Landslide Limousine - Performance Management Paper

Performance Management Plan

Brianna Rodriguez

HRM 531

March 14, 2016

Dennis Cashman

Performance Management Plan

        Performance management framework is vital to the success of Landslide Limousine. There are multiple aspects that need to come into play in order for the performance management plan to be successful. It must align with the business strategy, take into consideration the performance philosophy, utilize a job analysis process, determine a method for measuring employee’s skills, determine a process for addressing skill gaps, and establish an approach for delivering effective performance feedback. Atwood and Allen will be providing suggestions on a performance management framework that will setup Landslide Limousine on a path for success.

Organizational Business Strategy

        In prior conversations, Mr. Stonefield had informed us that his business strategy was to provide first-class personal transportation to customers in the Austin, Texas area. Mr. Stonefield had also mentioned that the anticipated net revenue for the first year, would be $-50,000. It is also expected that there will be a 5% net revenue increase over the next few years, along with an estimated 10% turnover rate. After reviewing the short term and long term goals, Atwood and Allen is confident that we can establish a performance management framework that will align with the business strategy.

Organizational Performance Philosophy

        In order to create a performance management framework for Landslide Limousine, it is imperative to identify the organizational performance philosophy. For this company to be successful in the competitive market of the Austin, Texas area, the philosophy needs to be based off of providing the best customer service. To achieve this, all employees need to be aware of what is expected of them. The team at Atwood and Allen suggests using behavior-oriented rating method as a way to evaluate employees.  An effective and fairly simple approach would be to create a behavioral checklist based on questions asked on Landslide Limousine’s customer satisfaction survey. Another beneficial method would be to evaluate each employee using a graphic rating scale. Graphic rating scales are set up with rating factors down one side, such as attendance, appearance, and relationships with people, and level of performance across the top. This information can be obtained from customer feedback and individual evaluation (Cascio, 2015).

Job Analysis Process

        To create a solid performance management framework, a job analysis should be done to determine the skill set that will be needed from potential employees. According to Cascio (2015), “job analysis is the process of obtaining information about jobs and usually includes information about the tasks to be done on the job, as well as the personal characteristics (education, experience, specialized training, personality) necessary to do the task” (p. 165). Numerous methods can be used in order to determine the skills needed for employees to be successful. We have narrowed it down to the two methods we believe would be the most beneficial. First is the observation method. In this method, an observer would be sent to study a worker and see exactly what their day to day activities look like. This method is great because it would allow a deeper view into the job, whereas just having someone tell you what they do, may not have the same impact. The other method we would suggest that Mr. Stonefield use, is the structured questionnaires method. This method is great to use because it is typically cheaper and a lot faster to administer. They save both time and money because they can be completed outside of working hours, avoiding any loss of productive time. By giving out the questionnaires a large number of people can be reached quickly. The downfall of the questionnaire is that there is a chance for misunderstandings, since those taking the questionnaire are most likely not going to be present to explain their answers (Cascio, 2015).