Performance management a tool for goal achievement in an organization

1. Introduction to
Performance Management

2. Definition of performance & PM
Characteristicsof anideal PMsystems
Aims androle of PM
PMprocess
PM & HR
Strategic planning in PM

3. Betreated fairlyand
consistently
Job/careerenrichment
opportunities
Clearexpectations
Positive/constructive feedback
on aregularbasis
Involvement in goalsetting
Economicreward

4.  Toreachorganizational
mission andgoals
 Encourage and reward
behaviors aligned with
organizational missionand
goals
 Curb or redirectnon-
productive activities

5. The action or process of carrying out or
accomplishinganaction, task, or function can
be termed asperformance.
Performance management includes the
processesused to manage corporate
performance, the methodologies that drive
someof the processesand the metrics used
to measure performance against strategic
and operational performancegoals.

6. What are Performance
Standards?
Performance Standards are the benchmark against
which performance is measured.

7. “It is acontinuous process of identifying,
measuringanddeveloping the performance
of individuals and teams and aligning
performancewith the strategic goals of the
organization”.
PMcontains two major components:
1. It’s acontinuousprocess
2. Alignment with strategic goals

8. Performance management(PM) includes
activities that ensure that goals are
consistently being met in aneffective and
efficient manner.
Performance management focuses on the
performance of an organization, a
department, employee, or even the
processesto build aproduct or serviceor any
other areas inan organization.

9. An iterative process of goal-setting, communication, observation and
evaluation to support, retain and develop exceptional employees for
organizational success.
PM
Set
Goals
Commu
nicate
Observe
Evaluate

10. It servesthe strategic purpose of the org.
Provideinformation for reward system
Facilitates HRdecisions
Enablingemployeesto learn about their
performance asagainst orgexpectations
Itserves asadevelopmental purpose
Servesorg maintenancepurpose
Support HRdecisionto meet legal
requirements

11. Both are differentconcepts.
PMis abroader term & includes appraisal asa
part of the performancesystem.
Performanceappraisal is the systematic
description of an employee’s strengths and
weakness.
Thus,performanceappraisal is animportant
component ofperformance management.

12. Motivation to perform is increased
Increases selfesteem
Managersgain insight about subordinates
Jobsaresimplified
Organizational goals areclear
Employees become morecompetent
Differentiation b/n good & poor performance
Performances arecommunicated
Changecan bepossible

13. Strategic congruence
Thoroughness
Practicality
Meaningfulness
Specificity
Reliability
Validity
Acceptability
Inclusiveness
Openness
Correctability
Standardization
Ethicality
Identification of
effective &ineffective
performance

14. Theinformation collected by aPMsystem is
most frequentlyused for
1. Salaryadministration
2. Performancefeedback
3. Identification of employee strengths &
weakness

15. Strategic purpose
Administrative purpose
Informational
Developmental
Organizational maintenance
Documentational

16. Increasedturnover
Useof misleadinginformation
Wastedtime & money
Lowered selfesteem
Damagedrelationships
Decreased motivation toperform
Employeejob burnout & dissatisfaction

17. Increased risk oflitigation
Unjustified demandson managers&
employeesresources
Varying & unfair stds & ratings
Emergingbiases
Unclear ratingsystems

18. Prerequisites
PerformancePlanning
Performance Execution
PerformanceAssessment
PerformanceReview
Performance Renewal&
Re-contracting
PM
PM
PM
PM
PM
PM

19. Twoimportant prerequisites before PM
system are:
1. Knowledgeof the org’s mission & strategic
goals
2. Knowledgeof the job in question (this is
done through jobanalysis)

20. Employees should have athroughknowledge
ofthe PM System.
Planning discussion includes:
1. Results
2. Behaviours
3. Developmental issues

21. At the execution stage, following factors
must beconsidered:
1. Commitment togoal achievement
2. Ongoing performancefeedback& coaching
3. Communication
4. Collecting & sharingperformance data
5. Preparing forperformance reviews

22. It is important for employee aswell asthe
managersto take ownership of assessment
process.
It helps the org to usethe information
obtained in aproductive manner for the
future requirements.
Inclusion of self appraisal is also beneficialin
all manner.

23. Reviewstage involves meeting between
employees &the manager.
Thismeeting iscalledAppraisal Meeting.
Review meeting helps employee and
manager to design developmentalplans.

24. Its identical to planning stage.
Manager usesthe insights & information
gained from other phasesto reset
performance goals foremployees