CHAPTER-1 PERFORMANCE APPRISAL OF MACDONALDS
What Is Performance Appraisal?
Performance appraisal is an interal part of HRM an! HRM !eals "it# personnel is people$ %People& is t#e important an! 'al(a)le reso(rce t#at e'er* orani+ation or instit(tion #as in t#e form of its emplo* emplo*ees$ ees$ D*nami D*namicc people people can )(il! )(il! !*namic !*namic orani+ orani+atio ation$ n$ Effecti Effecti'e 'e emplo*ees can contri)(te to t#e effecti'eness of t#e orani+ation$ HRM #as m(ltiple oals, "#ic# incl(!e incl(!e emplo*ee‟ s competenc* !e'elopment !e'elopment,, emplo*ee emplo*ee moti'ation !e'elopment !e'elopment an! orani+ation !e'elopment$ Emplo*ees re(ire a 'ariet* of competencies, .no"le!e, attit(!e, s.ill s.illss in tec#n tec#nic ical al area/ area/ Mana Manaeri erial al areas areas,, )e#a'i )e#a'iora orall an! #(m #(man an relat relation ionss areas areas an! concept(al area to perform !ifferent tas.s or f(nctions re(ire! )* t#eir 0o)s$ HRM aim at constantl* t#e competenc* re(irements of !ifferent in!i'i!(al to perform t#e 0o) assine! to t#em, effecti'el* an! pro'i!es opport(nities for !e'elopin t#ese comp compet eten enci cies es$$ As HRM HRM !eal !ealss "it# "it# #(ma #(mans ns it is nece necess ssar ar* * to .eep .eep a c#ec c#ec. . on t#ei t#eir r performance after re(lar re( lar inter'al of time i'en 0o)s, it is necessar* to correcti'e co rrecti'e actions term or t#ere is nee! to appraisal t#eir performance$ T#e process of appraisin for !oin t#eir "or. effecti'el* is .no"n as performance appraisal s*stem$ It is 'er* essentia essentiall to (n!erstan! (n!erstan! an! impro'e impro'e t#e emplo* emplo*ee ee‟ s performa performance nce appraisal appraisal is t#e )asis for HRD$ HRD$ It "as "as 'ie"e 'ie"e! ! t#at t#at perfor performa mance nce appra appraisa isall "as "as (sef(l (sef(l to !eci!e !eci!e (po (pon n emplo emplo*e *eee promotiontransfer, promotiontransfe r, salar* salar * !etermination an! t#e li.e$ Its roots in t#e earl* 23t# cent(r* can )e trace! to Ta*lor Ta*lor‟ s pioneerin Time an! motion st(!ies$ As a !istinct an! formal manaement proce!(re (se! in t#e e'al(ation of "or. performance, appraisal reall* !ates from t#e time of t#e Secon! 4orl! 4ar - not more t#an 53*ears ao$ 6et in a )roa!er sense, t#e practice of appraisal is a 'er* ancient art$ In t#e scale of t#ins #istorical, it mi#t "ell la* claim to )ein t#e "orl!7s secon! ol!est profession$ Performance appraisal meas(res t#e (alitati'e an! (antitati'e aspects of 0o) performance$
%T#ere is a )asic #(man ten!enc* to ma.e 0(!ments a)o(t t#ose one is "or.in "it#, as "ell as a)o(t oneself$8 oneself$8 Appraisal, Appraisal, it seems, is )ot# ine'ita)le ine'ita)le an! (ni'ersal$ In t#e a)sence of a caref(ll* str(ct(re! s*stem of appraisal, people "ill ten! to 0(!e t#e "or. performance performance of ot#ers, incl(!in s()or!inates, nat(rall*, informall* an! ar)itraril*$ T#e #(man inclination to 0(!e can create serio(s serio (s moti'ational, moti'ationa l, et#ical an! leal pro)lems in t#e "or.place$ "or.plac e$ 4it#o(t a str(ct(re! str(ct(re! appraisal s*stem, t#ere is little c#ance of ens(rin t#at t#e 0(!ments ma!e "ill )e la"f(l, fair, !efensi)le an! acc(rate$ Performance appraisal s*stems )ean as simple met#o!s of income 0(stification$ T#at is, appraisal "as (se! to !eci!e "#et#er or not t#e salar* or "ae of an in!i'i!