The Most Effective Employee Appraisal or Performance Evaluation Approach - Assignment Example

Employee Performance Appraisal Answer Employee acts as the most important pillar of an organization, to make it successful in all regards. It helps an organization to amplify its productivity and profitability in the market, by increasing its product lines. But, it might be possible only if the rate of devotion of the employees over their assigned tasks is extremely high. However, the devotion rate of the employees over their assigned duties might be increased only if the organizational strategies and appraisal policies are consistent for all. The most effective employee appraisal or performance evaluation approach is attributive and quality. Attributive approach is one of the most important requirements for an employee to remain effective within a job or organization. Attribute is defined as the requisite skills and qualifications essential to fulfill the desired outcomes of a specific job in an efficient way. But, if an individual lacks those specific qualifications then, he or she may not offer effective results. However, improper skills might impede the individual in accomplishing the desired outcomes and thus, it may affect his productivity. So, the organizational management might try to enhance the inner skills and talents by implementing varied types of training programs (Goel, 2008). Quality approach is also extremely essential. In today’s age, both quality and quantity is essential for the growth and prosperity of an organization. This means, an employee needs to offer effective dedication to accomplish the desired tasks in error-free manner. Then the quality of the tasks might get enhanced to a significant extent among others. So, these approaches are offered high attention within the organizational managements in this competitive era. Answer 2 Employee management is considered as one of the most important topic of human resource managers in this aggressive age. An employee acts as the driving force of an organization that helps to amplify its brand image and market share among others. But, if the rate of switchover costs increases rather than retention cost of the employees, then it might prove extremely dangerous for the organization in long run. Thus, in order to solve such a problem, an organization might try to implement effective organizational strategies and human resource policies. Moreover, the organization might maintain a participative culture that may encourage the employees to present their ideas and desires in front of others. This might amplify the self esteem and motivation of the employees towards their assigned tasks. Improvement of the motivation of the employees might prove effective in reducing the rate of switchovers that may increase the profitability and productivity of the organization. Effective management of employees also includes proper coordination and communication. If the leaders or managers of the organization coordinates and supports the lower level employees in their works then their level of skills might get enhanced. Improvement in inner skills might result in enhancement of their quality of performance that may amplify the total revenue and equity of the organization among others and communication may improve the interpersonal bonding or relationship that may increase the morale and satisfaction of the employees. Hence, improvement of satisfaction of the employees might increase the retention ratio thereby reducing the problem of turnover. Thus, employee management involves participation, coordination and communication. Answer 3 In a healthcare industry, the most essential requirement is the behavior. Along with requisite talents, an individual employee or staff needs to show proper attitude with its patients, like presenting his or her medicines at desired time and communicating with proper ways etc. If a staff of the healthcare organization maintains it in an appropriate way, then he or she would surely be appraised in a better way among others. The prime cause behind this is that behavior of the staffs helps a healthcare organization to amplify its brand value and position in the market among others. It is the behavior and activities of the staff members that attract a wide range of new patients towards the brand that may amplify its total revenue and profitability among many others. In hospital industry or in inpatient setting, comparative approach might be used. In this procedure, all the senior employees are questioned by the board of directors or management prior appraising the employee (Deb, 2009). By doing so, the management might attain varied information regarding the working attitude of a specific employee as compared to others. Then, it might become quite easier for the management or senior members of the organization to evaluate the performance of the employees. But, the concept of employee management is quite tough as compared to employee appraisal. In inpatient setting, all the employees of a healthcare organization need to maintain effective coordination and communication among all. If active coordination and communication is not maintained, then the employees may not become successful in treating the patients in an effective way. However, improper treatment may fade the market share and brand image of both employee and organization that may increase the intensity of problems like inpatients suicides, mental problems, quality and safety-related problems at the time of surgeries. Project Executive Compensation Advising In this competing age, the concept of executive compensation or executive pay attained significant attention. The main reason behind it is employee retention as well as attraction of highly