Name

ABCD

CMI ID

123456

Unit Lecturer

XYZ

Unite Code

7002

Unit Name

Strategic Performance Management

Word Count

3531

Plagiarism Statement:
I declare that, apart from properly referenced quotations, this assignment/report is my own work and contains no plagiarism; it has not been submitted previously for any other assessed unit on this or other courses.

The company has a Royal Warrant to supply groceries. investment in existing and new shops and formats and improving the efficiency of the business. which will help us understand the importance of strategic performance management in an organization. The company has a long term goal of opening 400 branches across the UK by 2017 and doubling its revenue to £8bn by 2016. This process often involves taking a detailed look at the company and setting specific goals or objectives for divisions. Waitrose is an upmarket chain of supermarkets in the United Kingdom and is the food division of the British retailer and worker co-operative the John Lewis Partnership. it has the reputation of being more expensive and is popular with the middle classes. . A combination of outstanding service delivery and competitive pricing for consumers. framework and its effects. and employees. the supermarket division of The John Lewis Partnership. As a result. fuel this ambition. departments. gathering information to measure performance and making changes to correct issues or improve the company’s performance. It formerly held a Royal Warrant for Her Majesty Queen Elizabeth.3% share of the market. Waitrose.Introduction: Strategic performance management is a business function where business owners and managers develop activities or tasks to gauge the overall effectiveness and efficiency of their company. The organization which I have selected for this assignment is Waitrose. making it the 6th largest grocery retailer in the UK. The company attempts to differentiate itself from its competitors by offering high quality food and customer service. operates more than 220 branches dedicated to offering high quality fresh food. Waitrose has been driving through an ambitious change programme designed to further strengthen the business and create a solid platform for sustainable growth. As of June 2010. The aim of this assignment is to explain the importance of strategic performance management’s various attributes. wine and spirits to Queen Elizabeth II. managers. value and customer service. The Queen Mother. Waitrose had 228 branches across the United Kingdom and a 4. Owners and managers will set goals or objectives for business processes.

Following an earlier collaboration with Procure4 resulting in a 20% cost saving on consumables distribution across Waitrose and John Lewis department stores. Three store development exercises down the line. possibly not living close to a Waitrose Supermarket. Serve Over Counters. Strategic goal of Waitrose is to expand their sale of organic produce ten times over the next five years and also to become strong in non food supplies as one of the long term goals. Every Organization has its strategic objective and so does Waitrose. Lifts & Signage. Waitrose hopes to be present in a huge e-grocery market should the forecasts be correct.1 Connection between Team Performance and strategic objectives : Performance is essential to achieve any objective. It also wants to make it a better place for its employees to work and achieve employee satisfaction which is also one of the strategic goals. To understand the link between Team performance and strategic objectives in a practical way. their online offer uses a differentiation strategy targeting the supermarket. The leaders at Waitrose are aware about their strategic goals and putting lot of efforts to achieve them.3 million and 42900 employees. Setting Performance targets at Waitrose: 1. Externally focused strategic objectives of Waitrose: Through the joint venture with Ocado. Waitrose has a net income of £123. Refrigeration plant Shelving. it’s Important that we understand the strategic goals first. Waitrose is looking to make the shopping trip as easy as possible for its customers and constantly seeking to reduce prices to help them spend less. Just like Waitrose stores. Currently Ocado is serving the whole of the M25 area. categories in focus have included: Refrigerated Cabinets. Waitrose re-engaged Procure4 to concentrate on the cost effective delivery of capital items for it’s new shop design and fit out projects. in a time where finding good stores locations become increasingly difficult. 1. In addition Waitrose could sell it products in areas where has no stores. The long-term plan is to build five depots round the country to serve the whole of the UK. The service is designed to target affluent. but still prefer . busy people who have no time to shop.