(al emplo*ee "as 0(stifie!$ T#e process "as firml* lin.e! to material o(tcomes$ If an emplo*ee7s performance "as fo(n! to )e less t#an i!eal, a c(t in pa* "o(l! follo"$ On t#e ot#er #an!, if t#eir performance "as )etter t#an t#e s(per'isor e9pecte!, a pa* rise "as in or!er$ Little consi!eration, if an*, "as i'en to t#e !e'elopmental possi)ilities of appraisal$ Performance Performance appraisal, Incl(!es t#e i!entification, i!entification, meas(rement, meas(rement, an! manaement manaement of #(man performance in orani+ations$ orani+atio ns$ Identification Measurement Management IDENTIFICATION
Dete Determi rmini nin n "#at "#at areas areas of "or. "or. t#e t#e mana manaer er s#o s#o(l (l! ! )e e9am e9amini inin n "#en "#en meas meas(ri (rin n performance$ Rational an! leall* !efensi)le i!entification re(ires a meas(rement s*stem )ase! on 0o) anal*sis$ T#e appraisal s*stem, t#en, s#o(l! foc(s on performance t#at affects orani+ational s(ccess rat#er t#an performance-irrele'ant c#aracteristics s(c# as race, ae, or se9$ MEA!"EMENT
T#e centre piece of t#e appraisal s*stem, entails ma.in manaerial 0(!ments of #o" %oo!& or %)a!& emplo*ee performance "as$ Performance meas(rement m(st )e consistent t#ro( t#ro(#o #o(t (t t#e ora orani+ ni+ati ation$ on$ T# T#at at is, is, all all mana manaer erss in t#e t#e ora orani+ ni+at atio ion n m( m(st st maint maintain ain compara)le ratin stan!ar!s$2 MANA#EMENT
T#e o'erri!in oal of an* appraisal s*stem appraisal s#o(l! )e more t#an a past-oriente! acti'it* t#at critici+es or praises "or.ers for t#eir performance performance in t#e prece!in *ear$ Rat#er, Rat#er, appraisal m(st ta.e a f(t(re-oriente! 'ie" of "#at "or.ers can !o to ac#ie'e t#eir potential in t#e orani+ation$ T#is means t#at manaers m(st pro'i!e "or.ers "it# fee!)ac. an! coac# t#em to #i#er le'els of performance$ Performance Manaement is concerne! "it# people an! t#e latter are t#e )ac.)one of a )(siness, an! t#(s performance manaement is an essential element in t#e oranisation$ To!a* Performance Manaement is carrie! o(t )(t not in t#e ri#t "a*$ An e9ample is t#e oranisational "or. for, manaers !o not reall* moti'ate emplo*ees, t#e* are onl* concerne! a)o(t ma.in sales/ people are not traine! "ell, especiall* ne" cre" mem)ers an! t#e* are not tol! "#at is e9pecte! from t#em an! "#en t#e* !o not perform to t#e stan!ar! manaers manaers s#o(t at t#em "#ic# res(lts in )itterness )itterness for t#e manaer an! t#e emplo*ee sometimes sometimes lea'es t#e 0o) )eca(se #e cannot cope$ T#is is a )i !isa!'antae for t#e compan* as it #as to recr(it, an! t#en train someone aain$ It is time cons(min an! costl* as "ell$ Hence I "ant t#e retail in!(str* to s#o" appreciation an! enco(raement "#en t#eir emplo*ees perform "ell, I )elie'e manaers #a'e t#e ri#t .no"le!e an! s.ills an! t#e* s#o(l! s(pport, (i!e, a!'ise an! correctl* coac# t#eir emplo*ees to e9tract oo! "or. from t#eir people$ Performance appraisal process of McDonalds
