Performance Management Systems Essay, Research Paper
The Performance Management System
The success of our organizations depends upon the people who are
employed by these organizations. Increasing their effectiveness is the
function of a performance management system. It
might even be said that the very survival of an organization depends on
management’s
ability to effectively use a well desgined performance management
system.
A well designed performance management system hasy three primary
functions:
1. Provides the organization with data for human resource planning and
for
administrative decision making.
2. Lets the individual know where he or she stands in the eyes of
his/her supervisors.
3. Helps the individual to improve his or her job performance and
increase productivity.
At this time in our economic history, productivity improvement is one of
the most critical
national economic issues. We all realize that wage increases cannot be
supported
without real gains in productivity. Therefore, the third aim of a
performance management
system, improving performance and increasing productivity, is soon
likely to be seen as
the most important aim.
Two basic factors in a performance management system are related to
improved
performance and increased productivity. One is goal setting, the other
is feedback.
At their best, the activities and strategies of an ongoing performance
management
system will result in a positive work environment leading to greater
productivity of the individual,
the department and the organization. Feedback, regular communication,
and coaching
provide the foundations.
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