However. The basic . The HR team also helps all departments in supplying best tools. To help the teams in Waitrose and make the task easier for them the leaders set performance targets. To increase the sales at Waitrose and gain customer loyalty. 1. allows a strong brand leverage of the existing Waitrose brand. Being located in the south. Mckinsey 7 s model is the tool which is used by the leaders of Waitrose. The leaders do use tools and techniques to set up Team performance targets in Waitrose which helps in promoting alignment. the marketing team. smart. Information Management Team and the Sales Improvement Team work together to increase the sales. loyal to Waitrose’s green image. “in order to save the environment. but also tries to snap up customers that are not satisfied with the service offered by ‘big four’ online service. 2% substitution rates).Waitrose over other supermarkets. In this way the team performance of every department is constantly heading towards achieving the goal which is aligned with the strategic goal and that's one of the ways the team performance is linked with the strategic objective of Waitrose.2 Tools and Technique's to set performance targets at Waitrose: Tools and Techniques As we all aware of how important it is to perform to achieve the targets. where Waitrose has its strongest presence. The leaders in Waitrose focus a lot on performance as it helps them in achieving its objective. This helps the individual and teams of knowing their objectives. Waitrose’s online venture does try to attract the same kind of customers that also visit the store. it is indicated when a delivery van is close to a customer’s area it is encourage to book a delivery at that time. this performance is also monitored . Added to Waitrose’s high quality products. their online business can differentiate itself from online competitors with the service that their centralized business model enables them to offer (one-hour-slots. talented and dedicated people to work and contribute to the organizations success. what they need to achieve and what is expected from them by their managers and the strategic leaders in Waitrose.This performance of various departments and there action is aligned and similar to the strategic objective of Waitrose which is to increase its sales.

” Hard" elements such as Strategy. how the changes in customer demands should be dealt with and how is Waitrose’s strategy adjusted for environmental issue.” Soft" elements such as Shared Values. Mckinsey 7 s model helps the leaders a great deal in setting up team performance targets in Waitrose. Mckinsey 7s model also helps the Waitrose leaders in evaluating team performance and analyze its sales which also helps in setting up Team performance targets. Style and Staff can be more difficult to describe and are less tangible and more influenced by culture. 1. the seven aspects are categorized as either “hard" or "soft" elements. Structure and System which are easier to identify and management can directly influence them. but they are as important as "Hard" elements. Once these objectives are clearly defined then the leaders set Team performance targets according to these objectives which make it easy for Waitrose to achieve its strategic goals and its objectives. Mckinsey 7s model helps the leaders understand what is Waitrose’s strategy. Skills. how should Waitrose deal with competitive pressure.premise of the model is that there are seven internal aspects of an organization that needs to aligned if it is to be successful.3 Importance of Team performance tools in Waitrose . how do Waitrose intend to achieve its objective.

The causes of any variations are pin pointed and rooted out in the quality assurance process.g.The team performance tool used by Waitrose is Mckinsey 7s model. Waitrose wants to increase its sales and gain customer loyalty and make Waitrose a better place for its employees to work.The employees at Waitrose are highly motivated and well aware of their goals and objective which adds to their Qualities and helps them in attaining customers with great customer service skills and ability leading to customer loyalty. Team development is important at Waitrose for: • • • • • • • • • • Assessing of team skills.980. This team performance tool helps Waitrose leaders in measuring its team performance and set future team performance targets to achieve its goals. The tool also helps Waitrose in identifying individual team member’s accomplishments which supports the team. systems and processes Alignment and development of systemic team improvements Team leader leadership coaching and mentoring Team accountability coaching and mentoring Facilitating teams through stages of development Team incorporation of organizational change or changing market conditions Work with individuals to be contributing members of the team Incentives that reward the right behaviours. It helps in measuring the Sales as per the requirement. Once the strategic objectives are defined the leaders are aware of that they needs to achieve e. outcomes and results Building trust and clear communication Clear communication and aligned behaviours Examine capacity and capability of workforce Waitrose has a current workforce of 1. Mckinsey 7s model as help in defining the score card for its employees at Waitrose. Define what’s going to be measured The Mckinsey 7s model helps the leaders in defining the strategic objectives clearly in Waitrose. A record of all the findings is kept which is used for future performance reconciliations.It leads Waitrose in achieving its strategic goals. The tool helps out in defining the objectives clearly. It helps in tracking the . It also helps Waitrose in Reviewing capacity and capability of current workforce. customer satisfaction and employee satisfaction at work place.

