Question: Introducing performance management (30 marks) Ubuntu Trading is an import/export business operating in Durban, Kwazulu Natal. Mandla Mogale started it off many years ago as
Introducing performance management (30 marks) Ubuntu Trading is an import/export business operating in Durban, Kwazulu Natal. Mandla Mogale started it off many years ago as a sideline business as he pursued his 9am to 5pm IT job at a large firm. However, as the years passed, he started putting in more effort into his own business and after a while, he was at a point where he could resign from his job to focus on growing his business Mandia attended many entrepreneurial workshops where he networked with other entrepreneurs and leamod valuable lessons Mandla used all the knowledge he had gained through his formal studies and informal meeting with other business people to develop the business. It is now running as a small to medium caterprise and Mandla has 20 people working for him Mandla has been able to implement many of the systems and processes required for the effective functioning of the business. With the help of professionals, he was able to draw up a company vision, mission and strategie goals. He also had job descriptions written for him and a fair compensation system in place for his employees. However, the one aspect he had not anticipated was having this many employees working for him. From his own experience, he knows that he needs to keep his employees happy, committed and motivated. He understands that in order to do this, he needs to have an effective performance management system in place at the company. Unfortunately, he has no idea what is required in terms of the processes to follow or where to begin. He has only ever been in the receiving end of performance ratings and has no experience with managing performance After doing some research online Mandla decides that he will begin by having individual meetings with all his employees to discuss their needs, plans and goals for the upcoming year. He meets formally with all of his employees and has lively discussions with each of them regarding their plans at the company and for their lives in general but does not keep a record of what was discussed. These meetings appear to bear fruit as his staff are motivated to begin working However, over the following months, Mandla notices that some of the employees are not fulfilling their duties but decides not to say anything to them about it. He will discuss it with them during the performance appraisal meeting. At the appraisal meeting, many of the employees are shocked to hear that Mandia is unhappy with their performance and do not believe that they should be scared low on their performance rating Mandla believes he is helping his employees by giving them low tutings so that they can learn a lesson and improve their performance in the next period. He does not consider their views and proceeds with the initial ratings that he had decided on. This causes extreme tension at the company and starts affecting production levels. Mandla wonders whether he should re-evaluate the system or continue with it as it is. Questions 1.1 In the case study, Mandla creates an organizational mission, strategic goals and job descriptions. Based on your knowledge of the performance management process, discuss the factors that affect employee performance which Mandla should have thought of at this stage. (10) 1.2 Discuss the weaknesses of the performance planning meeting which Mandla had with his employee. (10) 1.3 Using information gained in this course and the case study, comment on the feedback practice and advise on how Mandla should be giving feedback to his employees