Essay about Performance Management

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Critically discuss how leadership and motivational techniques can improve the performance of organisations.

Illustrate your answer with reference to theories of leadership, approaches to motivation/job design and case examples.      Answer: Leadership and motivation are interlinked in Performance Management for further developed through strategy. Looking at the organisation, it is necessary examining the role of what is it and how it develops. Then it would be examined the leadership & motivational techniques and how might improve the performance of the organization.

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We can then try to pull all of these together in some form of strategic approach and our developing concept of improved the performance.[1]  Leadership:Leadership has been of awareness of many hundreds of years from the ancient Greek thinker such as Plato and Socrates to the overabundance of management and leadership sage. The necessity for effective leadership has been spoken more strongly in present days. It is argued that leadership provides the answer not only to the accomplishment of individuals and organisations but also to regions, sectors as well as the whole nations.

Stogdill (1974, p.259) concluded that there are “almost as many definitions of leadership as there are persons who have attempted to define the concept” Stogdill, R. M. (1974, p.

259) pointed out that there are almost as many different definitions of leadership as there are per sons who have attempted to define the concept. We will define managerial leadership as the process of directing and influencing the task- related activities of group members. There are four important implications of our definition.[2] First, leadership involves other people employees or followers.

By their willingness to accept directions from the leader, group members help define the leader status and make the leadership process possible; without people to lead all the leadership qualities of a manager would be irrelevant. Second, leadership involves an unequal distribution of power between leaders and group members Group members are not powerless, they can and do shape group activities in a number of ways still, the leader will usually have more power. Kotter, (1990, p103) defined “Leadership is different from management, but not for the reason most people think. Leadership isn’t mystical and mysterious.

It has nothing to do with having charisma or other exotic personality traits. It’s not the province of a chosen few. Nor is leadership necessarily better than management or a replacement for it: rather, leadership and management are two distinctive and complementary activities. Both are necessary for success in an increasingly complex and volatile business environment.

” [3]  Leadership Functions aimed to improve performance:Researchers exploring leadership functions came to the conclusion that to operate effectively groups need someone to perform tow major functions; task-related or problem solving functions and group maintenance or social functions. Group maintenance functions include such actions as mediating disputes and ensuring that individuals feel valued by the group. An individual who is able to perform both roles successfully would be an especially effective leader. In practice however, a leader may have the skill or temperament or time to play only one role.

This does not mean that the group is doomed, though. Studies have found that most effective groups have some form of shared leadership; one person performs the task function, while another member performs the social function.  Hersey And Blanchard S Situational Leadership ModelHersey, P. and Blanchard, K.

(1977) argued that the major contingency approaches to leadership is Paul Hersey and Kenneth H. Blanchard situational leadership model, which holds that the most effective leadership style varies with the readiness of employees. Hersey, P. and Blanchard, K.

(1988) defines readiness as desire for achievement, willingness to accept responsibility and task related ability, skill and experience. The goals and knowledge of followers are important variables in determining effective leadership style.[4] Hersey, P. and Blanchard, K.

(1988) believes that the relationship between a manager and follower moves through four phases as employees develop, and managers need to vary their leadership style (see figure 17-4). In the initial phase of readiness high amounts of task behavior by the manager is most appropriate. Employees must be instructed in their tasks and familiarized with the organizations rules and procedures. A nondirective manager would cause anxiety and confusion I new followers.

A participatory. High relationship behavior approach would also be inappropriate at this stage because the follower requires structure. The situational leadership model has generated interest because it recommends a leadership type that is dynamic and flexible rather than static. The motivation, ability, and experience of followers must constantly be assessed to determine which style combination is most appropriate under flexible and changing conditions.

Leadership Style And The Workstation: The Fiedler ModelOne of the most thoroughly researched contingency models was developed by Fiedler, F. E. (1964) basic assumption is that it is quite difficult for managers to alter the management styles that made them successful. In fact, Fiedler believes most managers are not very flexible, and trying to change a manager style to fit predictable or fluctuating situations is inefficient or useless.

