Sustaining Employee Performance

In this paper, team D will address the course design objectives of Riordan Manufacturing. First of all, the team will pick two job positions within the company, and discuss the general functions of performance management systems, job evaluation methods, compensation plans, and the importance of employee benefit plans. The two job positions discussed in this paper will be the Director of Administration, and Human Resources/recruiter. These positions were selected due to the extreme amount of importance their roles play in completing Riordan Manufacturing’s Mission. General functions of performance management systems The general function of performance management systems in organizations is for employers to manage employees’ performance and development by providing individual feedback on their performance evaluation to identify and plan measurable areas for personal development to ensure the organization’s strategic goals are being met (DeCenzo and Robbins, 2007). For years, many organizations provided appraisal type performance reviews to their employees that ranked them against other employees. This type of ranking system is problematic, as it is unfair to compare employees from different departments who’s primary goals may be different from one another and can viewed as putting down employees who may be unable to put in as many hours or as much effort as others who have only one set project at a time and can bog down to set higher numbers. If employee development is not properly measured and managed, the organization may find it difficult to meet their strategic goals. This in turn can create complications between mainstream workers and management, as well as the company, and their customers. Riordan Manufacturing uses a behavioral-anchored rating scale for their annual performance evaluations. The employees are rated by their performance in different areas of competencies to determine if they met, exceeded, or if they did not meet the standard expectations of the job. â€Å"Behaviorally anchored rating scales specify definite, observable, and measurable job behavior† (DeCenzo and Robbins, 2007, p. 264). This rating is issued and determined by managers and is a sufficient measure for performance management. Though this rating style eliminates competitive work habits that may assist in high productivity, it is a proven system that works much more consistent (Noe, Gerhart, & Wright, 2012) . Job evaluation methods Job evaluations are important for every organization to use because it ranks each position in the organization and is used to determine the pay structures for positions. Positions are usually broken down by responsibility, skill, effort, and work conditions. It is also helpful to separate the positions into groups such as managerial, professional, sales, and so on. This makes the rankings more valid within the job categories. To evaluate the director of administration a good evaluation method would be the ordering method. The ordering method uses a committee composed of managers and employee reps to arrange jobs in ranking order from highest importance to lower importance. The base of this is to compare two jobs and decide what job is more important or difficult. Then to add another job to the comparison until all of the positions have been compared and ranked. There are two major drawbacks to doing evaluations this way. One is there can be many positions within the organization which can make the processes confusing and long. Two, there are no consistent standards in the ranking evaluations. Another way to evaluate the director of administration position is through the classification method. This method was developed so that a standard was set in the evaluation processes. Classifications are set based off of skills, knowledge, and responsibilities and then by classes such as managerial, sales staff, and so on. Once these are established, then they are put in order by importance based on the criteria they are in. This process can be just as confusing as the ordering method if not done properly. A human resource department can be evaluated with the point method. The point method breaks positions down based on identifiable marks like skill, effort, and responsibility, and assigns points to the criteria’s. This method can be helpful because all positions with the same amount of points are in the same pay grade. Jobs can change over time but the rating scale under the point method stay intact (DeCenzo& Robbins, 2007). Even though the point method is the most reliable it is the most time consuming. Compensation plans Director Administrator and Human Resources/Recruiter are both important functions in a business. They have common commonalities. Between the two, they have distinctive, important functions. The Director of Administrations functions are to meet business goals and organize the personnel in the business. They also operate with financial management and marketing management. Human Resources are responsible to manage, hire, making plans to retain employees, and find the right candidates. Human Resources are an important tool for any organization, industry, and geographic location. The difference between Administration and Human resources is that the administrative function is predominantly to maintain the conditions of employment. On the other hand, Human Resources use the traditional process to manage Riordan Manufacturing’s goals and strategies, which follows with developmental organizational activities. Both positions seek for the compensation plans for the organization by administering to employee bonuses, overtime calculations, and payroll. Riordan Manufacturing focuses on Administration and Human Resources, because it can create investments in the future if the training programs are well elaborated and developed. Both fall into finding the best program functions (technical, finance). The