Thursday, February 28, 2019
Blue flowers (Pvt.) Ltd Essay
Executive abstractBlue tiptops (Pvt.) Ltd is an artificial flower manufacturing comp whatsoever situated in Monaragala with 350 core workforces. It provides artificial flowers for local and international markets. This has five functional departments namely Purchasing, gross sales and Marketing, Production, Accounting and HR. They got a decision to growing end product in 14% by last year onwards and an fillip computer program to a fault accomplished. When the carder produces to a greater extent than the original stern, company granted 10%-15% additional inducing. after 6 months company had evaluate their pros and cons and emergences was as follows, Production increased beginning(a) month 20%2nd month-30%3rd month-32%4th month-20%5th month-20%sixth month-20%Lower Quality and Rejection Rate 10%-15% after(prenominal) implementing this motivator program merchandise employees complained that the reason of this problem is the slowness of other departments, and overly 60% pr oduction employees were complained their objections through their Trade Unions. subsequently that TUs called a meeting to its members. 60% employees tell that this is non an incentive escape but just some other way of exploiting labor and they suggested a TU action. Then TU representatives met caution and informed them that this incentive scheme is non mercenary or equit adapted. But focusing said that if they argon non in a position to carter to this increase in order in the future, they are in for a heavy expiration and as a result they might even consider an employee tautology plan in addition. After this meeting trade unions requested some conditions besides. paradox StatementIn this outcome we can identify several oversight issues which influenced for the smooth functioning of the company. Those issues as followsIssue 1Organization obdurate to increase their production and implement an incentive program for employees who had produce more than the original bel l ringer delven.But they did not screen the national and external environment before implement this production and incentive scheme. They did not through with(p) feasibility study, b angiotensin converting enzyme analysis or a PESTEL.Issue 2thither was no any advisedness program for employees astir(predicate) those production sets and incentive schemes. There was no any target grouping realisation or air valuation. inducement was given without any Performance evaluation in that locationfore other department people (Other than Production dept.) were transported more of this incentive scheme.Issue 3Incentive scheme was not mercantile and not equitable. And also it was not demanded in a proper manner. Lower aim workers were not reaping any benefits of this incentive scheme.Issue 4Given target is not SMART (Specific, Measurable, Achievable, Realistic, Time bound) They nevertheless announced to employees that production essential be increased by 14%. They did not spe cify soulfulness addresss and objectives or Team goals and objectives. They express disposalal goal and tried to reach it through an incentive scheme. They should obtain to inform employees through a phone line description but they didnt.Issue 5Some managers and supervisors considered employees as machines. also there were biasness in fooling low quality and product rejections. In the meeting which held between management and Trade Unions management said that if employees were not in a position to this increase in order in the future, they were in for a heavy loss as a result they might even consider an employee redundancy plan also.There was no any interrelationship between management and employees. solicitude implements decisions without having employees collaboration. consequently Trade Unions can influence.Recommendations with Literature ReviewIssue 1There was no any feasibility study. No any internal or external environmental study. Both internal and external environm ental factors are widely influence for the nerveal functions. Before take any strategical decision organisational management should see the internal and external environment. In this upshot government activity is going to increase their production through incentive schemes. That means this organization is going to develop. Organizational development is all about improving organizations performance. But this performance development should be done by facing internal and external environmental changes. To do this organization should scan the internal and external environment. For internal scan organization should implement lift analysis and for external scan organization should implement PEST analysis. SWOTPESTFigure 1In this slipperiness before implement the decision of product increment and incentive scheme organization should have to scan environmental factors. First of all whether alive employees are qualified for come across this current target, if not organization sho uld recruit additional employees to fulfill this target. If existing workforce is sufficient they should have being given a proper Training to do new job well. Existing employees. ( strain rotation, antic enrichment, Job enlargement, Training and Development, Promotions etc.)External employees. (Just in conviction natural endowment, tell apart talent pool, Attract, Gain, Retain) Not only that but also organization should have to conduct a feasibility study. They should scan whether existing technology is enough whether existing machinery or machine capacity is sufficient whether raw material supplement is revenge the given target etc. After scanning those types of internal factors organization should scan external factors also. In this case Blue Flowers did not scan anything about environment they just announced a target and told employees to fulfill it.Issue 2No target groups, Awareness program, Job evaluation and Performance appraisals Before implement an incentive scheme or ganization should have topoint out which group has being given the target. It volition be helpful to give incentives for employees who actually meet targets. harmonize to this case Production Department employees are the target group. By identifying the target group correctly other department people will not be able to enjoy incentives without performing towards the target. After identifying the target group organization should inform them about what to do? How to do? When to do? Which benefits can agnize through the target?This can be done through conducting an awareness program or an inauguration. And also the target group can be informing by a proper job description. Not only the target group but also the other department employees also should clarify according to the target to achieve and they also inform by proper job descriptions. Then organization should conduct a Job Evaluation to grade jobs according to its worth. Job evaluation is a regular comparison