Learning Activity Sheets

Name of Learner:
Grade & Section:
Date:

LEARNING ACTIVITY SHEETS IN ORGANIZATION AND MANAGEMENT

THE BUSINESS PLAN

LEARNING COMPETENCY WITH CODE

• Examine the functions and importance of compensation, wages and

performance evaluation, appraisal, reward system, employee relations and
movement
(ABM_AOM11-Ia-b-13) Quarter 2 WeeK 3 - 4

BACKGROUND INFORMATION FOR LEARNERS

Compensation/wages and Performance Evaluation

Compensation/wages and performance evaluation are related to each other
because the employees’ excellent or poor performance also determines the
compensation given to them, after considering other internal and external factors like
the actual worth of the job, compensation strategy of the organiẓation, conditions of the
labor market, cost of living, and area wage rates, among others.
Compensation may come in different forms. It may be direct, indirect, or
nonfinancial.

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Types of Compensation
• Direct compensation – includes workers’ salaries, incentive pays,
bonuses, and commissions
• Indirect compensation – includes benefits given by employers other
than financial remunerations, for example: travel, educational and health
benefits, and others
• Nonfinancial compensation – includes recognition programs, being
assigned to do rewarding jobs, or enjoying management support, ideal work
enviroment, and convenient work hours.

Compensation: A motivational Factor for Employees

Compensation pay represents a reward that an employee receives for good
performance that contributes to the company’s success. In relation to this, the
following must be considered:

Pay equity – related to fairness; the equity thoery is a motivation theory

focusing on employees to the payb that they receive and the feeling that they
receive less or more than they deserve.

Employees generally feel that their pay must be commensurate to the

effort eẋerted in the performance of their job. In other words, pay equity achieved
ehen they pay given to them by their employers is equal to the value of the job
performed; thus, this motivates htem rto perform well and to do their jobs to the
best of their abilities.
Eẋpectancy Theory – another theory of motivation which predicts that
employees are motivated to work well because of the attractiveness of the
rewards or benefits that they may possibly receive from a job assignment.
The employees’ perception of the compensation or pay attached to a job
position is an important factor in ascertaining the motivational value of
compensation.

Bases for Compensation

Employees may be compensated based on the following:
Piecework basis – when they pay is computed according to the number of
units produced
Hourly basis – when pay is computed according to the number of work hours
rendered
Daily basis – when pay is computed according to the number of workdays
rendered
Weekly basis – when pay is computed according to the number of work
weeks rendered
Monthly basis – when pay is computed according to the number of work
months rendered

Compensation rates are influenced by internal and eẋternal factors. Among the
internal factors are the organization’s compensation policies, the importance of
the job, the employee’s qualifications in meeting the job requirements, and the
employer’s financial stability. Eternal factors on the other hand, include local
and global market conditions, labor supply, area/regional wages rates, cost of
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living, collective bargaining agreements, and national and international laws,
among others.

Purposes of Performance Evaluation: Administrative and

Development

Improving individual job performance through performance evaluation is

just one of the reasons why employees are subjected to assessments on a
continuous basis. There are other purposes behind employee assessment that
are beneficial to the company and employees:
Administrative Purposes – these are fulfilled through
appraisal/evaluation programs that provide information that may be used as
basis for compensation decisions, promotions, transfers, and terminations.
Human resource planning may also make use of it for recruitment and
selction of potential employees.
Development Purposes – these are fulfilled through appraisal/evaluation
programs that provide information about employees’ performance and their
strength and weaknesses that may be used as a basis for identifying their
training and development needs. Through this approach, the workers become
more receptive to the explanations given by the orgnization’s management
regarding the importance of having evaluations at regular intervals—that these
are conducted to improve thie competenciesz in order to prepare them for
future job assignments.