T#e o)0ecti'es of t#is Pro0ect "or. are to assess t#e sinificance performance appraisal an! assessment in t#e manaement of McDonal!s$ Partic(larl*, t#is researc# foc(ses on ettin t#e follo"in aims • • •
I!entif* t#e )asic i!ea of performance manaement s*stem in McDonal!s$ Reconise t#e 'ie" of t#e staffs a)o(t t#e performance manaement s*stem$ Deci!e Deci!e t#e met#o!s met#o!s impleme implemente! nte! t#ro(# t#ro(# manaem manaement ent for performa performance nce manaement$
Identif$ing Performance Performance Dimensions in McDonalds
McDonal!7s Performance appraisal )eins )* i!entif*in t#e !imensions of performance t#at !etermine effecti'e 0o) performance$ O)'io(sl* :o) anal*sis is t#e mec#anism )* "#ic# performance !imensions !imension s s#o(l! )e i!entifie! i!entif ie! at McDonal!s Corporation$
%People ha&e al'a$s (een McDonald)s legac$* I also appreciate the fact that+ in an organi,a organi,ation tion li-e McDonald) McDonald)s+ s+ people people and profita profita(ilit (ilit$ $ are ine.ora( ine.ora(l$ l$ lin-ed* lin-ed* /ou cannot ha&e one 'ithout the other0 1 McDonald)s McDonald)s Corporation Corporation chief e.ecuti&e e.ecuti&e officer officer
McDonal!;s reconise t#at people !o "ell "#en t#e* feel oo! in t#eir 0o), so t#e* o all-o(t to create t#e ri#t "or.in en'ironment for e'er*one$ T#at;s a lot of people to consi!er, "#ic# is "#* "e stri'e to pro'i!e a 'ariet* of re"ar!s an! )enefits to s(it all .in!s of lifest*les$ In ac#ie'in t#e )est "or.in e9perience for t#eir people, t#e* aim to pro'i!e t#e )est resta(rant e9perience e 9perience for o(r c(stomers$ In "or.in for fo r McDonal!;s, emplo*ees not onl* )ecome part Recr(itment < Trainin of one of t#e larest lo)al )ran!s, )(t a constantl* e'ol'in oranisation t#at offers a c(lt(re of fle9i)ilit*, opport(nit*, e(alit* an! !i'ersit*$ Reflecti'e Reflecti'e of t#e societ* an! comm(nities comm(nities in "#ic# "e operate, "e offer pro)a)l* one of t#e most !i'erse "or. c(lt(res in t#e =>$ 4#ile o(r people come from all "al.s of life, t#e* s#are a common approac#? a positi'e one$ 4#en recr(itin Cre" Mem)ers, o(r polic* is to @#ire t#e smile;$ T#is #elps to foster a "or.force of people "it# a positi'e o(tloo. an! approac#, "#ic# in t(rn creates an (p)eat an! frien!l* atmosp#ere$ Of co(rse, it;s not 0(st a)o(t #irin #app* people it;s a)o(t a)o(t !oin e'er*t#in "e can to .eep t#em smilin$ smilin$ Ho"B * offerin re"ar!s an! enefits t#at fit in "it# t#eir lifest*le, "#et#er t#e*;re a part-time emplo*ee "or.in to f(n! t#eir collee e!(cation or a Trainee (siness Manaer strai#t o(t Measuring performance in McDonalds
