Question1

Discuss how you would manage under performance of employees in your organization or

any organization of your choice

‘Underperformance’ is a situation where an employee is failing to meet or maintain the

required standards of job performance through a lack of knowledge, skill or ability. This is

usually related to failure to meet a set of agreed objectives or standards required of the role.

Underperformance could also be attitude or behaviour related in some instances.

An overview of managing performance

Performance management is about supporting all employees, providing opportunities for

development, recognizing good performance and identifying and addressing under performance

There are three key stages which can be uses to help employees to perform at their best:

 Plan. Agree what needs to be achieved and what support they will need to do this. Clear

and agreed expectations should emerge from this stage.

 Manage. Hold ongoing discussions to provide feedback and support as well as making

sure plans and expectations are reviewed and amended as appropriate. Action should be

taken where needed to provide help and guidance in dealing with issues that may arise, as

well as to recognize achievements as they happen.

 Review. Discuss jointly what has been achieved and reflect on what has gone well and

why, as well as what has not gone so well and why. This stage can then inform the next

planning discussion to establish agreed expectations and any support required to achieve

these.

The aim of managing performance is to ensure that employees can achieve their best and play

their part in meeting the goals and objectives of the team in a way that is consistent to values and
culture of the organization. This in turn supports the achievement of departmental goals and

ultimately the goals of the organization as a whole. Therefore if a member of the team is under

performing it is an important part of the manager’s role to manage this. Therefore managing

under performance is about the supervisor of the employee proactively addressing any instances

where this is not happening. The effects of not dealing with underperformance it can include

demotivation of other employee, not achieving the team objectives or damage to the reputation

of the organization. In most cases if under performance is not addressed it becomes more

difficult to manage. It is therefore important to deal effectively with any issues as soon as

possible.

What is underperforming?

An employee is underperforming when their work performance becomes unsatisfactory and is

demonstrated when they fail to perform the inherent tasks of their job or they perform them

below an acceptable standard. Underperformance is also when an employee does not comply

with a lawful instruction or workplace policies and procedures. Underperforming can also

include behavior that is unacceptable, disruptive or negative which impacts on fellow workers.

Underperformance does not include misconduct which is more of a serious nature such as theft,

violence, possession and/or consumption of illegal substances or serious and deliberate breach of

work health and safety policies.

Reasons for underperforming

There are many reasons that impact on an employee’s performance at work that commonly

include, an employee doesn’t know what is expected because goals and/or standards or

workplace policies and consequences are vague or absent, interpersonal differences, a mismatch

between an employee’s capabilities and the job they are required to undertake, no feedback or
counselling when they are not performing well, low workplace morale or personal motivation,

personal issues involving family, physical and/or mental health cultural misunderstandings or

workplace bullying.

Therefore under performance can usually be attributed to one of the following:

 Capability - this is generally when an employee can't meet the requirements of a role.

Perhaps they don't understand what is expected, or they have not got the skills required.

They might also be incapable of fulfilling a role due to ill health.

 Conduct - this is generally when an employee won't do something, for example because

they cannot be bothered or don't want to.

Actions

Underperformance issues need to be managed promptly and appropriately, as employees are

often unaware they are not performing well and therefore under performance will continue.

Underperformance issues that are not addressed promptly have the potential to become more

complicated and serious and have a negative effect on the business, and productivity and

performance of the entire workplace. A consistent performance management process can assist

to implement effective solutions that support the workplace culture and is accepted and valued

by employees.

In this example the process of managing performance concerns in my organisation will be both

informal and formal. However, if an employee is not meeting the required level of performance

on the job, reasonable efforts would be made to informally address the issues of their

underperformance without instigating the formal procedure. However, the organisation reserves

the right to initiate the capability procedure at any of the stages as set out below, taking into
account the relevant circumstances including the level of underperformance, the nature of the

role and the performance issues in question if deemed appropriate.

Step by step guide to managing underperformance - Informal procedure

This capability procedure is not intended to be punitive but is aimed at identifying constructive

ways to enable the employee to improve performance/capability.

Feedback

Managers must address underperformance as soon as it is clearly identified. In the first instance

this will be address informally through normal supervision and providing feedback in the regular

one on one meetings and performance review meetings.

