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Management DilemmaManagement Dilemma

Cathy, Tracy, Sarah, Andrew, Wei

ProcessProcess

1. SWOT Analysis of “Personal Circumstances”, “Years in Department” and “ Inflation”

2. Categorizing Performance

3. Grading

4. Allocating Salary

5. Communicate

Personal Personal CircumstancesCircumstances● SWOT analysis based on assumption that

Aerostar Inc. does not have a personal circumstances related paying policy.

Personal Circumstances – SWOT Personal Circumstances – SWOT AnalysisAnalysis

Years in Department Years in Department

Years in

Department

Company Familiarity

Work Experience

seniority has a positive relationship with wage growth (Mincer and Jovanovic, 1981 and Mellow, 1981)

Firms all post a wage-tenure contract that implies a worker's wage increases smoothly with tenure at the firm (Ken Burdett and Melvyn Coles, 2003)

Years in Department-SWOT Years in Department-SWOT AnalysisAnalysis

StrengthsStrengths

WeaknessesWeaknesses

OpportunitiesOpportunities

ThreatsThreats

•Be loyal•Reduce training costs•Stable stucture

•Attract experience persons to join in the company

•Bring reforms and improvements to the company

• Less motivation to work hard•Difficult to determine the computation

SWOTSWOT•Pretend to work hard

•Build personal relationship with managers

•Form a culture which emphasize older employee more than necessary

•Slow down the development of the company

Inflation – SWOT Inflation – SWOT AnalysisAnalysis

ProcessProcess

1. SWOT Analysis of “Personal Circumstances”, “Years in Department” and “Inflation”

2. Categorizing Performance

3. Grading

4. Allocating Salary

5. Communicate

PerformancePerformance

Analyzing 5 people(Assuming Analytical Skill is Required.)

ProcessProcess

1. SWOT Analysis of “Personal Circumstances”, “Years in Department” and “ Inflation”

2. Categorizing Performance

3. Grading

4. Allocating Salary

5. Communicate

CategorizingCategorizing

ProcessProcess

1. SWOT Analysis of “Personal Circumstances”, “Years in Department” and “ Inflation”

2. Categorizing Performance

3. Grading

4. Allocating Salary

5. Communicate

ProcessProcess

1. SWOT Analysis of “Personal Circumstances”, “Years in Department” and “ Inflation”

2. Categorizing Performance

3. Grading

4. Allocating Salary

5. Communicate

CommunicationCommunication

Name Strong points Shortcomings Advice

Jane Boston1 excellent performance 2 dependable 3 improvements in working methods

not assigned full range of duties of an analyst

take charge of different tasks

John Mason acceptable quality missed some important deadlineimprove negotiation and communication skill

G.W. Jones outstandinga bit "pushy" in making requests and suggestions about the departments

learn how to cooperate with others and listen skill

Ralph Schmidt acceptable quality

1 few original contributions recently 2 content to get by mininum performance and participation

ask whether he need company's help to relieve financial pressure

Hillary Johnson acceptable quality

continue to make costly mistakes has repeatedly been warned about this over last years

help him to find problem find his talent try to other kinds of job

Face to Face Communication

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