Australian hardware performance management policy

PART A

1. Review the Australian Hardware simulated business documentation provided to you by your assessor, particularly the performance management and performance appraisal processes.

2. Review the scenario below:

You are the Hardware and Homewares Manager at the Australian Hardware Wollongong store. Kim Smith has been on your team for the past six months. It is now performance review time. You will need to provide Kim with feedback on her performance since she was seconded to you from the garden centre.

You are less than satisfied with Kim’s performance, but still hope you will be able to get her to focus on areas she needs to develop in and help her improve her performance to meet the expectations for the role. It is particularly disappointing that after providing her with feedback and setting goals at the outset, she has not lived up to her commitment. You allowed her to reduce her sales targets, but she has not made any sustained effort to develop herself to perform to a satisfactory level. She is even failing to reach the low targets set for the initial six-month period.

While Kim has not performed to expectations, she has made some effort to learn the required product information. You would like to recognise her efforts, while not downplaying the fact that the organisation needs and expects more from their sales staff.

You will need to discuss and agree upon what development steps to take. You have another experienced and high-performing staff member in the hardware and homewares department who has agreed to act as a mentor to Kim. You also have money in the budget for 30 hours of sales training for Kim if she is willing to be trained.

You will need to follow the Australian Hardware policy and procedures for performance management, including recordkeeping.

3. Review the employee’s Performance Scorecard (Appendix 1).

4. Plan an informal coaching session for the employee. Use the Coaching Plan template provided (Appendix 2) or a coaching planning model of your own design.

The focus of this part of the role-play should be on collaborating with the employee to identify performance gaps and taking positive measures to close those gaps.

5. Prepare the formal performance development documentation for the employee. Use the Performance Development Plan template provided (Appendix 3), in accordance with the Australian Hardware performance management policy.

The focus of part of the role-play (done immediately after the coaching session) is to formally establish with the employee the performance issues, remedial steps and work goals for the next performance review period.

6. Role-play. Ensure you complete the following:

a. Conduct a coaching session where you:

i. discuss performance expectations

ii. establish and clarify the reality of the employee’s performance: describe how performance was monitored and measured; your evaluation of the gap between expectations and their performance; and discuss previous feedback given (Assignment 1).

iii. recognise achievements, attitude and positive aspects of performance

iv. discuss opportunities for growth and meeting expectations

v. establish willingness of the employee to take concrete steps.

b. Complete formal performance development documentation, where you:

i. set targets and review dates for the next performance review

ii. complete performance management recordkeeping for HR (Appendix 3), including signatures. Refer to the performance management procedures followed with the employee.

iii. Conduct a formal structured feedback session with employee in accordance with organisational policy.

Appendix 1: Performance scorecard – Kim Smith

KRA

Target

Result

Comments

Financial

$8,000 sales revenue per month

$5,000 average over six months

This low target was set for an initial period of six months. You would expect an employee to reach a target of $10,000 at this stage.

Customer focus

8/10 score on customer focus

5/10 score

The employee is personable and tries hard to develop a rapport with customers. Customers and staff respond well to the employee. However, staff cannot rely on the employee to support them and they are constantly being asked for product information that the employee should know already. Customers are initially attracted to the employee’s friendly manner but are quickly turned off by her unserious attitude. Customers do not have confidence in this employee’s ability to help them choose a product that will meet their needs. Customers who do stick with the employee must then wait longer to complete their purchases.

Internal process efficiency

Two minutes to complete sales transaction

Average five minutes

The employee has never mastered the point-of-sale system; consequently they make errors that need to be corrected before completing transactions.

Learning and development

20–30 training hours

Seven training hours

The employee, while expressing initial enthusiasm for the role, has not made any sustained effort to learn the basic skills and knowledge necessary to reach targets, although the employee attended a one-day rapport-building workshop. The employee appears to feel that they will learn by casual experience without any effort or that they can constantly rely on others to help.

Appendix 2: Coaching plan template

Coaching phase

Notes/questions/planning

Goal and performance expectations

Reality of actual performance

Opportunities to develop

Willingness to develop and commitment

Appendix 3: Performance development plan template

Name and position:

Manager: Review period:

Reference from operational plan

Key result area

Indicator of success/ performance

Status report/results

Achievements:

Areas of opportunity:

Next performance review period:

Manager’s comments:

Signature: Date:

Staff member’s comments:

Signature: Date:

PART B

Appendix 1: Scenario-based questions

Review the Australian Hardware simulated business documentation provided, particularly relating to performance management requirements.

Question 1: Monitoring and coaching

Consider the following scenario.

You are the Hardware and Homewares Manager at the Australian Hardware Wollongong store. You consider the organisation’s performance management policy and resolve to undertake some research into ways to improve the system or its implementation.

Answer the following:

a. How could variables such as recognition and continuous feedback help reinforce excellence in performance? Give two examples that could work at Australian Hardware to affect performance.

b. How would you apply Australian Hardware procedures to monitor and coach individuals, specifically those with poor performance?

Question 2: The legal context of performance management

Consider the following scenario.

You are the Hardware and Homewares Manager at the Australian Hardware Wollongong store. You are concerned about your application of performance management and want to work according to legal requirements.

Answer the following:

a. For three of the following areas, what are the relevant pieces of legislation applicable to performance management at Australian Hardware?

○ equal employment opportunity

○ anti-discrimination

○ competition and consumer protection

○ privacy

○ industrial relations

○ health and safety (OHS/WHS)

b. Environmental issues.

c. For each piece of legislation identified above, identify at least one requirement relevant to performance management at Australian Hardware.

Question 3: Seeking advice

Consider the following scenario.

You are the Hardware and Homewares Manager at the Australian Hardware Wollongong store. One of your customer service and sales representatives, Kim Smith, is consistently not meeting performance expectations. You have tried setting goals in consultation with the employee, ongoing coaching and feedback. You have conducted two formal performance reviews. You are not sure what else you can do.

Answer the following:

a. Name any positions of an internal source you could approach for HR or performance management advice.

b. Name one external source (individual professional, consultancy or government) of HR or performance management advice, particularly for managing poor performance.

Question 4: Counselling and support

Consider the following scenario.

You are the Hardware and Homewares Manager at the Australian Hardware Wollongong store. One of your customer service and sales representatives, Kim Smith, is consistently not meeting performance expectations. You have decided to counsel the employee to alert her of poor performance in a formal way and to inform her that dismissal may be an option for the future if her performance does not improve.

Answer the following:

a. What steps would you take to counsel the employee in accordance with organisational policy and relevant legislation for disciplinary meetings?

b. What legislation is the most relevant in this scenario?

c. What is the relevant award for the employee’s role at Australian Hardware?

d. What support services could you offer the employee?

Question 5: Dismissal

Consider the following scenario.

You are the Hardware and Homewares Manager at the Australian Hardware Wollongong store. One of your customer service and sales representatives, Kim Smith, is consistently not meeting performance expectations. You have decided to terminate her.

Answer the following:

a. What is the process of termination in accordance with organisational policy and legal requirements? Summarise the details.

b. What are the relevant unlawful dismissal rules and due process that you must follow?

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