Reference no: EM133935513
Case study
AusShip Logistics is a medium-sized Australian logistics and distribution company. It provides warehouse storage, freight transport, and last-mile delivery services for its clients. The company has expanded in recent years due to the growth of online shopping. AusShip recently introduced new technology systems to improve efficiency, including automated inventory management and GPS tracking for deliveries.
AusShip's workforce is divided into three main groups:
Warehouse staff (100 employees): Responsible for packing, handling, and dispatching goods. Their performance is measured against efficiency and accuracy metrics available via the new technology system. They are paid hourly wages based on the industry award.
Drivers and delivery staff (80 employees): Responsible for delivering goods and interacting with people receiving the goods. Performance is measured against on-time delivery and accuracy metrics available via the new technology system. They are paid hourly wages based on the industry award.
Managers and supervisors (30 employees): Responsible for scheduling, quality control, and client relationship management. They receive competitive salaries, slightly above the industry benchmark.
All employees, including managers, receive a small annual bonus linked to company-wide profit targets. Many employees report feeling that their contributions are overlooked. Employee turnover has begun to rise, leading to higher recruitment and training costs. Absenteeism is also increasing, and employee engagement survey results suggest declining morale.
The leadership team is now seeking to implement a performance and reward system that motivates employees, recognises diverse contributions, and supports AusShip's strategic goal of delivering efficient, customer-focused logistics services.
Question
a) Explain the likely reason(s) for decreased employee engagement at AusShip.
b) Explain how AusShip should measure performance in the new performance and reward system. Justify your recommendation with reference to the company's strategic priorities. Get top-notch online assignment help now.
c) Explain how AusShip should reward its employees under the new performance and reward system. Justify your recommendation with reference to the company's strategic priorities.