Individual plan (Managing Pay and Performance ‘MPP’) Essay Example

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Telstra Individual Plan 7

Telstra Individual Plan XxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxX

Individual Plan 1

Annie Feng (u3070261) Week: 4 Chapter 1, 2, 3 & 4

  1. Identify and describe what I find in the organization

Telstra is Australia’s leading company in telecommunications and information services (Telstra, Fast Fact, n.d.). Its mission is; “through technology to provide customer with simple, convenient, and valuable services, to realize customers more than anyone” (Telstra, Fast Fact, n, d,). It employs more than 39000 employees from around the world. In 2008-2009, Telstra invested more than $104 million (about $2800 per employee) to provide staff development and learning (Telstra, Fast Fact, n, d,). In addition, employees will be provided performance feedback twice a year. If employees who are dissatisfied with their performance appraisal, they can seek a review of decision by Telstra internal review process (Telstra, Fast Fact, n, d,).

  1. Concepts or theory that are relevant to the findings

Motivation: Motivation is the wellspring of task behavior or effort; however it is not a homogeneous or indivisible phenomenon. To motivate means make the power for the individual to deliver work effort and task behavior (Shields, 2007, p42).

Distributive justice: It is a kind of felt-fairness that allocates decision-making outcomes. Reward outcomes are especially related to the felt-fairness distribution (Shields, 2007, p58).

Goal-setting theory: As defined by Latham and Locke, goal-setting theory described that individuals are most highly motivated when (1) they have some specific and challenging task or goals; (2) they have strong commitment to these goals; (3) they have a high sense of self-efficacy regarding goal achievement (Shields, 2007, p80).

Best Practice approach:

This approach is based on the basis that they are a set of universal HR practice that assist an organization achieve its objectives while ensuring employees are satisfied (Shield, 2007, p91). Best practices have been proved to be very effective in managing employees and can virtually be employed in every organization to gain competitive advantage.

  1. My analysis

  • Motivation is one of the important factors of the success for company even for enterprise; however, employees’ motivation is come from flexible policies and the benefit of staffs. Like Telstra mentioned, in order to provide the excellent customer service, promoting diversity and engagement of employees isthe key to productivity (Telstra, 2012). In December 2011, Telstra announced a new policy that Flexible Working and Working outside the Office to further promote the flexible work, career and the positive practice (Telstra, 2012). In addition, diverse employees are also an important factor that cannot be ignored (Telstra, 2011; Telstra, 2012). Through some employees communicate with other staffs who have different identity, different status and different experience can understand each other, thus to improve the employee’s creativity, motivation, initiative and participation. The Telstra reward program is another aspect of Telstra’ HR that is used to motivate employees as those who perform well get rewarded for serving the company well.

  • Distributive Justice

Telstra offers its employee rewards that are above their normal remuneration for those who perform well. The aspect of distributive justice is present in the organization as employees are free to appeal if they are rated as poor performers during the organizations performance appraisal process. By allowing employees to defend their performance, Telstra creates the perception that they are fair to their employees (Shields, 2007, p58).

  • Goal-setting theory:

Telstra prides itself as a customer focused organization, thus the main goal of any employee of Telstra is to ensure customers are satisfied. According to Telstra. (Succeding in your career, n.d.b) in order to succeed one must understand the company’s business inside and out. Telstra also expects its employees to excel under pressure, where they have to respond to urgent customer needs. It can therefore be deduced that one of the performance metric at Telstra is customer feedback.

Secondly, Telstra expects its employee to be result driven and work actively towards individual, group and organizational goals (Shields, 2007, p80). A Telstra employee is supposed to never lose focus of the organizations vision. Thirdly, Telstra employees are expected to have superior interpersonal skills to make sure their effectively interact with other teams members.

Telstra appraises its employee’s performance twice a year and provides feedback on how employees are performing (Shields, 2007, p80). Furthermore, Telstra encourages employees to own the performance appraisal process by offering a chance to defend their performance.

  • Best Practice approach:

It is revealed that Telstra spent in excess of $104 million (about $2800 per employee) to provide staff development and learning (Telstra, Fast Fact, n,d,). According to Shields (2007, p91) extensive staff training is one of the best practices organizations adopt in an effort to get a competitive edge. Another best practice used in Telstra human resource management is application of flexible working arrangements; one of the organizations employees who lives 60 km away from his workplace expresses deep satisfaction with how the flexible working arrangement has changed his work-life balance Telstra. (ndb). Telstra pays its workers additional incentives when the company performs well another best practice in Telstra’s human management approach. Team working and information sharing are also other best practices which Telstra applies in its HR strategy.

  1. Recommendations

Telstra should ensure that its employees do not suffer from its customer’s oriented approach to HR management. Sometimes the customer is unfairly critical in of their interaction with Telstra employees. Customer feedback as a metric for staff appraisal as used Telstra cannot be trusted to bring out a true picture of the performance of concerned employees.

  1. References

Shields, J. (2007). Managing Employee Performance and Reward: Concepts, Practices, Strategies. Melbourne, Australia. Cambridge University Press. pg. 79.

Telstra. (n.da). Company Overview, Retrieved from the Telstra website:

Telstra. (2011). Work-life Flexibility, Annual Report 2011, Retrieved from the Telstra website:

Telstra. (2012). Flexible Work and Careers, Annual Report 2012, Retrieved from the Telstra website:

Telstra. (ndb). Succeding in your Career, Human Resources,*