YAAS’ Case Study

  1. Should the determination of incentive payments and any other pay adjustments be based on individual, team, overall service center performance, or some combination of these based on the current operations of YAAS?

The incentive payment and other compensationadjustments should be made based on the combination of individual, team, and overall performance. Evidently, the individual reward system has created division among the employees. Notably, the bonus system led to competition for jobs between the technicians and the mechanics within and without their groups. The supervisors for both teams would take the most straightforward tasks that result in more incentive money and leave the hard work to their juniors (Liu 5). Comparatively, the mechanics relied on nepotism and speed to accomplish multiple tasks to increase their bonus. The desire to make much money superseded any relations among not only the workers but also their supervisors.In addition, the reward system yielded a complete disregard for customers. The mindset of the technicians was to turn the car around fast enough so that they can move on to the next vehicle (6).Consequently, they made numerous repairs to the cars which they could have avoided had they paid attention to the clients. The bonus system promoted the lack of customer-relations between the workers and the clients.

Correspondingly, the system should incorporate team, individual, and service performance to promote teamwork. Granted, the system already supports teamwork through the bonus only ranged between 2%-4% of the reward (6). However, by incorporating the payment, the technicians, mechanics, supervisors, and managers will have an incentive to work together. If one team met the client needs successfully, all stakeholders would equally benefit. Comparatively, managers will be keener on the quality of service that the employees delivered, as they stood to gain or lose based on worker performance. Incorporating payment would improve the output quality of all stakeholders.

Similarly, there would be less competition for the jobs. Currently, the company embroiled mechanics and the technicians in a contest whereby parties win depending on their skills and ability to manipulate the system (5). However, incorporating the payment will foster an easy exchange of information and expertise. The supervisors will also justly allocate work because all will evenly gain. Furthermore, there will be no blame-game among the parties whenever dissatisfied customers complain. There will be less competition among the workers, who will willingly share information and duties.

Payment incorporation should be done to promote racial and ethnic integration. Currently, the firm divided mechanics and technicians into Egyptian, Palestinian, Sri Lankan, Pilipino, and Indian workers (4). Ethnicity helped workers secure and maintain their positions, which subsequently impacted their bonus. However, with payment incorporation, members will willingly work together because they all rely on each other to have good pay. Furthermore, it will improve communication among employees because they will exchange their expertise. Racial and ethnic divisions will diminish when payment options reward individual and group effort.

  1. What suggestions do you have to change the current operations of YAAS including possibly the approach (es) that are used to measure performance?

Firstly, YAAS should have a customer-centered approach. As noted, the customers are anything but pleased with the work done on their vehicles, prompting a lot of complaints to the management (3). The supervisors are equally unconcerned that the workers are not competently executing their work. However, a customer-centered approach will minimize the complaints and save the company’s resources. It should be mandatory that before workers fixed cars, the customer and the employees have a one-on-one conversation. The firm should document any exchange for any future references. From the information gathered, the staff should create profiles of clients to enhance tailor-made services. Depending on the frequency of the customers, the technicians and mechanics should know the way their clients behave and their needs. Equally, the workers should be trained on customer courtesy to ensure that they are not rude to the clients or rush them because of the pending bonus. After the service, customers should fill in questionnaires in which they rate the services the staff give them. From these responses, the management will make effective changes. Customer-centric services should be the core of business operations which will minimize the complaints and resources used for multiple repairs.

Again, the company should ensure teamwork in all operations across all employee levels. IN YAAS, there is competition even among staff workers regardless of their hierarchy position in the firm (7). However, the firm should remind members should that working together will lead to organizational growth. In this regard, all workers should be explicitly aware of their roles within the firm. Additionally, the workers should respect the duties of all workers, a practice which is lacking in YAAS. The company should have established common values, which will increase group cohesion. All the members should be involved in setting up values, in addition to the company that would direct their efforts.  The management held regular meetings at different levels of operations to ensure that it maintained teamwork. What is critical to teamwork is communication. The employees should communicate freely with each other and the management in case of any needs. The culture of collaboration should be part of worker activities, and employees will achieve this if respect, values, and communication exist.

Concerning performance, the firm should improve the productivity and quality of the workersimproved. Currently, the standards that YAAS used had inconsistent and unacceptable results as the technicians and mechanics highly manipulated the findings (7). Therefore, the quality assessment should focus on the level of complaints that workers made. Comparatively, the management should gauge customer satisfaction rates about their interaction with the workers and the vehicle performance after repairs.The supervisors should be strict on following up these complaints and against the worker that presents them. The appraisal should be specific to the clients and critical areas that workers should meet when handling customers.

The company should also include transparency and honestly in the performance reviews. Clearly, the workers who are incompetent still receive 100% reviews despite their shortcomings (7). They should be encouraged to give honest responses. The employees should fill in self-appraisal forms before the firm conducted a performance appraisal. Effectively, workers will succinctly outline their flaws and improvement areas. The appraisal questions should be objective and free from biases to prevent incorrect responses. Evaluations should be both personal and performance oriented and remain objective.

The company should shorten the feedback period to 3 months. Instead of the current six months (7), it would be best if it halved the duration for reliable results. Regular feedback should be at peer-level and from the managers. In effect, it will be easier to make any changes and follow up on any improvement activities. Feedback should be delivered faster to promote reliability and effective changes.

Work Cited

Liu, Jifeng. YAAS’S Service Center. Harvard Business School, January 2019.

 

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