Om1. Margaret is a shift supervisor for Clear Lake Boats, Inc. She has been with the company since it started manufacturing boats more than ten years ago. Margaret worked on the production line until last year, when she was promoted to supervisor. The company started out small, with only 12 employees and one shift working Monday to Friday from 8:30 a.m. to 5:00 p.m. Clear Lake Boats now has more than three hundred employees and runs three shifts a day. Every employee on each shift gets paid the same except for the supervisors, who are paid two dollars more per hour. The night shift employees get paid a dollar more per hour. There is no performance appraisal system or reward structure. After Margaret was promoted, she asked to take a “Principles of Supervision” class at a local community college to learn proper supervisory skills and coaching techniques. One of the topics discussed in her class was performance appraisals and reward systems. Although the company has grown quickly and has been very successful, she has noticed a decline in employee morale. Production numbers are also down. Margaret thinks the lack of a formal performance appraisal system and the standardized pay structure may be part of the problem. Margaret is fond of the owners and does not want to offend them. However, she does want to make a difference and contribute to the company’s long-term success. Question 1. If you were Margaret, what recommendations would you make to the owners regarding performance appraisals?
Om1.
Margaret is a shift supervisor for Clear Lake Boats, Inc. She has been with the company since it started manufacturing boats more than ten years ago. Margaret worked on the production line until last year, when she was promoted to supervisor. The company started out small, with only 12 employees and one shift working Monday to Friday from 8:30 a.m. to 5:00 p.m. Clear Lake Boats now has more than three hundred employees and runs three shifts a day. Every employee on each shift gets paid the same except for the supervisors, who are paid two dollars more per hour. The night shift employees get paid a dollar more per hour. There is no performance appraisal system or reward structure. After Margaret was promoted, she asked to take a “Principles of Supervision” class at a local community college to learn proper supervisory skills and coaching techniques. One of the topics discussed in her class was performance appraisals and reward systems. Although the company has grown quickly and has been very successful, she has noticed a decline in employee morale. Production numbers are also down. Margaret thinks the lack of a formal performance appraisal system and the standardized pay structure may be part of the problem. Margaret is fond of the owners and does not want to offend them. However, she does want to make a difference and contribute to the company’s long-term success.
Question 1. If you were Margaret, what recommendations would you make to the owners regarding performance appraisals?
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