Case Study Of Performance Management At Network Solutions Inc.

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Performance Management at Network Solutions, Inc. Performance Management is a critical component to organizational success. However, creating, developing, and maintaining a system that captures all the characteristics of an ideal performance management system should involve an ongoing collaboration between leadership and employees to achieve a successful outcome. After all, the performance and success of the organization is dependent upon the employees. Therefore, performance management should incorporate organizational goals, employee goals, and continuous feedback that reflect individual’s contribution (NorthCoast 99, 2012). Network Solutions, Inc. is an international technological organization specializing in hardware, software, and…show more content…
First, it can create and sustain a high performance culture. Therefore, turnover is managed by eliminating low performers (Sprenkle, 2002). Second, the system creates a high return to shareholders. Having managers that communicate individual goals and objectives effectively while providing feedback are more successful than organizations that only focus on the overall company performance (Sprenlke, 2002). Third, it establishes well-defined consequences. Therefore, top performing employees receive larger rewards such as, bonuses, stock options, and salary increases (Sprenkle, 2002). Finally, forced distribution lets employees know where they stand, by sending a clear message as to how their performance affects the organization (Sprenkle,…show more content…
Acceptability and Fairness This characteristic is not fully defined in the case study. However, Network Solutions discusses their ongoing feedback between managers and employees. They also defined individual ratings and what the employee can expect from the rating. Inclusiveness The development and standardization of the performance management system included both leadership and employees. They accomplished this by involving the employees in training of talent management and by assessing the needs of their individual divisions (Aguinis, 2013). Openness This characteristic was present in the case study because they conducted ongoing discussions and updates between leadership and employees. Correctability This was not clearly defined in the study. However, their plan will monitor and correct any unproductive practices by ensuring the system is serving its intended purpose (Aguinis, 2013). In addition, it is unknown if employees can challenge their individual
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