Reference no: EM133028876

Rahman is a newly appointed HR manager at Grand Sultan Company. After spending several weeks on the job, Rahman was surprised to discover that his father Alam, CEO of that company, had not formally evaluated any employee's performance for all the years that he had owned the business. Alam's position was that he had "a hundred higher-priority things to attend to", such as boosting sales and lowering costs, and, in any case, many employees didn't stick around long enough to be appraisable anyway. Furthermore, contended Alam, manual workers such as those doing the pressing and the cleaning did periodically get positive feedback in terms of praise from Alam for a job well done, or criticism, also from Alam, if things didn't look right during one of his swings through the stores. Similarly, Alam was never shy about telling his managers about store problems so that they, too, got some feedback on where they stood. This informal feedback notwithstanding, Rahman believes that a more appraisal approach is required. He believes there are criteria such as quality, quantity, attendance and particularly that should be evaluated periodically even if a worker is paid in a piece rate. Furthermore, he feels quiet strongly that the managers need to have a list of quality standards for matters such as store cleanliness, efficiency, safety and adherence to budget on which they are to be formally evaluated. Based on the above situation, answer the following questions

1. Is Rahman right about the need to evaluate the employees formally? Why or why not?

2. Develop a performance appraisal method for the employees of this company.