Performance Management System

What is Performance Management System?

A performance management system enables leaders to track and guide employee performance in real time.

The performance management system represented in Figures 2.1 and 2.2 consists of four stages: Plan, Review, Monitor, and End-of-Year Performance Review. These stages are designed to help organizations effectively manage and improve employee performance.

1. Plan stage
2. Review stage
3. Monitor stage
4. End -of - year performance review stage

Overall, these four stages of the performance management system provide a structured approach for managing and improving employee performance, enabling organizations to align individual performance with strategic objectives, identify areas of improvement, and develop employees to their full potential.

• Performance management system help team leader to compression the company goals with the market competitors.
• A plan for performance enhancement is a strategy used by an employee, team, or organization to set objectives, commitments, and strategies for increased productivity and performance.

The importance of designing a smart performance management system:

Businesses need effective performance management. They are able to connect their systems, resources, and personnel with their strategic goals through both formal and informal tactics. By the help of the feedback, it's get easy to find the drawback and manage can guide or train the employee.

Role of PMS in harnessing High performing workforce:

An efficient performance management system assists employees in understanding the company's goals and their separate responsibilities in attaining those goals. It indicates that they are aware of how their efforts affect the company's direction.

Challenges in implementing the PM system?

• Having a clear vision/strategy for the team.
• Communicating well
• Supporting career development and discussing performance.
• Empowering the team and not micromanaging.
• Ignoring Change Management in System Implementation.

Adobe has used its PMS to improve employee engagement:

An employee performance tool provides useful gateways for managers and employees to connect with one another. The programmer generates proof to back up statements about an employee's performance. Managers can use it to generate reports and analyze data in order to make more informed decisions.

Reference

1. Broadbent, J., & Laughlin, R. (2009). Performance management systems: A conceptual model.?Management accounting research,?20(4), 283-295.
2. Brudan, A. (2010). Rediscovering performance management: systems, learning and integration.?Measuring Business Excellence.
3. https://www.sap.com
4. https://www.researchgate.net/

I must thank to Mam Faiza Tasneem(Associate CIPD) . Thank you for your commitment to my success, I couldn't have done it without your support. Your guidance and shared experiences have been invaluable.