1 MANAGEMENT Table of Contents Learning Instruction 1....................................................................................................2 Review of the Organizational Policies.......................................................................2 Performance Management Objectives.......................................................................2 Development of a Process..........................................................................................4 Role Play with CEO...................................................................................................5 Role Play with Line Manager....................................................................................6 Implementation Plan..................................................................................................7 Part B..........................................................................................................................8 Learner Assignment 2....................................................................................................8 Objectives for Training Plan......................................................................................8 Features of Performance Management Processes....................................................10 Part B........................................................................................................................11 Part C........................................................................................................................12 Learner Assignment 3..................................................................................................13 Analysis of Initial Training Outcomes.....................................................................13 Renegotiation Role play...............................................................................................15 Modified Service Agreement.......................................................................................16 Bibliography.................................................................................................................17
2 MANAGEMENT Learning Instruction 1 Review of the Organizational Policies The business of Australian Hardware is considered for the assessment and the business is engaged in providing different home solutions to the customers and thereby expands the operational process of the business. The review of the organizational policies reveals that the senior management plans to expand the operations of the business and thereby generate more revenue for the business. The strategic plans which are formulated by the business is for a long term period and the same is prepared so that the business is able to achieve the long term goals. The strategic plans are formulated considering long term performance requirements and set targets which the business needs to follow in order to achieve the goals and objectives of the business. On the other hand, operational plans are set by the management of the company to handle day to day operations of the business and ensure that the business is moving in the rightdirectionconsideringthelongtermgoalsandobjectivesofthebusiness.The management of the company wants to expand the operations of the business and therefore requires the business to earn more profits from the operational process of the business. The business also plans to maintain quality of the services and products which is offered for better transparency in the level of services. Performance Management Objectives The performance management objectives are set by the business considering the nature of operations and long terms goals which the business wishes to achieve in near future.
3 MANAGEMENT The three performance management objectives which would be closely related to the activities of the business are listed below in table form: Performance Management objectives The management needs to focus on enhancing the sales of the business by at least 20% so that appropriate revenue can be generated and more profits can be earned by the business. The services and goods which are provided by the business needs to be of appropriate quality so as to ensure that more demandiscreatedinthemarketandmorecustomersare attracted to the operations of the business. In addition to this, the business should also aim to satisfy the customers. One of the key development plans which the management of Australian Hardware should be aiming is to achieve growth in the operations of the business and establish a reputation for the business in the market. Actions ActionResourcesStrategy and TacticsTimeliness
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4 MANAGEMENT Increaseinthe salesofthe Businessand Enhancementof Profits Applicationof Promotion Mix anddesigning of better quality of houses Effective marketing and promotionofthe businessandemphasis onmaintainingquality of the products which is offered 1 month Improvementin theQualityof productsand servicesand enhancing customer satisfaction Skilled employees, mechanical machineries andother necessary hardware tools Conductingregular trainingsessionsfor improvementinthe skills of the employees 1 month Enhancingthe Scaleof Operationsand achieving growthinthe Operations Accessof Properfunds andresources and availability offSkilled Labour force Effectiveuseof ResourcesandOther sustainability practices 1 year Development of a Process The management of the company needs to develop a process which can allow the business to operate with a sense of purpose and strive towards the goals and objectives which are established. One of the practices which can be adopted by the business is budgeting