[5] Since styles are relatively inflexible, and since no one style is appropriate for every situation, effective group performance can only be achieved by matching the manager to the situation or by changing the situation to fit the manager, For example, a comparatively authoritarian manager can be selected to fill a post that requires a directive leader, or a job can be changed to give an authoritarian manager more formal authority over employees. Apath-Goal Approach To LeadershipLike other contingence approaches, the path goal model of leadership tries to help us understand and predict leadership effectiveness in different situations. Martin G. Evans and Robert J formulated the model.

The path goal approach is based on the expectancy model of motivation, which states that an individual motivation depends on his or her expectation of reward and the valence, or attractiveness of the reward. Although managers have a number of ways to influence employees, Evans notes, the most important is their ability to provide rewards and to specify what employees must do to earn them. Thus, managers determine the availability of goals (rewards) and the paths that will earn them. [6] Deciding When To Involve Subordinates: The Vroom-Yetton And Vroom Jago ModelsVioior Vroom (1988) criticizes the path goal theory because it fails to take into account the situation within which managers decide to involve employees.

As a solution they extend the classic Vroom-Yetton model of situational leadership to include a concern for both the quality and the acceptance of decisions. [7] The future Of Leadership TheoryResearch on leadership behavior is moving in many directions, in this section, we will look at transformational or charismatic leadership and a recent revival of the behavioral approach. Then we will look at two challenges to our traditional ideas of leadership. One challenge casts a skeptical eye on the leaders personality, while another raises questions about the way followers see their leaders.

Bass S Theory of Transformational Leadership:In his explorations of the concept of transformational leadership Bernard M. bass has contrasted two types of leadership behaviors: transactional and transformational. Transactional leaders determine what employees need to do to achieve their own and organizational objectives, classify those requirements, and help employees become confident they can reach their objectives by expending the necessary efforts. In contrast, transformational leaders motivate us to do more than we originally expected to do by raising our sense of the importance and value of our tasks, by getting us to transcend our own self –interests for the sake of the team, organization, or larger policy, and by raising our need level to the higher-order needs, such as self actualization.

House S Theory Of Charismatic LeadershipAlthough the transformational leadership concept dates back at least to Max Weber’s discussion of charismatic leaders in the first decades of the century the concept received relatively little research attention until recently. Houses theory suggests that charismatic leaders have very high levels of referent power and that some of that power comes from their need to influence others. The charismatic leader has extremely high levels of self- confidence, dominance, and a strong conviction in moral righteousness of his her beliefs or at least the ability to convince followers that he or she possesses such confidence and conviction.  The Challenge Of MotivationManagers and management researchers have long believed that organizational goals are unattainable without the enduring commitment of members of the organization.

Motivation is a human psychological characteristic that contributes to a person degree of commitment. [8]  It includes the factors that cause, channel, and sustain human behavior in a particular committed direction. Motivating is the management process of influencing people behavior based on this knowledge of what makes people tick. Motivation and motivating both deal with the range of conscious human behavior somewhere between two extremes;  (1) reflex actions, such as a sneeze or flutter of the eyelids; and  (2) learned habits, such as brushing one teeth or handwriting style.

Assumptions: First motivation is commonly assumed to be a good thing. It taught in a variety of settings that feel very good about one if he is unmotivated. Wal-Mart puts this assumption about motivation into daily practice. Second, motivation is one of several factors that go into a person performance.

Important, too, are such factors as ability, resources, and conditions under which one performs. Someone can be highly motivated to pursue a career helping people as a medical professional. But to that motivation must be added his scientific ability, learning resources at his college, and such conditions as regular access to his professors. Wla-Mart associates get latitude to act-a kind of resource –in addition to receiving motivation al messages from their supervisors.

[9] Third managers and researchers alike assume that motivation is in short supply and in need of periodic replenishment. Motivation is like the heat in a house during winter months in Northern climates. Because heat gradually escapes, the furnace must cycle on frequently to maintain the warmth of the house. Motivation theory and motivational practices deal with processes that never really end, based on the assumption that motivation can escape over time.

Fourth, motivation is a tool which managers can arrange job relationships in organisations. If managers know what drives the people working for them, they can tailor job assignments and rewards to what makes these people tick thus, knowledge about motivation joins strategic plans as inputs into the process of designing relationships at organizations and distributing power in those work relationships. The wal-Mart store visits and the responsibility given to associates are two cases in point. [10] Need TheoryNeed theory has a long-standing tradition in motivation research and practice, as the term suggests, need theory focuses on what people require to live fulfilling lives.

