Thursday, May 20, 2021

ALL ABOUT PERFORMANCE MANAGEMENT


 


All About Performance Management

Performance management is a set of processes and systems aimed at developing an employee so they perform their job to the best of their ability.

Performance management is not aimed at improving all skills. In fact, good performance management focuses on improving the skills that help an employee do their job better. This means that it is about the strategic alignment of one’s work to the group and organizational goals.

Purpose of the Performance Management

The organization uses the performance manage to ensure the same direction at all levels of the organization. The top management sets the business strategy and defines the strategic initiatives. The top management defines the desired steps to be taken during one year.

The performance management is not focused on measuring the standard performance resulting from the job description (other processes should be used for keeping the consistent and reliable output of any job). The performance management is focused on performing the strategic tasks of the organization. It is focused on the development of the key talents, top performers and successors. The process identifies the best potentials in the organization, and it differentiates them from the rest of the population.

HR Role in the Performance Management

The performance management system has to be well connected with other HR processes like the Compensation and Benefits, Talent Management and Training and Development. HR cannot run the performance appraisals without using the outcomes from discussions. The performance management process is expensive. Each manager has to prepare for the appraisal, and the discussion has to last at least one hour per employee. It is a massive loss of productivity if the results are not used.

The performance management system is an ongoing process. It consists from several sub-processes during the year:

Goal Setting Process

Personal Development Plan

Interim Performance Appraisal

Performance Appraisal

Succession Planning and Talent Management


The performance management has to be consistent with the business strategy, and most processes have to be managed top-down. Employees do like to receive the positive feedback, but they do not like the ranking. Many organizations use the normal distribution for the performance rating of employees. Managers have to be trained in providing the honest feedback about the performance of the employee. Managers have to be trained in the consequences management.

Conclusion 

The role of HR in the PM is about making the process transparent, clear and consistent across the organization. The results of employees have to be comparable as the outputs can be used in other HR processes. The top management will not take HR proposals relevant if they do not trust the fairness and transparency of the performance appraisal process.

HR has to make the process as easy as possible. It has to focus on collecting the most valuable information. HR has to lead the development of the application for the performance management system as the data collection is run automatically.


References


Abraham, K., 2009. Managing Human Resource. 4th Edition ed. New York: Prentice Hall .

4 comments:

  1. Performance management looks at the present and future of the employee, and what can be done to help future performance and meet future goals. good article

    ReplyDelete
  2. In the Sri lankan context I think we are not doing the part of post appraisal guidance since there should be s chance to elevate hi or her self in there particular job function.there for as a HR people should be guided.good areticle to read thanx

    ReplyDelete
  3. Managers and their teams are jointly accountable for results and are jointly involved in agreeing what they need to do and how they need to do it, in monitoring performance & in taking action

    ReplyDelete
  4. Performance management is a corporate management tool that helps managers monitor and evaluate employees' work.

    ReplyDelete

IMPOORTANCE OF GOOD ORGANIZATION CULTURE

  IMPORTANCE OF GOOD ORGANIZATION CULTURE Organizational culture refers to a company's mission, objectives, expectations and values th...