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HR DEPARTMENTS IMPLEMENT ETHICAL POLICIES IN AN ORGANIZATION. APPLYING CRITICAL EVALUATION TO AN HR MANAGER'S ROLE IN THIS PROCESS Module Code: Module Title: Performance Management Exam No: 10002283 Student No: 26691639 Exam date: 1
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Table of Contents Part A ....................................................................................................................................................... 3 EVALUATION OF STRATEGIC RECOMMENDATIONS ................................................................................ 3 Easily distracted .................................................................................................................................. 3 Lack of communication ....................................................................................................................... 5 Quality of work ................................................................................................................................... 6 Part B ....................................................................................................................................................... 7 STRATEGIC PERFORMANCE MANAGEMENT ........................................................................................... 7 Performance Management ................................................................................................................. 7 Theories of performance management .................................................................................................. 8 Stakeholder Engagement ...................................................................................................................... 10 The Role of Human Resource Management (HRM) .............................................................................. 11 References ............................................................................................................................................. 13 Appendix ............................................................................................................................................... 19 3
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Part A EVALUATION OF STRATEGIC RECOMMENDATIONS For the purpose of this section, areas of strategic recommendations such as lack of communication, being easily distracted and low quality of work will be critically evaluated and justified. The rationale for the selection is as a result of the fact that Mr. Steve got the lowest performance score in these areas of performance. Easily distracted Performance management is the organisation of work to achieve the best results (Fowler: 1990). An employee who is easily distracted can have a negative impact on productivity and overall performance. There are several ways to help an employee who is easily distracted improve their performance. The first step is to identify the cause of distraction. In this case, we know the employee has been abused domestically by a former colleague. This has resulted in the employee losing motivation and becoming easily distracted at work. The next step is to find ways to help them minimize distractions. This includes making sure the work environment is conducive for work for the employee. As a manager focused on improving the performance of the employee, there are several ways we could work to make the environment more conducive for the employee. This could come in the form of providing a quieter, find ways to minimize interruptions and reducing background noise that could add to the distractions for the employee. Achieving these all depends on the employee and the set-up of the job. However, according to Huselid, (1995) distinctive set of practices improves performance, regardless of settings. (Huselid, 1995; Pfeffer, 1998a). So, breaking down tasks into smaller manageable pieces can make it easy for employees to focus and stay on track. Training will also be provided for the employee to help them develop the necessary skills needed to perform better at work. This is where technology comes in. Hedman et al (2015) asserts that the training can come in the form of online training for affected employees. Online training can be a great way to improve employees' performance for several reasons. This includes helping them have access to private training which many employees prefer instead of having physical training sections where they can be vulnerable. Technology is also a great help in boosting employee performance. With 4
technology, one can start employee assistance programs that can help the employee get access to counselling, therapy, and resources to help support their mental well- being. Realistic goals can also be set as another way to boost the performance of an employee who is easily distracted. This method is supported by the expectancy theory concept that emphasises that employees are motivated to perform better when they believe that their efforts will lead to good performance, which in turn will lead to desired outcomes such as rewards or recognition (Odine, 2016). This is a great way to improve their performance and reduce distractions for a worker that has suffered from emotional distress in the workplace (Marchington and Wilkinson, 2012) Lack of communication If an employee cannot communicate effectively or stops communicating entirely due to abuse suffered in the workplace, the HR and/or the performance manager must approach the situation with sensitivity and empathy. As a performance manager, to help an employee improve their communication skill, a safe and supportive environment will be provided for them (Husain and Zareen, 2013). This includes offering a confidential and safe space to discuss their situation and providing any necessary resources such as counseling or support groups. As a performance manager trying to get the best out of every employee, encourage open communication to help this employee get comfortable enough to communicate freely (Bucăţa et al., 2017) Providing an open and safe environment for them to communicate freely can help the employee feel supported which will lead to an improvement in communication which ultimately leads to an improvement in performance. With the rise of HR-focused technology, performance managers can utilise technology to help improve communication for an employee battling lack of communication in the workplace. This includes using virtual communication tools such as videoconferencing, instant messaging, and email, which allows the employee to communicate with colleagues and managers from a safe and confidential location. This can help the employee feel more comfortable communicating and keep them connected to the workplace (O’Daniel & Rosenstein, 2008)). 5
