1. Chapter 21 Monitoring Performance and Taking Corrective Action Principles of Food, Beverage, and Labour Cost Controls, Canadian Edition

2. Learning Objectives After reading this chapter, you should be able to: 21.1 Define the term monitoring as it is used in labour cost control and differentiate between direct and indirect monitoring of employee performance. 21.2 Identify the two means of direct monitoring of employee performance and provide examples of each. 21.3 Describe four sources of information used for indirect monitoring and provide examples of each. 21.4 Outline the five-step approach used to identify the specific cause of some discrepancy between actual and standard performance. 21.5 List and describe the three general causes of discrepancies between actual performance and that anticipated by standards.

3. Monitoring Performance Monitoring employee performance is: gathering information about their work and results the third step in the control process May be monitored: directly indirectly or a combination of the two

4. Monitoring Performance Direct Monitoring: Observations by management Examine employee results Indirect monitoring: 1.Customers 2.Employees 3.External agencies/organizations/groups 4.Managers

5. External Monitoring Agencies/ Organizations/Groups Government agencies Health department Fire regulations Chain organizations Franchise Food critics Media Rating organizations Michelin, Zagat, Fodor’s

6. Corrective Action 1.Meet with appropriate staff to point out the problem and to determine its cause. 2.Identify all appropriate corrective measures that may be adopted. 3.Select the best corrective measure from among the alternatives. 4.Institute the selected measure. 5.Monitor performance to be sure that the corrective measure has the desired effect.

7. Performance Discrepancies Inadequate performance Many reasons Unsuitable standards Unrealistic Inappropriate Inappropriate organization Reorganization Eliminated positions Combined jobs

8. Causes of Inadequate Performance Improper materials provided to workers Lack of required equipment or tools Need for additional training Inadequate management or supervision Poor union-management relations Personal problems away from the job Difficulties with inter-personal relations on the job Inadequate compensation Illness Poor working conditions Improper work schedules

9. Key Terms Direct monitoring, p. 540 Indirect monitoring, p. 541 Monitoring, p. 540 Reorganization, p. 551

10. Chapter Web Links Zagat: http://www.zagat.com/http://www.zagat.com/ Fodor’s: http://www.fodors.com/world/north- america/canada/restaurant-reviews.htmlhttp://www.fodors.com/world/north- america/canada/restaurant-reviews.html

11. Copyright