5 MANAGEMENT practices which would allow the business to set targets considering the long term goals of the business and also review the performance of the business at regular intervals so that the business is working in the right area. The budgeting practices would allow the management to properly set targets in financial terms and help the business to focus on financial targets and achieve the same as well. In addition to this, one other approach which can be adopted by the business is balanced scorecard approach which allows the business to set CSFs and KPIs for the business on the basis of which the performance is appraised. The performance can be appropriately optimized by following the strategies above discussed. Role Play with CEO You: Good Morning sir, I had a meeting schedule with you sir today. CEO: Good Morning. Yes, please come in have a seat.So tell me what you wanted to discuss? You: Yes, I wanted to discuss on the processes which is being followed for setting the KPIs for the business. CEO: So I take it you have formulated a line of action for implementing the KPIs and also for setting them. You: Yes sir, I would like your opinion on the same. I am planning to implement flexible budgetsasthesamewouldhelpinsettingfinancialtargetsandassistinmeasuring performance on a weekly basis. Further flexible budget is the choice as changes can be made to the same as and when trends and market factors changes. CEO: I would agree with you on that flexible budget is indeed a good option for setting financial targets and they can be monitored easily as well. However, what about other KPIs,
6 MANAGEMENT we can’t have focus on restricted to financial performance. Some of the qualitative factors are also important. You: Yes sir, I would agree and therefore balanced scorecard approach is suggested which would measure four different perspective and can be used for long term planning operations in a successful manner. CEO: I think it’s worth a go but you would be requiring permission from CEO as well as other managers. However I would require regular updates on implementation of the same and possible KPIs which would be identified by such processes. Role Play with Line Manager Line Manager: Hello, you wanted to discuss something with me? You: Yes, I wanted to discuss on the processes which is being followed for setting the KPIs for the business. Line Manager: Yes go ahead. You: I am planning to use flexible budgeting techniques for setting the financial targets such as the percentage of profits which the business intends to generate in the coming period. In terms of qualitative measures, balanced scorecard would be an appropriate tool for setting the targets. Line Manager: Yes, good idea budgets can be used but I am not very sure of balanced scorecard. The tool needs to be perfect for our nature of business or the KPIs would not be appropriate. You: But sir, it would help us to focus on the four different perspectives and as per the strategic targets set, some of the aspects can be covered with the use of balanced scorecard. In
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7 MANAGEMENT addition to this, the tool is quite effective for long term planning and proper strategic management. Line Manager: I think it’s worth a go but you would be requiring permission from CEO as well as other managers. I am convinced that the process would work. Implementation Plan ActionResourcesStrategy and TacticsTimeliness Settingupthe budgeting targets considering previousyear’s performance Previousyear trendsand results Seating of percentage of sales and profits which needs to be achieved. 1 month Segregationof Targetsto different teams Targetplans, Milestones The targets is to be set bythesenior managementandthe same needs to be as per current market trends 2 weeks Settingup Balanced Scorecard Accessof Properfunds and resources ProperPlanningis required for formulation of strategic plans 3 weeks
8 MANAGEMENT Part B The goals which are set by the business mainly focuses on enhancing the financial gains for the business and thereby also improve the performance of the business in other areas as well. In order to properly plan the activities, I would be referring to past years results to get a better idea of the performance trends. The activities of performance managementis also undertaken for the business for ensuring that proper strategic management practices are implemented in the organization. In my opinion that characteristics of a learning organization is to continuously improve the business process an strive for more development. The planning process which is undertaken by the business would be aiming to achieve the same fit so that a certain level of efficiency is maintained in the operational process of the business. The management of the company also needs to focus on developing an appropriate Human resource policy so that sustainability is maintained and the business is able to retain the top employees of the business. I would be focusing on all aspects such as grievances policies, anti-discrimination practices, equal opportunities so that the employees are satisfied with the process and are motivated to outperform themselves for better results for the business. Learner Assignment 2 Objectives for Training Plan ActionResourcesStrategy and TacticsTimeliness
9 MANAGEMENT Trainingfor better Applicationof Marketing Mix Physical resourcesas wellas financial resourcesfor the business. Properapplicationof marketingtechniques suchasuseofsocial mediaandtelevision publicity 1 week Developmentof Social skills for Managers so that online media can beusedfor ascertainingthe satisfactionof the customers. Online websites, intellectual properties. The managers would be respondingtothe customersandreview theirfeedbacksfor ensuringthatsuccess can be achieved in the business. 2 weeks Developmentof Knowledgeof Strategic management skillsand criticalthinking process Physical as well financial resources of the business. Promotion of Innovative designingand differentiatingthe productswhichis offered by the business. 1 month.
