hrhelpboard15What is performance management its meaning definition and benefits
From India, New Delhi
PROFESSIONALS AND BUSINESSES PARTICIPATING IN DISCUSSION
Doctor Siva Global Hr
Babu AlexanderPerformance management is a management tool that helps managers to monitor and evaluate employees' work. Performance management's goal is to create an environment where people can perform to the best of their abilities and produce the highest-quality work most efficiently and effectively.
From India, Madras
Performance Management is a tool or a process or a system that was invented in the recent 20 years in the business, to bring a mechanism to fix, measure, monitor the performances of the individual Talents as well as Teams. The sequence in general follows the order as below:
- Business Objectives / Vision of the company
- Department or Functional Objectives and Goals for each Financial Year
- KPIs for each Talents in the Department and KRA for the Department as such
- Following SMART principle in PMS as we all know - Specific, Measurable, Achievable, Realistic, and Timely.
- Engaging an effective On- Line tool for upload, monitor, measure, track and compare fixed KPI vs Achieved KPI for each quarter and half year and financial year.
- Rewarding the good performance as per Reward Policy
- Placing the Talents not upto mark under PIP- Performance Improvement Plan
- Repeat the cycle for next Financial Year
The Performance Management System is having both merits and demerits or advantages as well as disadvantages. There may be lot of pit falls in the system. In no company PMS is a foolproof system and will have gaps which the HR and Business has to narrow down and take the overall advantage to the Business out of this system. It is like a Rope-Walk and has to be handled very carefully in administering the PMS and related REWARD SYSTEM as such.
There are lot of materials available in the websites on PMS which you may go through for further understanding of PMS in a detailed manner.
From India, Chennai