1

Linda Michelo Zyongwe, 6483, Assignment Two

Assignment Cover Sheet

Student Name: Linda Michelo Zyongwe

Student Number: 6483
Course: Diploma in Business Administration – Level 4
Assignment No: Two

Marking Criteria:

We expect the learners to write minimum one well expressed point in three lines against each
allocated mark. This means one needs to write 15 lines with 5 well expressed points to get high
grades for a 5 marks question.

For high grades use examples and illustrations where appropriate.

Please insert your completed assignment ( in word format) here:

Q.1. Short Questions: (25)

i. Outline the main tasks that a performance management team is expected to
perform.
 
Performance management can be defined as a process that continuously seeks to
identify, to measure and to develop the performance of organizational employees in
an ongoing manner. But, in order to be successful in establishing a system that will
work, there is a need to understand the objectives of performance management. A
properly designed performance management system can assist in successfully
achieving strong business results. 

According to managementstudyguide, 2022, the nature of any performance

management system is that it is designed with the objective of improving not only an
individual’s performance but also that of the organization. This is done by identifying
the requirements of performance, having constant feedback and ensuring that
employees are progressing in their various areas of career development. It aims at
how to successfully build a work culture of high performance for both individuals as
 2

Linda Michelo Zyongwe, 6483, Assignment Two

well as the various operational teams. This will in turn lead to them jointly taking the
responsibility of improving the processes of the organization on a continuous basis
as well as raising their levels of competence by upgrading their own skillsets within
the framework of the leadership. The focus of the performance management team is
to explain goals clearly to enable staff to do the right thing at the right time. It may be
summarized that the main objective of a performance management system is to
maximize the full potential of the employees and the organization, by defining the
goal expectations with regards to responsibilities, accountabilities and roles as well
as the competencies and expected behaviors that are needed to achieve said goals.
Additionally, it ensures that the organization has a system and subsystems that work
together in an integrated fashion that will best achieve the desired optimum results
and outcomes.

Managementstudyguide, 2022, goes further to explain that, A performance

management system of any organization is concerned with the achievement of
results, the processes required to achieve these results and as well as the
knowledge, skills and attitudes required to achieve said results. It is concerned with
reviewing and measuring the progress of achieving the set targets. In striving to
achieve set targets, a system must incorporate continuous development, defining
business plans in advance and have an open system learning culture in place. Free
flow of information is required as it leads to trust and fosters an environment for
clarifications regarding expectations and core values of the organization. This leads
to fairness and transparency in procedures of decision making.

These concerns of the performance management teams are resolved through

implementation of the following major tasks as listed below:

1. Clear expectations and goals as well as role definitions must be developed

2. Employee engagement must be increased
3. Managerial leadership including coaching skills must be developed
4. Productivity must be improved by the improved performance of employees
(Armstrong M, 2006 p. 496)
5. A performance reward system must be implemented whereby incentives are
 3

Linda Michelo Zyongwe, 6483, Assignment Two

awarded for achievement. Individual staff performance can be enhanced by
implementing and updating performance appraisals for all employees and
providing positive reinforcement with suitable rewards. (ABE, 2008 p.111)
6. The performance management team must also create organizational
principles and policies to be implemented which will promote the
organization’s vision, values and strategies. They must lead and train
colleagues on how to solve problems which may arise. The team evaluates
the performance, strengths and weaknesses of employees through assigned
tasks as this aids in making appropriate decisions.(ABE, 2008 p.111)
7. Lastly, the team implements and updates how undesirable behavior within the
organization will be punished. Performance management does not end with
people only, it may also include evaluating the performance of inputs and
machinery or even the organization as a whole.

These performance management goals define a clear path from the initiating of
goals to the rewarding of successful achievement. If one of the objectives is not
properly done then the others will be affected. The achieving of these tasks through
setting and defining clear goals yields several key benefits which include that
employees will focus on what is most important to an organization as it aligns the
individual objectives with those of the organization. Additionally, it maximizes an
employee’s individual performance as well as identifying the key result areas and
directing work to improve them. (SpriggHR, 2022)
 
It seeks to establish clear expectations from managers and employees alike because
holding managers to unrealistic standards leads to poor management decision
making. In order to set expectations that yield positive results, they must be defined
in clear terms with clarifications provided as and when required including who is
responsible for which tasks. This brings in the need for strong effective
communication skills as it results in a workforce that is engaged and has the
synergy that is required for any highly achieving team.  A desirable communication
active environment can be achieved through individual interactions with team
members, constant feedback as well as coaching through performance reviews
or 360-Feedback resources, having team building activities regularly, encouraging
 4

Linda Michelo Zyongwe, 6483, Assignment Two

collaboration among team members and using helpful business communication
tools. 

