SoulKitchen: Sustainable Dining & HR Strategy for Growth

Soulkitchen

SoulKitchen is a restaurant chain founded in 2010 in London, rapidly expanding to Europe and North America, with a total of 20 restaurants opened by 2024. The vision of the organisation is to offer excellent and enjoyable menus while prioritising sustainability and endorsing the values of environmental responsibility and community engagement. Indeed, SoulKitchen is committed to promoting eco-friendly practices which support local communities and minimise the company’s environmental footprint by sustainably sourcing its ingredients from local farmers, offering seasonal menus, reducing waste whenever possible, and using recycled and upcycled materials in its restaurants.

Since 2020, the company has also opened an online shop to promote local farmers and their products and has started organising local events centred around sustainable living. The rapid expansion has pushed the owners and CEO to introduce a formal performance management system, which includes setting strategic goals for all employees and an annual performance appraisal linked to rewards. However, SoulKitchen has noted a higher turnover after the COVID-19 pandemic, especially among the waiting personnel and is experiencing more and more pressure in an increasingly competitive market.

The management is keen to develop an HR approach and practices aimed at developing employees and supporting their well-being in an attempt to retain staff and foster their personal and professional growth whilst maintaining SoulKitchen’s commitment to an outstanding customer experience.

ULMS784 Task for the Assessment: 

You are required to advise the organisation on an HR approach that is suited to manage performance and promote employee development and well-being. Specifically, you are asked to explain the overall approach and the specific practices that the organisation could use to:

Task 1 for the assessment : 

Identify the main challenges that might arise from the organisation’s current approach to performance management, including the setting of strategic goals for all employees and an annual appraisal that is linked to rewards, and a lack of consideration of employee development and well-being.

Task 2 for the assessment :

Develop a more integrated HR approach to managing performance and rewards, which also fosters employee development and organisational well-being. You are required to outline the main elements of your approach, the specific initiatives or interventions composing it, and a plan to monitor and evaluate its effectiveness.

Below is a list of topics to consider when writing your report:

• Measuring and appraising performance;
• Setting objectives and providing feedback;
• Training, learning and development initiatives;
• Managing different types of performers;
• The role of line managers;
• The rewards management system, including the distinction between intrinsic and extrinsic rewards, the fit with the performance management system, and the use of performance-related pay;
• The influence of HR and, more specifically, performance management practices on well-being;
• A strategy to develop well-being, including the different elements composing it and the strategic fit with the values, mission, and performance management system of the organisation. For instance, you can consider the basic equation for well-being by Hesketh and Cooper (2019), or you can focus on the importance of leadership and managerial behaviours for well-being and engagement.
• Interventions to foster individual and organisational well-being. For example, propose initiatives and interventions that can promote well-being and reduce stress, considering the different types, levels, and examples of interventions discussed in class.
• Evaluation of the HR approach and well-being strategy.

You are required to justify your approach and ideas by drawing on evidence and sources from the relevant literature; therefore, you need to use academic concepts, frameworks, and theories. Moreover, remember to consider the organisational context and its implications for the approach you propose.

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Challenges with current performance management
An analysis of the current performance management indicates challenges in the process, as it is evaluated that one size fits all goal setting is not suitable for all employees when they have to perform a diverse role such as waitstaff as compared to management. Annual appraisal is also not suitable because reviews at the end of year do not provide timely feedback. Performance management also reflects over emphasis on reward which leads to risk of neglecting employee development and intrinsic motivation. There is also a lack of focus on wellbeing which contributes to high turnover among employees. The post covid pressures leading to staff shortages make it difficult to manage employees.
Integrated HR Approach
The approach should be a balanced one which links performance management with learning and wellbeing and it also aligns better with SoulKitchen’s sustainability values. The key elements include performance and feedback, employee development, reward system, wellbeing and engagement and monitoring an evaluation. An analysis of the current approach indicates that it is highly rigid and reward focused, but the proposed approach takes into consideration the continuous performance management, balanced rewards and recognition, and wellbeing of employees at the same time.

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