Performance of the Employees

Assessment

Table of Contents
INTRODUCTION...........................................................................................................................1
Main Body ......................................................................................................................................1
CONCLUSION................................................................................................................................5
.........................................................................................................................................................5
REFFERENCES..............................................................................................................................6

INTRODUCTION
Performance of the employees should be measured within the organisation so as to
provide necessary training and motivation which assist them to work effectively. Measuring
employee performance is critical for monitoring the progress of the organisation. It results in
measuring the employees performance against their set goals so as to depict progress in the
performance (Austin, 2013). The chosen organisation for the project is Woolworth Group
Limited which is the largest company in Australia with extensive interest throughout the nation.
The project is based on different methods and levels for measuring employees performance. As it
is necessary for the organisation to measure the individual which automatically leads to analyse
the progress of the organisation. Moreover it assist the organisation in framing and developing
effective strategies to improve the performance and leads to the realisation of goals.
Main Body
Performance Management is considered as a set of activities which ensures that
organisational goals are met effectively and efficiently. It creates a harmonious work place
environment where individuals can perform to their best level so as to attain goals and
objectives. Therefore Performance Measurement is the process of collecting, analysing and
reporting information regarding the performance level of employees, teams and organisation. It
is the process of evaluating how well performance within the organisation are managed and how
they deliver value to the customer and the stakeholders (Bogetoft, 2013).
It is necessary for the organisation to understand different methods for measuring the
employees performance so that performance level of employees can be enhanced which leads to
increase in the profitability and productivity of the business. In order to measure the employees
performance there are different ways to evaluate the progress. These are described as follows-
Graphic Rating Scale- It consist of sequential numbers from 1 to 10 in order to rate
employees relative performance. Employees within the respective organisation are given
numbers on the basis of performance of job tasks as well as employees involvement in decision
making. It leads to effective measurement of employees progress towards attaining the
organisational goals and objectives. This method requires less time as numbers has to given
according to the employees performance.
1

360 degree feedback- This is an effective way of measuring employees performance. It
is concerned with taking feedback from number of employees, supervisor, subordinates so that
employees overall performance can be assessed within the respective organisation. It includes
co-workers, supervisors and subordinates in order to get feedback of employee so that certain
measures can be adopted to improve the overall performance of employees. It is a complete
analysis of the employee behaviour, performance which is monitored by its peers, supervisors
and managers (Johnson and Zinkhan, 2015).
Forced Ranking Method- This method of measuring employees performance is a way
of ranking employees performance by the direct supervisor of the respective organisation.
Manager makes the list of the employees from the best to worst employees, under this method
employees within the respective organisation are compared to each other and evaluated on their
performance. This ranking method is aimed at improving the performance of workforce within
the organisation. In this method when employees are ranked below their subordinate and peers it
creates a feeling to improve and enhance the performance level so as to receive better ranking in
the future time period.
Number of Sales made- In context to the retail organisation employees performance can
be measured against the number of sales made. This helps the manager within the respective
organisation to properly analyse the performance of its employees regarding their abilities in
enhancing the sales of the company. This helps the manager in enhancing continuous
improvement in their performance.
Checklist- It is a effective method and doesn't requires enough time by the managers of
the respective organisation to analyse the deficiencies in the performance area of the employee.
In this simply yes or no checklist assist the manager to effectively measure the performance of
employees. Apart from this it will analyse the need of training and other specific knowledge
which the employees need within the specific organisation to enhance their performance level
and assist the organisation in attaining goals in a positive manner. This is the most effective
performance measurement method which allows the managers to complete the checklist form in
a appropriate manner and provide feedback to the employees regarding their performance
(Kerzner, 2017).
Balance Score Card- It is a effective performance management tool which can be used
by the manger of Wools worth group to keep on track the execution of the activities by their
2