Collaborative tools such as project management software can also help improve employee communication abilities during the process. This software allows the employee to communicate and collaborate with colleagues on projects and tasks remotely. This can help the employee stay engaged with their work and feel more connected to their team. Some employees can perform and communicate better in remote working conditions, and it can be possible with the use of technology (Leonard, Graham, & Bonucom, 2004). Remote work allows the employee to connect with the workplace while improving communication and employee productivity. A remote setting can help an employee battling with communication issues feel better and more valued by the company. Also, a combination of all these and the use of performance management tools such as tracking software can allow managers track the employee's progress and provide feedback on their improvement in communication. This can help the employee stay focused on their work and feel supported by their employer, which can improve their communication and overall performance (Odine, 2015). Technology can provide a range of tools and resources that can help improve communication for an employee who is struggling with communication because of domestic abuse. By leveraging virtual communication tools, collaborative tools, remote work options, online resources, and performance management tools, employers can support their employees and help them stay connected, engaged, and productive in the workplace. Quality of work Domestic abuse is a serious issue that affects individuals in all aspects of their lives, including their performance at work. As an HR and performance manager, it is essential to take action and support the employee who is suffering. There are various ways to help improve the employee's quality of work while still being sensitive to their situation. Firstly, it is vital to offer the employee support and resources. The employee may feel isolated, alone, and overwhelmed by their situation. It is essential to provide a safe and confidential space for the employee to share their experiences, feelings, and concerns. HR can provide the employee with access to resources such as counseling services, support groups, and legal assistance (Armstrong, 2009). These resources can help the 6
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employee manage their situation and alleviate some of the stress they may be experiencing, allowing them to focus more on their work (CIPD, 2013). Another way to support the employee is by providing them with flexible work arrangements. The employee may need time off to attend court dates, seek medical attention, or address other domestic abuse-related issues. Providing them with the option to work remotely, adjust their work hours, or take leave can help reduce their stress levels and improve their quality of work (Chang and Birtch, 2010). Training and development opportunities can also help the employee improve their performance. They may need to develop new skills or receive additional training to handle their job responsibilities effectively. By providing the employee with the necessary training and development opportunities, they can feel more confident in their work, leading to an improvement in their quality of work (Kurvaas, 2011). Lastly, it is essential to maintain a safe and respectful work environment. Employers must have a zero-tolerance policy for any type of harassment, discrimination, or violence in the workplace. In conclusion, supporting an employee who has suffered from domestic abuse is critical. By providing them with resources, flexible work arrangements, regular communication, training and development opportunities, and a safe work environment, employers can help improve the employee's quality of work and overall well-being (Hutchinson, 2013). Employers must take a compassionate approach when supporting their employees who have experienced trauma, acknowledging the impact it has on their performance, and providing the necessary support and accommodations to help them succeed (Armstrong and Baron, 2005). Part B STRATEGIC PERFORMANCE MANAGEMENT Performance Management Performance management is an essential aspect of any organisation's success, as it plays a vital role in ensuring that the employees' efforts align with the business 7
