Human Resource Management - Hrm 601

CASE 1

Goal Setting

1. Performance appraisal is an important process for any organization, large or small. The effectiveness of a company& its performance appraisal efforts will depend on a number of factors, including how well documented and communicated the process is, training for managers and supervisors, the evaluation and analysis of results and ongoing improvement efforts.

Current Performance Appraisal Process at Financial Security Investment

Although at Financial Security Investment, there was a Performance Appraisal process in place, it was not clearly defined. The process was not documented and there was no transparency in the evaluation process. The SMART goals and objectives were not clearly laid out which could measure and evaluate the performance of an employee. There were no standardized evaluation forms, so there was no consistency in the existing process.

Brook’s Manager’s behavior

When Brook had confronted his manager regarding his promotion versus Baskin’s promotion, the manager’s de-motivating response was that “she is just really good” without providing any further information. The approach for Brook’s promotion was subjective and it did not warranty any upgrade. It also shows the manager’s lack of leadership skills and unprofessional approach.

FSI role in the current appraisal process

Brook’s request for promotions and his applications for higher positions in the company were rejected. This was mainly because there was no proper documentary evidence from his previous appraisals, although he performed well, to give him a strong ground to prove his value in the company. The company was not able to identify Book’s areas of strength and areas where there may be opportunities for improvements because of lack of documentary support. Hence his chance for a promotion was very dim. Financial Security Investment should re-structure their Performance Appraisal process, so the employees are fairly rewarded.

1. Two HR recommendations for FSI

Employee Management 

The HR Department should have a well structured standards and procedures for managing its employees in terms of training, discipline, annual review and employee morale. This also should include employee recognition and wellness programs. There should be proper documentary back up of all the procedures and standards set-up for future reviews. The HR should also work with the respective Line Managers on a case-by-case base to ensure each employee is treated fairly and helped to reach his maximum potential. As cited in the case, David Brooks was an outstanding employee and also a good team player. His excellent performance was also highlighted by the company. Despite all this, Brooks requests for promotion within the company was denied. This was mainly because all his achievements within the company were never documented by the HR and hence they could not appraise him to identify if he truly deserved a promotion.

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