General Electric (GE) Put an End to Forced Ranking per for Mance Management Under the reign of its former CEO, Jack Welsh, General Electric was the most well-known proponent of annual performance ratings and forced distribution curves.
This exercise is a team project that will include in-class presentation
Course Name: MBA 525- Organizational Behavior & Theories
Document Type: Case Study-2 Performance Management & Motivation Factor in OB
read the three different case study below and answer 6 questions in the bottom in 2-3 page and 10 powerpoint slides
General Electric (GE) Put an End to Forced Ranking per for Mance Management
Under the reign of its former CEO, Jack Welsh, General Electric was the most well-known proponent of annual performance ratings and forced distribution curves.
For decades, GE operated a “rank and yankLinks to an external site.” system, whereby employees were appraised and rated once a year. Afterward, the bottom 10% were fired. Not exactly a recipe for employee engagement! Such an environment is a breeding ground for unhealthy competition, reduced teamwork, and employee burnout.
In 2015, under CEO Jeff Immelt, GE announced it was replacing this approach with feedbackLinks to an external site. and regular conversations called”touchpointsLinks to an external site.” to review progress against agreed near-term goals. This new approach was supported by an online and mobile app, similar to our own Clear Review performance managementLinks to an external site., which enables employees to capture progress against their goals, give their peers feedback, and also request feedback.
Managers will still have an annual summary with employees, looking back at the year and setting goals. But this conversation is more about standing back and discussing achievements and learnings, and much less fraught than annual reviews.
Cargill Introduced Coaching Conversations in Place of Annual Appraisals
Like Adobe, Cargill, the US food producer and distributor, started to transform its traditional performance management processes back in 2012, when it introduced “Everyday Performance ManagementLinks to an external site.”.
Cargill removed performance ratings and annual review forms and instead focused on managers having frequent, on-the-job conversations and giving regular, constructive feedback. They have made this work by:
- Regularly rewarding and recognizing managers who demonstrate good day-to-day performance management practices.
- Sharing the experiences and tips of their successful managers.
- Holding teams are accountable for practicing day-to-day performance management.
- Building the skills needed to succeed at Everyday Performance Management, including effective two-way communication, giving feedback, and coaching.
The outcome has been impressive, with employeesLinks to an external site. now saying they feel valued as a result of their ongoing performance discussions with their manager.
Deloitte Saved 2 Million Working Hours per Year with Weekly Employee Check-Ins
In 2015, DeloitteLinks to an external site. was the first big name to announce it was scrapping once-a-year performance reviews, 360-degree feedback, and objective cascading. This change occurred after the company calculated these processes were consuming remarkable two million hours a yearLinks to an external site. across the organization.
Deloitte’s new performance management processLinks to an external site. requires every team leader to check in with each team member once a week to discuss near-term SMART goalsLinks to an external site. and priorities, comment on recent work and provide coaching. The check-ins are initiated by the team members, rather than the team leaders to ensure these check-ins take place frequently. This also serves to give employees a sense of ownership over their work, role, and time.
These weekly employee check-ins are supported by quarterly reviews when team leaders are asked to respond to four future-focused statements about each team member. Rather than asking team leaders what they think of the team member — which is what traditional performance ratings do — they ask what the team leader would do with the team member.
Direction:
In at least 10 Slides in PowerPoint Word, conduct research and case analysis, and respond to the following questions: Using the information from the business cases above.
1. What is performance management and why do so many businesses consider it an important element of their talent strategy?
- Using Equity theory as a framework, how do you think GE, Cargill & Deloitte, as agile organizations, apply this theory to increase employee performance?
- Based on what you read in the above cases, does employee satisfaction seem to lead to higher performance, or does higher performance lead to satisfaction? Explain
- Explain how GE, Deloitte & Cargill are fostering employee performance through Herzberg’s theory of motivation. Explain
- Discuss and explain the digital transformation methods and strategies utilized by the abovementioned companies.
- Discuss the Organizational Structure and how it might affect the success of the Digital Transformation: [Negatively, or Positively].
You are required to cite at least three internal or external sources in your postings, formatted to APA standards. Avoid citing sources from Wikis, Wikipedia, Dictionary.com, private company websites, and other non-academic references.
Review APA standards: https://owl.english.purdue.edu/owl/ (Links to an external site.)Links to an external site. (Links to an external site.)Links to an external site.
Important Note: The following are the requirements for your submission completion. In 2:3 pages, complete your case-study assignment as follows: APA style format with references and citation
1-Submit the section of the case study that was assigned to you as your role in the teamwork.
2. Choose different PP slides from the ones used to present in -class.