Companies use various approaches for piloting the job evaluation in order to find out the internal worth of each job for its employees. Although the job evaluation is crucial tool in defining the internal value of the jobs, the tool has its own limitations which cause major difficulties to the evaluator in completing the entire process. As the companies and the business expand, then the jobs in the companies also will increase. It is difficult to manage the job evaluation method when the number of jobs and positions is increases in matrix organizations. Since the job evaluations methods are very subjective in nature, it is really challenging to compare the new jobs with the existing one and the evaluation process have to be repeated whenever the employers add new jobs or roles to the organizations as well as the employers need to devote more time in this process.
Sharlyn Lauby, president of the consulting firm ITM Group Inc., stated, “With unemployment continuing to drop, recruiting is getting tougher and organizations cannot afford to just go hire someone else—companies need to understand why employees stay and what causes them to leave” (Maurer, 2017). Management also needs to address job satisfaction and commitment, which is likely the main reason for poor retention and low work performance. The human resources department can assist management with job satisfaction and commitment by evaluating and tracking employee work attitudes. Paul should know the importance of establishing clear and concise job descriptions for employees both in the managerial and workers level positions. The book states, "To avoid potential lawsuits, it is important that organizations support lists of essential job functions with hard evidence based on the information found in job descriptions and assessments of typical work duties" (Mathis, 2015,
When applying these models on real-life cases, some problems may occur due to their limitations. For equity theory, since employees’ perceptions of equity are different, a particular level of inequity would lead to employees’ different reactions. Some employees may feel unfair and think about leaving their jobs to look for better opportunities. As a result, they may be emotionally estranged from organizations and put less effort into their work which could reduce the quality of work (Ananvoranich, 2004:88). For goal-setting theory, as Ceresia (2011:71-75) stresses, it is hard for managers to measure the degree of goals’ difficulty.
If the organization spends too much focus on the organization as an individual, it could lead to employees leaving the institution. There needs to be a balance between focusing on the individual and the group. Interpersonal relationships are important in the functioning of an organization, and individuals are more inclined to promote the cause if they feel they are appreciated (Madlock, 2012). By having too many rules, regulation, and procedures, it could lead to a decline in productivity because every step is being micromanaged. If individuals are afraid of being reprimanded, they might not want to make a
People’s initial reaction may be shock or denial. When people realize, the change is real the denial usually turns into frustration and people are going to bargain to find a way out of the situation. Similar is that Bernard (2004) described in a re-appraisal of a well-known author Lewin this as unfreezing and it is one of three stages which an organization will undergo to accomplish organizational change. It can be suggested that this leads to the following effects: Job-related changes have a negative influence on the well-being of organizational employees. When employees feel job-related changes as a threat this will negatively relate to job satisfaction, employee stress and absenteeism increases.
The psychological contract develops and evolves constantly based on communication, or lack thereof, between the employee and the employer. Promises over promotion or salary increases, for example, may form part of the psychological contract. Managing expectations is a key behaviour for employers so that they do not accidentally give employees the wrong perception of action which then does not materialise. Employees should also manage expectations so that, for example, difficult situations or adverse personal circumstances that affect productivity are not seen by management as deviant. Perceived breaches of the psychological contract can severely damage the relationship between employer and employee, leading to disengagement, reduced productivity and in some cases workplace deviance.
Without this strategic direction and a clarity and specific goal for the employee, they may do not know what they should do and what the company what to achieve. A right strategy also important to the company as the company may spent a large portion of budget and resources to implement the strategy and most of the functional of the company are involved in this implementation of strategy. Thus, the company will use the budget and resources with inefficiency and get a poor performance if it takes an unsuitable strategy. The challenges of corporate venturing also involve the change of organisation culture of the company. Organisation culture can be defined as a norm, value, attitude, assumption, behaviour, and belief of the employees in the company.
This also forces them to leave the organization in search of better environment. Therefore, organization work conditions can also be evaluated to evaluate employee turnovers. Organization policies are also responsible for employee turnovers. Sometimes the organization policies forces employees to perform task which they find ethically unconformable to perform. But since the policies required them to do so, they are doing.
According to Boswell (1973) some studies have shown that “effective managers stress the need for supportive people; while others did not produce clearly defined results on this” (p.11). According to Boswell (1973), “some have however showed reverse relationship to the following: size of the firm, the nature of the production process, personalities of subordinates, the feelings of the subordinates and the manager’s power in the organization”. The implication is that no leadership style may suit all situations. Thus, there has to be modifications. Agboli and Chikwendu (2006) indicated that “different work situations need different styles if the staff members of that particular organisation are to perform optimally”.
In India, an offer made to launch a new scheme is called a New Fund Offer (NFO). NFOs are similar to IPOs of equity except that mutual fund units are not shares floated by a company. Mutual fund units merely represent proportionate ownership in the assets of the fund as a beneficiary. They do not give rise to any voting rights or other management rights in the affairs of the trust. Such powers are only vested with the trustees.