Performance Management: One Part of Human Essay

Exclusively available on IvyPanda Available only on IvyPanda

Introduction

Performance management is a pivotal aspect that determines the wellbeing of any structurally organized organization. This paper presents a succinct analysis of performance management areas, strategies of improving it, and examination of integrated processes that helps people deliver performance as either individual or as a team.

We will write a custom essay on your topic a custom Essay on Performance Management: One Part of Human
808 writers online

Performance management

Performance management undergoes planning and integration methods that that convey continued success to institutions by improving the output of people and by growing the potential of individual contributors and groups (Rynes, Colbert & Brown 2002). It is not an individual person or teams function but rather involve the managers and the employees working together for a common goal.

The process involves the stakeholders sitting down to categorize and illustrate the job tasks and tie them to the assignment and goals of the organization. This enables the organization to come up with realistic goals in an attempt to attain the requisite implementation standards. Furthermore, it helps improve the employee work performance.

It is however, noteworthy to take a cursory look at the word ‘performance’ to have a firm grasps of the entire topic. Indeed, performance is a distinct area within the behavioral and social sciences industrial psychology that recognizes performance as perhaps its ultimate variable if not its raison d’etre (Martin & Bartol 1998).

Therefore, job performance is arguably the most important dependent variable in occupational and industrial organizational psychology. However, what is lacking is the understanding of the literature about the construct job performance (Greiling 2007; Rynes, Colbert & Brown 2002).

According to a research conducted in Watson Wyatt class in 2006, only 30% of the employees believe the performance review system in their company’s help employees improve performance. This raises a very important question about how performance management helps improve performance in any company.

Furthermore, it is fundamental to evaluate the gist of the result and consider if it is representative of most organization to assist in the analysis of this management function in an organization to decide if it is a necessary component.

1 hour!
The minimum time our certified writers need to deliver a 100% original paper

Indeed, performance management is the means of pigeonholing, appraising, and developing the performance of individuals and teams working toward a goal. Thereafter, the performance of the individuals aligns with the strategic goals of the organization.

Performance management varies significantly with performance appraisal in that whereas it is possible for the line manager to calculate performance management based on business deliberation and is usually an ongoing process, performance appraisal is a function of the human resources department in an endeavor to explore the forte and flaws of employees within the organization (Martin & Bartol 1998).

An organization undertakes performance appraisal once a year and lacks the continuing feedback reminiscent with performance management.

Performance management is a valuable tool in any organization for instance; it assists clarify the definition of jobs to the employees as well as spelling out the criteria in which the management will consider before settling to do a given job. In addition, it increases the motivation to perform among the employees, and their self-esteem as well.

Performance management enables the managers to convey the supervisors’ views on the company’s performance more effectively. Consequently, this enables the managers gain insight into individual aptitude of the specific employees, thus enabling the management make a better and timelier separation between good or poor performers (Rynes, Colbert & Brown 2002).

The human resources function also benefits from the performance management because it helps the section to elucidate the organizational objectives hence facilitating change in the institution. Consequently, the company will gain protection from any lawsuits that may ensue because of ill-treatment of employees.

Nevertheless, the success of performance management system will sale up output and feedback if it is implementation process is effective and timely. A poorly implemented performance management system has its share of disadvantages for instance; it can make the employees develop low sense of worth particularly if tackling employees’ problems is not expediently. Moreover, it can lead to exhaustion and estranged relationship between employees in the organization (Greiling 2007).

Remember! This is just a sample
You can get your custom paper by one of our expert writers

The manager may experience increased revenue and decreased impetus from the employees as well as unjust demands on managers’ resources. The human resources department will dissipate much of its time mostly in internal squabbles, especially if there is some relationship strain between employees.

In addition, some forms of biases will emerge in the organization a consequence of which leads to increase in risk of litigation. The advantages of the performance management system clearly indicate that it is an invaluable tool for the success of any company to embrace (Martin & Bartol 1998).

Nevertheless, the only objective of performance management system is not to increase results in the organization. Other benefits accrue with the implementation of the system. An example is the incentives in which both the employees and managers benefit from. A rewards system is a set of system for distributing concrete returns and intangible or relational returns as part of the employment relationship (Rynes, Colbert & Brown 2002).