It is essential for people an! t#e compan* t#e* "or. in to calc(late t#eir performance an! o)ser'e #o" "ell t#e* are "or.in$ A staff m(st reconise "#at is nee!e! of #im#er in t#e corporation an! "#at stan!ar! of o(tp(t is nee!e! of t#em to i!entif* if t#e* are pleasin t#is !eman!$ Some met#o!s are t#ere for Moti&ation
Moti'atin Moti'atin is t#e "or. manaers perform to moti'ate, moti'ate, s(pport an! impel in!i'i!(als in!i'i!(als to ta.e action$ To inspire t#e staffs, t#e staffs s#o(l! )e reac#e! to reac# #im t#ere s#o(l! )e a complete! consi!eration of t#e complication #is ma.e-(p$ Efforts of moti'ation s#o(l! )e
!irecte! to"ar!s !e'elopin operations of compan*$ To )e s(ccessf(l, #o"e'er t#e* s#o(l! also )e planne! to !emonstrate a!'antaes to t#e staff$ Act(all*, inspiration can )est )e ac#ie'e! "#en staffs are capa)le to com)ine t#eir in!i'i!(al aims "it# t#ose of t#e compan*$ Accor!in to Ro)in an! DeCen+o 1/ 2G1 inspiration is !escri)e! so t#e eaerness to e9ert #i# stan!ar! of attempt to reac# oals of compan*, con!itione! t#ro(# t#e a)ilit* of attempt attempt to please please som somee in!i'i!( in!i'i!(al al !eman! !eman!‖ $ Camp)el Camp)elll an! Pritc#ar! Pritc#ar! 1G5 in !escri) !escri)es es inspiration as a set of in!epen!ents an! !epen!ant connections t#at !efines t#e amplit(!e, !irection, an! persistence of a staff@s )e#a'io(r #ol!in sta)le t#e impacts of approac#, a)ilities, consi!erin of an aim an! t#e constraints "or.in in t#e "or. sit(ation$ Sc#ra!er connecte! staffs nee! to inspire an! it "as conse(entl* !efine! t#ro(# T#omas et al$ T#at t#ere is proof enco(rain t#e e9istence of a connection connection )et"een moti'ational le'el of a staff an! t#eir personal performance$ At.inson !escri)e! it as t#e mo!ern imme!iate impact on t#e 'io(r, !irection, an! persistence of acti'it*$ T#e connection )et"een t#e compan* an! staffs s#o(l! )e one of consi!eration in or!er for t#e staff to reconise #imself "it# #is action an! "it# t#e compan* #e is f(nctionin for$ Lac. of inspiration in ret(rn impacts o(tp(t$ Se'eral sins can point to lo" morale? re!(cin o(tp(t, #i# t(rno'er of emplo*ee, en#ancin se'eral rie rie'a 'anc nces es,, #i# #i#er er occ( occ(rr rren ence ce of tar! tar!in ines esss an! an! a)se a)sent ntee eeis ism, m, en#a en#anc ncin in n(m) n(m)er er of s()stan!ar! pro!(cts, #i#er n(m)er of inci!ents or a #i#er le'el of scrap an! "aste materials re"ster, His, an! Mcain,$ Inspire! staffs are a fait#f(l staff an! to )e lo*al Implies t#at t#e staffs #elp t#e o)0ecti'es an! actions of t#e compan*$ T#e T#e emerence of t#e "or. as a "#ole #as, act(all* a )earin on t#e eaerness an! 