This website uses cookies to ensure you have the best experience. Learn more

The Importance Of An Organization's Performance Management System

1391 words - 6 pages

One of the many ways to measure an organization's success in meeting or achieving its strategic objectives is to evaluate the performance of its employees. This evaluation, if it is to be effective or of substantial value to the organization, it needs to be systematic and purposeful. In order to explain the impact that a performance management system can have on other areas of human resource management, it is necessary to define the relationship between a performance management system and human resource management. First, a performance management system is one area of human resource management. It is now becoming a strategic issue for organizations, in their pursuit of addressing deficiencies in the performance of employees in a timely manner; channeling employees in the appropriate direction towards performance of specific objectives that are consistent with the work or overall strategies of the organization; and providing employees with appropriate and specific feedback to assist with their career development. Secondly, a performance management system needs to be well conceived so that there is full concurrence on the system and that it is not viewed as a subjective tool to highlight employee weaknesses. Human resource management involves "the development of a consistent, aligned collection of practices, programmes, and policies to facilitate the achievement of the organization's strategic objectives" (Mello 2002 p. 298). Given the fact that there is no single best way to manage people in any one organization, human resource management practices will invariably differ in organizations. The fundamental aspect of human resource management is the implementation of a successful people-management system that is supportive of the organization's mission and strategy. Human resource management therefore encompasses areas such as staffing, training, performance management, compensation and labor relations. In context, human resource management involves human resource planning, design of jobs and work systems, and utilizes policies on employee separation, laws regulating employment and information systems to facilitate its implementation where necessary. From the above, we can firmly conclude that a performance management system is an area of human resource management, which can serve multiple purposes. Mello (2002 p. 298 - 300) described at least five purposes. First, he says that performance management systems are to facilitate employee development. Through an assessment of the deficiencies in employee performances, the employee can be made to benefit from training programmes specifically designed to meet these needs. For example, the performance management system must be equipped to provide performance feedback - an indication of employees' acceptance of the system and its consequent utilization to provide meaningful information on employee needs. This emphasizes the impact of performance management on the area of training. Training as an area of...

Find Another Essay On The Importance of an Organization's Performance Management System

The Ideal Performance Management System Essay

2933 words - 12 pages A comprehensive performance management system will be thorough, inclusive, practical, meaningful, reliable, open, ethical, and correctable among other qualities (Aguinis, 2013). Additionally, the process of managing performance will be an ongoing process to include processes such as coaching and employee development. An ideal performance management system will serve an organization by developing satisfied and competent employees who are

The Importance Of Creating a Performance Measure in an Organization

1590 words - 7 pages performance measurements, their validity must be compared and contrasted to that of traditional measures of performance. The importance for creating performance measures stretches from internal managers all the way to external investors. Internal managers can use different performance measures to help determine if a company is running efficiently and if it is meeting standards that were preset. For example, an internal manager of a manufacturing

The Importance of Performance Appraisals

1407 words - 6 pages performance appraisal helps the company know how individual employees are performing and how to improve their performance thus improving the performance of the company (Grubb, 2007). A performance appraisal is propose in which the performance management system in an organizations set work goals, determine performance standards, provide performance feedback, determine training and development needs and distribute rewards as well as evaluating an

Performance Management System

919 words - 4 pages Organizations derive competitive advantage by outperforming rivals in the execution of activities required to ensure optimum operational effectiveness in providing products and services to customers (Porter, 1996). Operational effectiveness depends largely on the extent to which the organization’s performance management system (PM) is capable of developing the knowledge, skills, and abilities of its people (Allan, 1994). Thus, knowledge of

Employee Performance Management System

3822 words - 15 pages basic principle of effective management is that all behavior is controlled by its consequences. Those consequences can and should be both formal and informal and both positive and negative.PurposeIt is the policy of the Schafer Corporation to maintain a Performance Management System approved by the Office of State Personnel in accordance with State law and policy. Such a system includes several components:* An agency-specific policy,* Individual

