human resource 460

HRM 460 Individual Assignment 1 Case: Implementing a Performance Management System at Accounting, Inc.| 15% of Final Grade

Chapter 5: Performance Review Fall 2020

Name: _________________________________ ID:_______________

Read the attached case and answer the questions at the end of the case:

Accounting, Inc. is a consulting and accounting firm headquartered in Amsterdam, the Netherlands.

Recently, Accounting, Inc. implemented a performance management system. The first step in the

implementation of the new system was the development of a set of core competencies that would be

used to evaluate most employees regardless of function or level. In addition, each employee was

evaluated using more job-specific performance dimensions. As the first step in the communication

plan, the employees received individual e-mail messages asking them to define what the core

competencies meant to them and to give descriptions and examples of how each of the core

competencies played out in their specific positions. Next, the company held meetings, handed out

frequently asked questions (FAQs) sheets, and placed posters around the company detailing how the

core competencies were related to the organization’s strategic priorities and how performance scores

would be related to monetary rewards. In these communications, Accounting, Inc. detailed how the

performance system worked, how the raters were chosen, how performance feedback was used, and

other details about the system. The information also outlined the benefits employees could expect

from the new system as well as employees’ responsibilities regarding the system. When the system

was implemented many employees were not happy with the scores and the type of performance

feedback information they received from their supervisors.

After the performance system had been put in place, Accounting, Inc. implemented several measures

to evaluate the system. First, the company distributed an employee survey to assess employee

satisfaction with the new system. In addition, the HR department examined the distribution of ratings

to determine whether scores were being influenced by leniency, central tendency, or severity biases.

Finally, the HR department kept track of the allocation of rewards in the various departments to

ascertain whether any departments stood out.

Questions:

1. Design an appeal process for the company to handle the employee’s complaint. (50 Marks; 500 words limit)

2. What other types of data can be collected to assess the effectiveness of the system? Explain the kind of information that each measure would provide? (50 Marks; 500 words limit)