CERA Performance Measurement: Limitations, Strategy, and Solutions

This report provides an in-depth analysis of performance measurement within CERA (Civil Engineering & Research Associates), a portal for students, focusing on the limitations of its current individual performance measurement system. It identifies issues such as reliability, acceptability, and specificity in the existing framework, and explores the impact of these limitations on CERA's overall organizational strategy. The report then examines various performance measurement approaches, including comparative, attribute, behavioral, and result-based strategies, along with the use of a balanced scorecard, and recommends specific tools and techniques to overcome these challenges. Additionally, the report addresses the importance of effective performance feedback processes and legal considerations in performance assessments, providing a comprehensive overview of performance management in the context of CERA and offering practical recommendations for improvement. The report also discusses the minimization of appraisal politics and the importance of frequent feedback and clear communication. The report also covers the topic of managing compensation within the company.

Performance
Measurement in CERA

TABLE OF CONTENT
Option 3: Performance measurement option in CERA....................................................................3
INTRODUCTION...........................................................................................................................3
Limitations in CERA'S individual performance measurement..............................................4
Organizational strategy and recent developments..................................................................6
RECOMMENDATIONS ................................................................................................................7
CONCLUSION ...............................................................................................................................8
REFERENCES..............................................................................................................................10

Option 3: Performance measurement option in CERA
INTRODUCTION
In this report shows information and performance of CERA (Civil Engineering &
Research Associates) which is a portal for students created by the University. CERA's approach
has been to render high quality,timely planning,systematic structure and civil engineering
proposal and solutions for their customers. This consists limitations which are apparent in
CERA's individual performance measurement and fetching into account for its enterprise plan of
action and recent developments in HRM practice as reported in professional way. (Mouchamps,
2014). Performance management systems serve strategic,administrative and developmental
purposes. Alternative measurement approaches and indicate methods are recommended. The
limitations are evident in CERA's individual performance measurement, which taking into
account. It consists the performance management system which raise job performance that is
agreeable with the organizations strategy , goals and culture for example balanced scorecard. The
CERA's validity , reliability ,acceptability and specificity is define with the limitations and
strategy. This includes some approaches like comparative approach,attribute approach for
measuring the performance. A performance measurement approaches have different strengths
and weaknesses. Performance management system should be legally compliant. Sources of
performance measurements are Managers , peoples ,subordinates, clients etc .
Measuring and handling performance is challenging and one of the keys to gaining
competitive advantage. The performance measured by the teams in management are like senior
management which provides clear support, demonstrates links to organizational vision and
strategy. In performance measurements some rater errors are considered like contrast,
distributional errors , halo and horn errors. This report shows that reducing this kind of errors
using analyzing and try to make managers (Sarjana, 2015) awareness of rating errors and helps
them to develop strategies and limitations for minimizing those kind of errors. This report
includes performance appraisal politics which refers to elevators purposefully warp a rating to
achieve personal or company goals. Appraisal politics are likely to happen if top executives
digest deformation or are complacent towards it and if deformation strategies are part of
company folklore and are passed down from senior workers to new workers. This report include
the minimization of appraisal politics using train raters,developing a climate of

openness,recognizing workers accomplishments etc. The CERA contains characteristics of
effective performance feedback process like frequent feedback , feedback context , self ratings,
participation in sessions, recognize performance through praise,focusing on solving
problems,focus on feedback on behavior or results ,minimize criticism,managing marginal
performers and set goals and dates for review. This displays some legal issues for performance
assessments are like documentation for legal protection,poor performance by in action,
employers duty to the poor performer ,warning before judgment of dismissal,equal employment
opportunity and termination. This managing the compensation which is like pay structure,pay
level and job structure. In this theory for CERA, a person compares his/her ratio of perceived
outcomes like pay,benefits,working conditions etc to perceived inputs for example efforts,ability
and experience.
Limitations in CERA'S individual performance measurement
CERA encountered with various limitations with their present individual performance
measurement system. As it is one of the important task for any organization to effectively
measure the performance of each and every individual lies in an organization. Performance
management is important factor for the organization as it is considered as a process of analysing
collecting and reporting the information about the performance of an individual or group and
even the whole organization and their system and components.(Mouchamps, 2014)
The problem which now CERA is facing is huge as they are encounters with the various
limitations in their individual performance measurement system. The individual performance
measurement is important because of the lot of factor and it is the framework which connect the
organization with its objectives and goals. The individual performance measurement process is
the key to get to know about the employee engagement with the organizations activities, goals
and objectives. Usually the process of individual performance measurement process is carrying
out by complying it with the performance appraisal process which is generally looking out by the
managers and the employees. IN the area of accurately measuring the performance all type of
organization are facing ample of difficulties as they are not able to figure out the original source
from where they can measure the performance of their employees.(Sarjana, 2015)
Organizations such as CERA are using various performance measurement tools to
effectively get this task done. The basic limitations which face the CERA can be problem with
their loose controlling over the performance criteria set by them which can be:

