Human Resource Management - Business Finance
Case Application “Growing Pains at Modern Office Supply” (pages 236-237 in the text). After reading the case annotated above, answer the following questions as noted on page 237 of the text: What important elements are missing in the performance
management process? In what ways would improving the performance
management process help improve discipline and morale at Modern Office
Supply? Explain ways the form used for hourly employees contributes
to errors and distortions in the appraisal process. How would you
revise the form to reduce those errors? Explain other steps that need
to be taken to further reduce distortions in the process.What type of appraisal method would you recommend that would
be more effective for the hourly employees? Construct an appropriate
form for the delivery driver position.How can the appraisal process for the managers be improved?Research: Find two to three online examples of performance
appraisals for hourly employees that are more effective than the example
in the case. Explain the elements that make your examples more
effective. There are no “right” or “wrong” answers, only well-substantiated opinions based on critical analysis. The requirements below must be met for your paper to be accepted and graded: Write between 750 – 1,250 words (approximately 3 – 5 pages) using Microsoft Word in APA style, see example below.Use font size 12 and 1” margins.Include cover page and reference page.At least 80\% of your paper must be original content/writing.No more than 20\% of your content/information may come from references.Use at least three references from outside the course
material, one reference must be from EBSCOhost. Text book, lectures, and
other materials in the course may be used, but are not counted toward
the three reference requirement.Cite all reference material (data, dates, graphs, quotes,
paraphrased words, values, etc.) in the paper and list on a reference
page in APA style.Please provide original work. No plagiarizing.**Note please find attached Growing Pains at Modern Office Supply” (pages 236-237 in the text).**
a_growing_pains_at_modern_office_supply__p._236_237.docx
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Case Application 10‐A GROWING PAINS AT MODERN OFFICE SUPPLY
“Sorry I’m late,” sighs Fatima as she flops into a chair next to you at a local coffee shop.
“Something came up at work. Lately, there’s always something going wrong.” Fatima is part of
your study group for the PHR certification exam that meets at the coffee shop once a week and
she’s having trouble making the weekly meetings on time. She goes on to explain that her job in
HR at Modern Office Supply has become one discipline problem after another and she doesn’t
know how much longer she can stand the negativity and tension. Modern Office Supply has 200
employees in two locations in Kansas City, selling office furniture and supplies from an original
“Warehouse Showroom,” and a second retail‐only location that opened 3 years ago. Fatima
joined the company 2 years ago after a college internship. She works with another HR manager
who has been with the company since it started 15 years ago. Fatima explained to the study
group that discipline and morale has been going downhill as long as she’s been there. Employees
are com- plaining that the family atmosphere is disappearing, and they are starting to feel
“disconnected.” She explains that the company picnic last week was a disaster, with most of the
warehouse staff showing up late after having their own pre‐party. “I didn’t tell Ben, the senior
HR manager, but I think they may have even met with a union organizer,” says Fatima wearily.
When your study group pressed Fatima for more information, she shared the following:
•
•
•
•
•
•
•
•
•
•
•
Ben has asked Fatima to make sure that performance appraisals are all up to date. She has
found that only 60 percent of the appraisals are current. She has met with indifference or
resistance from the managers who are behind in completing appraisals.
There is only one appraisal form for all nonexempt hourly workers. Ben created the form
several years ago so it would be fast and easy for supervisors to complete without much
training. Employees are rated either 1 (Poor Performance), 2 (Improvement Needed), 3
(Average Performance), 4 (Above Average Performance), or 5 (Excellent Performance)
on the following work traits:
Adaptability
Appearance
Communication
Decision making
Dependability
Interpersonal effectiveness
Quality of work
Quantity of work
Teamwork
Each trait has room for a supervisor comment. Space is left at the end for the supervisor to make
comments and suggestions and for the employee to write a comment.
• Supervisors complete the form quickly and often write “good job” or “can do better” in
the space for comments. Ditto marks are often used in the comment space rather than
repeating written comments. Completed forms are frequently sealed in an envelope and
given to employees with instructions to read them over and return them to HR with
comments and a signature. A few employees report that they haven’t received appraisals
in years, although their files contain unsigned copies of the forms.
•
•
•
•
•
Ben is sure that he’s trained the supervisors on how to complete the forms, but there
hasn’t been any training that Fatima has been aware of since she started with the
company.
Complaints from customers and coworkers about rude behavior and late deliveries
prompted Fatima to meet with delivery driver Gale today about improving his
performance. Gale felt he was being singled out as a minority and added, “I’m no worse
than any other driver here!” He produced a copy of his last appraisal form with 4 (Above
Average Performance) marked in every category except for Quality of Work and
Quantity of Work, which were marked with a 3 (Average Performance). Fatima took
quick look at the appraisals for four other drivers, including the ones that complained
about Gale, and found similar ratings in most categories except for Quality of Work and
Quantity of Work, which were marked with a 4 (Above Average Performance). Fatima
completed a written warning and made a note to speak to Gale’s supervisor.
Rosa, a new customer service representative, came to Fatima in tears because she thinks
her manager hates her. Her performance appraisal was a mix of 2 (Needs Improvement),
3 (Aver- age Performance), and one 4 (Above Average Performance) rating for
Adaptability. Rosa’s supervisor, Kelly, was surprised when Fatima questioned her about
the appraisal. “It’s a tough job,” she said. “Rosa’s only been here a year and she still has
a lot to learn. I can’t honestly say that she’s ‘Very Good’ yet. I only have a couple of reps
that actually deserve an ‘Outstanding’ rating.”
Evaluations of employees at the retail location seem to be higher and as a result, salaries
of the retail location employees have grown slightly higher than at the original warehouse
show- room over the last 3 years causing tension between the two groups of employees.
All managers are evaluated annually by Hector, Modern Office’s owner and founder. He
uses an MBO process that includes meeting with each manager to assess the prior year’s
performance and jointly set goals for the next year. Hector loves the personal contact
with the management staff, but growth and expansion in the last 3 years has left Hector
with more managers, less time for their assessment meetings, and little discussion about
personal performance the rest of the year. Hector doesn’t seem to review the prior year’s
goals before the meetings anymore, so managers are beginning to set easily achievable
goals, knowing that Hector is getting out of touch and that the meeting doesn’t have any
consequences.
Fatima adds, “Ben set up the performance management system years ago when the company was
about half the size it is now. It worked when Ben and Hector knew everyone, but we’ve really
outgrown it and it shows. We can’t afford a modern web‐ based system right now, but something
has to be done. All I do anymore is listen to complaints and file disciplinary warnings. Ben won’t
fire anyone who deserves it because the appraisals aren’t current and he’s afraid they’ll sue or
claim discrimination. I’m starting to hate my job.”
Your PHR study group agrees that the issues at Modern Office would be improved by applying
some of the concepts you’re reviewing for the certification exam. Fatima agrees and asks you to
help her create a proposal to improve the performance management process at Modern Office.
Questions:
1. What important elements are missing in the performance management process? In what ways
would improving the performance management process help improve discipline and morale at
Modern Office Supply? (LO 2)
2. Explain ways the form used for hourly employees contributes to errors and distortions in the
appraisal process. How would you revise the form to reduce those errors? Explain other steps
that need to be taken to further reduce distortions in the process. (LO 6)
3. What type of appraisal method would you recommend that would be more effective for the
hourly employees? Construct an appropriate form for the delivery driver position. (LO 2, 3, 4, 5
7)
4. How can the appraisal process for the managers be improved? (LO 5)
5. Research: Find two to three online examples of performance appraisals for hourly employees
that are more effective than the example in the case. Explain the elements that make your
examples more effective.
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