Performance management is a subset of human resource management that focuses on facilitating employee development and organizational goals. The performance management cycle begins with establishing job descriptions and performance standards, then involves ongoing observation, feedback, and development. The goals of performance management are to assess and develop employee performance in order to meet organizational objectives, identify performance gaps, and provide continuous learning opportunities to improve employee capabilities. An effective performance management system communicates organizational vision and strategies, sets measurable individual and departmental goals, provides formal reviews, and links performance to rewards and career development.

1. BY- Ms. Mansi Tiwari

2.  PM is a subset of HRM function focuses on
facilitation support to employees for their
individual & overall organizational development.
 PM cycle starts from core job descriptions to
reformulating the standards of performance.
 It is continues as an ongoing employee
development function.

3. Job Descriptions & essential functions,
strategic plans & annual Goals.
Standards of
performance
Observation &
feedback
Performance
appraisal
Performance
development

4.  To develop a performance culture in
organization.
 In a competitive global environment ,
employees of organization must have up to
date information.
 It will help in providing information about
new technologies, market & customers etc..

5.  It is a cyclical process.
 Organization manages performances with two
folds objectives-
1. To assess the employee’s performances
2. To develop the employee’s performances

6.  Through the performance assessments
organization can map following-
1. Performance gap
2. Identify the employee’s potentiality
3. Accordingly develop employee’s capabilities
through continuous development(KSA)

7. Definition by the Institute of personnel mgmt in
1992
“ PM is a strategy which relates to every activity
of the organizations, set in the context of it’s
human resource policies, culture, style &
communication system”
Important points features as per the definitions-
 Communicating vision to all employees
 Translating vision into mission
 Converting mission into overall objectives

8.  Setting departmental & individual performances
targets that are related to overall objectives
 Converting such targets in terms of measureable
outputs
 Developing the formal appraisal procedures &
systems
 Linking performance to pay

9.  Using the reviews as the basis to identify
training, development & rewards
 Evaluating the performances holistically to
improve organizational effectiveness
 Conducting formal performance reviews to track
the process towards achieving the targets

10. According to Briscoe & claus (2008)
“PM is a system through which organizations set
work goals, determine performance standards
,assign & evaluate work, provide performance
feedback , determine T&D needs & distribute
rewards”
“It is a process of planning the performance,
appraising the performance, giving its feedback
& counseling an employee to improve his
performance”.

12.  Boosting the performances of the employeesBoosting the performances of the employees
by encouraging employee empowerment ,by encouraging employee empowerment ,
motivation & effective reward mechanism.motivation & effective reward mechanism.
 Promoting personal growth & advancement inPromoting personal growth & advancement in
the career of the employee by helping them inthe career of the employee by helping them in
acquiring the desired KSA.acquiring the desired KSA.
 Identifying the barriers to effectiveIdentifying the barriers to effective
performance & resolving those barriersperformance & resolving those barriers
through constant monitoring , coaching &through constant monitoring , coaching &
development.development.

13.  Concerned with the output & inputs
 Concerned with the measurement of results
 Concerned with defining the business plan
 Concerned with continuous improvement &
development

14.  Concern with establishing the culture of trust
& mutual understanding
 Concerned with the information sharing on
core values
 Concerned with the provision of procedural
fairness & transparency in decision making

15.  PM approach has become a tool in the hands
of the corporate as it ensures that the
people uphold the corporate values in the
path of accomplishments of the ultimate
corporate vision & mission.
 It is forward looking process as it involves
both the supervisors & employees as a joint
planning & goal setting in the beginning of
the year

16. Organizational
benefits
Manager’s
benefits
Employee’s
benefits

17. • Improved organizational performance
•Employee retention
•Loyalty
•Improved productivity
•Clear accountability
•Cost advantages
•Overcoming to the barriers to communication

18. Manager’s Benefits
• save time
•Reduce conflicts
•Ensures efficiency
•Consistency in performance

19. Employee’s Benefits
•Clarifies expectations of employees
•Self assessment opportunities
•Clarifies the job accountability
•Clear define career paths
•Promotes job satisfaction

20.  Increased turnover
 Use of mis-leading information
 Lowered of self- esteem
 Wasted time & money
 Damaged relationships
 Decreased motivation to perform

21.  Employee burnout
 Job dissatisfaction
 Unclear rating system

22.  Strong interpersonal skills
 Customer service orientations
 Team work
 Effective communication
 Analysis & solving problems
 Decision making & result orientations

23.  It is a continuous process of monitoring &
feedback
 It is closely linked to other system of HRM like
planning & development
 It is closely concerned with organizational
culture
 It involves effective use of technology

24. It covers any organization where interaction takes
place between employee to organization &
organization to employees
Parameters of Organizational Dynamics-
 Expectation of organization from employees &
expectations of employees from organization

25.  Motivation level of employees
 Morale of the group of employees
 Interpersonal relations
 Inter- group relations
 Role conflicts

26.  Intra organizational Dynamics
1. Organizational culture
2. Social responsibility of the organization
3. Organizational ethics & values
4. Process of learning organization

27.  Inter-organizational dynamics
1. Impact of external environment
2. Globalization
3. Management of diversity
4. Strategic alliances

28. Pre-requisities
Performance
planning
Performance
execution
Performance
Assessment
Performance
review
Performance renewal
& re-contacting

29. A team is a small no of people with
complementary skills who are committed to a
common purpose, common performance & an
approach for which they hold themselves
mutually accountable.
Teams comprise small numbers of people
possessing complementary skills & committed
to common purpose

30.  They plan, control & improve their own work
processes.
 They set their own goals & inspect their own work
 They often create their own schedules & review
their performances.
 They may prepare their own budgets & coordinate
their work with other department
 They are frequently responsible for acquiring any
training they might need
 They offers suggestions & give feedback to others

31.  Enhanced performance
 Employee benefits
 Quality dimensions
 Improved processes
 Global competitiveness
 Flexibility
 Increased productivity
 Increased satisfaction
 Improved communication

32. The team in the organization should consider
following factors-
 Supportive environment
 Skills & role clarity
 Super oriented goals
 Team rewards
 Cooperation
 Trust
 Training
 Code of conduct

33. Teams
Work
teams
Problem
solving
teams
Management
teams
Virtual
teams

34. Total Quality can be = Performance + Expectation