development of employees is very important for Riordan Manufacturing since it helps create satisfaction among employees. The Board of Directors also maintains the executive and auditing committees under the corporate governance plan (Apollo Group, Inc. 2011). Riordan Manufacturing also has to implement a corporate compliance plan to have a safe future for the company. Riordan’s compliance plan will guide the company on how to handle current and future issues. The compliance plan is focused on working with issues, such as technological, logistical, and governance. By performing well in these areas, the company could be prosperous. The company has to maintain high quality in the performance of products and processes. This will help the company to be unsusceptible to product liability issues. Importance of employee benefit plans to employees working in team D’s chosen positions Director of Administration and Human Resources/Recruiter† Employees are offered benefits as a means to provide additional compensation above their regular salary to make their lives a little easier outside of the workplace. Health insurance, vacation and holiday time, social security and retirement plans, are all important benefits to employees and their families. At Riordan Manufacturing, the Human Resources Recruiters receive the same benefits that are of fered to every employee, which is an important factor for employee retention. The Directors at Riordan are offered special perks such as, travel benefits, a company vehicle, expense accounts, and other benefits that are not offered to every employee. Executive level employees receive these special perks to encourage them to work hard for the organization and to promote loyalty in the event of a hostile takeover. Conclusion Ending on a positive note, the team demonstrated in informative content to the reader, an understanding of the concepts of sustaining employee performance in this paper. These concepts are the four important activities of the HRM motivation function, and the connections to stimulating employees are observed. The team identified two job positions within Riordan Manufacturing, which are the Director of Administration, and Human Resources/recruiting. The team described the general functions of performance management systems. The team suggested two job evaluation methods for both of the job positions and answered questions about the advantages and disadvantages of these methods based on the recruiter and Director of Administration and Human Resources job positions. The team compared and contrasted the possible compensation plans for those two job titles. The team explained the importance of providing employee benefit plans to the recruiter/director of HR. An in-depth, comprehensive overview of activities planned in sustaining employee performance in the two positions at Riordan as referenced from week five materials, and the virtual organization site, followed by a logical conclusion. Sustaining Employee Performance In this paper, team D will address the course design objectives of Riordan Manufacturing. First of all, the team will pick two job positions within the company, and discuss the general functions of performance management systems, job evaluation methods, compensation plans, and the importance of employee benefit plans. The two job positions discussed in this paper will be the Director of Administration, and Human Resources/recruiter. These positions were selected due to the extreme amount of importance their roles play in completing Riordan Manufacturing’s Mission. General functions of performance management systems The general function of performance management systems in organizations is for employers to manage employees’ performance and development by providing individual feedback on their performance evaluation to identify and plan measurable areas for personal development to ensure the organization’s strategic goals are being met (DeCenzo and Robbins, 2007). For years, many organizations provided appraisal type performance reviews to their employees that ranked them against other employees. This type of ranking system is problematic, as it is unfair to compare employees from different departments who’s primary goals may be different from one another and can viewed as putting down employees who may be unable to put in as many hours or as much effort as others who have only one set project at a time and can bog down to set higher numbers. If employee development is not properly measured and managed, the organization may find it difficult to meet their strategic goals. This in turn can create complications between mainstream workers and management, as well as the company, and their customers. Riordan Manufacturing uses a behavioral-anchored rating scale for their annual performance evaluations. The employees are rated by their performance in different areas of competencies to determine if they met, exceeded, or if they did not meet the standard expectations of the job. â€Å"Behaviorally anchored rating scales specify definite, observable, and measurable job behavior† (DeCenzo and Robbins, 2007, p. 264). This rating is issued and determined by managers and is a sufficient measure for performance management. Though this rating style eliminates competitive work habits that may assist in high productivity, it is a proven system that works much more consistent (Noe, Gerhart, & Wright, 2012) . Job evaluation methods Job evaluations are important for every organization to use because it ranks each position in the organization and is used to determine the pay structures for positions. Positions are usually broken down by responsibility, skill, effort, and work conditions. It is also helpful to separate the positions into groups such as managerial, professional, sales, and so on. This makes the rankings more valid within the job categories. To evaluate the director of administration a good evaluation