Reference no: EM132930599

The Hotel Paris' s competitive strategy is "to use superior guest service to differentiate the different properties and to thereby increase the length of stay and return rate of guests and boost revenues and profitability." The Human Resource Manager must now formulate functional policies and activities that support the competitive strategy by eliciting the required behaviors and competencies. As an established HR Professional was well aware of the importance of effective employee recruitment. If the company was not selective in its recruitment, it would not be selective in who to hire and would not enjoy the customer-oriented employee behaviors that the company's strategy relied on. In addition, HR knew that Hotel Paris's appraisal system was archaic. When the founders opened their first hotel, they went to an office supply store and bought a pad of performance appraisal forms. The hotel chain uses these to this day.

HR knew that among other flaws, this appraisal tool did not force the employee or the supervisor to focus on the appraisal to the extent to which the employee was helping the Hotel Paris to achieve its strategic goals. She wanted a system that focused the employee's attention on taking those actions that would contribute to helping the company achieve its goals, for instance, in terms of improved customer service. In designing the new system their starting point was the job descriptions and job specifications they had received from the hotel's employees. HR Manager and her team wanted a performance management process that focused on both competencies and objectives. They also wanted to sensitize all workers to the differences between a performance appraisal and a performance management system, and the team wanted all employees to be trained in all the steps of the performance appraisal process.

Explain the difference between 'performance management' and 'performance appraisal', giving TWO (2) key elements specific to each.

Outline the steps involved in the performance appraisal process that HR Managers should follow in order to actively engage in monitoring staff performance on the job?

Explain THREE (3) possible challenges that HR Managers may face when conducting performance appraisals