Reliability, As the reliability is a basic criteria set by any organization for the purpose of
effective and efficient management of the performance management. AS the performance
measurement is constant and free from the error. The issue of problematic performance
measurement is arise when the organization is totally rely upon their performance management
tools and techniques and started loosing control over it. (Cera, Cera & Lito 2013)
Acceptability, The individual performance measurement process can only be considered
as fully successful at the time it is accepted by the each and every individual within the
organization. As it is meant to be for giving the satisfaction to each and every individual within
the organization.(Battisti & Deakins, 2015)
Specificity, The framework of performance measurement criteria is provide specific
details about the what are the expectations which an organization is expecting from their side and
in these case if they cannot meet with the expectation by the organization then it is very critical
and crucial for the organization to measure the individual performance and provide them
appraisal out of it (Zuo, Luo & Yao, 2016).
The balance score card is refer as the one of the best technique to managing the measurement of
the performance of individual in an organization. As balance score card is considered as the
traditional approach of measuring the organizational success, so that the vision and the mission
of the organization can be converted into the goals, targets and indicators. But there are some
limitations present in the balance score card in the measurement of the individual performance.
(Kornely, M., Menzler, Weber, & Ivers‐Tiffée, 2013).
 Balance score card approach is not including each and every stakeholder of the
organization where it is not prudent enough to measuring the individual performance
fairly
 The flaw of the process of the cause and effect relationship is very critical so sometime it
generate the false assumptions and incorrect information that can be resulted as the false
result for the indicators of the performance measurement (Ernst & Simon, 2013).
 The invalid and false assumptions can cause dysfunctional organizational behaviour with
adverse consequences on the performance of the organization
 Often organization is unable to understand that what exactly the Balance score card is and
how to implement in the present structure of the organization

 Because of the problem with the implementation process the strategy is became difficult
to achieve a balance between financial and non financial measures (Skreli, Imami,
Jámbor, Zvyagintsev & Cera, 2015).
 Balance score card is establish the relationship between casual chains and measures was
instantaneous obvious resulted the need for the strategy diminished drastically
 The Balance score card is not consider the competition and technological development
which implies the uncertain risks are involved with the process and the measurement
process cannot be considered as fully fault free (Zhang & Wang, 2016).
Organizational strategy and recent developments
CERA is facing various limitations in their individual performance management process
and here they required various tools and techniques to overcome from these adverse situation.
For making their performance management process more prudent they are come up with various
approaches:
Comparative approach- CERA can use the newly established and developed approach of the
performance measurement to improve their measuring performance system. Comparative
approach concerns with the ranking an individual employee compare to other in a group.
Individual employees will be ranked as per to highest and the lowest performer and based on the
result the measurement of the employee can be identifies. There are various techniques and tools
are available for a prudent comparative approach which are forced distribution technique,
graphic rating scale and paired comparison techniques (Qiao, Chen, Wen & Zhou, 2015).
The use of comparative approach will ensure CERA to finalize the reward for the top
performer and base on that top performer can be promoted on the higher post. At the other hand
poor performer will be get a chance for improvise themselves and contribute within the
organization. The ranking system in comparative approach is done on the basis categorization
rules not on the base on the performance. These approach can be a better option for CERA to get
over with the limitation of their individual measurement of performance (Beckman-Cross,
2016).
Attribute approach- In the attribute approach employees are rated on the basis of some
parameters such as problem solving skills, innovation, communication, teamwork, creativity,
judgement and so on. The technique which is adopted for the effective measurement of the
performance of employee is graphic rating scale which gives rating to the employee on the scale

