Leadership In Business: Key Performance Indicators Essay

Question:

Discuss about the Leadership in Business for Key Performance Indicators.

Answer:

Introduction

Goal setting for a team enables it to clarify the constituents of the logical results to them. Through goal setting, the members of the team are involved in agreeing on what they want to accomplish and it can only be achieved through their commitment. The teams can be an effective unit more quickly if they want to accomplish a challenging and meaningful goal if they are committed to achieving it (Chang, 2016).

So, this journal is all about the description of the policies, procedures and plans of Fixmycar Pty Ltd, a roadside service company operating in Australia which will lead to the team and personal setting of goals. As s sales manager, a work plan shall be formulated to accomplish the goals set by the team for meeting the objectives of the company. Measures would also be suggested to maintain work-life balance, manage stress and maintain the health of the employees of the team.

Review of the organization’s policies, procedures and plans which will inform the team and personal goal setting

The mission of Fixmycar Pty Ltd is to make the company a nationally recognized brand in the roadside service industry. It aims to utilize a partnership with the companies operating in the automotive industry so that it can provide premium services to it consumers.

The company aims to grow its services in the next 12 months and to improve its profitability by 20% by 30 June 2019. The team should formulate SMART goals which are specific, measurable, attainable, relevant and time-bound (Fransen, Weinberger and Kirschner, 2013).

The setting of the team and personal goals in the organization

The goals to be set for the team can be enhanced profitability for the firm. As the company has aimed to increase its profits by 20 % in the next 12 months, so this goal should be established on a priority basis. The second goal can be an improvement in the quality of work performed by the team. The team leader must strive to improve the quality of work performed by his team. The third goal can be winning back the lost consumers of the firm. The fourth goal can be improving the training processes of the employees so that they can upgrade their skills and expertise to accomplish the goals of the organization.

The next goal can be increased sales by 10% by the end of next quarter. For this strategies should be evolved regarding the boosting up of employees’ morale so that they are motivated to employ innovative methods to increase their sales.

The third goal should be to improve the presentation skills of the employees before the consumers. It creates an impact on many aspects of work life. The last goal at the personal level can be to analyze the relationship of the process executed within the organization and they're aligned with the established goals (Sohmen, 2013).

The above-mentioned goals keep the productivity of the team leaders and their members at a high level. The reason for setting these goals is that they revolve around the development in the workplace and allow the progress of the employees at their personal level as well.

Measurement of goal-related performance through KPI

The Key Performance Indicators (KPI) are the techniques used to define, measure, review and track the performance achieved by the teams and their members towards the accomplishment of the set goals. KPIs depict the ratio of actual to target and help the employees know how close they are in accomplishing their goals. They reflect and directly relate themselves to the goals of the organization. They are the metrics against which the company aligns its performance with its strategies.

The examples of maintaining performances under varying conditions are that the team should set and meet their own priorities related to their performances. They should take initiatives so that they can prioritize and facilitate to meet the demands of the consumers. In this way, they can achieve goals and objectives set at the personal, team and organizational level (Billett, 2016).

The team and its members should capitalize on or minimize the effect of their personal traits in the work plans by assessing their personal expertise and skills against the competency standards set to assess the needs, priorities and plans.They can also seek feedbacks from the employees, consumers and the peers to recognize and evaluate the ways to improve the competence.

Process undertaken to prioritize activities in order to achieve work goals

The process undertaken to achieve the target of enhanced profitability and to increase the operational efficiency at the individual level is first to analyze the need for achieving the goal.It also helps in analyzing the current and probable risks faced by the company in achieving the goals. Secondly, the current processes should be analyzed so that realistic objectives for their improvement can be set. The third step is to obtain assistance and support from the senior managerial personnel to achieve those objectives. Lastly, the improvement strategy should be evaluated along with analyzing the steps of improvement with their financial and resource implications .The two goals for which the work plans shall be developed are enhancing the profitability of the firm and maximizing the operational efficiency of employees.

As per Careers Australia (2015) competing demands are state of affairs which are observed between the market of products and services which can readily be substituted with one another. The buyer shall choose one amongst two competing products and receive the same amount of satisfaction. Competing demands can be used to achieve the goals by managing the right people in the right place so that the competitors can be outperformed. Small goals on daily basis should be formulated and accomplished and they should be correlated with the bigger goals set to achieve the goals of the organization (Paradi and Zhu, 2013).

Description of the process of developing your plans to manage priorities of time and work

Work plan 1 for enhancing 20% profitability by the next 12 months:

Work activity

Description

Goal/s

KPIs

Timeframe

Person responsible

To formulate suitable strategies for increasing the sales.

The company wants to outperform its competitors and gain a top position at the national level.

Reduced cost of production, increased turnover and efficiency of the company.

Alignment of the individual goals with the objectives of the business and creating shared responsibility with the employees.

2 months

Sales, Finance and marketing managers and their teams and the senior management.

Increasing the productivity of the staff.

Through staff performance reviews and by rewarding the staff contributions, their productivity can be enhanced (Kerzner and Kerzner,2017)

The goal is to upgrade the skills of the employees and to encourage them to upsell their products and services.

Staff performance reviews and staff contributions.

