Case study on Performance Management and Rewards Essay

Case study on Performance Management and Rewards - Essay Example There are certain key issues which need consideration, and in this case, the type of issues varies considerably with regards to the different type of organizations operating in the same sector. FSC faces an employee turnover rate of 16%, which is roughly equal to the general turnover rate in the industry, this portrays room for improvement, and if the human resource management is properly handled, this rate could be reduced, like BSFC. A major issue for FSC is employee recruitment procedure, it focuses more on external recruitment which has significant consequences attached to it, though new and fresh minds entering the organization would mean more ideas, it would also simultaneously have negative impact on the existing workforce, who have been in the business for long and shown their loyalty, while at the same time, an outsider would be recruited from outside to fill a higher vacant position. With regards to BSFC, employee turnover is not a major issue since it is relatively lower than the industry level, and hence depicts their competitive strength in attracting employees, in addition they recruit workers internally, which proposes greater promotional opportunities for ex isting employees, however they should focus on retaining employees who enter the business anew, and the reward system should also take into account their preferences to ensure that they remain loyal to the firm. The discrimination at the effect in BSFC would have a negative impact on the lower levels, where the women and foreign nationals mostly clustered, leaving no promotional room for them, it should hence develop a more cultural diversity conducive approach, instead of the white male dominance in the organization.