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10 MANAGEMENT Features of Performance Management Processes The performance management plan which is formulated aims to ensure that proper quality of goods and services are provided to the customers and proper brand name can be created in the market. The features are discussed below in details: ï‚·Regular Monitoring of Performance: The business needs to regularly monitor the performance of the employees and ensure that a level of productivity is maintained. Efficiency from the employees is an absolute necessity. The managers needs to take sessions and meetings at least once a week so as to ensure that everything is working as per plans. ï‚·Identification of Performance Gaps: The performance gaps which take place needs to be identified and investigated so that probable cause for the performance gap can be identified and necessary steps can be taken for maintaining efficiency in the operational process of the business. The performance gaps can help the business to make improvements and thereby improve the overall of services of the business. ï‚·ProvidingFeedback:Thefeedbackwhichwouldbeprovidedbythesenior management would be based on the review of performance and it can take place after a week from the implementation of the business plan.The feedback which is provided by the management can be implemented and the performance gap can be avoided in the next performance report. ï‚·Managing Talents: One other important part which the senior management would be playing is to appropriately manage the talents of the business. The business needs to retain the employees who have appropriate skills and ensure that the employees are satisfied with the operations and policies of the business.
11 MANAGEMENT The feedback process needs to be handled in a professional manner by the management and they must ensure that clear message has been communicated to the department or the concerned employees. For example, feedback can be provided through mails or even through face to face meeting. However, the latter is considered to be more effective and therefore the same needs to be followed. The business can use presentation style or even prepare data sheets for showing evidences for providing better analysis of the performance gap and for better understanding of the department or the employee. The business follows an appropriate record keeping system so that every aspect of the operations is documented for future references. The business follows a record keeping process which is consistent with the activities of the business. Training Plan The business tends to follow a proper training plan for the employees so that efficiency and effectiveness can be maintained in the operational process of the business. The management needs to properly monitor the activities of the business and ensure that proper efficiency is maintained in the operational process of the business. The training programs should aims to develop the skills of the employees and should also focus on ensuring that the features which are set out are followed by the business. Part B Hi Audrey, I appreciate that you have brought the issue to my notice and I also can see that you have tried your best so that the employee can improve his performance and discipline. I would request you to give another chance to the employee so that his attitude towards work can improve as the employee does have potential. I would be suggesting some measures which you can implement so that proper development can be done for the employee.
12 MANAGEMENT ï‚·I would suggest that a positive way of thinking is necessary and therefore you need to demonstrate that you still got confidence in him and you are giving him a chance for improvement ï‚·In addition to this proper framework needs to be formulated which would assist you to manage his discipline and also help in improving his performance standards ï‚·I would suggest that you regularly monitor the performance of the employee through an evaluation tool and you also can report to me if no changes take place. I would also be taking a session with the employee. ï‚·In case a proper training is required we can sent his for retraining under the new training plan which would surely help. ï‚·In case no improvement is seen then we can move to termination considering the approval of the operational manager ofcourse but proper chance needs to be provided. These measures need to be followed for professional development of the concerned employee and if any problem arises you can consult me always. Regards, HR Manager. Part C I would say that my performance is appropriate considering the level of authority I have in the business but there are still scopes for making more improvement in the operational process of the business. I have built a strong rapport with the employees and gain their trusts so that any issues which they are facing can be reported to me for solving. I have also contributed to the decision making process of the business and helped to change out certain procedures which would further settle me in this position.