Performance Appraisal Methods

Methods of evaluating workers have undergone development to adapt new
legal employment requirements and technical changes. Some appraisal
methods used today are rhe follolwing:

Trait methods – performance evaluation method designed to find out if

the employee possesses important work characteristics such as
conscientiousness, creativity, emotional stability, and others
Graphic rating scales – perfromance appraisal method where each
characteristic to be evaluated is represented by a scale on which the evaluator
or rater indicates the degree to which an employee possesses that
characteristic.
Force-choice method – performance evaluation that requires the rater to
choose from two statements purposely designed to distinguish between
positive or negative performance; for example: works seriously-works fast;
shows leadership—has initiative.
Behaviorally anchored rating scale (BARS) – a behavioral approach to
perform appraisal that includes five to ten vertical scales, one for each
important strategy for doing the job and numbered according to its importance
Behavior observation scale (BOS) – a behavioral approach to performance
appraisal that measures the frequency of observed behavior

Why Some Evaluation Program Fail

Performance appraisal (such as manager/supervisor appraisal, self-appraisal,

subordinate appraisal, customer appraisal, peer appraisal, team appraisal, or
360-degree appraisal) may sometime fail due to various reasons including the
following:

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 • Inadequate orientation of the evaluatees regarding the objectives of the
program;
• Incomplete cooperation of the evaluatees (e. g. proper answering of
evaluation questionnaire);
• Bias exhibited by the evaluators;
• Inadequate time for answering the evaluation forms;
• Ambiguous language used in the evaluation questionnaire;
• Employee’s job description is not properly evaluated by the evaluation
questionnaire used;
• Inflated rating resulting from evaluator’s avoidance of giving low scores;
• Evaluator’s appraisal is focused on the personalityof thr evaluatee and
not his or her performance;
• Unhealthy personality of the evaluator; and
• Evaluator may be influenced by organizational politics.

Employee Relations
Employee relations applies to all phases of work activities in
organizations, managers, to be effective, must be able tol encourage good
employee relations among all human resources under his or her care.
Employees/workers are social being who needs connections or relations with
other beings—other employees/workers—who are capable of giving the social
support as they carry out their tasks in the organization where al of them
belong.

Effective Employer Relations and Social Support

Social support in the sum total of perceived assistance or benefits that

may result from effective social employee relationships. The quantity and
quality of an employee’s relationship with others determine social support
(estreem support, informational support, or financial support). In short, social
support and effective employee relations must always go together like “a horse
and carriage,” where one would be useless without the other. Therefore,
without social support, effective employee relations is not possible, and without
effective social employee relationships, social support, likewise, is not
possible.

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 Below are some barriers to good employee relations:

➢ Anti-social personality; refusal to share more about oneself to co-

employees; being a loner
➢ Lack of trust in others
➢ Selfish attitude; too many self-serving motives
➢ Lack of good self-esteem
➢ Not a team player
➢ Being conceited
➢ Cultural/subcultural differences
➢ Lack oif cooperation
➢ Communication problems; refusal to listen to what others seek to
communicate
➢ Lack of concern for others’ welfare

Here are someways to overcome barriers to good employee realtions:

➢ Deveop a healthy personality to overcome negative attitudes and behavior

➢ Find time to sociallize with coworkers
➢ Overcome tendencies of being too dependent on electronic gadgets
➢ Develop good communication skills and be open to others’ opinion
➢ Minimize cultural/subcultural tension.

Three types of Employees

➢ Employees who work with passion and feel a deep
Engaged connection with their company.
➢ They drive innovation and move the organization
forward
➢ Employees’ who are essntially “checked out”
Not Engaged ➢ They put time, but not energy or passion, into their
work
➢ Employees’ who are not only unhappy at work, but
Actively also act out their unhappiness
Disengaged ➢ They undermine what their engaqged coworkers
accomplish

Employee Movements
A Labor union is a formal union of employees/workers that deals with
employers, representing workers in their pursuit of justice and fairness and in
their fight for their collective or common interests.
Employees or workers unionize because of financial needs, unfair
management practices, or social and leadership concerns.
a. Financial needs – complaints regarding wages or salaries and benefits given
to them by the management are the usual reasons why employees join labor
unions.
b. Unfair management practices – perceptions of employees regarding unfair
or biased managerial actions are also reasons why they join mass
movements; examples of lack of fairness in management are favoritism

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 related to promotion and giving of training opportunities and eemption from
disciplinary action.
c. Social and leadership concerns – some join unions for the satisfaction of
their need for affiliation with a group and for the prestige associated with
coworkers’ recognition of one’s leadership qualities.