2.performance and develops team and individual performance standards and measures and Reward and Recognize the Best performers. This is why the team performance tool which is Mckinsey7s model has a great value in Waitrose. The .1 Measuring required performance targets against current performance: In Waitrose the leaders do study the Team performance every month. 2. Agreeing Team performance targets to meet strategic objectives of Waitrose.

achievable. The three different ranges are Minimum range.2 Individual commitment to boost team performance: Employees' commitment to their work teams and to the organization can influence turnover. 2. willingness to help co-workers and team performance. As Waitrose is looking to maintain its position it needs to compete and put up an excellent performance so it wants its employee to performed more than the moderate Range. Minimum Range: Minimum Range is a range which is below par and needs a lot of attention and guidance to improve. Minimum range performance means it would lead the organization into losses if it continues. Moderate Range performance means the organization will make no losses but any profit as well. Moderate Range: Moderate is the Average performance which only leads to sustain position. Stretch Range: Stretch Range is where Waitrose wants all its employees and Teams to be. agreed.leaders in Waitrose want its employees to show specific. Stretch Range means it will lead the organization in to huge profit if it is continued. This helps the leaders in setting up required performance targets within teams for future or the coming month in Waitrose. The targets are set up in three different ranges for both sales targets and customer satisfaction targets. realistic and time-bound performance. measurable. Waitrose has few tools to deal in such circumstances like performance development plan. moderate Range and Stretch Range. . These ranges help Waitrose in determining required performance targets within teams against current performance. It give them the grade of exceeds in their performance. In Waitrose there are very few exceptional cases where the performance goes to a minimum range or below minimum range. As most of the employees and leader are highly motivated in Waitrose it leads their performance to the stretch range.

It creates competition between individuals and teams which leads to better results. and the organization is simply there to provide guidance and support to this person. Team Performance in Waitrose is very important to achieve organizational objectives. These factors also help Waitrose in creating employee satisfaction and make it a better place for its employees to work which results in achieving Waitrose’s objective. it also hand over’s the necessary right to carry out a task which motivates the individual. When delegating a task in Waitrose. It helps Waitrose in grooming employees and a group of well groomed and experienced individual makes it easier for Waitrose to achieve its Organizational objective. Waitrose has utilized a performance development system designed specifically for their employees. 2. Research shows commitment has a positive effect on productivity. mentoring and coaching for achievement of the organizational objective in Waitrose Purpose of delegation. mentoring and coaching : Delegation is an important part of Management. turnover and employees willingness to help co-workers. It also keeps the environment and atmosphere highly motivated and electrifying in Waitrose. The leaders at Waitrose use Delegation to build in confidence in the employees or subordinates. It is essentially a self-directed endeavor. In their effort to help an employee to perform well in various situations. Developing core competencies is inherently dependent on the individual’s commitment to improve his performance. Waitrose wants to improve its sales so it want its employees to be committed towards it and contribute to team performance and success so that it can achieve its organizational goals by making more sales. The individual learns to act with confidence and a sense of responsibility. .3 Delegation. Individual commitment to team performance in Waitrose also acts as a motivating factor for other individual as well.Building individual commitment to the workplace is one important goal of human resource policies and practices. that’s why leaders at Waitrose feel the need to encourage individual commitment to team performance which helps in achieving organizational objectives.

Numerous studies have shown that the greatest factor to organizational growth occurs not at the structural level but at the personal level. The leaders at Waitrose also find out of the Team performance plan is worthy of meeting organizational objectives. integrating proper coaching techniques into the organization's framework maximizes the payback from outside training.4 Evaluating a Team performance plan to meet organizational objectives in Waitrose Waitrose has its organizational objectives and also has a team performance plan to help achieve its objectives. reduces turnover by motivating the staff and increases your investment in "human capital.2. Monitoring actions and activities to improve team performance: 3. Both coaching and mentoring are an approach to management and a set of skills to nurture staff and deliver results. Improved Knowledge and information sharing Waitrose recognizes that knowledge constitutes a valuable intangible asset for creating and sustaining competitive advantages. At Waitrose. they also look if the plan helps in Improving cross –boundary collaboration and knowledge and information sharing within the teams and employees. Once the leaders at Waitrose set up team Performance plan to meet organizational objective they do Evaluate the plan to check if it’s impact . Knowledge sharing activities at Waitrose are generally supported by knowledge management systems. producing a "trickle-up" effect that creates a true performance-enhancing culture and enables tangible transformational change within Waitrose.affect and if it’s correct. 3. The leaders at Waitrose have few criteria’s to evaluate the team performance plan. the leaders at Waitrose check if the plans helps them in improving the strategic problem solving and decision making in Waitrose. They are. learning and development activities that share similar roots despite lively debate among academics and practitioners as to the meaning (and implications) of each word.1 monitoring team performance and initiating changes at Waitrose . fundamentally." When the employees are empowered. they work smarter.