Intangible returns include improvement of an employee’s base pay, reduction of his cost of living for instance free transport for the employees, and provision of other motivational incentives like income protection for the employees, provision of sufficient allowances to cater for the employees growing needs, and a work life focus.

Intangible rewards involve the acknowledgment and standing order that a person receives, guarantee of employment security, constant provision of challenging work thus provision of learning opportunities to the employees. Nevertheless, the returns that employees receive vary in terms of its dependency on performance management system from low, moderate to high dependency.

The cost of living and the employee’s income protection have a very low dependence on income protection, whereas the works focus, the allowances that an employee receives, and his or her base pay has a moderate dependency on return.

The factors that exhibit high dependence on the performance management returns are the short term and long-term goals as well as the contingent payment. Indeed, this enables employees to view themselves as part of the organization and scale up the company’s vision because the growth of the company will be in correspondence with their individual growth.

The performance managements system has its purpose that varies in the diverse aspects of the organization. The strategic purpose of the performance management is to tie the ambitions of an individual with those of the organization. This will lead consequently to job satisfaction in the employee’s part and the organization meeting its aspirations. In addition, this would be a vital tool for that particular organization to utilize when communicating the most crucial strategic enterprises that it wishes to undertake.

We will write
a custom essay
specifically for you
Get your first paper with
15% OFF

In relation to the administrative function of the organization, performance management provides crucial information for making of decision such as whether or not to regulate the employees’ salaries, to terminate an underperforming employee, to lay off some of them, or to recognize individuals in the organization for their commendable performance. These are the most important aspect of performance management (Rynes, Colbert & Brown 2002).

Performance management has an informational purpose for the organization. It helps communicate to the employees the expectations of the organization from the employees, be it dress code, attendance or product quality, it serves these functions. Moreover, it enables the employees understand what is paramount for the organization to accomplish, the organizations goals and aspirations. In addition, it enables the employees know how they are doing in the business and how to improve their performance to meet the company’s objectives.

The documentation purpose of performance management is to enable the organization have a performance response as well as identification of individual strengths and weaknesses. This will help the organization have a thorough look at the organizations performance deficiencies. Consequently, such institutions would be able to tailor the development of an individuals’ career path based on the individual’s aptitude (Martin & Bartol 1998).

Performance management helps in organization maintenance by planning an effective workforce and assessing the organizations future training needs to enable it meet its strategic targets. Performance management also assists in analyzing the performance of the company at the organization level as well as the intercession of the human resources department in matters pertaining to the organization (Cadwell & Clapham 2003).

At the documentation level, performance management assists in the validation of the selection instrument so that the company can clarify in future if its selection criteria met the requisite standards. Moreover, it helps in the documentation of administrative decision so that it acts as a future reference in case the management wants to look back at the strength of its past performance.

This criterion indeed helps the organization in meeting the legal requirements and avoids any litigation that may arise thereafter. This consequently helps the organization be in a stable relation both internally and with the external environment.

Some characteristics are typical of an ideal performance management system. Some of those characteristics simulate features of an organizational strategy. A performance management system should be in harmony with organizational strategy. Moreover, this will need alignment with the unit and organizational goals so that the company can work as a coherent unit with the overall function of the company taken into consideration at every level of the organization (Rodgers & Hunter 1991).

In addition, the system should be thorough so that there is evaluation of all the employees. This will also ensure that all the chief job responsibilities within the organization gain evaluation (London 2004). Consequently, the company should come up with reactions on both the positive and negative aspects within the company.

The system need not only be in details but also realistic such that it is easy for every personnel to use the system. Furthermore, the system should be acceptable to the decision makers because the company is largely dependent on their output. It is however, paramount that the benefits of the system outweigh the cost used in implementing it. Otherwise, the whole venture will be a virtual wastage of funds (London 2004).

The system need also be reliable so that decisions made from it are accurate hence enabling the decision makers make informed projection. In this regard, the system should be consistent such that the system should not resent a number of options or decisions based on similar problems. Furthermore, the system should be free of error.

There are however, some characteristics the company desires when it is developing a performance management system. Indeed, an ideal performance management system should be acceptable and fair.

The basis is on the perception of justice when instituting such measures. Under this premise, there is evaluation of a person based on the work he or she performs so that the reward he or she receives is commensurate to the work performed. Furthermore, determination of fairness will depend on the level of the procedures used, for instance, in determining the ratings of the employees, and linking the rating to the rewards that a person receives.