Steps in Union Organizing

Terry Moser, an expert union organizer, was credited by Snell and Bohlander
(2011) for the following union-organizing steps:
Step 1. Employee/union contact – to explore unionization possibilities,
employees weigh the advantages and disadvantages of seeking labor
representation while the union officers gather more data about the employees’
complaints, as well as data about the employer’s management styles, financial
stability, policies, etc. These actions by employees and union officers are
necessary to build a case against the wmployer and a defense for the
employees’ decision to unionize.
Step 2. Initial organizational meeting – this is conducted to attract more
supporters and select potential leaders among the employees who can help the
union organizers. Information or data obtained in step 1 will be used by the
organizers to meet the employees’ need to explain the means to accomplish their
goals.

UNION CLAIM MANAGEMENT

PROPOSAL

NEGOTIATIONS
3RD PARTY REFERRAL

COLLECTIVE
AGREEMENT

Step 3. Formation of in-house organizing committee – this starts with identification

of employees who are ready to act as leaders in campaigning for their goals, in trying to

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get the interest of the other employees to join their movement, and in convincing
employees to sign an authorization card to show thoer willingness to be represented by
a labor union in collective bargaining with their employer. The strength of the union is
shown by the number of employees who signed the authorization card. At least 30
employees must sign the said card before the National Labor Relations Commission
(NLRC) approves the holding of a representation election.
Step 4. If a sufficient number of employees support the union movement, the
organizer requests for a representation election or certification election – a
representation petition is filed with the NLRC asking for the holding of the secret ballot
election to determine the employees’ desire for unionization. Before the election,
leaders campaign for employees’ support of the election and encourage them to cast
hier votes. Intense emotions are shown by employees, the labor group, and the
employers during this period.
Step 5. End of union organizing – when the sufficient number of votes is garnered,
the NLRC certifies the union as the legal bargaining representative of the employees.
Contract negotiations or collective bargaining agreement (CBA) negotiations follow the
certification. The CBA process involves the following procedures:
a. Prepare for negotiations
b. Develop strategies
c. Conduct negotiations
d. Formalize agreement

Grievance Procedure
Thr grievance procedure is a formal procedure that authorizes the union to represent its
members in processing a grievance or complaint. Such grievance must be expressed
orally or in wriing to the employees’ immediate supervisor shows willingness to discuss
the complaint with the employee and the union steward, the grievance may be resolved
immediately.

Reward System
Organizations offer competitive rewards systems to attract knowledgeable and skilled
people and to keep them motivated and satisfied once they are employed in their firm.
Futher, rewards promote personal growth and development and present fast employee
turnover. Managements offer different types of rewards:
Monetary Rewards – rewards which pertain to money, finance, or currency.
a. Pay/salary – financial remuneration given in exchange for work performance that
will help the organization attain its goals; examples: weekly, monthly, or hourly
pay, piecework compensation, etc.
b. Benefits – indirect form of compensation given to employees/workers for the
purpose of improving th quality of their work and perssonal lives; health care
benefit, retirement benefits, educaional benefits, and others are example of these
c. Incentives – rewards that are based upon a pay-for-performance philosophy; it
establishes a baseline perfromance level that employees or groups of employees
must reach in order to be given such reward or payment; examples: bonuses,
merit pay, sales incentives, etc.

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d. Executive pay – a compensation package for executives of organizations which
consists of five components: basic salary, bonuses, stock plans, benefits, and
perquisites.
e. Stock options – are plans that grant employees the right to buy a specific
number of shares of the organization’s stock at a guaranteed price during a
selected period of time.

Nonmonetary Rewards – rewards which do not pertain to money, finance, or

currency; refer to intrinsic rewards that are self-granted and which have a
positive psychological effect on the employee who recieves them.

a. Award – nonmonetary reward that may be given to individual employees or

groups/teams for meritorious service or outstanding performance; trophics,
medals, or certificates of recognition may be given instead of cash or etrinsic
rewards.
b. Praise – a form of nonmonetary, intrinsic reward given by superiors to their
subordinates when they express oral or verbal appreciation for excellent job
performance.