In practice, need theory deals with the part work plays in meeting such needs. According to need theory, a person is motivated when he or she has not yet attained certain levels of satisfaction with his or her life. A satisfied need is not a motivator. There are various need theories, which differ regarding what those levels are and when satisfaction is actually reached.

Equity TheoryEquity theory is based on the assumption that a major factor in job motivation is the individual evaluation of the equity or fairness of the reward received. Equity can be defined as a ratio between the individual job inputs (such as effort or skill) and job rewards. According to equity theory, in dividable are motivated when they experience satisfaction with what they receive from an effort in proportion to the effort they apply. People judge the equity of their rewards by comparing them either to the rewards others are receiving for similar input or to some other effort reward ration that occurs to them .

An example will demonstrate the difference.[11] Expectancy TheoryAccording to expectancy theory, people choose how to behave from among alternative courses of action, based on their expectations of what there is to gain from each action. David Nadler and Edward Lawler describe four assumptions about behavior in organizations on which the expectancy approach is based- ·         Behavior is determined by a combination of factors·         Individuals make conscious decisions·         Individuals have different needs desires, and goals·         Individuals decide between alternative behaviors Reinforcement TheoryReinforcement theory, associated with the psychologist B F Skinner and others, shows how the consequences of past behavior affect future actions in a cyclical learning process. This process may be expressed as follows-On this view, the individuals own voluntary behavior (response) to a situation or event (stimulus) is the cause of specific consequences.

If those consequences are positive, the individual will in the future tend to have similar responses in similar situations. If those consequences are unpleasant, the individual will tend to change his or her behavior in order to avoid them.Goal-Setting TheoryGoal-setting theory focuses on the process of setting goals themselves. According to psychologist Edwin Locke, the natural human inclination to set and strive for goals is useful only if the individual both understands and accepts a particular goal.

Furthermore workers will not be motivated if they do not possess and know they do not possess the skills needed to achieve a goal.[12] According to goal setting theory then individuals are motivated when they behave in ways that more them to carat clear goals that they accept and can reasonably expect to attain. So goal- setting theory joins expectancy theory and reinforcement theory as different ways to explain why people behave as they do at wal-Mart. Goals such as superior customer service are reaffirmed every time a store visit occurs.

Performance Measure: The major purpose of this study is to make out a methodology in order examine the leadership and motivation for marketing professionals how efficiently manage the performance of case studies. The intention is to examine the impact of the characteristics of case studies in relation to the degree of leadership and motivation involvement in the organisation. To address the core themes of this study using a theoretical aspect of organisational performance. A successful method for dealing with any outstanding issues in a holistic/integrated manner and for guiding the performance measure effort during the remaining stages of development and implementation involves the development of a performance measurement strategy (PMS).

The elements of Performance Measurement Strategy:1.         The principles and values under which the development of a fully supported PM system would proceed;2.         An organisational structure for planning and performance measurement that permits full cooperation and coordination towards common goals;3.         A definition of the role and responsibilities for all staff involved in planning and performance measurement in all parts of the organization;4.

A methodology outlining all of the necessary phases of development including a project plan, necessary to develop and implement a PM system; and5.         Integration strategies to ensure that performance measurement become a stable, ongoing and essential element within the management regime.[13] Buchanan, D. and Huczynski, A.

(2004, p 718) has structured Leadership in content of management is as follows-Case studies, according to Buchanan and Huczynski (1985) are detailed investigations of single individuals, single groups, or departments in an organization, or a whole organization in its entirety. No attempt is made at experimental control although it is important to identify accurately the time order of events. Case study data can be extremely rich, varied, and detailed. The sequence of events can help to establish cause and affect relationships.

[14] Case study data can be collected over an extended time series to produce what are called longitudinal studies.  Buchanan and Huczynski (1985) thus help us to gain understanding of the nature of case studies, although their emphasis on cases as research vehicles leads them to place more emphasis on the need for structured presentations, time accuracy, and general validity of the material communicated than is always appropriate for the case teacher who might, for example, wish to develop and use a fictitious case context, or present case material which purposely includes information gaps.[15] Armstrong M (1990, p 177) demonstrated that the Ingredients of Excellence of performance measurement are as (1) Strategy – planning to achieve objectives (2) Structure (3) Systems (4) Staff  (5) Style (6) Skills and (7) Super ordinate goals – guiding values. Conclusion:To conclude, we would like to challenge effective performance through leadership and motivation it required to conceive of alternative ways of achieving the goals of any organisation with which we are involved.