2 months

Sales and marketing managers and their teams.

Developing new product and services lines.

Surveys and researches can be conducted to know about the current demands of the consumers.

New and innovative services and products should be developed.

R& D return on investment.

3months

R& D, design and engineering departments.

Finding new consumers and markets.

The managers must cater to the needs of new consumers and markets in a cost-effective manner.

New consumers and markets should be attracted in order to increase the sales.

Market penetration.

2 months

Sales and marketing team.

Improving the consumer services.

The existing services should be improved by upgrading the skills of the employees.

In order to outperform its competitors, the company should improve its services.

Consumer service satisfaction rate and consumer retention rate (Hillier and Lieberman, 2012).

1 month

HR, Sales and marketing department.

Work plan 2 for increasing the operational efficiency of the employees:

Work activity

Description

Goal/s

KPIs

Timeframe

Person responsible

Upgrading of the skills of the employees

Employees should be trained to apply innovative techniques for increasing their productivity (Laforet, 2013).

Focus on the consumers

Matching their performance against set benchmarks.

2 months

HR department and departmental experts.

Directing the resources towards consumer services (Berman, 2014).

The resources should be directed towards providing the best consumer services in the industry.

Proper allocation of resources

First Contact Resolution (FCR)

4 months

HR and Finance team.

Measuring the efficiency to assist in continuous improvements

The efficiency of each employee should be measured against set standards.

Performance review

Customer Satisfaction Score

4 months

HR and Departmental experts.

Review of the improved performances (Koopmans et al., 2012).

Reviewing performance by the department heads (Barros, Managi and Matousek, 2012).

Suggestions to improve the performance

The time required to complete tasks and consumer service

2 months

HR and Departmental heads.

The process for formulating the work plans is initiated by analyzing the issues and bringing the right people to resolve them. It is followed by planning for each issue by analyzing the needs of each business and applying a performance management system followed by integrating human resources into the system.

The work plan can be used to manage time by using a planning tool and working on the priorities. The external time wasters such as calls and meeting should be avoided in this behalf (Xue, Ray and Sambamurthy, 2012).

Work Planning and organizing things

The work plans can serve as role models in workplace organizing and plan as they strive to maintain the composure of employees under pressure and they instruct them to be straightforward and diplomatic. For example: they set clear and achievable goals to be achieved for the employees and guides them to overcome the hindrances faced in the process (Beauregard, 2012).

In this process, the work-life balance of the team is also maintained by asking them to fill out the survey forms about their personal needs and managing the time and work accordingly. The employees are also trained in this in the training sessions and allocating those leaves and vacations to spend time with their families so that they can be relieved from stress. After all, a refreshed and satisfied employee can prove to be the biggest asset for the company.

Conclusion

This journal can be concluded by assisting the team members by planning and organizing the work activities and set out routines and providing them directions on prioritizing the routine activities. The sales manager needs to determine specific tasks to be performed by the employees and prioritize them in order to achieve the goals of the organization.

References

Barros, C.P., Managi, S. and Matousek, R.(2012) The technical efficiency of the Japanese banks: non-radial directional performance measurement with undesirable output. Omega. 40(1), pp.1-8.

Beauregard, R.A. (2012) Planning with things. Journal of Planning Education and Research.32(2), pp.182-190.

Berman, D.(2014) Productivity in public and nonprofit organizations. New York: Routledge.pp.1-20.

Billett, S. (2016). Learning through health care work: premises, contributions and practices. Medical education. 50(1), 124-131.

Careers Australia (2015) Manage Personal Work Priorities and Professional Development [online] Available from: [Accessed 15th July, 2018].

Chang, J.F.( 2016) Business process management systems: strategy and implementation. Boca Raton : Auerbach Publications.pp.30.

Fransen, J., Weinberger, A. and Kirschner, P.A.(2013). Team effectiveness and team development in CSCL. Educational psychologist. 48(1), pp.9-24.

Hillier, F.S. and Lieberman, G.J.( 2012) Introduction to operations research. New York: Tata McGraw-Hill Education. pp. 485.

Kerzner, H. and Kerzner, H.R.(2017)Project management: a systems approach to planning, scheduling, and controlling. New Jersey: John Wiley & Sons. pp. 2.

Koopmans, L., Bernaards, C., Hildebrandt, V., van Buuren, S., van der Beek, A.J. and de Vet, H.C.(2012) Development of an individual work performance questionnaire. International journal of productivity and performance management. 62(1), pp.6-28.

Laforet, S.( 2013) Organizational innovation outcomes in SMEs: Effects of age, size, and sector. Journal of World business. 48(4), pp.490-502.

Paradi, J.C. and Zhu, H.(2013) A survey on bank branch efficiency and performance research with data envelopment analysis. Omega. 41(1), pp.61-79.

Sohmen, V.S.(2013) Leadership and Teamwork: Two Sides of the Same Coin. Journal of Information Technology & Economic Development. 4(2),pp. 1-18.

Xue, L., Ray, G. and Sambamurthy, V.(2012) Efficiency or innovation: How do industry environments moderate the effects of firms' IT asset portfolios?. MIS quarterly. 36(2),pp.509-528.

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