experienced and talented employees towards the organization. Executive compensation might improve the position and market value of the organization, operating in any segment to a significant extent as compared to many other rival players. Keeping this fact in mind, the management of Silicon Valley Learning (SVL) decided to implement the concept of executive compensation within its organization so as to improve the morale of the employees and its profitability among others. Executive compensation might also prove helpful for the organization to increase its position and competitiveness in this aggressive market among other existing rival players. Executive compensation is considered as one of the most effective method of compensation, in which an employee receives both financial as well as on-financial benefits from the organization. It is done, in order to improve the inner morale and motivation of the employees towards his presented duties that may improve the total productivity and equity of the organization. Implementation of such type of compensation method might also enhance self-esteem and performance of the employees that may amplify his or her dominance and reputation within the organization among others. Therefore, it might improve the enthusiasm of the employee towards his assigned work thereby may increase the total revenue of the organization. Executive compensation is also a strategy of the management of the organizations in this recent age in order to enhance the bonding with the employees. This is done so as to reduce the intensity of clashes, conflicts or lockouts within the organization that may hinder its profitability. Moreover, it also helps to increase the interpersonal relationship with the co-members thereby amplifying the inner skills and qualities of an individual. Better coordination and communication also helps to attain varied types of new ideas and strategies that may improve the portfolio of an organization in this competitive age. Thus, due to these above mentioned points, SVL decided to implement executive compensation program. In order to enhance the motivation and dedication of the employees of SVL, three basic components need to be implemented with the program of executive compensation such as basic salary, annual incentive opportunities, long-term incentive, perquisites and many other paid expenses. Basic Salary: the basic salary needs to be extremely competitive in nature so that, SVL might attract numerous experienced and highly qualified individual within the organization. This might prove effective in increasing the range of product lines of SVL that may amplify its range of customers. Moreover, if the basic salary is highly competitive, then the motivation of the employee towards the assigned tasks might also get improved that may amplify the total brand value of the organization among others. So, it might be clearly stated that, it is the competitive salary that may enhance the self respect and self esteem of the employees. This is extremely essential for an organization as it may increase the retention rate of the employees among others. Retention of the experienced employee might improve the productivity of the organization that may amplify its dominance and consistency in the market. Therefore, in order to retain the experienced and talented staffs within the organization of SVL, executive compensation program is implemented. Annual incentive opportunities: along with basic salary, SVL might also try to offer a considerable amount of incentive facilities to its employees. However, the financial incentives might be offered as per the quality of performance, productivity and skills of the employees, so as to increase their devotion rate. So, it is also known as performance based incentives. Such type of financial rewards encourage the individual to offer his or her highest dedication so as to accomplish the goal in error-free way. Qualitative work is extremely essential for an organization in this age, in order to retain its dominance and uniqueness among others. Thus, for these above mentioned causes, SVL desired to implement the concept of annual incentive opportunities for its employees. Bonuses: SVL might also try to offer a part of the annual profit of the organization as bonus to its employees. It may act as a stimulant for the employees amplifying their commitment and performance. So it might be implemented within the executive compensation program of SVL. Rewards: SVL might also present varied types of rewards such as best performer of the year in sales, best performer in marketing etc. This might increase the retention ratio of the employees thereby reducing the turnover rates. This is extremely important for SVL to retain the experienced staffs within the organization so as to tackle any sort of challenging situation in coming age. Optional awards: these types of awards are offered by the management of an organization to its one of the employees, for offering best ideas to improve the sales target or profitability of an organization. If the presented idea is preferred by all the members of the board of directors, then it is implemented and if it becomes successful, then the employee is rewarded. Such type of award plans also need to be implemented by SVL to amplify its growth and market share. Long-term incentives: along with short term benefits, SVL might try to implement the concept of long term incentives. In this procedure, SVL might offer equity compensation awards to its employees. However, it might be presented only if all the employees work in a coordinated and harmonized way. Then, such an award might be attained by the entire group as a group reward or incentive. The prime reason for implementing