ACC202 Management Accounting Problem: Case Study of WealthWise Insurance Assessment 3 Answer
ANSWER TO QUESTION NUMBER 4
The chief executive officer must take the following steps to encourage its staff to behave in such a manner that supports sustainability –
Implementation of the performance measurement system:
The implementation of PMS in the company is vital as it will assist in introspecting the current progress and ascertaining the actual performances of respective employees/staff at the workplace. Furthermore, PMS is one the effective approach which aligns the vision and objectives with resources- capital and manpower (Carless, Salter, Yang, & Lam, 2011). In addition to this, measurement and improvements concerning employee performance are necessary to ensure sustainable performance at a workplace that is possible through an effective performance management system (Eccles, Perkins, & Serafeim, 2012). Ensuring a clear understanding of the company's policies, guidelines to staff will lead to improved productivity, clear directions and sustainable performance and there will be no room for doubt at workplace Furthermore, meetings and appraisals such as 360 degrees, staff self-appraisal, and feedback under PMS are some of the major tools which will assist in identifying actual performances of staff members to what was being expected by them regarding their jobs hence, it will improve productivity and sustainability of performance by the employees resulting in the accomplishment of desirable goals. In addition to this, rewarding, promoting them through remuneration, bonuses, applause in the forefront will increase their motivation and lead to improved quality of performances hence, leading to sustainability at the workplace (Boud, 2010). Moreover, rewarding them with compensation, bonuses, and rewards for their excellent performances will keep them motivated and they will work even better than before thereby goals can be achieved effectively (Miller, 2011). In addition to this, the CEO of a company can ask its employees to self-appraise regularly and order managers to personally interact with the staff regularly which will assist in addressing their issues and needs at a workplace that will lead to maintaining robust relations, improved performance and clarity of jobs. - Goals need to be amended to stay in the competitive game hence, guiding staff towards current goals and training them accordingly will foster sustainability. Furthermore, ensuring long term goals and policies to staff will prevent ambiguity concerning their duties at the workplace and foster sustainability. Hence, setting staff targets and ascertaining progress drives up quality of performance and company’s long term growth (Epstein, & Roy, 2011).
Implementation of SMART-
Ensuring a clear understanding of the set policies, guidelines, and blueprint to staff will lead to sustainable performance and there will be no room for doubt at workplace hence, a SMART tool is an effective approach that encourages accomplishment of long term goals (Starik, & Rands, 2015).
- Specific- setting a meaningful and clear vision and mission will prevent ambiguity and staff would be able to perform sustainably.
- Measurable- Quantifiable measures and tools will assist in tracking the current progress or position of the company.
- Attainable- The availability of required resources and setting up realistic goals is need of the hour.
- Relevant- The vision, mission, and objectives must align with goals of the company.
- Time-based- Goals need to be amended to stay in the competitive game hence, guiding staff towards current goals and training them accordingly will foster sustainability.