Case Study: Performance Management at Network Solutions Inc. Analysis

This case study report examines the performance management practices at Network Solutions Inc., a global leader in networking solutions. The report begins with an introduction outlining the company's performance-related issues, including inconsistent evaluation systems and lack of rewards. It then presents a company profile, detailing its business and challenges. The analysis section delves into macro- and micro-level problems, such as ineffective performance reviews and competitive pressures, and identifies the causes, including incompetent measurement systems. The report proposes alternatives like implementing a forced distribution system and a cross-divisional HR team. Recommendations include setting short-term performance goals and developing coaching skills for managers. The conclusion summarizes the shift to a forced performance management system to improve employee evaluation and performance, supported by HR and senior leadership. References to relevant academic sources are also included.

Title: Performance at
Network Management
Solutions, Inc
Name of the Student:
Student Number:

Table of Contents
Introduction:
Company Profile:
Analysis:
I. Problems
A. Macro
B. Micro
II. Causes
III. Alternatives:
IV. Recommendations
Conclusion:
References:

Introduction:
The presentation provides an overview of the performance
management of Network Solutions Inc. Performance
management represents a process of activities and output that
helps in meeting the organizational goals in an efficient and
effective manner (Yadav and Sagar 2013). In this case the
performance management revolves around the employee
performance.

….Continued
This presentation focuses on the performance of employee. The
presentation starts off with a description of the company profile
followed by analysis. The presentation also gives an insight to
certain necessary recommendations.

Company Profile
 Network Solutions Inc is a international leader in not only
software but also hardware and services which are necessary
for computer networking
 The organization faces immense performance related issues
where the employees are neither evaluated properly nor do
they receive any rewards for performance
 Rising competition enhance the cost of maintaining effective
human performance and also result in quality issues.

….Continued
 In 2001, Network Solutions implemented a forced distribution system
for the performance management that allowed a specific percentage
of employees to remain classified in varied categories
(Chattopadhyay 2019).
 Rating 1 would comprise of 20 percent of the topmost performers.
Rating 2 will be for the middle level performers that would comprise
70 percent of overall employees and Rating 3 will be allocated to the
bottom level performers.
 The company introduced a HR team operational at the global cross
divisional for effectively implementing the system.

Analysis: Problems at Macro Level
 Performance related issues were not properly reviewed. Most
employees did not have a review while lesser than 5 percent
of the employees got the lowest rating.
 No proper rewards for acknowledging higher achievers.

Analysis: Problems at Micro
Level
 Pressure from competitors raised expenses and led to
unproductive management of human performance.
 Lack of quality initiatives.

Analysis: Causes
 Incompetent systems of performance measurement systems within the
organization.
 Incapability in meeting organizational goals and maintaining a link with
individual goals of employees.
 Unsuccessful management of employee performance by proper human
resource team.

Analysis: Alternatives
 Implementing forced distribution system of performance management where
performance of employees were classified into ratings based on accurate specifications.
 Introduction of cross division team of human resource management on a global scale for
effective implementation of the system of performance management.
 Fulfillment of organizational goals through aligning the strategy of the organization with
the contribution of team and individual goal
 The new system focused towards raising the employee performance. It further involved
retaining a high performer and improvement of performance of low key performer.
 Ensured clarity in the expectations of performance of empoyees and whole hearted
support of the senior leaders .

Recommendations
 Setting performance management goals that have short term
objectives which will not only be challenging but meaningful.
 Educating management on adopting ways for providing feedback for
performance of employees in context of their work within the firm
 Necessity for developing coaching skills for the managers so that
their feedback is well accepted by employees thus leading to
performance. Improvement.

Conclusion
In conclusion it can be said that, previous experiences of Network
Solutions Inc in relation to performance management system has never
been successful so the company focused on implementing a forced
system of performance management to ensure that the employees are
evaluated and rated well and at the same time sent to performance
improvement programs for improving their performances. To implement
the process successfully the company also made sure that it had a cross
divisional HR team and support of the senior leaders.