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13 MANAGEMENT The performance management process is very effective and well thought out which gives little scope for loopholes. The employee development process is also appropriate and I think the company gives ample opportunities to underperforming employees to hone their skills and ensure improvement in overall performance of the business. The managers are also finding the process quite efficient as some of the work load can be released and the same would also help in decision making process as well. Learner Assignment 3 Analysis of Initial Training Outcomes The initial training plan results reveals that the company has not been consistent with the targets set and therefore counter measures are required to manage the situation. The third party who was assigned for training the employee has not been able to meet the targets set or training the employees. The initial target was set at 4000 employees and only 367 employees have been trained. In addition to this, the employees who have been trained have not fully associated themselves with the advanced model of sale offered. This would impact the operations and hamper the productivity of the business in a bad manner. The revenue which is generated from the employees has also not met the target which was established by the business and this shows that the training program lacked appropriate training schedules. The customers are also not satisfied with the kind of services which is provided by the majority of the employees of the business. In an overall estimation, it can be said that the training program has not been successful for the business. Training Strategy and Schedule Training objectives Provide proper training in the new sales model to the employees with emphasis on meeting sustainability requirements
14 MANAGEMENT The employee needs to be efficient and proper understanding of the work process needs to be implemented in the employees. Actions TimeframeActivity: (training/assessment , coaching or other support, monitoring) Teachingor assessmentstrategy orapproachto achievetraining objectives Resources: Trainer (number 1–30) Managers 2 weekNewSalesmodel trainingforthe employees Presentationformof Training which would enhance the efficiency of the training Trainer 2 weeksCommunication techniqueswiththe Customers VocationalTraining andProperuseof Polite Language Communication Trainer. 3 weeksSustainability Practice training Effectiveuseof ResourcesandOther sustainability practices Managerand Trainer
15 MANAGEMENT 1 monthProcesstrainingand handling of Resources ProcessTrainingand appropriate application of resources Process Trainer 1 weekMonitoringthe training process Proper supervision and trainingprogramfor the employees Manager Renegotiation Role play HRM Executive: Hello, please take a seat. I am happy you could make it early. Training Supplier: Hello, yess I was also hoping to wrap up the meeting early so that I can attend other appointment HRM Executive:I wanted to discuss regarding the previous contract on which certain changes have been brought about. I would be renegotiating the targets and some of the conditions that we have regarding the training program which is formulated. Training Supplier: I was displeased with the penalty which you discussed in previous meeting. We are meeting the targets and yet a penalty is imposed. HRM Executive:The penalty is imposed as some of the employees are not trained properly and this hampers our own productivity and therefore a 5% penalty was imposed. However, today I called this meeting so that I can acquire your full commitment in the training program.Weareofferingadditionalbonuspaymentof$200,000uponsuccessful implementationofyoursignificantimprovementsandproperdevelopmentofHuman resources.
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16 MANAGEMENT Training Supplier: I am interested with the bonus plan but what additional targets is required? HRM Executive:The target remains same as you need to train4,000 employees andactual on-the-job demonstration of relevant skills as part of training assessment for all employees. Further we will be requiring progress report from you on regular basis. Training Supplier: Ok I am fine with that but I need a better pay from the next batch as this is an ongoing process. HRM Executive:We will negotiate later depending on your training performance for this batch. Ok I think we have reached an agreement and I will let you know the dates for training by next week. Modified Service Agreement The modified agreement would be including the renegotiated plan for the business and therefore ensure that proper training program is undertaken by the employees so that they can be trained and effectively made into assets of the organization.
17 MANAGEMENT Bibliography Adams, C.A., 2013. Sustainability reporting and performance management in universities: Challenges and benefits.Sustainability Accounting, Management and Policy Journal,4(3), pp.384-392. Bianchi, C., 2016.Dynamic performance management(Vol. 1). Berlin: Springer. Decramer,A.,Smolders,C.andVanderstraeten,A.,2013.Employeeperformance management culture and system features in higher education: relationship with employee performancemanagementsatisfaction.TheInternationalJournalofHumanResource Management,24(2), pp.352-371. Mone, E.M., London, M. and Mone, E.M., 2018.Employee engagement through effective performance management: A practical guide for managers. Routledge.