Page 216 - DMGT548_GLOBAL_HRM

Unit 11: Multinational Performance Management

However, in some divisions, and particularly at lower organisational levels, a traditional line- Notes
management organisation remains. Employees within these different organisational
configurations were managed differently.

Example: Expatriates in line positions were evaluated by their host-country managers,
were evaluated by host- and home-country superiors.
Another aspect is that clarification of performance expectations is an important element linking
company strategies and goals with performance evaluation.

Example: Expatriates working in customer project operations tended to rely more on
guidance, performance review, feedback, and coaching on an ongoing, informal basis rather
than Nokia’s standardised performance management system.

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Caselet Performance Appraisal at Pepsi-Cola International
epsi-Cola International (PCI), with operations in over 150 countries, has devised a
common performance appraisal system that focuses on motivating managers to
Pachieve and maintain high standards of performance. Administrative consistency
is achieved through the use of a performance appraisal system of five feedback
mechanisms—instant feedback, coaching, accountability based performance appraisals,
development feedback, and a human resource plan.
The common system provides guidelines for performance appraisal yet allows for
modification to suit cultural differences. For example, the first step—instant feedback—is
based on the principle that any idea about any aspect of the business or about an individual’s
performance is raised appropriately and discussed in a sensitive manner. The Instant
Feedback message can be delivered in any culture; the important thing is not how it is
done but that it is done.
In practice of PCI, the successful delivery of Instant Feedback requires some adjustment to
local cultures. Americans use it because it fits the fast-paced way of doing business. In
most Asian cultures, feedback may be tough and direct but is never given in public; nor, in
some Asian cultures, does head-nodding during instant feedback signify agreement, only
that the message has been heard: Some Latinos will argue very strongly if they do not
agree with the feedback, and some employees, Indian nationals, for example, will insist
on a great deal of specificity. The purpose of Instant Feedback is always to improve
business performance, not to criticise cultural styles. Using this system, PCI tries to balance
the cultural and administrative imperatives of successfully managing the performance of
a diverse workforce.
Source: http://www.whatishumanresource.com/performance-appraisal-at-pepsi-cola-international

Self Assessment

Fill in the blanks:

10. Individual performance management involves job ………..., job goals and standards, and
performance appraisal.

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