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Felix Zamarripa

10/07/2015
Organizational Theory II
Instructor: Hoby D Follis
Case Study:
Performance Feedback as an Effective Tool in Organizational
Development

Performance Feedback as an Effective Tool in Organizational


Development
Performance feedback is an integral part of performance reviews and
informal communications, which is an effective tool in organizational
development. I believe that the success of organizational development is the
result of continuous performance feedback, which results from establishing a
relationship of trust. In 2005 V-S Industries In. in McAllen Texas, opened its
doors as a satellite company with its headquarters in Wheeling Illinois. V-S
Industries needed to grow at a fast rate and the company was in dire need of
a skilled workforce that knew how to operate computer numerical controlled
machines with robotic unloading. The management group along with
members of the workforce developed a training program that consisted of
200 hours of on the job training. The ultimate goal was to obtain and train
32 CNC operators within one year for a 7 day - 24 hour operation. The
performance expectations were communicated to everyone in the
organization, which facilitated overall commitment. (Dutton, K., & Kleiner,
2015) The organization had fantastic results in taking people off the streets
that had some formal education, little or no experience in machining, and
transforming them into good CNC operators.
During the initial hiring, employees of the organization were made
aware that they be evaluated at 30, 60, 90 days during their evaluation
period, besides having routine follow up sessions with the employees and

informal communication through performance feedback sessions. Positive


performance feedback has to do with how effective the information was
communicated. The effectiveness is determined by how meaningful and
constructive the feedback was which results in in solving problems at work,
increasing motivation and stimulating learning (Kaymaz, 2011). The formal
at 30 day intervals on performance reviews allowed team leaders to meet
with the employee and provide mutual feedback to improve employee
performance which would lead to improved employee performance and
alignment to organizational goals. (Atul Teckchandani and Shaun Pichler,
2015) In order to maximize the benefits of the performance feedback session
the feedback must be useful and motivating and that they were satisfied
with their review (Atul Teckchandani and Shaun Pichler, 2015). Performance
feedback kept the training on track by removing any barriers that would
cause delays in meeting the training objectives. (Dutton, K., & Kleiner, 2015)
Performance feedback allowed employees to align their behaviors with
organizational objectives and is the foundation of changing behavior
performance. (Kaymaz, 2011) Performance feedback also results in
improving employee technical abilities and efficiencies. This is accomplished
by removing doubt, providing reassurance, correcting, and modifying any
unwanted behaviors and making the wanted behaviors as permanent
fixtures in the employee. (Kaymaz, 2011) Performance feedback is one of the
most important activities that can be conducted with employees to improve
motivation and the employees commitment to the organization. (Kaymaz,

2011) There is also a correlation between uncertainty, which is created by


negative or non-existing feedback, and the degree of employee commitment
and satisfaction. (Kaymaz, 2011) Feedback is defined as a management
process for the acquisition of knowledge as to what degree of efficiency and
productivity it has brought to the work related activities of the employee and
what sort of results these activities have yielded (Kaymaz, 2011) .
V-S Industries Inc. established clear and attainable goals that gave the
employee confidence and helped to build a trusting relationship where that
employee knew that the company was there to take care of them. For
example the company laid out the weekly training expectations and used
performance feedback to reinforce positive outcomes and compliment
employee efforts. Performance feedback can facilitate the attainment of
goals by first, making sure that the employee understands the path and
conditions for accomplishing the goals. (Kaymaz, 2011) Secondly, it is
important that the goals are accepted by the employee (Kaymaz, 2011).
Creating goals that eventually affect the employees and the organization
development process requires that the employees be part of the goal setting
process, which is supported and reinforced through performance feedback.
(Kaymaz, 2011) Focusing on the goals is seen to be one of the reasons
which directs a person towards accepting the message hidden in feedback
(Kaymaz, 2011). There was a true sense of trustworthiness as the employee
understood the importance of meeting their own personal short-term goals
and those of the team. A study conducted by Renn and Fedor on

performance feedback demonstrated that setting of goals was a key factor in


the employee having better job performance. (Kaymaz, 2011) Hardly
anyone offers 5-6 weeks of training were the only one that determines when
they are ready to start production is the employee and everyone else is there
to provide support, which resulted in a trusting relationship. The Renn and
Fedor study on performance feedback also stated that the person taking
performance feedback used the acquired knowledge towards personal
development goals, thus feedback had a positive effect on the employees
qualitative and quantitative job performance (Kaymaz, 2011)
Providing emotional supportiveness allows for the employees to gain a
sense of being cared for a genuine concern for their well-being (Atul
Teckchandani and Shaun Pichler, 2015). When informal and effective
performance feedback is given to employees they get a sense of support. In
fact, more frequent and longer communication with supervisors is an
excellent way to show your employees that you want them to be successful
and are willing to provide them with the resources to do so (Atul
Teckchandani and Shaun Pichler, 2015) . The whole experience of the
performance feedback should be positive where not only technical issues are
discussed but also develops open communication and dialogue, is
constructive, clearly presented, since any negative performance feedback
can slow down employee development. (Kaymaz, 2011) The main success
factors in the performance feedback process is the building of the
relationship between the employees, which is accomplished through

developing the work relations and conducting effective communications.


(Kaymaz, 2011) The support relationship can be further improved by
conducting performance feedback reviews that create a positive experience
between the evaluator and the employee, which can affect the employees
satisfaction. (Kaymaz, 2011)
The proposal for companies wanting to expedite operations in a startup
facility in the Rio Grande Valley is to develop a performance feedback system
which will include goal setting and supportiveness for new employees and
staff. The concern is that a genuine performance review system much less
performance feedback is usually not considered a top priority in many
organizations. The problems encountered in employee development exist
because there is no effective appraisal system or simply that management is
unaware of the potential benefits of an effective performance review
program. I would recommend the following procedure in order to ensure that
a performance review is used as a tool to improve employee performance.
1. Review policies and procedures for any improvements pertaining
to employee development.
2. Develop effective employee evaluations and performance
reviews.
3. Conduct performance review, performance feedback, and goal
setting training.
4. Assign mentor/advisor to all entry level employees.
5. Train Department managers on effective performance feedback
sessions.
6. Implement system where department manager and mentor are
responsible for all informal and formal performance feedback.

7. Implement system where human resources and the department


manager will responsible for auditing and evaluating
effectiveness of new employee development program.
Effective performance feedback is an effective management tool that
can be utilized in organizational development. Organizational development
can be accomplished by having performance feedback systems which can be
formal or informal. Performance feedback systems create trustworthy
relationships, which are the result of emotional supportiveness that
motivates employees to meet organizational goals. Employee involvement in
two way communication during performance feedback creates an
environment of trust, which is essential to providing emotional
supportiveness.

References
Chevalier, R. (2014). Improving Workplace Performance. Performance
Improvement, 53(5), 6-19. doi:10.1002/pfi.21410

Dutton, K., & Kleiner, B. (2015). Strategies For Improving Individual


Performance In The Workplace. Franklin Business & Law Journal,
2015(2), 10-18.
Garber P. Giving And Receiving Performance Feedback [e-book].
Amherst, Mass: HRD Press; 2004. Available from: eBook Collection
(EBSCOhost), Ipswich, MA. Accessed October 8, 2015.
Kaymaz, K. (2011). Performance Feedback: Individual Based Reflections
and the Effect on Motivation. Business & Economics Research Journal,
2(4), 115-134.
TECKCHANDANI, A., & PICHLER, S. (2015). Quality results from
performance appraisals. Industrial Management, 57(4), 16-20.