Performance Management Plan – Traci Email Scenario

The paper is based on Traci Email on the Atwood and Allen Consultation page. The paper involves the development of a performance management plan required by Bradley Stonefield for a new limousine services business that is intended to operate in Austin, Texas. Bradley intends to obtain the best performance management plan for 25 employees with a turnover rate of 10%, and a revenue of $50,000 and a growth of 5% after a number of year. Therefore the plan must maximize on workers retention and high performance to attract high revenue and considerable growth. The plan will focus on establishing the legal requirement for employment, the best compensation system to employ to enhance motivation, retention and high attraction of great talent. It will also focus on the best performance measures and performance appraisal to enhance commitment, and standard services. The plan will also focus on the best form of communication to employ to enhance performance.

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Compensation Plan

The compensation plan of any company is highly influenced by legal requirements of a state and the nation. In this case, the compensation plan must satisfy Texas legal requirements. The Texas compensation law demands that an employer should offer insurance for any work related injuries. This is a law that this business should consider among other compensations since it involves vehicles which are capable of causing accident and injuring the driver among other workers offering services to the customers in the vehicle. Employees in private sectors should receive a minimum of 88% of the defined state average weekly wage (SAWW) for the job description. In case an employee is injured in the workplace, the employee should receive temporal income benefit of 100% of SAWW, 70% of SAWW impairment income benefit, 70% of SAWW supplemental income benefits, 100% of SAWW death benefits and 100% of SAWW lifetime income benefit for the initial year an injured individual received this benefit (TDI.Texas, 2015). An employer is then required to have an employment contract with the employee, which will be used to define all other compensations that an employee should receive or be denied. The employee has the right to know his or her benefits or benefit denied before joining the workforce. Thus the work contract needs to be read, understood and signed before an employee joins the workforce. The company should put all this into consideration when defining basic compensation for the workers.

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Beside the legally defined benefit, the company can consider giving its employees more benefits to motivate them. These benefit include paid leaves, incentives for good performance, salary increment and promotion for good performance and academic advancement. In addition, the company should consider nurturing career development and personal development by offering paid study leave for a worker with a minimum of three working period in the company and with good work performance. This will encourage workers to maintain a good performance record to enjoy the company’s benefits. The company should consider providing good treat to workers any time their performance goes beyond the anticipated. This would include holiday package, vouchers, or family tripe for all workers. This will encourage them to always focus on surpassing the set limits and this boosting the organization performance (Aguinis, 2011).

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Performance Measure

The business will consider measuring the employee performance using a number of ways. This includes management by objective where the business managers will ensure that the employees’ individual goals align with the company’s goals. The main goal in this case is offering high quality services to the customers with a high level of efficiency and reliability. Other performance measures include measuring the level of customers’ retention, number of referrals from old customers, and customers’ feedback. In this regard, the company should develop an electronic performance measurement system where which workers will gain point based on each of the above stated aspects directed to an individual or a team. This will assist in measuring individual performance based on observation and tangible results of great or poor performance (Sagepub, n.d.).

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Performance Appraisal

The company should also focus on developing individual’s workers appraisal with intention of improving the organization performance, rewarding or promoting good performers, and terminating poor performers. The appraisal should also focus on improving operation processes and identifying any resources deficiencies which interfere with effective performance of the business. The appraisal should include both oral dialogue and written questionnaire. It should focus on individual understanding of his or her job description, roles and responsibilities, individual ability to resolve conflicts and to handle other challenges experienced during normal operation. This information should be used to develop training plan, change of operation process, making decision on resources purchase, to promote workers, change duties, or to terminate an employee.  The appraisal should be done on yearly basis to ensure that organization performance is always efficient (OPM, 2011).

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Communication Strategies

Communication is very essential for enhancement of performance in any organization in the world. The business should adapt the best communication technique to foster team work, collaboration, ideas and information sharing. In this business, effective communication will be very essential to enhance the relation between the business and its customers and also between the management and the employee. The best form of communication to employ in this case is open communication. Open communication enhances two way communication where workers can pass their concerns, grievances, and share ideas through open communication. To enhance this form of communication, the company will consider conducting regular meeting with employees to address work challenges and to raise concern regarding any form poor performance or aspects that may need to be addressed to enhance performance. Communication can further be enhancing by allowing direct email communication with the management and supervisors while need. Involvement of employees in developing new ideas makes them to feel more valuable, and as part of the organization. This increases on their motivation and thus, contributing more towards the organization performance goal (Sagepub, n.d.).

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Performance management plan is a complex document that focuses on all aspects that may influence the organization performance. Employees are the most important organization assets since they highly determine the quality of services provided in any organization. In this regard, effective management of workers and effective address to their concern can highly determine the organization performance. In this regard, the organization performance is normally determined by how well an organization will manage to satisfy its employees based on the given compensations and benefits, incentives and other motivational factors like good work environment among others. However, this is not the only needed measure, the organization need to measure individual performance using the most effective techniques and also to recommend for change or improvement. This performance measurement may demand for termination or promotion of some employees based on their level of contribution to the organization performance. In this regard, the organization performance management plan must be effectively integrated to enhance performance in all possible ways.

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