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 REFERENCES

Books
Darr, K. (2013). Introduction to Management and Leadership Concepts, Principles and
Practices, Jones and Bartlett Learning, Retrieved from: https://www.google.com.et
Mintzberg, H. (1989). MINTZBERG ON MANAGEMENT. Reprinted by permission of
Free Press, a division of Simon & Schuster, Inc.
Robbins, S., Robbins, S. P. and Coulter, M. (2012). Management -11th ed, Pearson.
Retrieved from: www.pearsonhighered.com
Websites
Smyth, D. (2019). The Roles of Business Organizations in Economic Development.
Retrieved from:https://bizfluent.com/info-7745795-roles-business-organizations-
economic-development.html
https://www.managementstudyhq.com/functions-of-management.html
https://www.slideshare.net/LalaineCazar/nature-and-concept-of-
management?from_action=save
https://www.wisdomjobs.com/e-university/principles-of-management-and-organisational-
behaviour-tutorial-366/evolution-of-management-thought-12679.html
https://www.mindtools.com/pages/article/management-roles.htm
https://study.com/academy/lesson/five-stages-of-economic-development.html
https://pnl-law.com/blog/forms-of-business-sole-proprietorship-partnership-corporation/
https://www.cda.gov.ph/resources/issuances/philippine-cooperative-code-of-
2008/republic-act-9520
https://bizfluent.com/info-7745795-roles-business-organizations-economic-
development.html
https://www.freepik.com/free-vector/team-leader-managing-
project_5562411.htm#page=1&query=manager in business management position=4
https://www.freepik.com/free-vector/urban-buildings-with-cityscape

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 ACTIVITY PROPER

Activity 1: Independent Activity

Direction: Now that you learned the function and importance of compensation and
wages and performance evaluation, appraisal, reward system, employee relation and
movement.
1. Identify the different compensation types. Briefly define each
2. What is the relationship between the pay equity theory and the employee’s
motivation to perform well?
3. Do you agree that social support and effective employee relations always go
together? Explain your answer
4. Enumerate the steps involved in union organizing
5. Give your own examples of employee benefits given by the employers. Do you
think all companies give the same kinds of benefits? Explain

Activity 2: Independent Acitivity (Performance Task)

1. Do you agree with the statement that the evaluator’s bias may cause evaluation
programs to fail? Explain your answer.
2. How important is effective employee relations in achieving the goals of the
company?
3. What kind of reward would you prefer to receive, cash or stock options? Explain
your preference.
4. Recall a past event in yor life when you were praised by your parents, teachers,
or friends for accomplishing something. Did their praise or positive remark have
any effect on your psychological well-being? Explain your answer.

Rubrics for the activity:

20 Expert – Piece is extraordinary, and very informative and well organized
15 Accomplished – Piece has an interesting style, and somewhat informative and
organized.
10 Capable – Piece has little style, gives some new information but poorly organized.
5 Beginner - Piece has no style and, and gives no new information and very poorly
organized

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 REFLECTION

As a student, what are your insights abouth this lesson?

______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________.

ANSWER KEY

(Upside down format/flip vertical)

activity1 and 2
Answer may vary in

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 School: ESCALANTE NATIONAL HIGH SCHOOL Quarter: Quarter 2
Teacher: AIDEN C. FOJAS Week: Week 3-4
WEEKLY HOME Subject: Organization and Management Date: January 18 -22, 2021
LEARNING PLAN

Learning
Day and Learning Mode of
Competenc Learning Tasks
Time Area Delivery
y
Monday MELC 1 Specific Activities Parents/guardi
7:30 – Organizatio an will hand-in
9:30 n and • Examine From the activity sheet read and the output,
11 Peso Manageme the functions answer the following activities answer sheets,
nt and 1. Activity 1 worksheet and
importance 2. Activity 2 notebook of
Wednesda of 3. Reflection
the learner to
y compensatio
the designated
7:30 – n, wages
drop box in
9:30 and
11 - performance school/barang
Rupee evaluation, ay on the date
appraisal, and time
reward scheduled.
system,
employee *Teacher can
relations and communicate
movement to his/her
learners and do
(ABM_AOM1 oral
1-Ia-b-13) questioning
Quarter 2 and assessment
WeeK 3 - 4 to the learner
through there
social media
acct., call, text,
or personal
message.

Prepared by:

Aiden C. Fojas
Teacher

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