The Problem of Solving Employee KPI Problems

Introduction

The chosen quantitative decision-making problem will be a situation in which company employees have an underestimated KPI relative to previous months of work. To solve this problem, the head of the department called a general meeting and put forward the idea for employees to independently propose actions that would help return KPIs to their previous values. After that, the employees put forward five main proposals and the company’s budget allows the boss to implement only one of the proposals.

Decision Variables: Proposals

The head of the department singled out five main proposals of employees, on the basis of which he will compile statistics for further decision.

Objective Function: KPI

To solve this problem, the boss decided to resort to an objective function, where f (x) is the KPI of the employees, and all 5 points are used as letters a-e, respectively.

Constraints: Features of Proposals

Finally, the boss began to collect questionnaire information on each of the items put forward by the employees in order to understand the exact statistical information. There were several proposals:

1. Buying two vending machines with food in the department.
2. Purchase of six coffee machines for the department.
3. Purchase of new equipment for the technical department of the department.
4. Purchase of new chairs for the entire department.
5. Request to the management of the company for the issuance of bonuses to employees.

Proposal 1 was chosen by 13% of employees, proposal 2 was chosen by 15% of employees, proposal 3 was chosen by 10% of employees, proposal 4 was chosen by 20% of employees, and proposal 5 was chosen by 40% of employees. After that, the head of the department spoke with the crisis manager of the company and found out that when buying new equipment for those. The KPI of these employees increases by 50%, and when buying coffee machines, another part of the employees can increase the KPI by 30%.

Conclusion

On the other hand, the boss also learned that under no circumstances will the company’s management give employees a bonus without increasing KPI, but the crisis manager added that if you do not mention this to employees, their KPI will still increase.