of 1 to 5 and another technique is mixed rating scale which is more systematic way of
measurement (Salamin, Kuuranne, Saugy & Leuenberger, 2017).
Behavioural approach- This is also one of the developing technique which can be use by
CERA for the effective individual performance management process. The behavioural approach
is basically based upon the various vertical scales for different dimensions of the job. The
behaviourally anchored rating scale is the tool which can be use in these technique and consist
with the five to ten vertical scale. These scale is based upon the parameters which are decided
consensually from all the employees. The behavioural observation scale is also a new
behavioural approach with the more appropriate description along with the frequency to the
employee behaviour for an effective performance. The overall score which is consider a step
average for all these frequency. AS the limitation face by the CERA such as reliability and
accuracy related problem. In the behavioural approach managers tend to remember only those
behaviour which are very closely situated on the performance scale (sarjana & Khayati, 2016).
Result approach- The result approach is also considered as a one of the advanced
organizational strategy and technique to measuring the performance of employees on individual
basis. The CERA can use this approach as it is a straight forward and very simple approach
where organization can rate there employee with the result generate from the performance based
counting. As the already discussed Balance score card approach is also a result based approach
and these approach is basically lies on the various factors such as customer, financial,
operational, internal and growth. The another approach is productivity measurement and
evaluation system which is very efficient in motivating the employees for improving their
productivity and measuring the feedback which is generated out of it. These particular approach
is consist with the steps of identification of the objectives which an organization is willing to
achieve, the effectiveness of the objectives and the feedback get from the employees. So in these
order organization is in a position where they can calculate overall productivity of the
employees.(MERTENS, MERTENS & MARÉE, 2015)
There are various benefits which an organization can get out of using all these technique
and tools as it will provide a positivity among the employees and they will be motivated to
perform better to getting the reward (Tonelli, Evans & Cainarca, 2013).

RECOMMENDATIONS
It is required that company should make use of effective performance measurement tools
so that individual performance of employees should me measured. It will render an innovative
medium for identifying the flaws in the performances of staff members and on the basis of that
measures can be taken for enhancing the performance of the organization. It is critical that
different types of performance measurement tools should be used so that individual performance
of staff members can be assessed and evaluated. It is also required that performance
measurement tools should be chosen smartly so that required objectives could be achieved.
CERA can make use of taking expert advice so that different view points given by
experts should be identified and evaluated. It will also provide a medium for critically evaluating
the performance of the staff members and on the basis of that actions could be taken for
enhancing the performances. Outside consultancy firm can be hired so that they can be allotted
the work for carrying out the required objectives in effective way (Rosen, 2014).
 360 Review :- This is a vary innovative approach that could be used by company for
carry out the performance evaluation of staff members. In this staff members are
scrutinized by carrying out their 360 degree review. With this, there are various criteria
on which this measurement are performed and it comprised of work job behaviour,
planning and management achievement, attendance, on the job behaviour, risk
management, flexibility, collaboration and risk management. All the performance areas
are measured and on the basis of that overall review is carried out. In the same manner,
the review is done by various members including subordinates, colleagues, superiors and
other members (Spence and Hyams-Ssekasi, 2015).
 Management by objective :- this method can also be used and in this method strict
performance appraisal of the staff members is performed and on the basis of that their
performance is determined. With this, technical skills, interpersonal, communication,
productivity and various skills are measured and on the basis of that measures are taken
for taking actions for imparting necessary skills and capabilities to the staff members.
With this, specific objectives are set for every staff members and on the basis of that they
are guided for achieving their objectives. Goals are set and on the basis of that
encouragement and motivation is provided to employees so that they could make efforts
for achieving the targets that have been set by them.

CONCLUSION
From the above study it has been concluded that CERA company is facing issues due to
some limitations that they are facing for carrying out the performance appraisal of the staff
members. Major orientation of HRM for the company is comprise of Style, evidence based,
commitment to HRM, view of staff members, views of strategic HRM and approaches for
problem solving. People working at different levels should be provided with effective
performance measurement tools so that they can evaluated.
With this, leaders in the company are task focussed and wants to be convinced with the
evidences before they commit anything. Leaders are more relationship focussed and they give
more importance to understanding the importance of evidence based approach so that required
objectives could be accomplished. There are various performance measurement tools that could
be used by organizations for evaluating the job performance of the employees. More than that, it
is also required that these tools should be selected effectively so that they could be used
effectively and required objectives from them could be gained. Management by objective and
360 Review are two different methods that could be used by organizations for properly
evaluating the performance of their employees.

REFERENCES
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Online
UK has 500th Chartered Enterprise Risk Actuary, 2017 [Online]. Available Through
<http://www.theactuary.com/news/2016/07/uk-has-500th-chartered-enterprise-risk-
actuary/> [Accessed on 11 May 2017].
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