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Improving Organisational Performance - Essay Example

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Table of Contents
Introduction 3
Evaluation of High Performance Work and Performance Management System in Tesco 4
Performance Management Framework 4
Evolving the Performance Framework 5
Performance Appraisal and Reward System 5
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Improving Organisational Performance
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"Improving Organisational Performance"

Download file to see previous pages Objective Setting 7
Reviewing What and How 8
Overall Performance Rating and Rewarding basis on the appraisal 8
Challenges and Negative effects of Performance Management System 9
Balanced Proposals 10
Implications for Line Managers 11
Conclusion 12
References 14
Appendix 16
Introduction
Performance management is a systematic progress that improves the performance of an organization by the improvement of individuals’ skills and effectiveness (Deb, 2009, p.36). Moreover, it increases the efficiency of team and helps to achieve the business and organizational objectives. Performance is explained apparently, which is the achievement of qualified objectives. The proper implementation and practices helps the employee of the organization to achieve the personal as well as organizational goal. The other important aspect of performance management of organizations is it helps to maintain the goal significantly (Caldwell, 2002, p.19).
Performance management is one of the important elements of organization control system and Human Resource Management (Pravin, 2007, P.583). Performance management helps to provoke organizational and employee development by its methods. It also covers the strategic development by several modifications through its methods. Moreover, it facilitates indirect control of employees be setting up a clear target (Bhatia, 2003, p. 39). In order to achieve the objective of the study, Tesco and Sainsbury the two leading retail organizations of UK has been selected. They study will critically evaluate the Performance management in Tesco and Sainsbury. Moreover, the study will explore the challenges that have been encountered by the use of performance management in these two leading retail chains in UK. The study will develop a balanced proposal in order to overcome the challenges. The implications for line managers are also have examined by this study. Finally the study ends with a conclusion. Evaluation of High Performance Work and Performance Management System in Tesco Tesco organization structure is kind of a bureaucratic structure as authority and power flows from the top level to bottom level in the organization. This equilibrium has the similarity in the performance management system and reward structure. In Tesco, the top management employees earn more reward comparing to the employees who exists in low level of the organization. However, the overall reward and performance management system and the Performance Steering Wheel is the key reason of the organization success story of Tesco (Jolly, 2009, p. 397). Customer, Community, Employees, Operations and Finance are the major elements of the Tesco’s performance steering wheel (Figure 1). From this steering wheel the employee’s aspect has been discussed in this study in order to evaluate the performance management framework of Tesco (Barrow, 2011, p. 93). Performance Management Framework Sir Terry Leahy is the chief executive of Tesco, who is supremely responsible for the growth of organization. He had developed a clear map, direction and a compass in order to attain a strategic growth. The management team of Tesco has decided to develop and structure a performance management framework in order to develop a strategic goal of the organization. The performance management framework has created several key performance indicators in Tesco. The major purpose of this approach is to steer Tesco towards success. Performance steering wheel was developed by Tesco in the year 2009 in order to fulfil the organization as well as individual objectives (Taylor and Nichols, 2010, p.11). It has created the groth opportunities for the employees. The adoption of this framework has made the jobs interesting for the ...Download file to see next pagesRead More
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