Why Is Communicating the Performance Management System to Employees Crucial, and What Tools Work Best?

How to communicate the performance management system to employees?

Why do we need to communicate the performance management system to employees, and what are the best tools that can be used in this communication process?

Dear Mahmoud Omar,

Please understand the difference between a "Performance Management System" (PMS) and a "Performance Appraisal" (PA). The latter is part of the former. Please search the internet to know the difference between the two.

Performance Appraisal Process

The PA is conducted as per the performance cycle, which could be quarterly, half-yearly, or yearly. On completion of the PA session, which either the HOD or a Reporting Manager conducts for his/her junior, the marks awarded are communicated immediately.

Conducting a PA session without the disclosure of the marks is a very old procedure. The 21st-century management style demands transparency. If the results of the PA are withheld, the subordinates go back with doubt or fear in their minds. Further, it could demotivate them as well. Whatever marks are awarded, whether low or high, the appraising authority gives justification for the marks awarded. This avoids misunderstandings between an appraiser and the appraisee.

Thanks,

Dinesh Divekar

To supplement what my learned professional colleague mentioned above: Individual employee assessments or performance appraisals have become more transparent than they were a few decades ago. Earlier, it used to be an in absentia assessment or simply a 90-degree appraisal. Now, we have even reached a point where 360-degree appraisals are carried out. If an organization aims to become competitive in the marketplace, it has to be a performing organization. Almost all job roles must directly or indirectly contribute to what the organization wants - adding revenue.

This is a lengthy topic, and I will stop here. I regularly conduct online training on what performance management is all about. There are articles and books available on the internet. If you are a passionate HR professional, download and read them. That is the best way to learn various sub-skills in the HR domain. Best wishes.

Dear Mahmoud Omar,

Firstly, you have to understand the nature of the company you are working for and the types of employees employed. Secondly, you need to collect the data of each department and determine how many employees are working in various departments. Then, you need to prepare Key Responsibility Areas (KRAs).

The next step is to create a skill matrix department-wise with ratings from 1 to 5. Rating 1 represents the lowest and 5 the highest; aim to balance between 3 and 4 to allow room for learning.

After that, you should prepare the Annual Training calendar. I recommend reviewing my posts on this site, as they will provide you with a good understanding of the Performance Management System (PMS).

Warm Regards