FACULTY OF ECONOMICS AND FINANCE FINAL REPORT Topic: CARTER CLEANING COMPANY: THE PERFORMANCE APPRAISAL Subject: Human Resource Management Class: HRM 203DE01 Instructor: Dao Thi Ngoc
Trang 1FACULTY OF ECONOMICS AND FINANCE
FINAL REPORT
Topic:
CARTER CLEANING COMPANY: THE PERFORMANCE APPRAISAL
Subject: Human Resource Management
Class: HRM 203DE01
Instructor: Dao Thi Ngoc Mai
Student’s full name:
1 Nguyen Bach Hop – 22122747
2 Thai Thi Kim Hoa – 22123037
3 Nguyen Tuan Khanh – 22117872
4 Nguyen Viet Cuong – 22117908
5 Nguyen Thuy Hoang Yen – 22011428
December 2022
Trang 3TABLE OF CONTENTS
INTRODUCTION 4
MAIN CONTENTS 5
I CASE STUDY 5
1 Case summary 5
2 Mind map 6
3 Performance appraisal 6
4 Criteria to be evaluated 6
5 Quality standards that store managers should have 7
6 Accomplishments 7
CASE SOLUTION 8
1 Question 1: Is Jennifer right about the need to evaluate the workers formally? The Managers? Why or why not? 8
2 Question 2: Develop a Performance appraisal method for the worker and the managers in each store 9
CONCLUSION 10
REFERENCES 11
Page 3
Trang 4Performance Appraisal is an important part of Human Resource activities for
a company It was built and plays an extremely important role for today's businesses It is both a factor that can help promote the working spirit of employees
in the enterprise and help them understand their working position and work performance to make appropriate adjustment measures fit In addition, an enterprise that wants to keep growing in the business environment cannot ignore performance evaluation in the company's human resource management So how does the performance appraisal affect the business? To answer this question, group 5 decided
to make the performance evaluation chapter 8 report In addition will analyze the situation for the cleaning company Carter and provide ideas to propose the best possible performance assessment method for the cleaning company The specific objectives of this case report are as follows:
To identify a suitable appraisal method for a small company like Carter Sanitary
To see if appraisal helps supervisor better assess employee performance
To create a basis for employees to correct their mistakes through evaluation
To recommend ways to improve employee engagement through appraisal
Trang 5MAIN CONTENTS
I CASE STUDY
1 Case summary
Essentially, the issue is discussing whether the carter cleaning company should adopt a formal performance appraisal method to evaluate its entire staff In fact, the company is owned by Jack Carter and the head of management of the company, who runs the business in his own way He doesn't have any formal methods to measure employee performance and doesn't have any reports on employee turnover rates Most of his employees worked there for a short period of time because they felt uncomfortable in their position so they decided to leave But now the company has expanded to more branches with 6 stores with a manager in each store on 6 different locations Things started to change when Jennifer was the daughter of Jack Carter, a business college graduate During her time at her father's company, she observed these problems She wants to bring about some change in the company Now she wants to turn her father's "informal business method" into a more formal one
1.1 Case translation
Về cơ bản vấn đề đang thảo luận về việc liệu công ty vệ sinh Carter có nên
áp dụng phương pháp đánh giá hiệu suất chính thức hay không Thực tế cho thấy là công ty do Jack Carter sở hữu và người đứng đầu quản lý công ty, người điều hành công việc kinh doanh theo cách riêng của mình Ông ta không có bất kỳ những phương pháp chính thức nào để đánh giá hiệu suất của nhân viên và cũng không có bất kỳ báo cáo nào về tỷ lệ doanh thu của nhân viên Hầu hết nhân viên của anh ấy đều làm việc ở đó trong khoảng thời gian ngắn bởi vì họ cảm thấy không thoải mái cho vị trí của mình, chính vì thế họ đã quyết định rời đi Nhưng bây giờ công ty đã
mở rộng thêm nhiều chi nhánh với 6 cửa hàng cũng với một người quản lý ở mỗi cửa hàng trên 6 địa điểm khác nhau Sự việc này bắt đầu thay đổi kể từ khi Jennifer con gái của Jack Carter, một sinh viên tốt nghiệp đại học kinh doanh Trong suất thời gian làm việc ở công ty của bố mình, cô đã quan sát thấy những vấn đề này Cô
ấy muốn mang lại một số thay đổi trong công ty Bây giờ cô ấy muốn biến “phương
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Trang 6pháp kinh doanh phi chí thức” của cha mình trở thành một phương thức chính thức hơn
2 Mind map
3 Performance appraisal
Performance appraisal is a process to evaluate and document how effectively
an employee is performing his or her job It is part of the company's performance management system
Performance appraisal are based on an employee's progress against the goals set once a year with their manager Typically, employees and managers will sign up throughout the year; At the end of the year, the manager assigns an overall rating The evaluation process provides employees with job feedback, helps managers make decisions about pay raises and bonuses, and identifies areas for improvement Continued underperformance may result in a warning or dismissal Because performance reviews affect an individual's employment journey, it can be stressful for employees
Trang 74 Criteria to be evaluated
There are many criteria for evaluating employees according to different job positions Here are 4 basic employee evaluation criteria:
Quality: the receptivity, carefulness, thoroughness in work, task and the level
of meeting standards of work
Quantity: In this criterion, the manager evaluates the employee's work efficiency based on the KPIs that they have set in accordance with the position and work of each different employee
Attendance timely attendance at the workplace and meetings
Punctuality: It is necessary to comply with this rules and monetary conditions set forth by the company
5 Quality standards that store managers should have
