Cox’s Bazar International University

Assignment On:
“A Case Study on Performance Management in Network Solutions Inc.”

Submitted By:

Name: Md. Imrul Khan

Id: 200112000142

Batch: 11th (RMBA)

Submitted To:

A.S.M. Saifur Rahman

Assistant Professor

Faculty of Business Administration

Cox’s Bazar International University

Submission Date: 27.05.2020

Answer to the question No: 01
The overlap between Network solutions system and an ideal system are as follows:-

As the Network Solutions Ltd. Had over 50 different systems to measure performance within the company,
many employees did not receive a review, fewer than 5 percent of all employees received the lowest category of
rating, and there was not a recognition program in place to reward high achievers. Overall, there was
recognition that performance problems were not being addressed, and tough pressure from competitors
increased the cost of not managing human performance effectively. In 2001 network Solutions’ CEO
announced he wanted to implement a forced distribution performance management system in which a set
percentage of employees. Here point out the system of network solutions and ideal system those are as -

 The Network solutions want to align their employees’ goals with the organizational.
 Another overlap was the standardization of the performance management system at all the divisions.
 Developmental programs for the employees to enhance their performance.
 Two-way communication was encouraged so that managers and employees can share positive and
negative about the performance.
 The rating system which was the core part which evaluates each employee with the rating of 1, 2 or 3.
 To rectify the policies and practices continuous checks were made at different intervals.

Answer to the question No: 02

The features of the system implemented at Network Solutions correspond to what is described as ideal
characteristics are as follows:

Practicality:

Implementing performance system is time consuming and expensive but the design team made the senior
leadership agreed upon it as they would be evaluating all their employees’ performance.

Strategic congruence:

The design team is initiated by creating the performance management system by aligning
individual goals with organizational goals and by focusing on the development of all the
employees.

Standardization:

As design team already convinced the senior leadership to stop all the other development programs
which were 50 programs, basically the idea was the standardization of evaluating performance across all
divisions.

Acceptability and fairness:

The employees knew that they will be awarded or penalized according to their performance, as the rating scale
would help to evaluate their performance.
Openness:

As stated in the case the Network Solutions encouraged-

Frequent, ongoing evaluations and feedback

2-way communications in appraisal meeting
Clear standards, ongoing communication
Communications are factual, open, honest

Thoroughness:

Network solutions planned to monitor-

All employees are evaluated

All major job responsibilities are evaluated
Evaluations cover performance for entire review period
Feedback is given on both positive and negative performance

Reliability:

Network Solutions planned on continuous check on performance of all employees- with all stakeholders.

Specificity:

With the help of rating system the employees will have a sense of improving their performance and what
benefits they can be given at 1, 2 and 3 rating scale.

Inclusiveness:

The employees were given responsibility to develop the performance management system along with managers.

The ideal characteristics which were missing are:-

 Corrective:
Recognizes that human judgment is fallible
Appeals process provided

Ethicality:

There were no such guidelines given that the performance evaluation will be done on merit, there maybe a
chance that supervisor will may give more favor to one employee and the element of employee privacy is not
there.

The ideal characteristics for which we need additional information are:-

Reliability:

Though the Network Solutions was checking the performance consistently but it is not sure that the system is
going to be error free which may result in incorrect decisions.
Inclusiveness:

There was no such information given in the case regarding that the employee himself gather their performance
data before the appraisal meeting.

Answer to the question No: 03

The system at Network Solutions, what do you anticipate will be some advantages and positive outcomes
resulting from the implementation of the system?

Network Solutions Inc. is a worldwide leader in hardware, software and services essential to computer
networking. In previous this organization has no performance appraisal measurement system. As a result
employees did not receive any review; there was no recognition program in place to reward high achiever. So to
improve its ability to meet the organization goals, they wanted to implement a forced distribution performance
management system.

I anticipate that, there will be some advantages and positive outcomes resulting from the implementation of the
system. These are:

Advantages & Outcomes

Employees become more competent- because of the development plans this would help the employees
to improve their performance at Network Solutions.
Self-insight and development are enhanced the implementation of performance management
system would help the employees to know their strengths and weaknesses so in short it would help them
to understand themselves.
Organizational change is facilitated- as this tool has already been supported by Network Solutions to
change its culture by focusing on product quality and customer service, further this would also
align organizational culture with goals and objectives of the organization. Employees will also
get trained and will be given rewards according to their performance.
There is a better and efficient differentiation between good and poor performance- the rating scale
would help to identify the good and poor performers and then supervisors would reward or penalize
accordingly.
Supervisor’s views of performance are communicated more clearly- the two-way
communication is encouraged at Network Solutions, so the supervisors would convey the performances
of the employees to them and the supervisors would expect the employees to improve their performance.
Motivation to perform is increases- two-way communication would help the employees to improve their
future performance by knowing their past performances.
Self-esteem is increased- identifying good performers at Network Solutions would definitely
be valued at work and by giving rewards would increase employees’ self-esteem.
There is a better protection from lawsuits- the rating system would keep away the fear of lawsuits as it is
clearly stated in the case that the lowest rating employee would be given time to improve performance
initially and if the performance does not improve with the continuous development programs then the
employee will be terminated, so all the rules are communicated to employees to expect a better and an
efficient outcome.
Answer to question No: 04
The system at Network Solutions, what do you anticipate will be some disadvantages and negative
outcomes resulting from the implementation of the system?

Though force performance management system has many advantages, it also has some disadvantages and
negative outcomes. Because this technique of forcing managers to delineate performance has been called brutal
and Darwinian. These Are:

Disadvantages & Negative Outcomes

The implementation of employee ranking of performance level is dislike by them, this is one thing that
employees feel indifferent about no employee should be rank from 3-2-1, but told what their weakness
is and how to go about improving that skill set.
Another disadvantages is imposing a severance package if the person doesn’t improve on this is totally
not the norm what should be happening is demote the person from that role and put them in a role suited
to their skill set so they can work and train and improve so they can get to standard of the organization.
Each employee level of learning is different and no one learns the same many take longer than others to
get things done.