'al(e for performance of a staff Fre!ric.son an! :oiner, 2332$ Consi!erin "#at inspires staffs to perform can present t#e platform an! )asis to o)ser'e t#e performance of staffs in McDonal!s$ Researc#ers #a'e o)ser'e! t#e !ifferent inspirin aspects t#ro(#o(t t#e latest time an! #a'e an e9cellent consi!eration consi!eration of "#at inspires a staff in McDonal!s$ T#eir T#eir researc# can ma.e t#e met#o! for calc(latin performance Fre!eric Her+)er propose! t#at t#ere are t"o .in!s of aspects t#at impa impact ct a "or. "or.er erss "or. "or. sati satisf sfac acti tion on call calle! e! mo moti ti'a 'ato tors rs@@ t#at t#at pres presen entt opti optimi mist stic ic "or. "or. contentment contentment an! #*iene aspects t#at can impact a staff (nent#(siasticall* (nent#(siasticall*$$ Moti'ators Moti'ators are t#e inspiration for a staff to o)tain contentment in t#eir "or. an! en0o* it/ #*iene aspects #a'e to )e please! to a'ert t#e staff from )ein misera)le )(t are not essentiall* oin to ca(se lastin satisfaction of 0o)$ T#e in!i'i!(al@s performance is !irectl* impacte! t#ro(# t#ese aspects an! "ill !e'elop an! et "orse accor!inl*$ Here is a list of Her+)er@s #*iene
C2APTE"34 INT"OD!CTION TO MACDONA5D
McDonal!7s is an American #am)(rer an! fast foo! resta(rant c#ain$ It "as fo(n!e! in 13 as a )ar)ec )ar)ec(e (e resta( resta(ra rant nt operat operate! e! )* Ric#a Ric#ar! r! an! an! Ma(ri Ma(rice ce McDo McDonal nal!$ !$ In 1 1J, J, t#e* t#e* reorani+e! t#eir )(siness as a #am)(rer stan!, (sin pro!(ction line principles$ T#e first McDo McDona nal! l!7s 7s fran franc# c#is isee (sin (sin t#e t#e arc# arc#es es loo loo open opene! e! in P#oe P#oeni ni9, 9, Ari+o ri+ona na in 1K 1K$$ (sinessman Ra* >roc 0oine! t#e compan* as a franc#ise aent in 1 an! s()se(entl* p(rc#ase! t#e c#ain c# ain from fr om t#e McDonal! )rot#ers$ ase! in Oa. roo., Illinois, Illin ois, McDonal!7s McDona l!7s confirme! plans to mo'e its lo)al #ea!(arters to C#icao )* earl* 231J$
To!a* To !a*,, McDonal!7s is one of t#e "orl!7s larest larest resta(rant resta(rant c#ains, ser'in appro9imatel* 5J million c(stomers !ail* in 123 co(ntries across appro9imatel* K5,J o(tlets$ McDonal!7s primaril* sells #am)(rers, c#eese)(rers, c#ic.en pro!(cts, Frenc# fries, )rea.fast items, soft !rin.s, mil.s#a.es, "raps, an! !esserts$ In response to c#anin cons(mer tastes, t#e compan* #as e9pan!e! its men( to incl(!e sala!s, fis#, "raps, smoot#ies, an! fr(it$ A McDonal!7s resta(rant is operate! * franc#isee, an affiliate, or t#e corporation itself$ T#e McDon McDonal al!7s !7s Corpo Corporat ration ion re'en( re'en(es es come come from from t#e t#e rent, rent, ro*alt ro*altie ies, s, an! fees fees pai! pai! )* t#e franc#isees, as "ell as sales in compan*-operate! resta(rants$ Accor!in to a C report p()lis#e! in 2312, 23 12, McDonal!7s McDona l!7s is t#e "orl!7s "or l!7s secon! s econ! larest pri'ate pri' ate emplo*er, 1$ million of "#om "or. for franc#ises$
Wor-ing conditions
In Marc# 231, McDonal!7s "or.ers in 1 =S cities file! 2J #ealt# an! safet* complaints "it# OSHA "#ic# allee t#at lo" staffin, lac. of protecti'e ear, poor trainin an! press(re to "or. fast #as res(lte! in in0(ries$ T#e complaints also allee t#at, )eca(se of a lac. of first ai! s(pplies, "or.ers "ere tol! )* manaement to treat )(rn in0(ries "it# con!iments s(c# as ma*onnaise an! m(star!$ T#e Fi#t for 1 la)o(r orani+ation ai!e! t#e "or.ers in filin t#e complaints$