Below is a step by step guide to managing underperformance that would be followed into stages

and provide a possible approach at each stage of what to do if an employee is not performing to

the required standard

Step 1 – Identify the problem

It will be important to first of all understand what the key drivers of performance or

underperformance are as these will assist to correctly and specifically identify the problem.

Think about the possible causes of the underperformance and particularly anything the

supervisor have direct control over i.e. whether the employee has been provided enough training,

have made my expectations clear, is their workload too high etc?

Step 2 – Assess and analyze the problem

Next is to determine how serious the problem is, how long the problem has existed, and how

wide the gap is between what is expected and what is being delivered. After that, then organize a

meeting with the employee to discuss the problem letting them know the purpose of the meeting
in advance so they can adequately prepare (and if employee wants they can bring a support

person of their choice).

Step 3 – Meet with the employee to discuss the problem

Holding a private open meeting discussion with the employee in an environment that is

comfortable, non-threatening and away from distractions and interruptions. Begin the meeting by

explaining to the employee the specific problem so they can clearly understand what the problem

is, why it is a problem, how it impacts on the workplace, and why there is a concern ensuring

that the employee is aware of tasks required of them. The employee will be given an opportunity

to respond to the problem and duly consider their response and reasons for the

underperformance, clarifying any details that may contribute to the problem. Part of the

discussion would include recognition of the employee’s strengths and recent positive things they

have achieved. The meeting should achieve an outcome where the employee is clear on what

performance is expected from them.

Step 4 – Jointly devise a solution

It is important that a solution is jointly explored and devised with the employee. An employee

who has contributed to the solution will be more likely to accept and act on it. The solution

becomes the clear action plan/agreement for the employee to follow and may include positive

assistance, such as further training, mentoring or redefining roles and expectations. The solution

would include realistic timeframes for the employee to improve their performance. Another

meeting would be planned with the employee to review their progress and performance against

the agreed action plan. It’s best to keep a written record of the counseling meeting in case further

action is required. ‘In writing’ means that you should confirm what was discussed and what was

agreed, detailing expectations, timescales, support required etc. The purpose of this is so both
parties have a common understanding of what the issues are and what needs to change, are clear

on the next steps and there is a record to measure progress against. The Performance

Improvement Plan will include, areas requiring attention, actions to be taken to improve

performance (employee actions and management support), outcome expected (what good

performance is expected) and date for improvement to be achieved

Step 5 – Monitor performance

Performance management includes providing the employee with regular feedback and

encouragement about their performance. Even if the employee’s performance improves another

meeting should be scheduled to review and discuss the employee’s performance as this will

enable both parties to acknowledge that the issue has been resolved, or to provide both positive

and negative feedback to the employee to ensure that performance improvements are sustained.

Further actions may need to be taken if the employee’s performance does not improve including

further counseling, issuing formal warnings and ultimately if the issue cannot be resolved,

termination of employment. If at the end of this informal process, it is established that

performance has improved to the required standard, the employee should be informed that there

will be no further action to be taken under this procedure, although their performance will

continue to be monitored in line with the organisation’s performance management system.

Where the informal process does not result in performance improving to the expected standards, the

formal process, as set out in this guidance should be invoked.

Conclusion
Managing poor performance is rarely simple or swift, particularly for those employers with

detailed capability procedures in place. Managing underperforming employees is a challenge

most in Human Resource will face from time to time, and a negative attitude does nothing for

team morale. Some employees are inherently incapable of behaving in a constructive and
professional manner – put simply, a negative attitude is a part of their character. For others, a

continually negative attitude is due to a lack of desire, for whatever reason, to improve their

behavior.
Question 2

Identify and discuss employee involvement and participation programmes in any

organization of your choice.

