1

Performance Management at Vitality health

STUDENT’S NAME
INSTITUTIONAL AFFILIATION
Introduction- HRM consultant: Introduction- HRM 2
consultant: Introduction- HRM consultant

This role of an HRM consultant basically deals with:

 Maintaining and establishing collaboration ties.
 Helping the company accomplish required outcomes.
 Evaluating the client’s and organization’s spectrum of internal
and external priorities.
 Evaluating all issues' linkages and interrelationships across
organizational boundaries.
 Exchanging knowledge and critical thinking processes to get
mutually accepted outcomes.
Management and Employee relation issues in the 3
Case Study

 First,the success chain allowed employees to unwind,

resulting in an ineffective performance management culture.
 Moreover, there were murmurs of dissatisfaction among the
marketing team about an increasing number of missed
product launches.
 The corporation also had a low staff turnover rate, which
was primarily due to top-performing scientists and
engineers who did not want to stay because they were
underpaid and their efforts were not appreciated
 Root Causes of the Problem 4

 The system was criticized for having an excessive number

of rating levels (ranging from A to E, including minuses
and pluses).
 Furthermore, the PMET discovered that certain managers
were effective in influencing employee rates based on their
own personal interests.
 The foundation of the problem is that managers have the
option to award their employees any level they choose
since the assessing criteria are too subjective
 Current Issues, Key Problems, And Company Present 5
Situation- (a) Selection and Recruitment

 The efficiency with which selection and recruitment procedures are

carried out has a profound impact on the performance of people hired.
 Human resources departments in both local and multinational
corporations are currently experiencing difficulties.
 Itis crucial for modern HR managers to broaden their perspectives of
judging people based on their background, ethnicity, values, and
origin so that they select the best and brightest from the existing pool.
(b) Career Growth and Development 6

 Careergrowth and development are actions taken by both

company and employee to enhance their understanding and keep
up with current events.
 Employees must be trained and developed so that they can deal
with all of the recent innovations that will be introduced to them.
 Theses days, training should not be limited to teaching workers a
single skill or piece of information; instead, it should put more
emphasis on the workers' overall career growth and
development.
(c) Promoting organization culture & 7

heterogeneous workforce
 Firms today have a diversified workforce, which is a good
thing since different minds lead to new ideas
and creations.
 Maintaining a culture in which people have distinct views
and communicating cultural values, on the other hand, is a
difficult process.
 Because of the prevalence of acquisitions and mergers in
the twenty-first century, human resource managers must
foster a culture that facilitates these transformations.
(d) Conflict management and resolution 8

Human resources managers must develop strategies

for coping with disagreements as soon as possible.
They must act as a mediator and react promptly to
an issue before it poses severe damage to a
company.
In order to handle employee complaints, HR
managers are required to give employees details
about the code of conduct.
 (e) Business ethics and values 9

 Anymanager's role necessitates careful consideration to

corporate values and ethics.
 Sincethe Human resources department interacts directly
with the employees of a company, it is bound to come
across a variety of challenges or ethical quandaries.
 Human resources departments must deal with a slew of
ethical concerns that can adversely impact a
company's professional image as well as its long-term
economic viability.
 (f) Flexible work hours 10

 For
a variety of reasons, including technological
advancements, people nowadays prefer to work from home.
 The
world wide web has developed a digital world and a
competitive landscape that is available 24/7.
 Because of the flexible work arrangements, Human
resources managers must maintain track of project successes
and setbacks on a regular basis. 
 When it comes to flexible work arrangements, this may
make it easier to take better actions in the future.
Comparison with Other Industries 11

 Dacadoo Company is the favorite and the undisputed competitor to Vitality Health
Service Company, having total funding of $75 million.
 This is attributed to the fact that the company has a set of best practices that
increases the company’s profit.
 Dacadoo Corporation combines these HR principles, and the impact is even more
profound. These practices include:
 Compensation that is equitable and performance-based
 Teams that are self-managed and effective.
 Hiring with care: Recruiting the Right People
 Employee security is provided.
 Employee Security 12

