Problem statement:
Lack of direction, of objectives: “From my perspective, it’s not very important whether a product costs $30 million or $60 million to develop”.
Motivational problems
Personal limitations
Solutions:
For the moment Alcon set up goals but no objectives. Objectives are more focused, more specific and have the potential to be measures.
The personal limitations problems could be solved by a personnel control: the managers could deal with performance issues by making sure that the job is designed to allow qualified employees a chance to succeed.
Lack of direction, of objectives: Alcon management should implement deadlines and a specific budget before every project. Every team should have its project approved before starting anything. If after the deadline and the spent budget the research team is about to breakout on something, a meeting between the team working on the project, the vice president R&D, the planning and project management manager and the controller would be necessary to decide if it is clever to pursue the project or not.
For solving the motivational problems, Alcon is already working on involving everyone with some group-based rewards, but more measures on what is expected on the job are needed: what the employees should be doing, where they should be going.
Clearly identifying what is expected from individuals and NOT the contrary:
1) Ways of effecting personnel controls: A successful selection and placement of the employee would help solving the lack of direction problem, motivational problems and personal limitations
2) Ways of effecting cultural controls tone at the top is a solution against lack of direction and personal limitations
Cascading the objectives: tie individual objectives to each other: CEO has his objectives and passes them in cascade to the organization so it is very clear for the individual to align their contribution with the company’s objectives also creates a greater