ConnectPlus: Aligning HRM with Strategic Objectives
According to the handout, ConnectPlus has been profitable over the decade of its existence yet productivity at the company has recently decreased. In the past several years the workers have displayed diminished innovation, higher turnover and absenteeism, and overall sluggish performance.
Prior to Judith Thompson’s hire, the department managers had no systematic HRM practices established leaving the organization to rely on several different methods of employee management. The lack of consistent performance appraisal standards, the established compensation system that applies to all employees throughout the company, and the training practices has likely contributed the high absenteeism and turnover at ConnectPlus. The company may attempt enhance its recruiting efforts by venturing out to local community colleges coupled with high school within at least a 25 mile radius. Although recruiting is not a current issue, the fact that employees are recruited regionally may be a factor in regards to retention.
ConnectPlus has two primary objectives to be successful in the future. First, the company must continue its growth strategy and second, it must enhance the innovate nature of its workforce. The founder, Jim Heinrich, also wants a HRM function developed to address the absenteeism and turnover problems.
This organization is failing to accurately manage employee performance and finding it unable to meet its organizational goals. An effective performance management system needs to be developed for the organization: it should be easy to use, link employee goals to ConnectPlus goals and objectives, measure employee performance to be linked with compensation, allow employee feedback, and be conducted on an established time frame. Since ConnectPlus designs and produces communications software, I would suggest that a Web-based system be designed specifically for appraisals.
Organizations are finding that they can no longer increase wage rates by a certain percentage each year without some equivalent increase in performance. In accordance, ConnectPlus should compensate its employees using a pay-for-performance program in an effort to continue its growth strategy and the enhancement of the innovative nature of its workforce. According to Decenzo , “from a motivation perspective, conditioning some or all of a worker’s pay on performance measures focuses his or her attention and effort on that measure, then reinforces continued effort with rewards. Proper training and development can also assist the organization with the enhancement of the innovative nature of its workforce.
Training and development will help the employees maximize their potential within the organization; the enhancement of the employees’ personal qualities will lead to greater organizational productivity. First, the training needs of each employee need to be determined to define where deficiencies lie. Goals that are tangible, timely, verifiable, and measurable should be established and clear to both the employee and the supervisor. The method of training, rather on-the-job or off- the- job needs to be appropriate for the skill and the employee. The training should be judged by its contribution to performance, where performance is a function of skills, abilities, motivation, and the opportunity to perform .
The 12 sales associates employed by ConnectPlus can be evaluated by various criteria. One standard to be measured is quantity/performance; did the associate meet the established goal in terms of sales? Another standard to measure is time management; were the goals met in accordance with the established timeframe; does he/she use company time wisely? Quality could also be measured: did the associate meet company standards in regards to accuracy skill, and providing excellent customer service? Knowledge is another standard to measure; does the associate possess