Question

(Compensation)

Performance is a function of three general factors. Describe each of these factors, and why is it important to attend to each these three factors (recall Deming's perspective on performance)?

Answer 1

Yes there is no doubt in the fact that performance depends on 3 factors namely:

• Motivation in the employee to work
• Skills and ability of the employee
• External hindrances

Motivation: is the will to do well, an external element such as good pay hikes can be a good motivation and is basically the fuel that is required for an employee to keep moving and doing well professionally.

Skills and abilities related to how easy it is for somebody to perform a job i.e. what is the skillset available. How educated and hardworking the employee is and this directly and proportionally relates to performance.

External factors such as unhealthy environment at the workplace, unsporting mangers etc. also contributes to performance.

It is quite essential to take care of these three factors and to ensure that such factors are in sync so as to be assured of the fact that performance is achieved, the set goals are achieved, the time and budget constraints are met, the employee growth and organization growth goes hand in hand.