objectives. According to Armstrong (2015), strategic performance management involves aligning the employees' goals with the organisation's strategic objectives. Strategic performance management can help achieve these goals by aligning employees' performance goals with the organisation's strategic objectives. According to Armstrong (2006), aligning employee performance goals with the organisation's strategic objectives can help create a sense of shared purpose among employees, which can help enhance stakeholder engagement. Furthermore, strategic performance management can also help improve employee engagement, which, in turn, can lead to enhanced stakeholder engagement. According to Bauer et al. (2018), Strategic performance management is a crucial component of any organisation's success, as it enables organisations to align their goals with stakeholder interests, prioritise their activities, allocate resources efficiently, and improve performance. Theories of performance management The best fit approach is a performance management theory that emphasises the importance of aligning an organisation's performance management system with its overall strategy and structure. This approach recognises that there is no one-size-fits-all approach to performance management and that different organisations may require different performance management systems to achieve their goals (Neher & Maley, 2019). One of the key strengths of the best fit approach is its recognition that each organisation has its unique needs and goals (Brown et al. 2019). However, one of the weaknesses of the best fit approach is that it may lead to the development of performance management systems that are not necessarily based on best practices (Johnson, 2020). This can result in the development of performance management systems that are not as effective or efficient as they could be. To address this weakness, organisations must carefully evaluate the performance management systems they develop to ensure that they are effective and efficient. This requires a thorough understanding of best practices in performance management, as well as a clear understanding of the organisation's specific needs and goals. Overall, the best fit approach is a valuable performance management theory that recognises the 8
importance of tailoring the performance management system to fit the organisation's specific needs and goals. The best practice approach is a performance management theory that emphasizes the importance of adopting best practices in performance management, regardless of the organisation's strategy and structure (Dudley & Nigel, 2008). This approach suggests that there are certain universal practices that can lead to effective performance management, such as providing regular feedback to employees and setting clear goals. One of the key strengths of the best practice approach is that it provides a clear framework for organisations to follow in designing performance management systems (Barczak, Griffin, & Kahn. 2008). By adopting best practices, organisations can increase their chances of success (Zhang, Linderman, & Schroeder. 2011). However, one of the weaknesses of the best practice approach is that it may not consider the unique needs of an organisation (Davies & Kochhar, 2002). Best practices are developed based on general research and may not apply equally well to all organisations. Therefore, organisations must carefully evaluate the best practices they adopt to ensure that they are suitable for their unique needs (Theriou & Chatzoglou, 2008). For example, a small organisation may not need a complex performance management system that is designed for larger organisations, and a highly innovative organisation may require a performance management system that emphasises creativity and risk-taking (Theriou & Chatzoglou, 2014) To address this weakness, organisations can combine the best practice approach with the best fit approach (Heneman & Judge, 2017). By adopting best practices as a general framework and tailoring them to fit the organisation's specific needs, organisations can develop a performance management system that is both effective and efficient. Overall, the best practice approach is a valuable performance management theory that emphasises the importance of adopting best practices in performance management. However, organisations must be careful to evaluate the best practices they adopt to ensure that they are suitable for their unique needs (Stone & Heslin, 2015). 9
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The AMO theory is a performance management theory that emphasizes the importance of three factors in improving performance: ability, motivation, and opportunity (Boselie, P. 2010). According to this theory, performance can be enhanced by improving these three factors. For example, providing training to enhance employees' abilities, offering incentives to increase motivation, and creating a supportive work environment to improve opportunities can all lead to improved performance (Anne-Marie Finch, 2020). One of the key strengths of the AMO theory is that it provides a holistic approach to performance management, taking into account multiple factors that can impact performance. This approach recognises that performance is not solely determined by one factor but is the result of a combination of factors (Dessler, 2015). By focusing on enhancing all three factors - ability, motivation, and opportunity - organisations can develop a comprehensive performance management system that addresses all aspects of performance. However, one of the weaknesses of the AMO theory is that it may not provide specific guidance on how to improve performance. While the theory highlights the importance of ability, motivation, and opportunity, it does not specify the specific interventions or strategies that are most effective in enhancing these factors. Therefore, organisations must carefully evaluate the AMO theory and identify the specific strategies and interventions that are most effective in improving performance (Na Fu et al. 2013). To address this weakness, organisations can combine the AMO theory with other performance management theories. For example, organisations can use the best practice approach to identify specific interventions and strategies that have been proven to be effective in enhancing ability, motivation, and opportunity. By combining the AMO theory with best practices, organisations can develop a comprehensive performance management system that is both effective and efficient (Stone & Heslin, 2015). Stakeholder Engagement Stakeholder engagement and the Performance Prism framework are two important concepts that are closely related and can be used together to improve strategic performance management ( Adams, et al 2007). Engaging stakeholders is crucial for organisations to gain a better understanding of their needs and expectations, which can 10
