Introduction
Performance management systems play a critical role in encouraging strategic operations of most human resource departments. It governs various operations such as performance appraisal and encompasses most activities of an organization. A key feature of performance management systems is to provide a link between all organizational processes through critical success factors and performance issues, (Bratton & Gold, 2012). As a company, Maple consultants consist of various employees who work around the clock to meet the business objectives. In an examination of the different jobs within the company, two posts stand out in understanding performance management systems such as IT support officer and administrative assistant.
The IT support officer, James Holden, works around the clock to ensure the maintenance of the computer systems and networks within the organization. Following the nature of company having a heavy reliance on computer systems, it is important to ensure that software and hardware aspects of the computers are in good working condition. An administrative assistant, Ann Dempsey specializes in carrying out office support activities such as fielding telephone calls, meeting visitors, and creating the necessary documents needed for business. I have selected the two employees as they play a significant role in the operations of the company.
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Importance of Performance Management Systems
Performance management as explained by Cole (2002) is an essential and necessary component of organizational effectiveness. It is an important process required for improvement to occur. Managing performance in an organization requires an understanding of the context in which the process of management occurs. According to Society for Human Resource Management (2007), performance management drives employee behavior to align with the organizational goals and objectives. This is because the process facilitates clarity in job expectations such that they are clearer. When they are clear, individuals work towards achieving them.
Another benefit associated with performance management is the objectivity associated with compensation and promotion decisions as information about the employees, and their conduct is available. Additionally, when performance management systems are in use, the information can also apply to guiding training, job experiences, mentoring, and other developmental activities.
The importance of such systems is synonymous with being the Achilles heel of Human Resource. Maple consultants have an existing performance management system. However, it needs updating to comply with the current changes in the field. James, the IT support officer, has been with the company for four years. From the feedback of employees, he has been of invaluable help to the team. Most of them mention that he is always prompt to relay feedback and provides the needed technical support for the programmers. Ann, the administrative assistant, juggles many roles from building networks for the company, receiving visitors, which she does so well. By having a performance system, both employees receive compensation for their efforts while helping the business achieve its objectives.
Job Evaluation Methods
According to Cole (2002), job evaluation sets out to make a systematic comparison between jobs to assess their relative worth and establish a rational system of compensating employees. To make an elaborative job evaluation, it is important to conduct a job analysis to get facts about the job. Job analysis entails obtaining comprehensive information about the job, from the roles and responsibilities associated with the job. Job evaluation methods involve two categories that are analytical and non-analytical. The point factor ranking is a non-analytical approach that helps ensure that each employee based on their role gets the compensation favorable to them. It involves rating each job on several compensable factors. It includes the addition of scores for each factor to determine the total points for the job. Since both employees have been in the organization, analyzing their role through this procedure helps. For example, examining James and Ann’s activities day to day plays an integral role in understanding the requirements of the job.
The method is advantageous in various ways as the ranking involves the use of a scale that is high in reliability and validity. It comes about through an analysis of the job with the items on the scale relating to the job in question. This encourages objectivity in the process by minimizing biases associated with personal preferences. Disadvantages on another hand center on determining the factors that constitute the scale are a challenge. Equally ensuring that the scale is reliable and valid is another challenge.
Compensation Packages
Payment mechanisms play a role in communicating how the organization values its employees. It affects employees’ motivation, which is a requirement for experiencing productivity within the business. Where employees are not motivated, achieving the stipulated goals proves to be difficult. In this case, compensation involves rewarding both Ann and James for their tremendous efforts in the organization. A useful compensation package for them would be a bonus to encourage them to continue working productively. A job analysis of James role reveals the need for performance appraisal in promoting his role from IT support officer to a supervisor. The supervisory role will be a new role as the company looks forward to making changes to the structure. Following that the structure changes, the pay is likely to change redirecting a focus to a management role. In this sense, it is plausible to have a 30 percent increase in James’ salary. This is possible through job analysis as his role involves working with colleagues around the clock. Ann also gets a bonus, by capitalizing on the point factor methods; her role includes administrative support for the company. She qualifies for a promotion to a senior administrative assistant position based on her ability to meet targets and work hand in hand with other employees.
Importance of Employee Benefits
According to Sims (2007), efficient management of employee benefits continues to be an important means by which Human Resource professionals and organizations compete. It plays a significant role in increasing employee motivation. Through relying on the incentive theory, most employees get the motivation to work when the efforts follow a reward. Motivated employees work towards the achievement of the organization’s objectives increasing productivity. Productivity is critical as it encourages the growth of the business. Benefits equally encourage a sense of fairness within the organization such that all employees feel equal and rightly rewarded for their efforts. Maple Consultants need to provide benefits to their employees such as bonuses, promotions, and awards to encourage them to stay motivated. For example, by having a reward system for the programmers, who get most clients, motivates them to continue working as programming may prove to be challenging at times. Additionally having retreats that provide employees an opportunity to unwind is one that serves to strengthen interpersonal relationships which plays a significant role in affecting work behavior.
Conclusion
Performance management systems provide objective measures in establishing work productivity and procedures relating to appraisal. With such systems in place, employees remain confident in their efforts while getting an opportunity to experience career growth. Job evaluation methods form a critical aspect of the performance management process as they help determine appraisal of employees and how best to link employees with each other. Within any organization, the importance of employee benefits is imperative which calls for agencies to implement mechanisms that encourage productivity.
References
Bratton, Gold. (2012). Human Resource Management: Theory and Practice. Palgrave Macmillan (pp.121-141)
Cole, Gerald. (2002). Personnel and Human Resource Management Print (pp.152-171)
Sims, Ronald. (2007). Human Resource Management: Contemporary Issues, Challenges, and Opportunities . North Carolina: Information Age (pp.37-48)
Society for Human Resource Management,. (2011). Performance Management Web Retrieved from https://www.shrm.org/
