Running head: PERFORMANCE ISSUES
Performance Issues
Name
Course
Tutor
Date of Submission
PERFORMANCE ISSUES 2
The level of motivation within a particular organization is a great determinant of the level
of dedication that staff will show in their work. It is also a direct determinant of the productivity
levels within the organization. Therefore, it is important for an organization to put in place
proper policy measures to ensure that its staff are happy with the terms of employment and that
they have all the enabling tools to help them perform optimally.
XYZ is a manufacturing firm that has employees classified into different levels. There is
the management staff, the supervisors, and operational level of employees. The organization has
varying salary levels and perks for each of the three groups of employment. However, over the
last 12 months, the organization has faced dropped productivity levels and an increase in the
frequency of absenteeism at the operational level. The organization's human resource
management is predicting a possible increase in employee turnover because many lower level
employees are not feeling satisfied with the terms of remuneration as well as other perks the
organization is offering them (Boselie et al., 2011).
This issue of a lack of motivation can be broken down using the Maslow's theory of
motivation, which dwells on the different levels of human needs. The absenteeism can be put
down to a lack of dedication towards the objectives of the firm. Perhaps the employees are
feeling that their personal goals are not in tandem with the long-term plans of the company.
First, the company may not be doing enough in terms of providing employees with pay that is
enough to take care of their basic needs. Normally, a good pay should enable an employee cater
for food, shelter, and clothing. In addition, the employees should be able to live in a safe working
environment. About a decade ago, the wage levels paid to employees at the operational level
may have been enough to enable them attain a decent lifestyle (Boselie et al., 2011). However, as
PERFORMANCE ISSUES 3
the economy grows, a certain level of inflation is inevitable and employers need to remain
cognizant of this fact. The company should check whether it has adjusted its salaries to reflect
this increase in prices of basic commodities. One mistake made by companies is to change the
salaries of management level of employees and ignore the rest. Such mistakes ultimately lead to
a lack of dedication from employees.
Maslow's theory of hierarchy of needs suggests that companies must provide a
reasonable pay to its employees. The best way would for the company to check what other peers
in the industry are offering and match it. However, a company should have its own policy to
guide how it offers and adjusts salaries and wages. In addition, once these physiological needs
are taken care of, it is important to attend to the self-esteem and self actualization needs of
employees. This can be done by offering employees the chance to hold positions as supervisors
and even as managers (Boselie et al., 2011).
When employees feel that they have a chance to advance their careers within a given
organization, they will demonstrate a willingness to work harder. Incidences of absenteeism will
reduce because every employee wants to show their dedication towards the organization. In fact,
they will go and seek more qualifications because this increases their chances of scoring a
promotion.
PERFORMANCE ISSUES 4
References
Boselie, P., Paauwe, J., & Jansen, P. (2011). Human resource management and performance:
lessons from the Netherlands. International Journal of Human Resource Management, 12(7),
1107-1125.
Huselid, M. A., Jackson, S. E., & Schuler, R. S. (2007). Technical and strategic human resources
management effectiveness as determinants of firm performance. Academy of Management
journal, 40(1), 171-188.
Wright, P. M., Gardner, T. M., & Moynihan, L. M. (2003). The impact of HR practices on the
performance of business units. Human Resource Management Journal, 13(3), 21-36.
