PERFORMANCE MANAGEMENT

Performance Management

Introduction1

Discussion1

Definitions of Performance Management1

Continuous Process1

Link to Goals and Mission1

Purpose of Performance Management2

Example2

Importance of Managing Performance2

Talent Management and Performance Management2

As a Driver of Organizational Performance3

Strategic and Tactical Aspect of Performance Management3

Strategic Performance Management3

Transactional Performance Management4

Role of HRM in Developing the Performance Culture in Organizations4

Challenges to Human Resource Managers5

Conclusion5

Recommendations6

Development and Performance Reviews6

Competencies and Competences6

References7

Performance Management

Introduction

This essay is focused on discussing the different aspects of performance management and the different ways in which it can be defined. It also explains the challenges that the HR managers face in term of implementing the appropriate performance management.

Discussion

Definitions of Performance Management

Performance management is regarded as a continuous process which identifies measures, develops and performs in the organizations by forming a link between objectives and performance of an individual to the goals and mission of the organization (DeNisi & Kluger, 2000). There are two main parts in this definition which are:

Continuous Process

Performance management is not a one-time process. It consists of a process which is never ending for setting the objectives and goals, observing the performance along with receiving and giving ever going feedback and coaching (DeNisi & Kluger, 2000).

Link to Goals and Mission

The performance management needs the managers to ensure that the outputs and the activities of employees are harmonizing with the goals of the organization which will result in helping the organization to get a competitive business advantage. Therefore, performance management develops a link between the organizational goals and employee performance along with making the contribution of the employees explicit (DeNisi & Kluger, 2000).

According to Armstrong and Baron, it is the process contributing to the effective management of teams and individuals for achieving high levels of performance of organization. It develops shared understanding regarding what needs to be achieved and the approach for developing and leading people which will ensure that the goals are achieved (2004). It is regarded as a strategy which is related to every activity in the organization in terms of its communication systems, style, culture and human resource policies. The nature of strategy is based on the organizational context and can differ from one organization to another (Armstrong & Baron, 2004).

It is a tool for ensuring that the managers are managing in an effective manner and that their teams understand and know what the organization expects from them, have the skills to meet these expectations, provided with feedback on performance, supported by the organization for developing the capacity for meeting the objectives and encouraging them to contribute to the objectives and aims of the team and individual (Armstrong & Baron, 2004).

Performance management is about developing the effective strategy of performance and placing the tools for facilitating the continuous improvement and addressing any type of problems which arise along with ensuring an effective communication which is two ways to share and convey expectations. The performance management is applicable to every individual and not just the teams or the managers alone. It is a continuous process instead of being a single time event and it should also have the capability ...