This slide was made as group assignment for People in Organization course - Blemba Program SBM ITB

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Performance Management
Syndicate – 5
1. Fadila Pratika HS Alimuddin - 29318345
2. Andi Firmansyah – 29318333
3. Herman Hutagalung – 29318375
4. Rikordias D – 29318391
5. Lidia Monika -- 29318315
6. Aunurrahman Priyo Aji - 29318402

2. Timeline
1987 1989 1990 1991
Vitality Health
Enterprises founded in
Ames, Iowa
2009 2008 2007 1997
Establish its own
manufacturing
IPO to raise capital
Business has grow $3
million per year &
complete vertical
integration process
Vitality acquire
HerbaPure
Nutraceuticals
Grown 7000
employees, 3 quarters
global headquarters
Stagnant growth due
to global economic
Rolling out new
business strategy

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Contents
Contents02
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Current System Expected System
Ability
Recruitment Unknown Recruit highly talented research
scientist
Selection Unknown Talent selected by their competitiveness
to fit expected culture
Training &
Development
Unknown Training for all managers to develop and
motivate their subordinate
Motivation
Compensation Salaries based on combination
based salary + job evaluation
point
Modify comparative ratio based on
individual performance
Performance
Management
Same ranking for all department
function
Different way of ranking scientist and
lab engineers from marketing and
corporate associate
Culture Uniform and Populist Objective and Competitive
Environment
Organizational
Design
No validation on managers
assessment result to their
subordinate
HR do calibration on the ratings given
from managers
HR Planning Unknown Identify current and future resources
needs for organization that align with
business strategy
Organizational
Development
Unknown Align organizational development with
business strategy and goals
Behavior Performance Analysis

4. Issue & Proposed New Policy (1 from 2 Slides)
Issue Solution
Top Performance team still left with the same allotment of Top
Achiever Rankings to Their Employee
• Alt. 1: Ranking is among employee with the same position
• Alt.2 : Different Allotment Scheme between Top Performance
team, Mid Performance Team and Low Performance Team
R&D People, the Key Employee, not satisfied and motivated with
Vitality Compensation & Perf. Review.
Should the manager force to rank the scientist & Lab Engineers
like marketing and corporate Associates?
- The Performance of scientist & Lab Engineers is reviewed by how
successful their invention is.
- Different scheme of Compensation for R&D People get certain
royalty for their successful invention
There is no Training for All Changes Training to All people Manager about:
- NEW PMS System, including Policy, how to review the employee
properly
- Coaching & Performance Tracking
- Superior responsible to develop their subordinate
Line Manager cannot perform subordinate performance properly
because it’s conducted in the end of the year together with annual
planning activities.
- Track & Review the performance quarterly
- Superior evaluation is part of their Performance evaluation

5. Issue & Proposed New Policy (2 from 2 Slides)
Issue Solution
Managers automatically employee with less than 1 year. Not
Rated Ranking
- The Performance of Employee with service year more than 3
months must be evaluated by people manager
- Performance result of new employee will affect Recruitment
Team evaluation to ensure the quality of recruitment process.
Performance Management System is not only focus in Hard Skill
but Also Soft Skill such as:
- Superior ability to Train & Develop subordinate
Stock Options are limited to upper management Stock options are also eligible for top achiever

6. Thank You