Performance Management System
Performance Management System is the process through which a work environment or system is created that enables the employees of an organization to perform to the best of their abilities and ensures that the organizational goals and objectives are consistently met. Performance Management involves the way managers evaluate workers, how workers evaluate their managers and fellow employees, and how individual employees evaluate themselves.
Reasons Behind Performance Management
There are three main reasons behind performance management:
Fixing Accountability for Performance
It can be done by identifying, promoting, and rewarding exceptional performers and managing poor performers.
Development of Workforce Abilities
This can be achieved by enhancing skills, emphasizing desired behaviors, and driving a growth mindset.
Engagement of Talent
Finally, through both of the above, enabling a sense of purpose and helping people find a sense of value in their work and fostering teamwork.
Nowadays, there is a lot of hype around performance management. Organizations are realizing the importance of a hybrid approach balancing accountability and development. Feedback needs to be ingrained in daily work and reviews for it to be continuous, consistent, and relevant. However, that does not lessen the importance of formal periodic reviews of performance. Feedback conversations should focus on performance and the future course of action needed for growth.
It is necessary to identify both exceptional and poor performers. It is also imperative to focus on team collaboration, innovation, and results. Lastly, companies need to have an effective reward system in place to acknowledge superior performers.
Despite all the above, there is no perfect performance management design or system. Each organization has to develop an approach attuned to its business conditions and organizational structures. Even within a company, there is a need for customization based on different talent pools, the nature of work, and the desirable employee behaviors. A performance management framework design needs to keep the employees and teams at the center and be designed around what really drives performance.
Performance Management System is the process through which a work environment or system is created that enables the employees of an organization to perform to the best of their abilities and ensures that the organizational goals and objectives are consistently met. Performance Management involves the way managers evaluate workers, how workers evaluate their managers and fellow employees, and how individual employees evaluate themselves.
Reasons Behind Performance Management
There are three main reasons behind performance management:
Fixing Accountability for Performance
It can be done by identifying, promoting, and rewarding exceptional performers and managing poor performers.
Development of Workforce Abilities
This can be achieved by enhancing skills, emphasizing desired behaviors, and driving a growth mindset.
Engagement of Talent
Finally, through both of the above, enabling a sense of purpose and helping people find a sense of value in their work and fostering teamwork.
Nowadays, there is a lot of hype around performance management. Organizations are realizing the importance of a hybrid approach balancing accountability and development. Feedback needs to be ingrained in daily work and reviews for it to be continuous, consistent, and relevant. However, that does not lessen the importance of formal periodic reviews of performance. Feedback conversations should focus on performance and the future course of action needed for growth.
It is necessary to identify both exceptional and poor performers. It is also imperative to focus on team collaboration, innovation, and results. Lastly, companies need to have an effective reward system in place to acknowledge superior performers.
Despite all the above, there is no perfect performance management design or system. Each organization has to develop an approach attuned to its business conditions and organizational structures. Even within a company, there is a need for customization based on different talent pools, the nature of work, and the desirable employee behaviors. A performance management framework design needs to keep the employees and teams at the center and be designed around what really drives performance.