Kelecton Case analysis
Many organizations face challenges that relate to employee dissatisfaction. These challenges can negatively affect the performance of an organization. As a result, it is important to carefully manage employee expectations in a way that is transparent and understandable to all parties. Issue relating to pay, performance, promotions and working environments are very sensitive and should be treated with great concern. The information technology (IT) sector is inundated with many small companies that have to operate within a business environment characterized by intense competition and high employee turnover. Although such smaller organizations face a number of challenges, they must carefully manage their human resources in order to succeed in the market. The survey results from Kelecton indicate that while many employees are satisfied with the job environment and working conditions, there are still many concerns relating to promotions, learning and working environments. These concerns should, therefore, be addressed through changes in systems, processes and policies.
Kelecton Case analysis
Managing employee expectations is a challenge for many organizations. The challenge is even greater in the information technology (IT) sector where overall organizational success greatly depends on the quality of work done by the employees. Every manager aspires to have employees who are self-driven and committed to their work. Additionally, the experience and abilities of the employees must be in tandem with the goals and objectives of the firm. In every organization, it is common to have employee grievances. As a human resource manager, it is important to understand all employee concerns and manage their expectations for the overall interest of the organization. In the case of Kelecton, employee dissatisfaction primarily arises from poor pay, limited opportunities for personal growth, lack of promotions, and poor working environments. While these concerns are normal for many organizations, they must be carefully tackled considering that Kelecton operates in the IT sector where employee turnover is typically high.
Pay Versus Performance
According to the survey at Kelecton, it was found that 74 percent of the employees felt that their pay was not commensurate with the work they did. Many employees noted that the organization rarely conducted performance reviews. Additionally, it was observed that cases of favouritism and arbitrary treatment of employees were common. Evidently, performance reviews are very necessary for every organization (Harris, 2001). In the IT sector, the output of the organization is directly related to the individual skills and abilities of the programmers and engineers. It is, therefore, useful to ask employees to fill evaluation forms which will indicate how far they have improved their roles and their strategic importance within the firm (Harris, 2001). Although Kelecton is much stretched on finances, basing pay on performance evaluation will not have a significant impact on the finances of the company. When pay is pegged on the job performance, some of the employees will earn more while others will earn less and this will balance the salary, consequently encouraging better performance.
Managing Pay Expectations
Although Kelecton is a small company with limited finances to allocate to salaries, it must be realized that the satisfaction and performance of employees greatly depend on the pay (Shields et al., 2016). Since 56 percent of the employees felt that benefits were poor, the company has a duty to manage their expectations to enhance job satisfaction. The organization can consider non-financial options that will work well to encourage employees to work better. For instance, offering additional leave days is a way of providing benefits in the IT industry since many employees rarely have enough time for work/life balance (Shields et al., 2016). In essence, many employees would be more willing to stay in a job for less pay but more time. Similarly, in case the budget is very tight, the company can consider offering a bonus at the end of the year as opposed to giving pay increases. Apparently, a declining pay increase is a challenging undertaking, but it is important to sensitively manage the salary expectations of the employees. The company must be open enough to explain its reasons so that employees can easily understand. Although Kelecton is a small business and cannot offer the same benefits as larger companies, it is important for the management to maintain the goodwill and make employees feel strongly valued. This is best achieved in an honest and open environment where all possibilities are explained to the employees.
Employee Welfare and Personal Development
According to the survey results, 89 percent of the employees indicated that the company offered them very few opportunities to improve their skills. In the IT industry, the market is very dynamic with new issues always emerging. It is, therefore, important that employees are fully in touch with new trends so that they can deliver the best (Shields et al., 2016). It is important for Kelecton to invest in learning and development programs aimed at imparting new skills to the employees. Training and development programs are part and parcel of modern IT organizations since knowledge and expertise become obsolete within a short time. The organization must teach and encourage their employees to personally own their career development plans by controlling and self-directing their learning futures. The company needs to develop customized learning solutions while at the same time encouraging employees to learn and grow in their respective fields. The program must be accompanied by flexible learning options so that employees are not overwhelmed by work and studies. There are many on-demand and mobile learning choices in the market today that can be adapted to suit every organization. It is also important for the company to create a safety policy that will guide its operations so that employees can work in safe and secure environments. They should be provided with safety gear where necessary. Also, the company should establish an insurance plan so that employees who are injured on the job can be cared for.
The survey revealed that 87 percent of the employees felt that Kelecton offered very limited promotion opportunities. A productive workplace is a combination of teamwork and good leadership pegged on value-based promotions (Phillips & Connell, 2004). It is crucial for Kelecton to establish a sound promotions process where good performing employees can be promoted. The process should be well enough to take care of emotions and frustrations arising from rejections. For top leadership positions, the company can outsource the services of professionals to pick the best candidates. In many cases, top promotions can be influenced in case they are not outsourced. Employee promotions should be based on performance indicators such as leadership skills, communication skills, and work performance (Phillips & Connell, 2004). More importantly, the process must give every employee an equal chance as long as they perform well and possess the desired leadership qualities. However, it must be recognized that promotions also come with additional expenses due to salary increases and better opportunities for leaders.
In conclusion, it is seen that although the majority of employees at Kelecton are satisfied with the organization from the survey, the management has a duty to respond to specific issues raised. The technology sector is changing rapidly, and every organization must position itself to benefit more from its workforce. In this respect, it is important to fully invest in employees by offering opportunities for growth and development. It is also important to pay employees based on their performance as a way of enhancing motivation. On the overall, Kelecton should be careful to manage employee expectations to reduce the risk of high employee turnover.
Harris, L. (2001). Rewarding employee performance: Line managers’ values, beliefs and perspectives. The International Journal of Human Resource Management, 12(7), 1182-1192. http://dx.doi.org/10.1080/09585190110068386
Phillips, J. J., & Connell, A. O. (2004). Managing employee retention: A strategic accountability approach. Burlington, MA: Butterworth-Heinemann.
Shields, J., Brown, M., Kaine, S., Dolle-Samuel, C., North-Samardzic, A., McLean, P.,… Robinson, J. (2016). Managing employee performance and reward: concepts, practices, strategies (2nd ed.). Cambridge, England: Cambridge University Press.