Researchers agree that employee involvement and participation (EIP) is an important component

of the human resource management (HRM) bundle (Marchington & Wilkinson 2005; Wood

2010; Boxall & Purcell 2011). From the HRM perspective (Chartered Institute of Personnel and

Development (CIPD), there are two components of EIP, each with a different but related

objective. For the involvement component, the objective is to engage employees’ understanding

and support of the organization’s goals, and to result in improved commitment and contribution

from employees. The participation component aims to provide employees with the mechanism to

influence, or even be involved in, decision-making (CIPD). Many researchers believe that EIP is

mostly management and performance driven (Marchington & Wilkinson 2013), which refers to

the involvement component. Stuart & Martinez-Lucio (2005) argued that the changing social

expectations required a new agreement between management and workers, necessitating the

provision of space for employee participation, in short, the voice mechanism to enable

expression of ideas and opinions and influence decision making. The interpretation of these two

statements could be: (1) that management wishes to increase employee contribution in order to

improve performance – engaging employees so that they are willing to work outside their normal

job responsibilities, but (2) that they recognize one of the ways to achieve this goal is by

improving employees’ commitment, (3) that by allowing employees to participate more in

decision making, or at least the space to make employees’ voices heard, satisfies employees’

psychological needs and (4) therefore, improving employee commitment improves the economic

performance of the enterprise

What is EIP

The concept of EIP, with its reference to involvement and participation, is in fact two-fold.

According to the definition by the Chartered Institute of Personnel and Development (CIPD),

employee involvement is defined as ‘a range of processes designed to engage the support,

understanding and optimum contribution of all employees in an organization and their

commitment to its objectives’. Participation is defined as ‘a process of employee involvement

designed to provide employees with the opportunity to influence and where appropriate, take part

in decision making on matters which affect them’.

In other words, involvement focuses on business results in the main whereas participation is

more concerned with employee voice and cooperation in the firm. Employee voice is the means

by which employees communicate their views to their employer. It’s the main way employees

can influence matters that affect them at work. For employers, effective voice contributes toward

innovation, productivity and business improvement. For employees, it often results in increased

job satisfaction, greater influence and better opportunities for development.

Employee Involvement

Employee involvement is creating an environment in which people have an impact on decisions

and actions that affect their jobs. 

Employee involvement is not the goal nor is it a tool, as practiced in many organizations.

Rather, it is a management and leadership philosophy about how people are most enabled to

contribute to continuous improvement and the ongoing success of their work organization.

A solid recommendation for those organizations that wish to create an empowering, continuously

improving workplace is to involve people as much as possible in all aspects of work decisions
and planning. This involvement increases ownership and commitment, retains your best

employees, and fosters an environment in which people choose to be motivated and contributing.

How to involve employees in decision making and continuous improvement activities is the

strategic aspect of involvement and can include such methods as suggestion systems,

manufacturing cells, work teams, continuous improvement meetings, Kaizen (continuous

improvement) events, corrective action processes, and periodic discussions with the supervisor.

Intrinsic to most employee involvement processes is training in team effectiveness,

communication, and problem-solving; the development of reward and recognition systems; and

frequently, the sharing of gains made through employee involvement efforts.

Suggestion Programs:

A formal suggestion program is an Involvement Tool many organizations use with varying

degrees of success as a tool to facilitate listening to employee suggestions. The format for these

programs usually involves suggestion boxes and forms throughout the organization, with

periodic management review of suggestions and feedback to the people making the suggestions.

Many companies have also incentivized the process, offering cash or other awards for approved

cost reduction or quality improvement suggestions. A suggestion program, however, is no

substitute for listening directly to employees about their ideas for improvements.

Implementing Employee Suggestion Scheme Program

Employee suggestion programs can and do succeed. The ones that do succeed share common

elements to their success. There are a number of factors to be considered significant in the

overall success of any program. These factors are common to any successful process that will

take the employees’ time, as well as offering the possibility for significant rewards. The

following will be considered for it to become a success: 

1. Appointing a Cross-functional Suggestion Review Team
A cross-functional team will review any suggestions and be acknowledged within 48 hours.

Senior management’s agreement and ownership become a second step in the approval process. It

will, also have the power to implement the suggestions it receives. Finance, especially, and all

other departments will be represented on the suggestion review team. The review of suggestions

will be part of a regularly scheduled meeting, with suggestions distributed and considered in

advance. The choice of team members for the suggestion review team will reflect how business

is accomplished in organization culture. The submission and review of suggestions in the

employee suggestion program will be publicly communicated. All of the guidelines will be

shared and the goals that the organization is trying to accomplish, by starting an employee

suggestion program.

