DM Caselet: Employee Performance and Ratings

Nicky, Manoj and Benita are graduates from a top ranked B-school. They joined ABC corporation a year ago. ABC is known for its performance oriented culture. This is the first time the organization recruited from a top ranked B-school. They are part of a five member team with two others from lower ranked B-schools. Nicky, Manoj and Benita draw 40 percent higher salaries than other team members. This team reports to Amelia Ganeshmurthi, a senior Executive.

Amelia is disappointed with the performance of Nicky, Manoj and Benita. She came to know that ABC was not their first choice and they had spent the first ten months applying to other organizations. However, they have now started liking ABC and promised to do their best henceforth. Amelia has to rate their annual performance and decide about their future. She has the following choices:

1. Fire them from ABC for insincerity and save the organization's time and money.
2. Given them average ratings with a year to prove their worth and fire them from ABC if they fail to show significant progress.
3. Impose a pay-cut of 15% since they have not delivered on the promise, but give them relatively high ratings.
4. Given them relatively poor ratings with one year time to improve and fire them from ABC if they fail to show significant progress.
5. Give them high ratings and give them a second chance to prove their worth.

Which of the following options rank the above choices in the order of MOST APPROPRIATE to LEAST APPROPRIATE?

Recruiting Nicky, Manoj and Benita was part of a larger initiative to make the organization attractive to prospective employees. Recently Amelia's boss informally told her that the trio's perception of the organization might influence future recruitment from top B-schools. However, the trio had already expressed their unhappiness about the organization to Amelia. She suspected that her promotion due next year might depend on the trio!

Which of the following is the BEST way for Amelia to deal with this situation?

Nicky's performance on the job is disappointing though she is considered a very helpful person outside the workplace helping her teammates and others in the organization with their personal needs e.g. finding a place to rent, a good place to get homely food etc. On the other hand, Manoj and Benita are performing well in their respective jobs and are perceived by their teammates as important to the team. But they are not interested in helping outside the workplace. Amelia has to decide the future of the trio. She has the following options:

1. Inform the higher authorities about Nicky's poor performance and ask them to take a call.
2. Send Nicky for a one month training earmarked for top performing employees.
3. Serve Nicky an ultimatum to improve within the next six months or get fired.
4. Even though they performed well, give Manoj and Benita average ratings because of their disinterest in helping outside workplace.
5. Give Manoj and Benita high ratings based on their performance.

Which of the following combination of above options will be the MOST APPROPRIATE?