Performance management is defined as the systematic, overall communication process involving managers and employees that are focused on observing, planning, and evaluating the employee s performance in order to achieve desired levels of performance. The main function of performance management is to monitor performance, encourage improvement, create awareness, and provide feedback. Performance management has a number of processes, which are designed to improve employee productivity and efficiency. In addition, management aims to build morale and increase productivity, while decreasing costs. It is the primary objective of performance management to ensure that the goals and missions of the company are being achieved through the efficient performance of the people in an organizational environment. In short performance management is a set of systems and strategies that help managers in creating an effective work environment and improving employee performance.
In today’s business world, performance management is a continuous process within the organisation. There is a continuous dialogue between employees and management on how to improve the performance and quality of the services or products that are provided by the organisation. The primary objective of performance management is to ensure that the objectives of the organisation are being met. In addition, there is a continuous interaction between employees and management on how to receive feedback on how their performance affects the performance of other employees. This is considered one of the most important aspects of the whole process of management.
Performance management is normally implemented in organisations where there are several departments that require the assistance of a supervisor. For instance, it may include a manufacturing unit, sales department, or human resources department. The objective of the performance management process is to define the roles, responsibilities, and rewards for each department within the organisation. At first, performance evaluation is done only between the higher up management. However, as more departments are included in the performance management process, performance evaluation is conducted across the whole organisation from the top management down.
The main objective of the performance management process is to analyse the expectations of each employee, assess the skills and capabilities, and set expectations for the performance of each individual. The performance management team will then work to achieve these goals. For example, the goal of the manufacturing team in the above example would be to set performance standards for every department that makes up the entire manufacturing process. The goals may include the development of quality control standards. After the standardisation of all the department’s productivity targets are achieved, this team may go about training their teams to maintain these standards.
Performance management process within an organisation can involve automation. An example of an automated process within the above example may be the use of metrics software to track the performance of individual employees, departments, and teams. By using this software, the team leaders can monitor the progress and achievements of their subordinates.
The performance management process also involves the creation of action plans, which are short-term goals for a specified period of time. It is important for the team leaders to set the goals clearly so that they are unlikely to be unrealistic. Each employee should know what their role is in the actions plan and what their individual contribution is towards completing the goals. Once this information has been communicated, then this will give a framework for the team to work on.
Another aspect of the performance management process involves the planning and designing of a system for measuring the status and results of each employee, department, or team. Some systems provide feedback via email. Other systems can send weekly emails to the staff stating what their current status is in relation to the objectives set by the leaders. These weekly emails can help the leaders to see where the team is currently at and what is required to achieve the goals. Also, by checking the status of each employee, the team leaders will be able to tell whether the objectives have been met or not.
A key aspect of the performance management process is the use of the objectives to determine what the employees expect from them. This is especially important for a supervisor. The expectations of the employees should be clear and should be based on the roles and responsibilities. If the objectives are unreasonable for the person doing the hiring then the expectations of the manager should also be unreasonable. When the objectives and the expectations of the employee differ then this will cause problems within the team and the overall performance of the company.