however this is done with encouragement. Concentrate on your pitch and tone so that valuable information is not seen as a complaint. while motivation is given to those who have become too lax in their performance. a consistent demand for a quality performance yields the best results. make it clear that you need to see improvements or changes. Give praise where it is due. effective feedback is given and the following rules are followed: • • • • • • • • Be direct. At Waitrose. The leadership of Waitrose ensures that the team finishes projects in a timely manner. Preserve the other person’s self esteem.2 Weighing up Team performance against agreed objective in Waitrose: . the team members undergo a number of development phases to work together effectively.Monitoring team performance Team performance management is important to the success of a company. Without it. Deliver bad news in a non-critical way. Avoid being side tracked by any of the feedback blockers. When it’s not. Rewards are given to well-performing individuals. don’t sugar coat the message. Be sincere. 3. criticism. whinge or nag. Methods of effective feedback At Waitrose. At Waitrose effective team management motivates workers to take responsibility for their job performance and produce superior outputs. In most cases. it is difficult to determine whether a team is headed in the right direction.

interests and organizational . 4. 4. The leaders and managers at Waitrose also monitor and evaluate team performance as it helps in examining and determining the team performance to make sure that it is heading in the right direction and towards the objective.1 Methods influencing and persuading to gain the commitment employees: Involving employees in Decision Making: In Waitrose Employee involvement means creating an environment in which people have an impact on decisions and actions that affect their jobs. their performance should be rewarded quickly. Rewarding Employees: At Waitrose. Leaders at Waitrose believe that “When you have strong performing employees. employee involvement 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. The leaders and managers at Waitrose do motivate its employees and teams to perform better to achieve the objective and increase efficacy and effectiveness in their work as they are very keen to getting everything right to achieve their goals and objectives. To achieve any objective it’s important to work towards it and perform better to outshine the competitors. Application of influencing and persuading skills for personal Interactions in Waitrose. In Waitrose. It is believed that all employees are important to the success of the business. Good work performance and good attitude is always acknowledged no matter what level of job one performs at Waitrose.Every Year when the strategic leaders of Waitrose meet to discuss future goals they decided on the organization’s objective which is called agreed objective.2 Impact of individual dynamics. rewards are given to all employees. even the less visible employees. Waitrose has a agreed objective of increasing its sales and also make it a better place for its employees to work. 4. which motivates employees to further improve their performance.” Monetary and non-monetary rewards are given to employees.

and/or develop new skills or areas of expertise. Conclusion At Waitrose. likewise individuals and teams can communicate their expectations of how they should be managed and what they need to do their jobs. It is also about interrelationships and about improving the quality of relationships . between managers and teams. Performance Management has also helped Waitrose in achieving its Strategic objectives.defining expectations expressed as objectives and in business plans. Where it is agreed that the plan’s objectives have been achieved. I have also explained how Performance Management helps in monitoring. to enhance existing skills or knowledge. evaluating and improving Waitrose's performance and day to day activities. the personal development plan and progress is reviewed approximately every six months. and is therefore a joint process. It is about sharing expectations.between managers and individuals. behavior and contributions. so that the employee can effectively fulfill an existing role but where the responsibilities increased to a level that merits regarding to a higher grade or an alternative role at a grade equivalent to the employee’s previous grade. In this assignment I have tried to explain the impact of Performance Management and how it has helped Waitrose in achieving its long term and short term goals. reflecting the new role. Managers clarify what they expect individual and teams to do. a new job description is created and submitted for grading. where necessary. between members of teams and so on.politics on securing the commitment of individual to a course of action in Waitrose Training and development of staff and leaders at Waitrose: In Waitrose the leaders also have introduce Personal Development plan for employees which encourages them to perform better for higher level promotions. At Waitrose. The Personal Development Plan helps the employee. PASS: . I have also made an effort to highlight the different aspect of Performance Management and explain its framework and the positive difference which it has made to a huge organization like Waitrose. performance management is about establishing a culture in which individuals and groups take responsibility for the continuous improvement of business processes and of their own skills. It is also about planning .

This assignment fulfils all the assessment criteria set up by CMI though assessment criterion 2. . 3.2 & 4.3.1 needed more elaboration.

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