done in order to d etermine the worth of one job relative to another.It provides a basis for grading and establishes pay structure. After identifying the grades pay structure should established. And the incentive scheme should align with the Evaluation and target group should have being given more worth. According to this case although Blue Flowers implement an incentive scheme they did not conduct any Performance Evaluation program. Through PM organization can pulse Actual performance of employees and can compare it with expected performance. Through this metre organization can identify game performers and low performance and ferment rewards or punishments.Issue 3Incentive scheme was not lucrative and not equitable.According to this case Incentive scheme was not lucrative or equitable. As production people mentioned other department employees enjoy more of this incentives. As I express in issue 2 it can be prevent by target group identification. straight-laced awareness, Job evaluation and Perfo rmance Appraisal based incentives. According to this case organization can bring Group Incentive Scheme. Group Incentive Schemes are targeted at improving performance levels or the output among a group of employees. This is like an exclusive incentive scheme but give pay over and above base salary to all squad members when the group or team collectively meets specified standards for performance, productivity or other work related behavior. Blue flowersare going to increase production by 40%.They can introduce targets to Production team, Accounts team, gross sales team, HR team and purchasing team. Then organization can introduce incentive schemes for separate departments as per its worth. But there is a disadvantage. By providing team incentives some employees can enjoy incentives without performing towards target. To prevent this organization can introduce respective(prenominal) performance appraisal scheme also and they can reward high performers and identify low performers. This will be reduce de want of high performers, reduce tardiness, reduce LTO, and mainly can achieve the target efficiency and effectively. Organization also can map motivation theories for implement sound incentive scheme. Basically organization can use Two Factor Theory by Fredric Herzberg, Vrooms Expectancy Theory and object setting theory.Two Factor TheoryHerzberg view that man lives at two levels, physical and psychological level. Several factors lead to employee satisfaction tour the other lead to dissatisfaction the satisfiers are called Motivators and the dissatisfies are called Hygiene factors. Motivators appeared to produce propel behavior and hygiene factors produced dissatisfaction.Vrooms Expectancy TheoryThis says that an employee will be make to exert a high level of stew when he believes that effort will lead to a good performance appraisal that a good appraisal will lead to organizational rewards and that rewards will satisfy the employees personal goals. Thi s theory emphasize that motivation begins with a desire for something. final stage Setting TheoryAccording to this theory, a person get motivated by following thingsThe goal should be SMARTThey should be dispute but reachableGoals are seen as fair and reasonable individualistic participation in goal-settingFeedback ensures that people get a feeling of self-conceit and satisfaction from the experience of achieving a challenging but fair goalFeedback is used to gain commitment to even higher goalAfter evaluating above factors organization can take following steps1. Identify the objective properly2. Consult with staff and trade unions3. Relate the scheme to the business remuneration system4. Ensure that the planned scheme is agonistic5. Decide on performance measures for organizational staff6. Regular go over and obtain feedbacksIssue 4Target was not SMARTAccording to this case the given target was not SMART. All organizations have their collective targets. Those targets are divid ed into sections and assigned individual departments with those divided targets. Then those individual departments assigned departmental target among their department members. Those are calls individual targets. Those individual targets and departmental targets should fulfill through strategic plans, and those decisions which implement to achieve departmental targets should always align with the corporate target.ExFigure 2When an organization establish a target it should be SMART (Specific, Measurable, Achievable, Realistic, Time bound) and also it should be structured with performance, conditions and standards. Ex production team should produce ten thousand flowers individually, 100% accurately inside a given day within given machine capacity.Issue 5Biasness of managers and supervisors. No interrelationship among management and employees In this case there was no any interrelationship among management and employees. Some managers/supervisors consider employee as machines and they reject production or brand as low quality as their wish. This is no fair and conflicts, high LTO, high absenteeism, high tardiness can be happened The best theory for the kind Relation is Hawthorne Studies. Elton Mayo was the founder and he did a research in Western Electricals. He searches how the lightning and illumination affect to the workerperformance. From this research he founded that human relations can affect worker performance quite than physical conditions. We all are human being. We all are blithesome to have pleasant relationships.It is a psychological need. In an organization if there are so many good physical conditions but no interrelationship between employer and employee that organization will not be able to achieve its desirable targets. According to this case thre was no interrelationship between employees and management and also biasness was there. As a result employees were get in concert with Trade Unions for gain their rights. That was a huge disadvantage for an organization. And also in the meeting with TUs management stance that if employees enable to fulfill targets on time they will be implement a redundancy program. That was not suitable and a point of conflict. To prevent this situation organization can carry out Soft Skill programs for managers and supervisors.Maintain fair welfare programs.Implement Participative Management System.Make standard level of production quality and make aware employees about that.Then rejection and low quality branding will not be bias.ConclusionBlue Flowers (Pvt.) ltd is a leading artificial flower manufacturer which provides artificial flowers for local and foreign markets. They desired to increase their production by minimum 40% but faced problems because of poor environmental awareness, poor targets, and weak incentives. If Blue flowers follow sound incentive system through a strategic plan they will never arrest unsuccessful in gaining 40% production increment.