Performance Management Appraisal System

562 words - 2 pages accomplishing the organizational plans and goals. Only when this difficulty has been solved can the performance management system take over to transfer knowledge and information, incentivise, and assess workforce effectiveness Aforesaid, Lack of supervision in an organization leads to management failure, thus, an assessment of whether the goals are realistic by new systems can be achieved through supervision. Works Cited Dieleman, M. Et al (2006

Performance Management System

928 words - 4 pages ).” In an effort to standardize the employee evaluation system across all five divisions, the organization developed a standard performance management system in 2005. According to Aguinis, there are fourteen characteristics that form an ideal performance management system and Boulder County Public Health’s performance management system will be evaluated to see which of these characteristics their system has. Characteristics of an Ideal

Evaluating a Performance Management System

2080 words - 9 pages performance management program. Having an effective performance management system could improve morale, motivation and overall productivity by identifying employee’s strengths and addressing areas that need improvement. Introduction Performance management is an ongoing process that ensures that employees get the direction, coaching and developmental opportunities that they need to continually improve their work performance. The overall goal of

Remuneration and Performance Management System

1926 words - 8 pages The correct remuneration and performance management system is an ongoing discussion as it plays an integral part in organisations. Pfeffer (2005) argues that wage compression and symbolic egalitarianism is the best practice to gain competitive advantage, however other theorists advocate a ‘best fit’ model depending on the organisational strategic plan. This essay explores these arguments by demonstrating how culture, the job, and organisational

It is the duty of an organization's owner to provide job oppurtunities for the working group or labor

536 words - 2 pages the economical problems such as poverty, unequal distribution of wealth, irresolvable problems, food shortage, health problems etc, and all are because of installing machines and reducing employees. The importance of the technology cannot be rebuff but we can use it to make easier our works instead of creating more problems. Organizations can provide training programs for employees to create awareness that how to use and how to maximize profit

The Importance of Effective Management

2059 words - 9 pages achievement of team goals After reviewing the output from the questionnaire, I have identified a number of personal objectives that will help me improve my personal performance and contribute towards the team objectives. See appendix 3. Conclusion Effective time management can help reduce stress in the workplace by ensuring that an employee’s limited time is spent completing the most important and high value tasks that provide the most contribution

Similar Essays

The Importance Of Performance Management Essay

2156 words - 9 pages thoughtful feedback to employees, that it is a critical part of being a manager and should be a continue process that is not just something you do annually as part of a performance appraisal. In my opinion, performance management is one of the most important aspects of being leader in an organization. The Negative Impacts of Poor Performance Management When I took over as director of our global support services organization, I was getting to know the

The Importance Of Aligning It Strategy And An Organization's Business Strategy: A Case Study Of Metalco

1558 words - 6 pages business processes and strategies as a true standard - Provide solutions customizable to customer needs 6. Skills Maturity: Going beyond the traditional considerations such as training, salary, performance, feedback, and career opportunities are factors that enhance the organization’s cultural and social environment as a component of organizational effectiveness. Having knowledge of the organization’s maturity of strategic choices and alignment

The Benefits Of A Performance Management System

642 words - 3 pages systems. Dynamism of change and diversity, however, have mounted pressure on HR specialist and management team to refine, modify and or make more strategic method to performance management. This takes many forms e.g. Mbo, ‘hybrid’ systems, BSC, 360 degree and ranking & rating system. These forms are necessary in order to stay competitive and need effective management. The research is to find out trends in performance management that have

Political Frame Analysis Of An Organization's Effective Management

2101 words - 9 pages In any organization, effective management is difficult to achieve and maintain. Analyzing organizations from multiple perspectives allows people to better understand the system and potential issues involved and to identify solutions. Bolman and Deal utilize a four-frame approach focusing on the structural frame, human resource frame, political frame, and symbolic frame.1 This paper will discuss the political frame. The political frame views