A large part of working in Human Resources (HR) is regulating performance management. Creating a space where you and your employees can produce excellent work and perform to the best of your abilities is no easy task, but with the right strategies, you can make it work.
Performance Management is the process creating a work environment or conditions in which employees enable to work , perform to their maximum. According to Armstrong , (2014) ' Performance Management is a systematic process fro improving individual,team and organizational performance.
Of course, effective performance management is more than just creating a work environment that works: Effective performance management is about leadership, interpersonal relationships, constructive feedback, and teamwork. Even when it comes to the difficult HR tasks of managing a process your employees don’t care for or find value in, managing a paper process, aggregating data, and keeping other managers motivated to provide employees with useful feedback, there are strategies available that make these tasks more doable.
Main components of Performance Management
- Planning Career Development
- Setting Performance goals
- Delegating responsibilities
- Coaching for commitment
- Motivating and Recognizing
- Evaluating Performance
Performance management practices can have a positive influence on the job satisfaction and employee loyalty by:
- Regularly providing open and transparent job feedbacks to the employees.
- Establishing a clear linkage between performance and compensation
- Providing ample learning and development opportunities by representing the employees in leadership development programmes, etc.
- Evaluating performance and distributing incentives and rewards on a fair and equated basis.
- Establishing clear performance objectives by facilitating an open communication and a joint dialogue.
- Recognizing and rewarding good performance in an organization.
- Providing maximum opportunities for career growth.
An effectively implemented performance management system can benefit the organization, managers and employees in several ways as depicted in the table given below:
| Organization’s Benefits | Improved organizational performance, employee retention and loyalty, improved productivity, overcoming the barriers to communication, clear accountability, and cost advantages. |
| Manager’s Benefits | Saves time and reduces conflicts, ensures efficiency and consistency in performance. |
| Employee’s Benefits | Clarifies expectations of the employees, self assessment opportunities clarifies the job accountabilities and contributes to improved performance, clearly defines career paths and promotes job satisfaction. |
Conclusion
Employees need to have a self assessment to identify their performance and employers need to identify the performance gaps of the each and every employee and identify the impact of the same to the organization.
Hence performance management can be considered as a vital process in HR .
References
- Amstrong, M., 2017. Amstrong Hand Book of human resource management practice.
- https://www.managementstudyguide.com/benefits-of-performance-management-system.htm [online]
- Henderson, l., 2011. Human resouce management for MBA students. 2nd ed.Wimbledon: Charted institute of Personnel & Development.
Interesting link about performance management Janaka.
ReplyDeletePerformance management systems answers some of the basic drawbacks in performance review systems such as more dependency on payment and reward, more focus on getting the job done rather than employee development, lesser focus on competencies and behavioral aspects.
Along with setting up a performance management system organization will have to come up with strategies to convert the poor performers to the performer category.
Thanks for your views Buddika
DeleteI think that performance Management should answer for any type of performance review and should not limited to basic drawbacks. As far as inefficient performance management system is operated, employees will not identify their competencies and only follow the work done by his superior or subordinate. This will not create any boost in his performance level and become a idle worker at all. That's why good performance management is needed in a organization.
I agree that organisations that do not have strong performance management systems can have a negative effect both on employees as well as their managers.
ReplyDeleteHowever, a well designed performance management process can be rewarding for both the employee as well as the manager.
But if the process is not a pleasant experience, it has the potential to discourage staff. And the process must be less time consuming.
On the other hand if manager does not keep notes and accurate records of employee behaviour, they may not be successful in sending a consistent message to the employee.
Yes Ayesh no Manager can see the performance of the employee by just looking at his/her work for day or couple of weeks. Continues deep attention on employee should be paid to identify the correct performance of the employee. Hence this a very comprehensive process which should be done in a very methodical manner. If managers fails to do this correctly, they cannot separate the good performance and bad performer which will become a massive issue in organization
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