Store Cleanliness: A clean and hygienic working space will show the level of professionalism of a company, thereby attracting many potential customers to cooperate and create a comfortable feeling for employees to work
Efficiency: The output rate of each employee this ratio helps determine how efficiently a company can employ its employees and contribute to its business growth
Safety: A good working environment will be a factor that creates favorable conditions to promote employee's work productivity, creating conditions for employees to develop capacity and professional skills
Adherence to budget: It is necessary to comply with the rules and monetary conditions set forth by the company
6 Accomplishments
A proper performance review will allow Carter Cleaning to have a clear idea
of where the business should go and whether employees understand the vision and can connect with routine activities their day or not Moreover, the fact that managers can listen to and absorb the views of employees will make employees feel happier and work better Besides, a manager can understand what interest employees and how they contribute to the success of the business This understanding only truly grows through the reciprocity and openness brought about
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Trang 8by performance appraisal Ultimately, performance reviews will deliver the results the business most wants To achieve this effect, employees need a system of adjustment, and managers need to constantly review how they work to continuously improve Similar to when you buy a new appliance or machine, it usually comes with a well-explained instruction manual
Trang 9CASE SOLUTION
1 Question 1: Is Jennifer right about the need to evaluate the workers formally? The Managers? Why or why not?
Performance reviews help organizations understand employee performance and provide feedback based on their performance If the staff perform well, they will receive recognition and motivation from the organization
It also helps them come up with ideas for a higher compensation program so that employees are always motivated to do their jobs Because if there is no satisfaction between employees and the organization, it will be difficult for the company to achieve its goals Carter Cleaning also had a high turnover rate The reason behind is because they don’t have a compensation plan, lack of proper performance appraisal, which leads them to not be able to come up with a reasonable compensation plan and hence their turnover ratio is high To reduce these costs, they should have appropriate compensation plans in place, and performance reviews are required
Jennifer also believes that there are criteria such as Quality, Quantity, Attendance, Punctually, Sincerity, Behavior, Efficiency that should evaluated periodically even if a worker is paid on piece rate Furthermore, she is also right that managers need to have a list of quality standards for matters such as store cleanliness, efficiency, safety… it provides better results in the eyes of customers These specific standards help organizations and their employees know what to do There are five main reasons to appraisal performance
Firstly, appraisals will maintain data of all representatives on their nature and absence
Secondly, it will help follow their progress and provide feedback
Thirdly, appraisals assist in finding the best employees for higher career positions with the right aptitudes
Fourthly, the appraisal creates the right communication in the organization, where supervisors and employees can communicate more easily
Finally, it motivates reps to work and achieve goals more effectively
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Trang 107 Question 2: Develop a Performance appraisal method for the worker and the managers in each store.
If you are finding a better method of evaluating, in full aspect, the company culture, employee performance of practice and business operation, you may consider applying the Paired Comparison Method
The Paired Comparison Method When Jack uses this method, each month Jack (or his line managers) could compare each subordinate based on the suggestions from Jennifer on: store cleanliness, efficiency, safety, and adherence to budget This method also provides an opportunity for each of Jack's stores to have
an "Employee of the Month " to raise morale and create healthy competition thus boosting sales But we should keep in mind when developing appraisal methods, the following things should be kept in mind:
Meetings should be held to clearly explain the purpose, application procedures, and how the results will be collected
Provide training for the person responsible for the assessment, where they will be instructed on how to give valuable and objective feedback
Based on the evaluation results, the company can find employees with high performance, excellent job performance, and if it is discovered that employees have the opposite criteria, it is necessary to offer training methods create suitable
Trang 11CONCLUSION
Performance evaluation is a necessary job that can bring a lot of value in both the short, medium and long term to organizations and businesses The same goes for cleaning companies, if Jack applies and considers performing performance evaluation in a methodical and professional manner with an appropriate frequency, this process is not only to recognize worthy employees but it is also effective in retaining talent and helping him save costs in recruiting or training a new employee Thereby, Jack can implement some useful strategies for the growth of his company based on the time and cost that he saves
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https://www.indeed.com/career-advice/career-development/define-performance-appraisal
https://www.investopedia.com/what-is-a-performance-appraisal-4586834
https://adecco.com.vn/vn/knowledge-center/detail/quy-trinh-danh-gia-hieu-suat-cong-viec
https://www.scribd.com/embeds/274086189/content?
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