2. Establishing Guidelines for Employee Suggestion Program

The organization will set out guidelines as to which topics are on the table to suggest . These will

likely include ideas that affect cost savings, quality, productivity, process improvements,

revenue-generation and improved employee motivation and positive morale. This will provide

some detail about how the proposer thinks the suggestion should be implemented. Ideas require

the “why” and “how” the idea will impact the company, including a cost savings analysis. Ideas

that are integrally connected to a person’s job will not be considered, or would be dealt with

differently. The organization will be able to reward people who come up with ideas that fit the

parameters of the program

3. Keeping the channel open and flowing

The organization will designate an administrator for employee suggestions, who will ensure the

process moves at a steady pace as promised, just in case the organization finds itself with over a
hundred suggestions and get bogged down very quickly to avoid a morale buster for people who

had turned in those suggestions. A senior manager will champion the employee suggestion

program and sit on the evaluation committee to ensure credibility to the employee suggestion

program and make suggesters feel important.

4. Rewards and Recognition in Employee Suggestion Program

The reward for suggestions will be clearly outlined upfront. If a suggestion form comes in with a

suggestion for cost savings, the employee receives a percentage of the savings of the proven cost

savings. Rewards will also include products with the company logo, gift certificates, lunch with a

manager of the employee's choice, a quarterly award dinner. In addition, given the difficulty of

measuring the outcome of some employee suggestions, the organization will offer these

recognition rewards when the ideas added to the bottom line substantially

5. Feedback in Employee Suggestion Program

The organization will pass on any feedback to people in a private setting, especially if the idea

was rejected. Otherwise, employees will be unwilling to stick their necks out by offering any more

suggestions that could be implemented. However, when a suggestion is implemented and it

results in a reward, the organization will publicly acknowledge the contribution at a staff

meeting, with permission of the employee involved. Additionally, the organization will post the

employee suggestion and names of the employees on the implementation team the reward given,

on notice boards or via company e-mail. Employee suggestion program participants will be kept

informed of the progress of their suggestions in the program to ensure that employees know what

is happening with their ideas. Keeping the employee suggestion program participants abreast of

the progress of their suggestions in the program is more important than providing the suggester

with quick answers. If a suggestion is accepted the suggester will be included on the
implementation team, a timeline for implementation will be set and the suggester will be notified

on the progress

SUGGESTION SCHEME

Management is pleased to announce a Suggestion Scheme with effect from August, 1, 2018.

OBJECTIVES

 Foster " Total Employee Involvement " by encouraging participation from all employees

towards continuous improvement in their work areas.

 Evolve an organized channel through which ideas leading to improvements in work place

and products can be given & implemented.

 Recognize employees with creative ideas, and motivate them to contribute for the growth

and prosperity of the organization.

 Promote Teamwork, Ownership and Accountability at all levels.

Eligibility

 All employees other than Managers are eligible to give suggestions.

 Suggestions are invited from all areas of operations.

 There is no restriction in the number of suggestions that an employee can give.

What Is A Good Suggestion?

Any suggestion that is practical, implementable and will result in saving or improvement of

operations will be treated as a good suggestion.

Specific areas applicable for suggestion Scheme:

 Productivity enhancement

 Cost saving
  Reduction of cycle time, machine setting, inspection or through put time.

 Process standardization.

 Improvements of tools/fixture

 Waste elimination

 Quality improvement and Defect prevention.

 Improvements in industrial safety, material handling, house keeping, operational

efficiency, packing and transportation.

 Conservation of energy, water and other resources.

 Inventory reduction

 Any other innovative ideas.

Specific areas not applicable for suggestion Scheme:

 Govt. Rules/ Regulations

 Company Policy

 Personal grievance

 Pertaining to routine work and correction of an obvious error.

Benefits for the Suggestor:

 Participation in improvement.

 Appreciation

 Growth

 Achievement

 Self-respect

 Problem solving capability

  Besides, Cash Award/Gift

Benefits of the Scheme at the work place:

 Reduce fatigue

 Avoid rejections

 Safety Improvement

 Quality improvement

 Process time / Cost reduction.

How does Suggestion Scheme operate?

 Suggestion forms will be available with all HOD's and HR department.

 The forms should be filled up legibly in all respects and should be counter-signed by the

immediate supervisor or HOD. This is to confirm that the suggestion is practical.