According to SpriggHR, 2022, A good performance management system must have

a set of performance standards, and plans that streamline an employee’s
performance, evaluation and improvement.  It is not possible to identify reasons for
failures in an individual’s performance without a performance management system
as it highlight the areas that need progress. One of the greatest objectives
of performance management is to identify the strengths and opportunity areas for the
organization. These become more evident and easier to identify and improve upon
when there is an established performance standard to measure against. It is crucial
to deal with individual employee development by identifying their training and
developmental needs and implementing a well-designed development plan. This will
help employees to acquire the required knowledge and skills needed to advance in
their individual careers as well as to build improved competency and add value
to one’s position within the organization which in turn leads to increased
organizational value. 
 
Managementstudyguide, 2022 explains that, the performance management
approach is designed such that it involves both the supervisor and employee in a
joint process of planning, goal setting and objective achievement. It is a tool that
cannot be done away with in the corporate world as it ensures that the people follow
the corporate values and tread in the way of achievement of the ultimate corporate
vision and mission.

ii. What is the relationship between motivation and personal effectiveness?

Personal effectiveness can be defined as the ability to use available skills,

knowledge and the resources which are available in order to achieve an
organizations goals to the maximum while still being personally accountable. It is
said to be an ability of performing well and meeting organizational expectations
including having outstanding performance. It includes having the ability to resolve
problems that may arise in the process of goal achievement. In the workplace,
 5

Linda Michelo Zyongwe, 6483, Assignment Two

personal effectiveness entails that one is performing to the best of their abilities. This
means that they manage their time well, they stay on given tasks, and they meet set
deadlines and ensure that all work is done to the best of their abilities. It is a key trait
amongst professionals who succeed, as they are able to develop the skills required.

ABE. 2008 p. 107 explains that, motivation, on the other hand, is generally the
willingness to work towards achieving a goal even when an individual is not perfect
at doing that which is required but they are still willing to do it. There are two types of
motivation. It can be extrinsic or intrinsic. Intrinsic motivation comes from within an
individual and is based solely on a sense of achievement or curiosity or interest as
well as an individual’s pride such that an individual will desires to personally perform
towards achieving a target goal. Extrinsic motivation is external. It is normally from
outside influences such as rewards. For instance, when an organization recognizes
or acknowledges an individual’s outstanding performance and them, it will compel
the employee to perform even better.

According to virtualcollege, 2022, the relationship between motivation and personal

effectiveness is that, in order for a person to rise up to a level of personal
effectiveness, the motivational skills of the person must also rise. This implies that,
in order for someone to utilize and benefit from their personal effectiveness skills,
they first of all need to be very motivated which in turn will lead to remaining focused
and working successfully towards goal achievement. Motivation, is therefore, a
determinant of performance. This is so because, highly motivated individuals
generally perform well and in combination with personal effectiveness, an individual
is determined and has the self-confidence to execute given tasks.

iii. “The good managers must possess effective problem solving and conflict
resolution
skills”. Discuss.

It is very normal to find conflict in any workplace, especially in work places that have
many people who have different responsibilities and personalities but have to work
together. It can be found between groups or individual employees and sometimes
 6

Linda Michelo Zyongwe, 6483, Assignment Two

even between members of the leadership team. It's essential to manage conflict in
the workplace so that work can continue to be done in a positive and collaborative
environment such that employees remain productive at work.

Every good manager must have conflict management skills because, these are the
abilities that will assist a manager to manage how they will be affected by conflict,
including how it will affect those that one works with as well as how the workplace as
a whole will be affected. Knowing that conflict is inevitable, the aim of conflict
management is to make sure that conflict becomes a productive part of the
workplace. Managers must contribute to creating an environment where conflict is
accepted, it is managed accordingly and is used positively.

Another important responsibility of a manager is the ability to solve problems.

