Performance Management

                                                 

Contemporary Performance Management Practice In Global Context.

‘‘Performance management is the continuous process of improving performance by setting goals that are aligned to the strategic goals of the organization, planning performance to achieve the goals, reviewing progress, and developing the knowledge, skills and abilities of people. It involves developing a shared understanding about what is to be achieved and how”. (Armstrong, 2016, p. 89)

Many organisations have what is labelled a ‘performance management’ system .However there is a difference between performance management and performance appraisal. Although performance appraisal is a vital element of performance management, it's simply a section of the full. (Aguinis, 2005)

Where performance management processes were implemented, productivity improvements were found in 97% of all studies (Rodgers et al, 1993).People are the greatest asset of any organization, traditional performance management processes don’t leverage employees’ skills and talents. Several companies are looking far away from traditional performance processes, like annual performance appraisals, to regular check-ins and ongoing feedback and development. (CIPD, 2017).

Within Facebook, Inc. they designed tools that made it easy for employees to get one on one, 180, 360 and Management by Objectives (MBO) feedbacks twice a year, and give/receive recognition and visibility at any time. Because business moves very quickly and waiting till a whole year makes it too late.(Feloni,2016).They call it the Performance Summary Cycle.It would take about 6 weeks complete a cycle, at the end of the cycle, managers have performance conversations with employees where they summarize the feedback and provide marks for each of them with a predefined rating scheme.(Ho, 2017). In here employees asked evaluate themselves to make it a holistic review. Managers Perform Management by objective reviews jointly to identify common goals of the management and assessing the contribution of their teams.They cite three reasons why performance management is crucial as “fairness, transparency, and development” (Acurantes, 2016)

Performance Management matters, employees are satisfied with little impact on valuing employee’s performance, organizations are affected by the attitudes and behavioural intentions of employees. Performance Management build satisfied employees which contributes to building a loyal and committed workforce

References

• Armstrong, M.(2016) 'Armstrong’s Handbook of Management and Leadership for HR'. 4th ed. New York: Kogan Page.
• Acurantes,L (2016 ). Hcamag.  Available at: http://www.hcamag.com/hr-news/lessons-from-facebooks-performance-evaluation-system-225846.aspx[Accessed 6 Dec 2017 at 9.35].
• Aguinis, D.(2005).Performance Management. 1st ed. Edinburgh: Edinburgh Business School,Heriot-Watt University. 
• CIPD, 2017. CIPD. Available at:http://www2.cipd.co.uk/pm/peoplemanagement/b/weblog/
  archive/2017/06/13/performance-management-is-changing-is-your-organisation-staying-current.aspx [Accessed 6 Dec 2017 at 6.39].
• Feloni,R.(2016). businessinsider. Available at: http://www.businessinsider.com/facebook-hr-chief-explains-its-performance-reviews-2016-2 [Accessed 6 Dec 2017 at 7.30].
• Ho,D.  2017. reflektive.Available at: https://www.reflektive.com/blog/performance-management-facebook/ [Accessed 6 Dec 2017 at 8.00].
• Rodgers,R.Hunter, J. E., Rogers, D. L. (1993). Influence of top management commitment on management program success. Journal of Applied Psychology., 1(78), pp. 151-155.