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Performance management is an ongoing process of communication between a supervisor and an employee designed to improve individual and organizational performance. It's not just about annual reviews; it's a continuous cycle of setting goals, providing feedback, and developing employees to achieve their full potential.
What are main features of performance management?
- Two-way communication: Regular conversations between supervisors and employees about expectations, progress, and development needs.
- Goal setting: Establishing clear, measurable goals aligned with individual and organizational objectives.
- Performance feedback: Providing ongoing constructive feedback to help employees improve.
- Development planning: Identifying opportunities for employees to learn and grow their skills.
Why is performance management important?
- Improved performance: Helps employees understand expectations and continuously improve their work.
- Increased engagement: Employees who feel supported in their development are more likely to be engaged.
- Alignment with goals: Ensures individual efforts contribute to achieving organizational objectives.
- Talent development: Identifies high-potential employees and invests in their growth.
How is performance management applied?
- Setting goals: Collaboratively define goals at the beginning of a performance cycle (e.g., quarterly, annually).
- Regular check-ins: Schedule regular meetings to discuss progress, address challenges, and provide feedback.
- Performance reviews: Formal evaluations at the end of the cycle to assess performance against goals.
- Development plans: Create a plan for skill development based on performance reviews and employee aspirations.
What is a practical example of performance management?
A company implements a quarterly performance management process. Supervisors and employees collaboratively set SMART goals (Specific, Measurable, Achievable, Relevant, Time-bound) at the beginning of each quarter. Monthly check-ins allow for ongoing communication and adjustments as needed. Quarterly reviews assess progress and identify areas for development. This approach ensures clear expectations, continuous feedback, and opportunities for employees to grow throughout the year.
What are some critical remarks with performance management?
- Focus on paperwork: Performance management can become bogged down in excessive paperwork and administrative tasks.
- Bias: Unconscious bias can lead to unfair evaluations.
- Lack of follow-through: Without clear action plans and support, performance reviews may have limited impact.
Human Resource Management and organizational behavior: The best concepts summarized
Human Resource Management and organizational behavior: The best concepts summarized
Table of contents
- Organizational behavior
- Behavioral economics
- Human Resource Management
- Employee lifestyle focus
- Talent acquisition
- Performance management
- Compliance and regulations in HR
Business and Economics - Theme
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