subordinates so as to control and monitor the consequences arising from the action. It is a
strategic planning and a management system which the respective organisation can communicate
the goals of the organisation and align day to day activities which the employees has to perform
as well as prioritize projects, products and services and measures the progress towards the
strategic targets.
Benchmarking- It is the way adopted by the business to measure the performance of the
company's products and services as compared to another business which is considered out to be
the best in the industry. Main purpose of benchmarking is to identify the internal opportunities
for enhancing the performance level. This assist the managers of the Wool Worth group to
enhance the performance of employees by providing them necessary trainings and effectively
survive in this competitive business environment.
Performance Appraisal- It is defined as the systematic process towards which
personality and performance of employee is assessed by the supervisor and mangers of the
respective organisation. It assist in providing necessary feedback to the employee which
enhances their performance level.
These are the effective methods of measuring the performance level of employees which
helps the managers to analyse the need for effective training sessions for the employees t9o
improve their performance. Enhancing the employees performance leads to attainment of
organisation goals in a effective and efficient manner. Moreover respective organisation can
ascertain some Key Performance Indicators which will help them to measure the employees
performance against the set standards and continually motivate them in order to enhance their
performance level. If the performance of the employees are not measured, it will make the
employees rigid towards their work and hence creates problem in attainment of organisational
goals.
Therefore from all the above method of measuring employees performance, Balance
Score card is the most effective method for measuring the performance as well as assist in the
implementation of strategies in a proper manner which automatically assist the business to
achieve goals within the definite time period (Landy Zedeck and Cleveland, 2017).
Importance of Measuring performance in the Organisation
For success and growth of business firms it become vital for the respective organisation
for measuring the performance of employees and assist them to attain the goals and objectives in
3

a positive manner. Certain benefits of measuring employees performance are discussed as
follows-
 In context to the specific retail company it aims at improving the efficiency of the
productivity level thereby improving performance of employees and helps in the
realisation of goals and objectives in a positive manner.
 Balance Score Card a performance measurement system helps in the alignment of the
strategic activities within the organisation so that work can be done properly.
 The most important purpose of measuring the performance not only leads to
improvement in the performance level but provides necessary feedback to the mangers to
understand the issue and implement the best practices, thereby improving overall
functioning of the business organisations and drives the success (Mone and London,
2018).
Apart from this in order to measure employees performance it is the duty of the managers
within the respective organisation to set some Key Performance indicators to measure the
employees performance against the set standards. Key Performance indicators is a measurable
value which determines hoe effectively company is achieving its key objectives. KPI for
respective retail organisation would be target based on sales as well as providing products
according to the requirements and the demands of the customer. This would assist the managers
to measure employees performance against the set performance indicators and assist them to take
effective decisions.
Components of Effective Performance Management System
There are effective components of Performance Management system such as-
 Performance Planning- It includes the objectives of effective employee goal setting
which assist them to work effectively.
 Ongoing Performance Communication- There should be ongoing Performance
communication between the employees and the subordinates so that goals can be
effectively realised (Zairi, 2012).
 Data Gathering- It leads to the collection of employees data performance and measuring
their level of performance.
 Performance Appraisal Meetings- Meetings are held regarding the performance appraisal
so that employee performance feedback can be effectively provided to subordinates.
4

 Last Step is concerned with Performance Diagnosis and providing coaching to the
employees to enhance their performance.
Performance Management Process
It is a systematic process of managing and monitoring the employees performance against
the set performance indicators. It results in -
 Defining the purpose clearly to the employee in order to make them work in teams and
assist to meet targets of organisation.
 Next step is concerned with performance planning in which indicators are set to measure
employees performance (Schläfke Silvi and Möller, 2012).
 Here the performance of the employees are assessed against their set targets
 Performance review is a platform where subordinates and supervisor of the respective
company provides feedback to the employee against their performance.
 Once the performance has been reviewed , it is continuous process goals and objectives
of organisation are aligned with department and individual goals.
CONCLUSION
From the above report it has been concluded that there are different methods and levels
for measuring the employees performance. Employees performance is measured against the set
standard goals, which assist the managers to analyse the need of training as well certain
knowledge should be provided to enhance their performance level. Therefore it is necessary for
the managers to have proper understanding regarding different methods and levels of measuring
employee performance as a way to implement the appropriate strategies in a correct manner.
REFFERENCES
Books and Journals
Austin, R.D., 2013. Measuring and managing performance in organizations. Addison-Wesley.
Bogetoft, P., 2013. Performance benchmarking: Measuring and managing performance.
Springer Science & Business Media.
5

Johnson, M. and Zinkhan, G.M., 2015. Defining and measuring company image. In Proceedings
of the 1990 Academy of Marketing Science (AMS) Annual Conference(pp. 346-350).
Springer, Cham.
Kerzner, H., 2017. Project management metrics, KPIs, and dashboards: a guide to measuring
and monitoring project performance. John Wiley & Sons.
Landy, F., Zedeck, S. and Cleveland, J., 2017. Performance measurement and theory.
Routledge.
Mone, E.M. and London, M., 2018. Employee engagement through effective performance
management: A practical guide for managers. Routledge.
Schläfke, M., Silvi, R. and Möller, K., 2012. A framework for business analytics in performance
management. International Journal of Productivity and Performance Management.
62(1), pp.110-122.
Zairi, M., 2012. Measuring performance for business results. Springer Science & Business
Media.
6