Finding solutions to difficult questions that may arise in an organization, can
sometimes be a source of great confusion and distress for the organization’s
leaders. An organization’s success depends on the capability of its problem-solvers
within management. Problems are unpredictable and come in all sizes as they will
range from simple daily nuisances to more complex organizational crises.

Managers are therefore required to possess very effective problem-solving as well

as conflict management abilities and skills. It is a certainty that even as they compete
for the scarce resources that are available, they will come across various situations
of conflict within the organization. Managers are required to work in collaboration
with available team members who not only come from diverse cultural backgrounds
but, at the end of the day, have conflicting goals that to achieved. It is under such
circumstances that managers are required to have problem-solving and conflict
resolution skills because these skills will help them to resolve difficulties and iron out
problems which will lead to successful achievement of organizational aims and
goals.

Cmoe, 2022 explains further that, managers must also have the capability to
methodically think through facts, to evaluate the situation, and find a suitable and
workable solution which will help the business not only to thrive but also to prosper.
 7

Linda Michelo Zyongwe, 6483, Assignment Two

When problem-solving is done effectively, teams are appropriately guided towards
achieving of set goals and this aids in the elimination of undesirable traits such as
frustration or confusion, and or misunderstandings before they become
unmanageable problems. These skills of good managers build cooperation and
collaboration between work colleagues. They eliminate the need for re-working tasks
as they encourage the development of continuous improvement.

The good managers often need to have keen insight into these problems. Keen
insight is needed in order to notice any deviation from the required team
performance, such as for instance, a missed deadline or an un-met target. As soon
as the manager notices that the team is heading off target, they automatically initiate
the problem-solving process.

According to Cmoe, 2022, solving organizational problems requires putting

management skills together to work in order to achieve a common goal. However,
mediating tension in a team might be easier said than done. This is the main focus
when it comes to achieving the set goals. The problem-solving process by
management is a continuous cycle of planning, doing, checking, and acting,
including monitoring both the situation as well as the outcomes. Managers adjust
their plans as and when required in order to ensure that the team continues to move
towards the desired goal which in turn will lead towards the achievement of better
organizational results.

iv. ‘Rewarding is essential for motivation’. What type of incentives would be most
suitable for the following workers?
a) A cleaner
b) A salesperson
c) A nurse
d) A shop assistant?

A) The work of a cleaner is based on their performance, that is, how well they do
their work, their dedication and overall commitment to work. A cleaner therefore
should be given an incentive that can motivate them to continue with their best
 8

Linda Michelo Zyongwe, 6483, Assignment Two

performance.
Incentives for a cleaner can include:
 Allowing the worker to go home early with full pay after finishing their job
 Bonus
 Salary increment
 Employee of the month title
 a gift voucher
 a paid day off
 Holiday bonus
 Staff functions such as a staff dinner at a restaurant, a sporting event.
 Gift cards and coupons to local stores like Walmart, Target, or food chains.
 new equipment
 Highlight and reward positivity.

B) A salespersons role is tied to meeting targets and achieving set objectives.

Suitable incentives for a salesperson must therefore be linked to their successful
achievements.
Types of incentives which would be suitable for a sales person are:
 Bonus
 Gift certificates and discounts
 Benefit plans
 Salary raises
 Shares of profits from deals
 Employee stock options
 Travel vouchers such as: Hotel vouchers, Travel coupons, Plane tickets,
Cruises, Travel points
 Tickets to shows or sporting events, team trip, night out, or fine-dining
experience
 Latest equipment such as a brand new laptop or smart phone
 Membership to a gym or fitness studio

C) The best incentive for a nurse should be merit pay based past performance. An
 9

Linda Michelo Zyongwe, 6483, Assignment Two

excellent performing nurse is most likely more experienced and therefore, a nurse
will be motivated to gain more experience and their performance should be
compensated. Performance increases with experience and therefore incentives that
support gaining more experience are suitable for a nurse.
Types of incentives for a nurse are:
 Bonus
 Extra wages for part-time shifts
 Signing bonuses
 Free housing
 Improve Nurse-to-Patient Ratios
 Respect
 Career Opportunities
 Competitive Salaries
 Clear Job Responsibilities
 On-site or online master’s or bachelor’s degree programs for nurses inclusive
of tuition fee reimbursement and scholarships
 Flexible scheduling to support nurses who wish to further advance their
education.
Clinical nurses can have a voice in determining nursing practice, nursing
standards as well as quality of care.