help them to develop more effective strategies and build trust and credibility with their stakeholders ( Johnston et al. (2020). On the other hand, the Performance Prism framework provides a structured approach for identifying and understanding stakeholders, as well as for developing strategies for engaging them. To use the Performance Prism framework to improve stakeholder engagement, organizations need to follow certain steps. First, they need to identify all of their stakeholders, both internal and external. Once identified, organisations need to understand their stakeholders' needs and expectations, which can be done through surveys, interviews, and focus groups. After gaining a clear understanding of their stakeholders, organisations can develop strategies for engaging them, tailored to the specific needs of each stakeholder group. Finally, it is important to measure the effectiveness of engagement efforts by tracking metrics such as stakeholder satisfaction, trust, and support (Miska, M.,Wells, D. 2021). The performance prism model The performance prism model 11
Image source: ACCA Global By using the Performance Prism framework, organisations can align their performance measurements with the requirements and expectations of their stakeholders, which can lead to superior performance (Neely, 2002). For instance, tracking metrics like customer satisfaction, loyalty, and retention can help organisations to win over sceptical stakeholders like customers. Similarly, tracking metrics like employee satisfaction, engagement, and turnover can help organisations better serve their employees (Neely & Richards, 2021). The Role of Human Resource Management (HRM) Human resources also play a crucial role in talent management, including recruitment and retention of employees who possess the requisite skills and competencies to help the company achieve its strategic objectives (Nishii & Wright, 2018). HRM also helps in creating a positive workplace culture that promotes employee engagement and fosters employee commitment towards the organisation's goals. By designing and implementing effective HR policies and procedures, human resources can create an environment that encourages employees to remain motivated, committed, and productive. This ultimately helps in achieving the strategic goals of the organisation (Guest, 2017). In conclusion, human resource management plays a vital role in strategic performance management by ensuring that the organization's policies and processes are well-aligned with its strategic goals, creating and monitoring performance indicators, providing training and development opportunities, designing incentive and recognition plans, and managing talent to achieve the organisation's strategic objectives. 12
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Zhang, Y., et al. (2021). Low-carbon tourism destination selection by a thermodynamic feature-based method. https://doi.org/10.1080/01605682.2021.1908862 Zumel, N., and Mount, J. (2014). Practical data science with R. Manning Publications Co. Appendix Performance Appraisal Identified area of development What practical support will be implemented Identify what specific PM concern it will address How will we know it’s been successful Identify the issue/combined issues that you feel need support What will you do? How will this happen? Who will do this? How will it support the issue? What would be the measure for success? 19
Easily distracted Going through domestic abuse affects one psychologically and been easily distracted becomes a norm. distractions affect the productivity of an organisation, hence, to support the employee, the management will come up with therapy sections or send the employee to therapy to help her hear from the abuse. This will address the issue of productivity in the organisation. The only way to measure the success is by using the performance appraisal form to measure the improvement of the employee’s quality of work. Lateness to work The organisation can create a fair absence and lateness policy that will make the employee try to come earlier to work. In the UK, going late to work is not acceptable, but in this case, the employee is going through a traumatic experience that makes her late because the thought of coming to work scares her. However, creating a lateness policy will help deal with the issue f lateness gradually. To measure the success of this policy, the employee’s movement will have to be monitored to know the level of improvement Low performance Be patient with the employee. The poor The performance reward will ensure The measure for success will be how employee has 20
performance is as a result of the domestic abuse. The deal with this, the management will have to encourage the employee more to sit up and come up with rewards for best performance in an organisation the client sits up and focus on performing better developed in her performance at work Lack of communication People who go through abuse hardly communicate with their colleagues or employers. The employee should be placed in a position where she has to talk more and communicate better This will address the performance management issue of communication. This can be measured by how well the employee has begun to communicate with her team Meeting deadlines Tasks should be given to the employee with deadlines to meet to enable her to become more effective in the organisation This will address the issue of performance and turning up late Deadlines will be set and as the employee meets each deadline, it should be marked that way, one can measure the employee’s performance Quality of work The employee’s work quality has dropped and to deal with this issue, the employee will have to come up with The training program will help the employee improve her work quality and put more effort in the This can be measured daily on a scale of 1 to 10 so the employee can monitor her performance. 21
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training programs. organisation 22
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