Leadership and motivation also encourage the team members to consider the wider implications of their involvement in leadership practice and any way in which it could be modified for the broader good. Thus, if employees consider themselves as a leader – they must pay attention to how he go about it; if he work within an organisation he may consider how the process of leadership & motivation occurs and his role within it; and if he is an observer/advisor, then consider how leadership & motivation interacts with social and organisational cultures.    Bibliography:Armstrong M & Baron A (2005), Managing Performance: Performance Management in Action, CIPD Armstrong M (1990), How To Be An Even Better Manger London Kogan Page p 177Armstrong M (2002), Employee Reward, 3rd edition, CIPD (2002), London 2006 ISBN 0-7494-4631-5 Bloisi, W, Cook CW & Hunsaker P (2003), Management and Organisational Behaviour, London: McGraw Hill Bolden, R. (2004), What is Leadership? Centre for Leadership Studies, Berkshire: The Windsor Leadership Trust, UK.

Buchanan, D. and Huczynski, A. (2004), Organizational Behaviour: an introductory text (5th edition). London: Pearson Education Limited.

Chivers, W and Darling (2004), P. 360-degree Feedback and Organisational Culture, IPD, 1999Fletcher, C, Appraisal and Feedback, CIPD, 2004 Fiedler, F. E. (1964), A contingency model of leadership effectiveness.

In Advances inExperimental Social Psychology, New York: Academic Press. Hersey, P. and Blanchard, K. (1977), Management of Organizational Behaviour, London: Prentice Hall International.

Hersey, P. and Blanchard, K. (1988), Management of Organizational Behavior: UtilizingHuman Resources, London: Prentice Hall International. Kaplan, R.

S.  & Norton, D. P. (1996), The Balanced Scorecard, (Boston: Harvard Business Review School Press.

Kotter, J. (1995), Leading Change: Why Transformation Efforts Fail’ Harvard Business Review, March/April 1995. Kotter, J.P.

(1990), A Force for Change: How Leadership Differs From Management, New York: Free Press. Kotter, J. (1990), What leaders really do, Harvard Business Review, Dartmouth Publishing Co. Ltd.

May-June, p103-111. Pilbeam S & Corbridge M (2006), People Resourcing: Contemporary HRM in practice, FT Prentice Hall Redman T & Wilkinson A (2006) Contemporary Human Resource Management: Text and Cases, FT Prentice Hall Stogdill, R. M. (1974), Handbook of Leadership: A survey of theory and research.

New York:Free Press. Stoner, J. A. F.

eet al (2006), Management, 6th ed. London: Prentice Hall Thorpe & Holman (2000) Strategic Reward Systems, FT Prentice Hall Taylor, S. (2005), People Resourcing, London: Mcgraw Hill Professional, ISBN-10: 1843980770 Winstanley and Woodall (2000), Ethical Issues in Contemporary Human Resource Management, London: MacMillan. Wright A (2004) Reward Management in Context, CIPD Williams R S (2002), Managing Employee Performance: Design and implementation in organizations, London: Thomson Learning [1]              Stogdill, R.

M. (1974, p.259)[2]              Stogdill, R. M.

(1974, p.259)[3]              Kotter, (1990, p103)[4]              Hersey, P. and Blanchard, K. (1977)[5]              Fiedler, F.

E. (1964)[6]           Stoner, J. A. F.

et al (2006)[7]              Redman T & Wilkinson A (2006)[8]              Buchanan, D. and Huczynski, A. (2004, p 718)[9]              Hersey, P. and Blanchard, K.

(1977)[10]         Pilbeam S & Corbridge M (2006)[11]             Bloisi,W, Cook CW & Hunsaker P (2003)[12]            Redman T & Wilkinson A (2006)[13]             Kaplan, R. S.  & Norton, D. P.

(1996)[14]             Buchanan, D. and Huczynski, A. (2004, p 718)[15]             Bloisi, W, Cook CW & Hunsaker P (2003)

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