D) The best incentive for a shop attendant is an award incentive as it can motivate
the shop attendant. They will feel more appreciated because it shows recognition of
their hard work. Awards can come in various forms such as gift cards or vouchers or
titles, etc.

Types of incentives for a shop assistant are:

 Commission
 Bonus
 Monetary incentives
 Bonus checks. 
 Employee discounts. 
 Gift cards. 
 10

Linda Michelo Zyongwe, 6483, Assignment Two

 Employee recognition
 Tangible sales incentives like a new cell phone, iPad or upgraded laptop.
 Additional vacation time

v. Some types of incentives are mentioned below; make separate lists for financial
and
non-financial incentives:
Good wages, bonus payments, good working environment, responsibility to make
decisions, fringe benefits, promotion opportunity, being praised for good work,
commissions varied and interesting work, extra payments for overtime, long-term
contract, feeling challenged by the work.

Financial Incentives Non-Financial Incentives

Good wages Good working environment
Bonus payments Responsibility to make decisions
Fringe benefits Promotion opportunity
Extra payments for overtime Being praised for good work
Commissions varied and interesting Long term contract
work
Feeling challenged by work

Case Study: 5
John is a regional manager of a chain of stores that sell computer equipment and
accessories, mainly based out of town in retail parks. A new manager has been
appointed to one of the stores, which employs 20 staff. This store is currently
experiencing a number of challenges which John wants the new manager to
address. Among these are the following:
 A growing absence problem among the store’s staff
 Deterioration in staff morale, largely due to the unpopularity of the previous
manager, who left suddenly a month ago
 11

Linda Michelo Zyongwe, 6483, Assignment Two

 Sales have been falling since a rival opened a store on the same site.
 The company has a formal appraisal process for all staff but the previous
manager is known to have neglected this area.

Based on the above issues, select which you think are the most appropriate
objectives to be included in an annual performance management plan, and compile
a suitable set of performance objectives for the newly appointed manager, complete
with measures and time scale.

As can be seen from the case study illustrated above, the new store is facing a lot of
challenges. The resolution of these challenges must be included in the yearly
performance report which must focus on creating and implementing initiatives for
employee’s rate of absenteeism and or quitting work, total sales as well as
improvement of employee’s levels of morale. It is of vital importance to ensure that
the objectives that are set in the annual performance plan are in line with the
organizational objectives, policies and vision. To this effect, the main objectives that
the new manager may consider are as detailed below:

Performance objectives:

1. Increment of 20% in sales target base inclusive of new customers and

revenue to be achieved within a period of one year.
2. To reduce employees turnover rate by 10% through engagement programmes
within the first two years. Staff training to be provided for staff as required.
3. Mandatory re-training of managers within the first 3 months of their
probationary period.
4. Human Resource team to research and implement computer industry
competitive salaries as well as benefits and compensation to increase
employee morale.
5. Annual performance appraisal to be conducted at the end of every financial
year.

Recommendations to achieve objectives:

1. Within the first six months, the new manager needs to analyze the past sales
 12

Linda Michelo Zyongwe, 6483, Assignment Two

data and see where the gap is. The trend needs to be identified as well as the
mistakes of the company. The sales personnel are required to be re-trained
on the stores products and the marketing team may also come up with a new
campaign that offers suitable discounts to the customers. Sales bonuses must
also be offered for achieved sales targets.
2. Set a meeting to discuss yearly staff appraisals including staff promotions,
moral growth, staff training and recognition programs as well as a review of
the sales. The new manager should also address the date of the next
performance appraisal as well as to emphasize on compliance rules and
penalties to be levied for non-compliance to the appraisal process. Approved
percentage salary increment as well as effective date of increment should be
addressed in this meeting.
3. The team building activities should happen quarterly and all the employees
should participate fully in all the activities.
4. A review of staff absences must be conducted so as to identify the reasons for
the staff absenteeism and formulate a plan to reduce these. The store Rota
must be reviewed with each member of staff in order to confirm whether their
working hours are reasonable for them or if they are contributing towards
absences. The reasons for the low staff moral need to be identified and
resolved. The new manager must acknowledge staffs good performance and
he must also inform staff about the company's incentives program as well as
the training programs that are being offered. He can clarify on issues of
applying and eligibility for the training programs.
5. An in-depth review of competitor stores needs to be conducted. The review
must identify if there are any price differences as well as any offers that are
being offered by competitors. It must also include a review of their customer
service and how they generally operate. From this review, a report must be
generated which will include recommendations to be implemented at the new
store which the manager believes will help in driving up the sales for the store.
The above stated factors will aid in assessing the employees and managers
performances as they are suitable to correct the numerous challenges currently
being faced by the store and its staff. These tasks and results can be compared on a
quarterly or semi-annually basis as required from the time of the appointment of the
 13

Linda Michelo Zyongwe, 6483, Assignment Two

new manager.