The performance management process has its prerequisites that determine how effective it will be in assisting the companies achieve the goals it desires. An example is knowledge of the organizational mission and strategic goals. Knowledge entails many things for instance strategic goals. Under this ambit is the purpose and reason for which the organization is in existence. Moreover, there is a critical look at the direction the organization is taking and if this is in line with the organization’s goals (Cadwell & Clapham 2003). The company does this while putting in mind the strategies for attaining the set standards.

Knowledge of the organizations missions and goals is another vital component. This knowledge cascades throughout the organizations such that the employees are conversant with the goals of the whole organization as well as those of specific units.

Another salient precondition of the performance management process is the knowledge of the job in question. This is a multi-dimensional task and involves analysis of the key components within the organization for instance the activities within the organization and the tasks that one ought to undertake.

Moreover, the organization needs to have the awareness of the processes that take place. To do this, they need to be aware of the knowledge s, skills, and abilities necessary to do the job. This brings forth the issue of job satisfaction and a clear understanding of where a problem arises from because the management can clearly indicate the individuals responsible before undertaking a specific task (London 2004; Rodgers & Hunter 1991).

Job description is a necessary component of the performance management process. Accordingly, the duties of the employees should be spelt out in a clear manner to include the condition under which they should undertake the job. After undertaking the job description, another important aspect involves job analysis.

Basically, job analysis involves gaining an understanding of the job and how it is fairing on, the experience needed, its contribution to the organization’s growth, and other minor aspects unique to it. This is achievable through interviews, observation, and questionnaires circulation within the company for filling if qualified.

The job does not get done after undertaking the job analysis. Indeed, there should be some follow-up on the job analysis, for example, a thorough assessment of all the surfacing issues and providing feedback on how to tackle it (Yang 2000). The organization should do this in accordance with the task, the frequency is undertaken and the importance attached to the task.

The next stage in performance management process is performance planning. Performance planning is done in three stages, namely, analyzing the key accountabilities, the specific objectives, and the performance standards of the organization. The key accountabilities are the extensive areas within the organization for which the employee is accountable for providing results whereas the specific goals are the statements of outcomes both significant and measurable (Borman 1991).

Last, performance standards provide a criterion within which the organization will achieve each objective. In this case, the company brings to the fore the information that is acceptable and those unacceptable in terms of the quality, the quantity, the cost and, the time (Yang 2000).

Under the performance planning, the organization will have to analyze the behaviors within plan for instance how well the job is done and the competencies requirement. Competencies involving measuring the measurable bunch of knowledge, skill and, abilities of the employees, and determining how the desired results are possible to achieve based on the available skills. The plan plays a critical role in identifying areas for development and the goals that are achievable in each area of improvement (London 2004).

Performance planning indeed is intertwined with strategic planning. Strategic planning explains the organizations objective by evaluating the obstacles before selecting the best approach for moving forward. Moreover, strategic planning entails coming up with a goal where the organizations resources allocation takes place to provide the organization with a competitive edge (Borman 1991).

The purpose of strategic planning is to help define the identity of the organization and assist the organization prepare for the future. This allows the organization to put new alternatives and opportunities into consideration. Strategic planning entails an environmental analysis whereby the internal and external trends within the organization undergo analysis to understand the industry issues, and arrive at a decision after a thorough outlook of the organization (Rodgers & Hunter 1991).

The external trends involve tacking a critical look at the opportunities available to the organization to ensure its success and the threats that bedevil it. Some of the external trends involve the political, social, competitors and, technological factors.

On the other hand, internal weaknesses that can hinder the company’s ability to succeed include the organizations’ structure, the organization culture, politics, processes and, size. Therefore, an understanding of this aspect assists the organization to come up with means of controlling its influence thus, bringing stability (Yang 2000).

A very important aspect of strategic planning is the gap analysis. Gap analysis involve analyzing the external environment Vis a Vis the internal environment of the organization. This provides critical information for the company to enable it decide who they are and what they do. A good strategic plan should have a mission. Accordingly, a good mission statement explains why the organization exists, the scope of the organizations activities, the organizations customers, and the product or services it offers.

Every strategic plan must set goals with a purpose of making the expected achievements of the organization formal. Moreover, it provides impetus for the employees, and helps provide concrete targets for the organization (Ghorpade, 2000). Consequently, this provides a platform where the organization can make good decisions. Furthermore, it enables the organization develop a basis for performance measurement.

