Rob Parson at Morgan Stanley (A) Case Solution

1. What is your assessment of Rob Parson’s Performance? Should he be promoted?

Rob Parson is not from any prestigious university but has the can-do attitude in his personality. He was assigned the most challenging task of expanding the Capital Market at Morgan Stanley. Because of his efforts, Morgan Stanley rose to the third position from the tenth. The market share also increased to 12.2% from 2%. Top managers recognize Rob’s capability of creating needs for the client by making modification in the product. In addition to this, he is extremely good in cross-selling and expanding many of his client’s account in other divisions by making introductions and sharing the client information. Moreover, reviews from the market shows that he is loved by his clients, and they enjoy working with him. His performance is above average in terms of business earned for the company, but there are some issues with his behavior and attitude not only with the colleagues but also with the company culture. The company culture promoted consensus building and team work, but he often bypassed these elements because of his comprehensive market knowledge which not only made his colleagues felt undermined but also made them question the importance of the company’s mission statement.

Considering the Morgan Stanley’s mission statement and culture of ‘fostering teamwork and innovation and treating each other with dignity and respect’, it is not feasible for the company to promote him immediately as the Managing Director. His lack of teamwork and respect for his colleagues and staff working under him goes against his business performance. Plus, the position of Managing Director comes with an added responsibility of managing the employees of the company, which Rob Parson is certainly not capable of, at the moment. If he gets promoted, the top management will be giving a hint to all its employees that it’s okay to impair with the company culture to maximize the company’s business, which would set a poor example for everyone.

2. Using the data in the case, please complete the evaluation and development summary presented in Exhibit 3 of the case.

EXHIBIT 3 : EVALUATION AND DEVELOPMENT SUMMARY FORM

EVALUATION AND DEVELOPMENT SUMMARY

REVIEW OF PERFORMANCE

PERFORMANCE SUMMARY, INCLDUNG ACCOMPLISHMENTS

Considering objectives in the prior year’s E&D Summary as well as business objectives set earlier in the year. Referred as Self-Evaluation where applicable:

• He has single handedly managed to increase the company’s market share from 2% to 12.2%.

• The company has also jumped to 3^rd position from the tenth position.

• ​He is loved by his client because of his adorable personality.

EVALUATION THEMES

PERFORMANCE OBJECTIVES FOR NEXT YEAR

i. Business Goals (Business and Commercial Targets)

Increase the company’s market share by 5%

ii. Professional Development Goals (Suggestions to enhance evaluatee’s professional effectiveness)

He should attend trainings on team building, interpersonal skills etc. He should also try to be more-friendly with his colleagues and other staff working under him. Moreover, he should start listening to the suggestions and ideas of his fellow, even if he has some of his own.

iii. Career Goals (Comments on evaluatee’s short term and long term career goals as described in the self-evaluation)

The most senior level banking position is certainly with-in his reach only if he improves his management skills within next four to six months period as the position of Managing Director not only requires business performance skills but employee management skills, as well.

3. If you were Paul Nasr, how would you plan to conduct the performance appraisal conversation? What would your goals be? What issues would you raise and why, and how would you raise them?

Since, performance appraisal conversation usually has two outcomes only, either the employee feels motivated and makes further commitment to the organization or he gets demoralized, hurt and becomes indifferent towards company’s or department’s goal and strategy; therefore, it is of utmost importance that all the issues in hand are discussed without turning away the employee. Main goals of the performance appraisal conversation would be to recognize the achievements and efforts of Rob Parson to identify his future development needs, to convey future expectations of top management, and to discuss his career growth options.