method would be the ordering method. The ordering method uses a committee composed of managers and employee reps to arrange jobs in ranking order from highest importance to lower importance. The base of this is to compare two jobs and decide what job is more important or difficult. Then to add another job to the comparison until all of the positions have been compared and ranked. There are two major drawbacks to doing evaluations this way. One is there can be many positions within the organization which can make the processes confusing and long. Two, there are no consistent standards in the ranking evaluations. Another way to evaluate the director of administration position is through the classification method. This method was developed so that a standard was set in the evaluation processes. Classifications are set based off of skills, knowledge, and responsibilities and then by classes such as managerial, sales staff, and so on. Once these are established, then they are put in order by importance based on the criteria they are in. This process can be just as confusing as the ordering method if not done properly. A human resource department can be evaluated with the point method. The point method breaks positions down based on identifiable marks like skill, effort, and responsibility, and assigns points to the criteria’s. This method can be helpful because all positions with the same amount of points are in the same pay grade. Jobs can change over time but the rating scale under the point method stay intact (DeCenzo& Robbins, 2007). Even though the point method is the most reliable it is the most time consuming. Compensation plans Director Administrator and Human Resources/Recruiter are both important functions in a business. They have common commonalities. Between the two, they have distinctive, important functions. The Director of Administrations functions are to meet business goals and organize the personnel in the business. They also operate with financial management and marketing management. Human Resources are responsible to manage, hire, making plans to retain employees, and find the right candidates. Human Resources are an important tool for any organization, industry, and geographic location. The difference between Administration and Human resources is that the administrative function is predominantly to maintain the conditions of employment. On the other hand, Human Resources use the traditional process to manage Riordan Manufacturing’s goals and strategies, which follows with developmental organizational activities. Both positions seek for the compensation plans for the organization by administering to employee bonuses, overtime calculations, and payroll. Riordan Manufacturing focuses on Administration and Human Resources, because it can create investments in the future if the training programs are well elaborated and developed. Both fall into finding the best program functions (technical, finance). The development of employees is very important for Riordan Manufacturing since it helps create satisfaction among employees. The Board of Directors also maintains the executive and auditing committees under the corporate governance plan (Apollo Group, Inc. 2011). Riordan Manufacturing also has to implement a corporate compliance plan to have a safe future for the company. Riordan’s compliance plan will guide the company on how to handle current and future issues. The compliance plan is focused on working with issues, such as technological, logistical, and governance. By performing well in these areas, the company could be prosperous. The company has to maintain high quality in the performance of products and processes. This will help the company to be unsusceptible to product liability issues. Importance of employee benefit plans to employees working in team D’s chosen positions Director of Administration and Human Resources/Recruiter† Employees are offered benefits as a means to provide additional compensation above their regular salary to make their lives a little easier outside of the workplace. Health insurance, vacation and holiday time, social security and retirement plans, are all important benefits to employees and their families. At Riordan Manufacturing, the Human Resources Recruiters receive the same benefits that are of fered to every employee, which is an important factor for employee retention. The Directors at Riordan are offered special perks such as, travel benefits, a company vehicle, expense accounts, and other benefits that are not offered to every employee. Executive level employees receive these special perks to encourage them to work hard for the organization and to promote loyalty in the event of a hostile takeover. Conclusion Ending on a positive note, the team demonstrated in informative content to the reader, an understanding of the concepts of sustaining employee performance in this paper. These concepts are the four important activities of the HRM motivation function, and the connections to stimulating employees are observed. The team identified two job positions within Riordan Manufacturing, which are the Director of Administration, and Human Resources/recruiting. The team described the general functions of performance management systems. The team suggested two job evaluation methods for both of the job positions and answered questions about the advantages and disadvantages of these methods based on the recruiter and Director of Administration and Human Resources job positions. The team compared and contrasted the possible compensation plans for those two job titles. The team explained the importance of providing employee benefit plans to the recruiter/director of HR. An in-depth, comprehensive overview of activities planned in sustaining employee performance in the two positions at Riordan as referenced from week five materials, and the virtual organization site, followed by a logical conclusion.