GE is a company that illustrates the significant impact of a CEO on a company's progress. The company's success is attributed to the CEO's assertiveness in seeking new ways and strategies beyond their core business. The company's success is determined by four key tasks: delivering strong short-term performance, regardless of market reactions and competition, allocating resources to enhance organizational capabilities and achieve medium-term improvement, aligning the talents and efforts of all employees, and adapting objectives over the long-term to keep up with changing business trends. This is particularly important as customer expectations undergo radical changes.
As the market grows at a 5% annual rate and the stock market seeks 15% returns, companies face pressure to increase shareholders' value in the short-term. Building a pipeline of future leaders is key to sustaining business. To do so, companies must identify high-
...potential employees and assign them projects that challenge their skills, with guidance from senior executives. Initially, there may be negative reactions, but effective mentoring and coaching from senior managers is crucial.
It is important for young managers to possess key skills like planning, budgeting, performance management, and compensation. The management must offer incentives to reward those who excel at these tasks. The company focuses on providing freedom to its staff in performing their duties, while ensuring that quality results are achieved for the benefit of both the company and the customers. This approach has yielded positive outcomes. Learning is done through a collaborative process, allowing anyone to learn from everyone else.
The company allows key employees to follow their own learning path instead of being constrained by a formal plan. This approach acknowledges the diversity of opinions, interests
and information among employees in different departments, such as development and operations. The two groups may try to influence decisions regarding the organization's direction and resource allocation to serve their own interests. The company does not impose a strategy and encourages independent thinking.
The company aims to address contradictions by involving representatives (specifically, GMs of departments) from each influential group in the decision-making process. The company needs to negotiate the execution of decisions with both group members to ensure smooth implementation. Decision-making practices are heavily influenced by an organization's culture. In this case, the prevailing culture is primarily risk-averse, with decision-makers striving to balance shareholder satisfaction with maximizing their utilities.
There were several issues encountered with Performance Management. The original release was inadequate and did not account for the unique categories of employees, such as accountant, engineer, and maintenance supervisor. It appeared that the content had been copied from another source. Despite covering knowledge, skills, attitude, quality of work, productivity, and communication in the evaluation process, it was challenging to assess due to insufficiently studied responses.
The second release was prepared differently but its effectiveness is yet to be proven. However, it still does not differentiate between employee categories. In addition to self-assessment by employees at the start of the appraisal process; their supervisors also discuss and agree upon their performance.
The organization did not give much consideration to action strategies. The HR manager's belief is that an employee should rarely receive a full or very good score on their appraisal. When I presented my appraisal, he asked if I thought I was the best architect in the world. I responded that I would be the best
if judged based on my job assignment. The same experiences were seen in the organization's reward system. The performance-related pay was better before the inappropriate appraisal system was implemented, where managers relied on observed performance. There are limitations to the bonus, and it cannot exceed two months. This goes against the company policy of awarding good awards to deserving employees, which affects employee stability in a competitive marketplace. There is no clear method of ranking or job classification.
The Company can improve its incentive program by following the detailed guidelines that focus on the benefits of good work by employees and how it contributes to progress and stability in the organization (HR Recruitment, n. d.). The Performance Management process consists of the following parts.
Employee Performance Management involves a series of steps that include establishing performance goals, creating performance plans, observing and providing feedback, evaluating performance, rewarding good performance, identifying and addressing performance gaps, implementing performance improvement or development plans, and if necessary, terminating employees. These steps show that performance management not only focuses on improving job outcomes, but also on helping employees develop and grow. However, persistent poor performance may lead to termination. (Adapted from Employee Performance Management, n.d.)
In this paper, it can be concluded that the current Federal Government aims to provide incentives or payment for work plans. However, like most other companies, a clear and comprehensive set of guidelines and legal policies is necessary to effectively implement such strategies.
According to the Free Management Library, incentives prove to be an effective way to enhance company operations, specifically IT services. To achieve this, the organization requires strong leaders, not just managers who can bring
about change.
Source: "Employee Performance Management" retrieved from http://www.managementhelp.org/emp_perf/emp_perf
The source of information for "HR Recruitment" from Captaris can be found on their website http://www.captaris.com/workflow/solution_scenarios/HR_Recruitment. The date of retrieval is unknown. The information is presented within .The data regarding Maslow's Hierarchy of Needs is accessible on the free online resource, Wikipedia. This information was obtained on November 27, 2007, from http://en.wikipedia.org/wiki/Maslow's_hierarchy_of_needs. Relevant details may also be included in the Strategic and Operational Plan 2006-2010 of the United States Office of Personnel Management.The source of information is http://www.opm.gov/strategicplan/2006/StrategicPlan_2006-2010.pdf, retrieved on an unknown date.
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