Dinesh Divekar
Business Mentor, Consultant And Trainer

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Hello Everyone,
I am working as an HR in an IT company and I have just started my career. This company has a manual system of evaluation which we feel is not that effective. The company just completed 7 years and we are having the strength of 25 employees. So we are in search of such an effective system or procedure to evaluate our employee in the best possible way. We want to renew by this upcoming cycle of April.
Kindly, share me with the best suggestion(Solution) to this.
Thanks,
Vishwa Shah
HR, NITSAN Technologies Pvt. Ltd.

From India
Dear Vishwa,
There appear to be certain misgivings about Performance Management System (PMS). Please note the following:
a) Performance Appraisal (PA) is part of PMS. The PMS is primarily for measuring organisational performance and not human. However, since organisation does not performance in itself, we need to measure performance of people.
b) Whether manual or through IT systems, what you measure is important. What if certain organisational performance is not measured even if the PMS is backed by sound IT system? It is of no use!
c) The starting for PMS is identifying costs and ratios associated with the business and assign these costs and ratios to the HODs concerned. If this is not done, it is a faulty PMS.
d) For 25 persons, you do not need any IT systems, nothing wrong to have manual system. The process followed should be sound.
e) Lastly, the important thing about PMS that each HR should ask is whether they are rewarding their people at the expense of organisation. With this self-defeating PMS, no company can grow!
Thanks,
Dinesh Divekar

From India, Bangalore
@Dinesh Thanks a lot for your guidance - I will definitely consider it while setting up the procedure.
From India
Anonymous
Needed the same for my company. Ur support will be highly appreciated.

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