High Level Performance Management Cycle Plan – Motor Services Company

This performance management cycle plan is for a mature, medium size company that offers motor services and is funded through government bonds. The plan briefly looks at the goals of the company, performance appraisals and reviews, individual development plan, organizational chart, employee and supervisor plan, training and development and well as employee feedback.

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The major goal of the performance management cycle plan is to ensure that employees are effectively contributing to the company’s mission and vision statements by being committed to respond to the needs of its stakeholders (Bacal, 2011) who in this situation are the community served by the company. Further, the plan will ensure that there is efficient product and services delivery and distribution, reduced number and frequency of customer complaints and improve response time to customer inquiries. By enhancing efficiency of delivery and distribution, the company should reduce costs, since time is money, consequently leading to more competitive pricing; a current weakness of the company.

Performance appraisals and reviews

Whereas traditionally companies have had annual appraisals and reviews, the company will adopt continuous appraisal and review through adoption of performance appraisal technology (Armstrong, 2017). This will involve software that is filled fortnightly by both the employee and the line manager. Individual employee appraisals and reviews will thus be easily and constantly accessible to all the managers above them in the organizational structure. The adoption of performance appraisal software is in line with the opportunity to streamline decision making with a view to overcoming the stifling bureaucracy existing in the company at the moment and embracing open communication as captured in the company’s vision statement.

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Individual development plan

Employees will set a personal development plan consisting of SMART objectives that take into account their present and required skills, knowledge and attitudes. This should tally with their job requirements and should be reviewed in conjunction with their supervisors to ensure that they align with the company’s goals of improved efficiency and better customer service as well as the values of integrity, responsibility and profitability. The individual development plan should also set out how the employees will achieve the SMART objectives (Bacal, 2011).

Organizational chart

The company is highly structured with various hierarchical levels right from the president to the division and project managers. Each management level will be responsible for performance management of employees directly under their supervision. Nonetheless, intervention by more senior managers will be encouraged when needed. Adoption of performance management software will make such intervention easy.

Employee and supervisor plan

Supervisors will assist employees in setting and achieving the SMART objectives. This will be specific, measurable, achievable, relevant and time-bound. Achievement of the objectives will be dependent on the supervisors ensuring that the employees have the requisite knowhow through coaching and training(Armstrong, 2017). Further, the supervisors will track employee performance through constant review of goal progression, performance, training and advancement opportunities; providing appropriate feedback to motivate the employee or mitigate any obstacles.

Training and development

At the moment, the company’s development needs coalesce around enhancing customer service, efficiency and innovation. This is so as to achieve the company’s present goals of reducing delivery and distribution time and having better customer response. It also addresses a major weakness of pricing. Further, there should be training geared towards invention and innovation so that the company can update its products or develop new ones.

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Employees who excel at their work can be rewarded with promotion with a view to filling the managerial positions of the managers about to retire. The managerial competencies of such employees can be enhanced through training in management (Bacal, 2011). Training of managers will be determined by the senior management who include the president and vice presidents.

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Unlike previously where training was company-wide, most training and development needs will be coordinated at the departmental level, with the department and division managers determining the training needs of individual employees depending on employee roles and responsibilities as well as appraisal and review. For example, managers in the production department can determine which employees need training in efficiency, innovation and or regulations.

Employee feedback

During the constant reviews, employees and their supervisors will discuss the employee achievements, with the employee providing feedback about their performance with regard the extent of the fulfillment of the SMART objectives (Armstrong, 2017). They will lay out any learning acquired and obstacles encountered in the process. Further, they will discuss their career goals vis-à-vis company goals so as to agree a plan of action with their supervisors.  

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Traditional performance management has been pegged to annual appraisals and reviews; a situation that has been overwhelming and stressful to employees and their supervisors. Hence, an agile performance management cycle plan is recommended for this company to ensure continuous review of performance and constant feedback for better achievement of personal and corporate goals as well as the company’s mission and vision. This is possible through utilization of performance management software that engages employees, supervisors and senior management through sharing of action points, scheduling of check-ins and enabling of real-time feedback (Armstrong, 2017). In so doing, performance goals and individual development needs are set, monitored and directed regularly.

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