This document outlines the importance of performance management tools for fostering accountability and transparency in the workplace. It discusses the creation and implementation of performance agreements, which are essential for aligning individual goals with company objectives and maintaining fair expectations. Additionally, it emphasizes the need for clarity in expectations and ongoing progress tracking to ensure effective outcomes for both employers and employees.

1. 3.0 – Apply Performance Management at Work
Module 3 - CCP for SME Executives:
Onboarding
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Version August 2023
 Performance management tools help people to
o perform to the best of their abilities and
o produce the highest-quality work most
 efficiently and
 effectively.
 View individuals in the context of the broader workplace system.
 Focuses on accountability and transparency and fosters a clear
understanding of expectations.

2. 3.0 – Apply Performance Management at Work
Module 3 - CCP for SME Executives:
Onboarding
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Version August 2023
•expectations,
•goals, and
•career progress,
•including how an individual's work
aligns with the company's overall
vision.
A formal
performance-
management
program helps
managers and
employees see eye-
to-eye about
•adjust workflow,
•recommend new courses of action, and
•make other decisions that will help
employees achieve their objectives.
Managers can use
performance
management tools
to

3. 3.0 – Apply Performance Management at Work
Module 3 - CCP for SME Executives:
Onboarding
3
Version August 2023
Performance
Agreement
•performance expectations and obligations within a company,
•as well as the consequences of not meeting them.
The performance agreement is a legal document that sets
•Outline business needs
•Be achievable and relevant
•Hold employees and employers to account
•Be fair to all participants
•Major companies often use performance agreements to motivate
employees but also to prevent newly hired workers from developing
bad habits.
•Once the employer sets job expectations, the employee has the right to
object before promising to fulfill them.
An effective performance agreement should

4. 3.0 – Apply Performance Management at Work
Module 3 - CCP for SME Executives:
Onboarding
4
Version August 2023
Performance
Agreement
To ensure the best possible outcome of creating a performance
agreement, the employers should do the following:
 Be clear about their expectations
 Note the employee’s expectations
 Track the progress of the employee
 Determine a follow-up date to check the progress
 Establish outcome results and consequences