Reference no: EM133292541

QUESTION 1

1 Describe the trait approach of measuring employee performance (1 mark) and analyse how this approach can hinder the administrative and developmental purposes of the performance management process if it is used to measure employee performance (4 marks). (5) 

2 Briefly explain the role played by the Labour Relations Act 66 of 1995 and the Basic Conditions of the Employment Act 75 of 1997 in ensuring that the performance management process is fair and legal. (6)

3 Explain the concept of social loafing (1 mark) and provide examples of how the following methods of can help to overcome social loafing.

3.1 Make each performer identifiable {2}
3.1 Use punishment threats (negative reinforcement). {2}

Nandi graduated as an Internal auditor from the Sol Plaatjie University in 2018. After many years of looking for a job, he decides to apply for a job as a shop assistant at Lewatle Fashions, one of the new clothing stores in her village. As a new store, its main strategy is to build a stable customer base, therefore customer service is emphasised to its all employees. To make sure that each employee is contributing to this goal, each store assistant has a target of three clients per week to persuade into opening store accounts. The sad part is that store managers do not get paid if they did not persuade at least 2 new clients into opening store accounts. Nandi has just joined this organisation, and she realises that it is difficult to meet the set target. However, she is comforted by the fact that she is not struggling alone, even experienced store assistance who joined two and three years ago also fail to reach the set target. The performance appraisal of each store assistant is carried out quarterly to assess if employees are meeting their set performance target

4 Which performance measuring approach is used to measure shop assistants at Lewatle Fashions cc. (1 mark)? Substantiate your answer with reference from the scenario (1 mark). (2)

5. Do you think the approach you identified in question 2.4 is appropriate to measure the performance of the store assistants at Lewatle Fashions cc.? Justify your answer with reference to the scenario. (7)

QUESTION 2

PERFORMANCE REVIEW AT TSHEPONG Life1st COMPANY: TAKING SHORTCUTS

 Dimpho is a sales manager at Life1st, a large pharmaceutical company in Limpopo. The financial year will end in one week. She is overwhelmed with the end-of-the-year tasks, including reviewing the budgets to be allocated to Dimpho for the following year, responding to customers' phone calls and supervising a group of 10 salespeople. It is a very hectic time, probably the most hectic time of the year. She receives a phone call from the Human Resource (HR) Department: "Dimpho, we have not yet received your performance reviews for your 10 sales employees; they are due by the end of the fiscal year". Dimpho thinks: "Oh, those performance appraisals, What a waste of time!" From Dimpho's point of view, there is no value of completing those seemingly meaningless forms. She does not see her subordinates in action because they are in the field visiting (potential clients) most of the time. All that she knows about their performance are the sales figures, which depend more on the products offered and geographic territory covered than the individual effort and motivation of each salesperson. Moreover, she is not sure if her subordinates know exactly what is expected of them in terms of the targeted sales goals. The sales people also do not know of the strategies to follow and behaviours to display to ensure the achievement of these goals. They are also not sure if they have the necessary skills and knowledge to achieve their sales targets. Dimpho feels nothing happens in terms of rewards, regardless of the ratings she gives to her subordinates. The salary adjustments are based on purely on seniority rather than on merit. She has less than three days to submit her forms. What will she do? She decides to follow the path of least resistance: to please her employees and give everyone the maximum possible rating. In this way, Dimpho believes the employees will be happy with their ratings and she will not have to deal with complaints or follow-up meetings. Dimpho fills out the forms in less than 45 minutes and gets back to her "real job." After all, she has been doing this for six years now, and nobody in management ever complained about the way she manages her subordinates' performance.

1 Analyse Dimpho's approach to managing employee performance with reference to the six stages of a performance management process.

2 Spot (1 mark) and describe (1 mark) one rater error Dimpho is committing when she rated employees in the case study. Motivate your answer with reference to the case study (2 marks). (4)

3 Explain to what effect the way the performance appraisal is carried out at Life1st Company can have the administration, development, and strategic purpose of performance management. (3)