Employee Performance Management
Employee Performance Management
Performance management is pre planned and pre set tools which helps to evaluate performance of employees. KPIs are set with SMART goals at the beginning of the year creating environment for the employees to focus to perform to the best of their ability. The Goals are set align with organizational objectives. Achievements are reviewed by both employee and the manager periodically for further improvement.
Performance review procedure (case western reserve, 2022)
1) Objective Settings - It is the task of the management to set the objectives aligning with company ultimate goals. Goals are set under two categories as below
- Goals - Goals are set with the concept of SMART
- S - Specific
- M - Measurable
- A - Achievable
- R - Relevant
- T - Time bound
There is visibility of the performance and achievement to both management and employees with SMART goal settings. Thereby performance review will not be personalized. Goals are reviewed and discussed between management and employee at the beginning of the year. With the agreement of both parties, employees are entitled to follow these goals to show their performance.
- Competencies - This is the second part of the performance review. Competencies are the skills such as
- Leadership
- Communication
- Decision-making
- Attitude
- Loyalty
2) Quarterly Review - The management and the employee need to review agreed goals performance in every six month. This is one to one session where both parties are sharing their thoughts. The purpose of quarterly performance review is to identify the progress and the achievement as well as objectives to be improved in coming six month. With this review employee gets a clear directions which he need to drive for improvement in next six months as well as management gets clear idea about the strength and weakness of the employee.
3) Annual performance review - Annual performance review is carried out with few main reasons
- Rate the employees with grading
- Propose for promotions or demotions
- For salary increments
When the goals are set in the beginning of the year and the rewards are determined, employees for sure know how much rewards they will be received during annual performance review.
Benefits of Management
1) Find future leaders within the organization
2) Build trust and confident among every employee
3) High employee retention
4) Increase employee engagement with management
5) Employee open to comment and give feedback
Conclusion
Employee moral and confident level are two key factors to get employees engagement towards success of the organization. To build the confident level, employee must feel the fair working environment within the organization. Management evaluate employees with same criteria without personalized judgements. This is the important of performance management where every employee feel comfortable of their individual rating and performance.
Vulpen (2023) What is performance management. aihr.com[online]. Available at https://www.aihr.com/blog/what-is-performance-management/. Accessed on 18th Aug 2023.
case westerns reserve (2022) Annual performance review process procedure. case.edu[online] Available at https://case.edu/hr/hr-policies/staff-hr-policies/staff-development/annual-performance-review-process/annual-performance-review-process-procedure#:~:text=The%20process%20includes%3A%20(1),times%20whenever%20warranted%20or%20desired. Accessed on 18th Aug 2023
If the employee's performance is not as stated in the letter, the employee's performance may be unpredictable, meaning the business will be unpredictable. But by taking an active role in performance management, you can provide clarity, direction and purpose to empower employees to do their best work.
ReplyDeletePerformance management is a rigorous procedure that compares an organization's employees' performance to the planned management tasks. Frequent evaluations based on an appropriate procedure allow employees and management to evaluate both sides' achievements/progress with pre-determined tasks.
ReplyDeleteIn addition to the content in the article, performance management is a five-step process that includes planning, monitoring, developing, rating, and rewarding. Furthermore, organizations today employ a variety of best practices in order to sustain performance management standards and achieve business objectives.