REFERENCES

1. Association of Business Executives (ABE), Business Management Study

Manuals, 2008, Human Resource Management.

2. Armstrong M, 2008, A Handbook of Human Resource Management Practice,

10th edition.

3. https://sprigghr.com/blog/performance-management/defining-the-objectives-
of-performance-management/#:~:text=Setting%20and%20Defining
%20Goals&text=Allowing%20employees%20to%20focus%20on,and%20work
%20upon%20improving%20them, 25/5/2022

4. https://www.managementstudyguide.com/objectives-of-performance-
management.htm#:~:text=of%20Performance%20Management-,Objectives
%20of%20Performance%20Management,planning%20and%20goal
%20setting%20in%20the%20beginning%20of%20the%20year.,-%E2%9D
%AE%C2%A0%C2%A0%C2%A0PREVIOUS%C2%A0%C2%A0ARTICLE,
25/5/2022

5. https://www.managementstudyguide.com/performance-appraisal-and-
performance-management.htm#:~:text=and%20Performance
%20Management-,Performance%20Appraisal%20and%20Performance
%20Management,the%20performance%20of%20the%20employees%20for
%20developing%20high%20achieving%20organizations.,-%E2%9D%AE
%C2%A0%C2%A0%C2%A0PREVIOUS%C2%A0%C2%A0ARTICLE ,
25/5/2022

6. https://www.virtual-college.co.uk/resources/what-is-personal-
 14

Linda Michelo Zyongwe, 6483, Assignment Two

effectiveness#:~:text=What%20is%20personal%20effectiveness%20in,you
%20need%20to%20implement%20it, 25/5/2022

7. https://cmoe.com/blog/managers-must-effective-problem-solvers/
#:~:text=Managers%20Must%20Be,better%20business%20results, 25/5/2022

8. https://leveleleven.com/2012/04/3-types-of-sales-incentives-to-motivate-
performance/#:~:text=3%20Types%20of,optimal%20sales%20performance ,
25/5/2022

9. https://www.zenmaid.com/magazine/maid-service-employee-incentives/ ,
25/5/2022

10. https://cleaning-success.typepad.com/my_weblog/2008/12/ideas-for-
employee-incentives.html#:~:text=Ideas%20for%20Employee,come%20a
%20knockin%27, 25/5/2022

11. https://wheniwork.com/blog/employee-incentive-
ideas#:~:text=Search-,25%20Employee%20Incentive%20Ideas%20That
%20Won%E2%80%99t%20Break%20The%20Bank,Like,-What%20You
%20See, 25/5/2022

12. https://www.zendesk.com/blog/15-sales-incentives-actually-work/
#:~:text=ARTICLE-,15%20sales%20incentives%20that%20actually
%20work,Learn%20more,-Zendesk, 25/5/2022

13. https://www.unitex.com/news/incentives-for-nurses/#:~:text=Useful
%20Incentives%20for,for%20a%20quote. 25/5/2022

14. https://www.monster.com/career-advice/article/creative-benefits-for-nurses-
 15

Linda Michelo Zyongwe, 6483, Assignment Two

hospitals#:~:text=Hospitals%20Offer%20Creative,there%20last%20summer.
25/5/2022

15. https://www.vendhq.com/blog/staff-incentive-ideas/#:~:text=27%2B%20Retail
%20Staff,behind%20the%20store. 25/5/2022

Student Statement:

By submitting this assignment, I confirm that this is my own work.

 16

Linda Michelo Zyongwe, 6483, Assignment Two

Student Signature: Linda Michelo Zyongwe Date: 01/06/2022

For Tutor / Assessor Use Only

Total Marks
Marks Obtained
Percentage / Grade