applied psychology. 12(3). pp.18-26.
Blechert, J. and et.al., 2016. To eat or not to eat: Effects of food availability on reward system
activity during food picture viewing. Appetite. 99(12). pp.254-261.
Healy, K., 2016. A Theory of Human Motivation by Abraham H. Maslow–reflection. The British
Journal of Psychiatry. 208(4). pp.313-313.
Karlsson, C. ed., 2016. Research Methods for Operations Management. Routledge.
Leary, M.R., 2016. Introduction to behavioral research methods. Pearson.
Nachiappan, R.M., Anantharaman, N. and Muthukumar, N., 2016. Design of a New Reward System
in a Continuous Line Manufacturing Industry. IUP Journal of Operations Management.
15(2). pp.7-15.
Nimmo, G.R. and Clapham, M.C., 2016. Staff Training and Development. InHandbook of Intensive
care: Organization and Management. 10(2). pp.87-105.
Silverman, M., 2016. Qualitative research. Sage.
Yamuna, G. and Devi, R.J., 2016. Motivation Theories Applied for Increasing Employee
Performance at Work Place-Case study Review. Imperial Journal of Interdisciplinary
Research, 2(11).
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