 The signed Suggestion Form to be dropped into any one of the suggestion boxes located at

various points in the factory. The suggestion will be considered as invalid if the form is not

properly filled or if it is not signed by the suggestor or counter signed by his

supervisor/HOD.

 The suggestion boxes will be cleared once a week by the HR department. HR department

will issue the acknowledgement slip to the suggestor after making a note of it in the

Suggestion Register and allotting an Identification Number.

 The original copy of Suggestion Form, with allotted number, will be forwarded by the Co-

ordinator to Department Heads whose comments are required for evaluation of the

Suggestion.

 The duplicate copy of the Suggestion Form is to be kept under the custody of the Co-

ordinator for any future reference.

 The Suggestion committee shall meet once in 15 days and take up Suggestions received for

evaluation. A Clear decision is to be taken whether the suggestion is accepted or not. Either

way, the decision should be recorded in the Suggestion Form and Register.

 If the idea is accepted, an Action Plan for implementation of the Suggestion is to be finalized

and idea originator will be a part of the implementation.

 Feed back regarding the Suggestion will be given with in 15 days.

 If two suggestions with same idea are received by the committee, the suggestion received

first will be considered for processing.

 Joint Suggestion or ideas that are submitted by two or more employees as a group are also

eligible. In such cases the Award if any, will be equally distributed

 Successful suggestors will be given a personal letter thanking them for their creative idea and

informing about the status of award.

 Employees whose suggestions are not accepted will also be given a personal letter thanking

them for their efforts and explaining in detail about the reasons for rejection.

 It is the responsibility of the Suggestion Co-ordinator to maintain constant track of each

Suggestion, update the Suggestion Committee regularly regarding the status and ensure

speedy implementation of accepted Suggestions.

 It is also the responsibility of the Suggestion Co-ordinator to monitor visual display with the

updated statistics on accepted Suggestions, implemented suggestion etc.,

Rewards

Cash award up to K1,000 will be given for implemented suggestions in proportion to the benefits

derived. Decisions of the committee will be final.

Awards will be given monthly

Chairman's Award:

Suitable annual awards/prizes will be given during end of year part celebrations for

 Best Suggestions implemented during the year.

 Maximum number of Suggestions given by a person during the year

Committee

Committee consists of the following members.

 Manager – Engineering

 Manager - Finance & Accounts

 Manager – Operations

 Manager - Human Resources (Suggestion scheme Co-ordinator)

 Manager-Maintenance

Role of Co - Ordinator

 Ensures Suggestion Forms are available in sufficient quantity.

 Allots the suggestion running serial number to each Suggestion.

 Maintains a log book for recording the details of Suggestions, especially suggestion, No.

and date of receipt and its status.

 Hand over the suggestion form to the committee for evaluation.

 Reviews the status of pending Suggestion and follow up with concerned persons on

weekly basis.

 Co-ordinates with the members and ensures speedy evaluation.

 Communication to concerned employees in writing regarding non- feasibility of

Suggestions.

 Communicates to concerned employees in writing regarding accepted Suggestions.

  Ensures for speedy implementation of suggestions.

 After implementation, sends the report to Director, /President/ and arrange for a

Certificate to be issued to suggestor for this purpose.

 Files the Suggestion from after implementation.

 Monitors Visual display with updated statistics.

Reference
1. AGHA HR Advisory Service: Case study 2: what to do when an employee is
underperforming?
https://agha.com.au/business-tips/case-study-2-what-to-do-when-an-employee-is-
underperforming

2. Under performance case studies

http://hr.leeds.ac.uk/info/53/managing_individual_performance/116/focusing_on_under_perf
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3. A Guide to Managing Underperformance – WaterAid

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https://www.thebalancecareers.com/employee-involvement-1918100

5. Harness the Power of an Employee Suggestion Program by Susan M. Heathfield

https://www.thebalancecareers.com/harness-the-power-of-an-employee-suggestion-program-
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6. Today HR is all about the 'softer' side - employee engagement, involvement..." - HR

Nitty-Gritty
https://www.getvetter.com/posts/150-hr-nitty-gritty-today-it-is-all-about-the-softer-side-of-
hr-employee-engagement-involvement

7. Implementing a Successful Employee Suggestion Program

https://www.getvetter.com/posts/132-implementing-a-successful-employee-suggestion-
program
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10 Employee Involvement and Participation in Service Industry

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