The organization makes the strategic planning factor efficient by developing strategies on how to address the salient issues affecting the organization for instance the issue of growth, survival, turnaround, stability, modernization, and leadership.

The human resources function helps in this case by communicating the knowledge of the strategic plan to the employees. Moreover, it provides information on the knowledge, skill and, ability necessary for the implementation of the strategic plan (Ghorpade, 2000). This it does by proposing a reward system in the organization for best performing employees.

Conclusion

There is a need to measure the effectiveness of the performance management functions to the organization because the desired results are not always visible immediately yet there is a need to understand if the company is on the right track. Measuring the performance of a company is not always an east task because people differ. Moreover, some characteristics that make employees effective are not always measurable.

Consequently, the best approach in use is to determine the performance by inferring behavior for instance good performance infers good behavior in the organization. There are however, three determinants of performance for example, the inherent traits of individual employees, the employees understanding of what the job entails, and motivation.

Therefore, the employees should be given encouragement to approach performance with a goal of getting good results. Nonetheless, managers need information correctly to identify and address performance problems. The performance of an individual is however, measured in terms of his or her task performance outcome.

The basis is on their output based on the laid down procedure as well as their pro-social behavior, for instance encouraging others to perform better. Measurement criteria depend on the trait of the employee, how well they do their job and what they produce. The obvious challenges notwithstanding, performance management system is an important function to any organization hence it should be embraced mainly because it brings an understanding and coherence between the managers and the employees.

References List

Borman, WC 1991, “Job behavior, performance, and effectiveness”, in MD Dunnette & LM Hough (eds), Handbook of industrial and organizational psychology, Consulting Psychologists Press, Pal Alto, CA, pp. 271-326.

Cadwell, C & Clapham, SE 2003, ‘Organizational Trustworthiness: an International Perspective’, Journal of Business Ethics, vol. 43, pp. 349-364.

Ghorpade, J 2000, ‘Managing the five paradoxes of 360-degree feedback’, Academy of Management Executive, vol. 14, no.1, pp. 140-150.

Greiling, D 2007, ‘Trust and Performance Management in Non-Profit Organizations’, The Innovation Journal: Public Sector Innovation Journal, vol. 12, no.3, pp. 155-51.

London, M 2004, ‘Performance management and assessment: methods for improved rater accuracy and employee goal setting’, Human Resource Management, vol. 43, no.4, pp. 319–336.

Martin, DD & Bartol, KM 1998, ‘Performance appraisal: Maintaining system effectiveness’, Public Personnel Management, vol. 27, no.2, pp. 223–230.

Rodgers, R, & Hunter, J E 1991, ‘Impact of management by objectives on organizational productivity’, Journal of Applied Psychology, vol. 76, pp. 322-336.

Rynes, SL, Colbert, AE & Brown, KG 2002, ‘HR professionals’ beliefs about effective human resource practices: Correspondence between research and practice’, Human Resource Management, vol. 41, pp. 149–174.

Yang, J 2000, ‘Thoughts on some essential issues about performance evaluation’, Chinese Journal of Management Science, vol. 8, no. 4, pp. 610-627.

Print
Need an custom research paper on Performance Management: One Part of Human written from scratch by a professional specifically for you?
808 writers online
Cite This paper
Select a referencing style:

Reference

IvyPanda. (2019, December 16). Performance Management: One Part of Human. https://ivypanda.com/essays/performance-management-one-part-of-human-essay/

Work Cited

"Performance Management: One Part of Human." IvyPanda, 16 Dec. 2019, ivypanda.com/essays/performance-management-one-part-of-human-essay/.

References

IvyPanda. (2019) 'Performance Management: One Part of Human'. 16 December.

References

IvyPanda. 2019. "Performance Management: One Part of Human." December 16, 2019. https://ivypanda.com/essays/performance-management-one-part-of-human-essay/.

1. IvyPanda. "Performance Management: One Part of Human." December 16, 2019. https://ivypanda.com/essays/performance-management-one-part-of-human-essay/.


Bibliography


IvyPanda. "Performance Management: One Part of Human." December 16, 2019. https://ivypanda.com/essays/performance-management-one-part-of-human-essay/.

Powered by CiteTotal, free citation website
If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda. Request the removal
More related papers
Cite
Print
1 / 1