Work is a constant aspect of most people's

lives.
When employee security is threatened, the
consequences impact the whole firm.
Firms gain advantage from employee security
since it enables them retain employees.
 Self-managed and effective teams 13

 The most effective teams have a diverse set of cognitive

abilities and are psychologically secure.
 This means that team members can generate original ideas
and feel comfortable discussing them with the rest of the
team.
 One of HR's primary responsibilities is to create and foster
high-performance teams.
 Fair and performance-based compensation
14

 Job security, contingent compensation, and selective hiring,

work together to produce more value than they would alone.
 Paying staff more than the market rate has some drawbacks.
It keeps disgruntled employees from quitting.
 If, on the other hand, you are continuously hiring world-
class performers, you must pay them more than the average.
 Recommendations 15

 Even though the new Performance Management

System has made significant improvements over
the previous one, it nevertheless raises some issues
and causes dissatisfaction among management
and employees.
 As a result, some changes are required, and by
analyzing employee feedback, we can determine
which areas require significant improvement.
 Recommendations (1) 16

 Performance review and evaluation should not be done so close to choices on

remuneration and awards.
 Employees will be less honest and transparent in the appraisal process if they are
so close, as they will be more concerned that their evaluation would affect their
compensation.
 Furthermore, with this protective attitude from subordinates, managers will have a
harder time persuading them to be trained because if they cooperate and
acknowledge that they need to be coached, they are admitting that their work did
not fulfill the objectives
 Recommendation (2) 17

 The company's review cycle for performance evaluation

and annual objective must be different: performance
reviews must occur more frequently in order to place a
relatively strong emphasis on employee development and
to determine whether or not there is progress in employee
performance.
 Furthermore, if all employee reviews take place in the
same month, managers are unlikely to put forth much
effort.
 Recommendation (3) 18

 The company should also improve the accuracy of its

ratings. The new performance management system is good
at differentiating, but the labels make it seem ineffective.
 Instead of categorizing employees, performance
evaluations could be based on a list of key characteristics
and their respective levels of competence.
 Furthermore, the HR department could use performance
coding, which classifies an employee's performance
without assigning a label.
 Recommendation (4) 19

 As a result, another feasible option is to develop objective criteria to define each

of the rating levels for each of the characteristics being evaluated, as well as to
compare personnel.
 Nevertheless, the latest relative approach has proven to be excessively inflexible
and unsuitable, prompting some managers to argue that they are unable to select
the best performers and that they are just selecting high performers to satisfy the
HR department's distribution curve
 Recommendation (5) 20

Communication between HR and

operational levels is a crucial factor.
When managers continue to provide
uniform ranks, they are in violation of
HR policy, and HR is forced to adjust
rankings to reflect the distribution curve
 Conclusion 21

 Finally,rather than working assertively to weed out

those who do not meet performance standards, the
Human resources department should adopt tools
for developing talent within the company and
provide incentives, bonuses, and financial rewards
not only to the "top talents," but also to the
majority of other workers performing well, and, in
some cases, train those who do not..
 References 22

 Aguinis, H. (2019). Performance management for dummies. John Wiley & Sons.

 Arnaboldi, M., Lapsley, I., & Steccolini, I. (2015). Performance management in the public sector: The
ultimate challenge. Financial Accountability & Management, 31(1), 1-22.
 Bititci, U., Cocca, P., & Ates, A. (2016). Impact of visual performance management systems on the
performance management practices of organizations. International Journal of Production
Research, 54(6), 1571-1593.
 Buckingham, M., & Goodall, A. (2015). Reinventing performance management. Harvard Business
Review, 93(4), 40-50.
 DeNisi, A. S., & Murphy, K. R. (2017). Performance appraisal and performance management: 100
years of progress?. Journal of applied psychology, 102(3), 421.
 Gerrish, E. (2016). The impact of performance management on performance in public organizations:
A meta‐analysis. Public Administration Review, 76(1), 48-66.
 Van Dooren, W., Bouckaert, G., & Halligan, J. (2015). Performance management in the public sector.
Routledge.