such a concept of reward is to maintain effective bonding and interpersonal relationship among the employees of the organization in the long run. Such type of coordination might prove effective in amplifying the inner skills and talents of the employees and may amplify their performance and productivity. Thus, it might surely enhance the sustainability and competitiveness of the organization in the market among many other rival players. So, it is considered as one of the most important component of executive compensation that needs to be included within SVL. Other benefits: Health insurances: SVL might also try to implement the policy of health insurances for its employees so as to amplify their retention ratio. These benefits are extremely essential for each and every employee in order to mitigate varied types of disorders in an effective way. So, such type of programs might also prove effective in attracting numerous talented and experienced employees’ thereby increasing organizations equity. Retirement pension plans: it is also extremely important for SVL to attract the talented staffs within the organization among many other rival brands. Recruitment of the talented staffs might prove effective in introducing varied types of inventive products and services that may amplify the customer base of the organization. Such type of plans might also prove beneficial to enhance the loyalty and reliability of many experienced staffs that may reduce their interpersonal conflicts with the management (Balsam, 2002). Loan facilities with low interest rates to its employees: SVL might try to offer loan facilities to its employees with extremely low interest rates. This might increase the retention facilities of the employees that may amplify their productivity and performances as well. Moreover, in spite of many other opportunities, the employees might remain with SVL in the long run. So, these components need to be implemented by SVL in its executive compensation program for the coming years. Perquisites: in order to amplify the motivation of the employees, SVL might also introduce certain other facilities such as club membership facilities, company vehicle facilities, spouse travel etc. All these facilities act as a catalyst in amplification of the commitment of the employees towards the assigned goals of the organization. However, due to accomplishment of the final goals of the organization, its brand image and dominance increases to a considerable extent in the market among others. Thus, for the above mentioned reasons, SVL need to implement it within its executive compensation program (Gomez-mejia & et. al. 2010). After analyzing and evaluating the underlining benefits of each and every component mentioned above, it might be stated that, SVL might surely become successful in attracting new talents, if all of these components are introduced. This is because it may help the experienced individual to attain the facility of club membership or travelling facility with its family members. However, in order to attain these facilities, he or she might increase the commitment and dedication power. Thus, improvement of the dedication might result in invention of varied types of advanced products that may satisfy the changing demands of the customers to a considerable extent. Satisfaction of customer requirements might increase the demand of the products of SVL and it may amplify its productivity and total operating income. The component of executive compensation such as loan facilities for houses, cars etc might also prove effective in reducing the turnover ratio of the employees. If the rate of retention is increased then, the distinctiveness and position of an organization might surely get enhanced in this aggressive age. Thus, the inner strengths and bargaining power of SVL among many other new entrants might get improved. The facility of bonuses and incentives also play an active role in retaining the experienced employees within SVL that may amplify its prosperity and productivity. Moreover, the facility of performance related pays and bonus facility also prove effective in attracting a wide range of talented candidates towards the organization of SVL as compared to many others. Due to these causes, it is extremely essential to implement these components of executive compensation within SVL so as to amplify its position and ranking. Hence, in order to amplify the brand value and consistency in the market, the management of SVL offered high concentration over the concept of executive compensation. Executive compensation might satisfy both the primary and tertiary needs of an employee and improve his commitment. Improvement of commitment of the employees might increase their career opportunities as well as organizational distinctiveness in the market in long run among other existing contenders. Thus, in order to manage and control the employees of the organization in an effective way, fulfillment of their requirements is extremely essential. As, it might enhance their expectation and satisfaction and then the employees might become more involved in their assigned tasks that may offer effective results. However, in order to satisfy and retain the employees for a longer period of time, executive compensation is considered as the best strategy in this age as compared to others. References Balsam, S. (2002). An Introduction to Executive Compensation. London: Sage. Deb, T. (2009). Performance Appraisal and Management. New York: Springer. Gomez-mejia, L. R. & et. al. (2010). Compensation and Organizational Performance: Theory, Research, and Practice. USA: M. E. Sharpe. Goel. (2008). Performance Appraisal And Compensation Management: A Modern Approach. New York: Springer. Read More