Question

1a) Identify and explain the five elements of Performance Management. provide example for each element.

1 b) Identify and discuss five reasons why Performance Appraisals are carried out in organizations. provide examples

Answer 1

1a) Identify and explain the five elements of Performance Management. provide example for each element.

FIVE ELEMENTS OF PERFORMANCE MANAGEMENT

Elements	Examples
1. Reliable Measures	Companies has to use well know and effective tools for evaluating the performance, the tools such as 360 degree appraisal and BARS
2. Clear Goals	Goals has to be clearly communicated to the employees. Complete 50% of project with in this quarter
3. Performance Monitoring	The company also has to create tracking tools for monitoring and inspecting the performance of the employees
4. Rewards and Recognition	Based on the performance the company also has to provide valuable rewards and recognition, for example, providing increment up to 10%
5. Initiatives and Corrective Actions	The company also has to help the employees for improving their performance. They can provide training and development programs, and they can also provide coaching to the weak employees.

1b) Identify and discuss five reasons why Performance Appraisals are carried out in organizations. provide examples

1. Understanding the performance level of the employees

Implementing a performance appraisal system always helps for improving the performance level of the employees and it also helps for understanding the skills and abilities of the employees. For example, the performance appraisal system helps the company for categorizing the performers such as Good, average and weak

2. Helps for reducing the wastages

Implementing a performance appraisal system always helps in reducing wastages in the workplace. It helps in identifying the weak areas and provide an option for the employees for implementing new changes.

3. Helps for improving the communication between the employees

Performance appraisal system also helps for improving the communication between the employees, for example, it provides an opportunity for the top managers to share their thoughts to the lower-level employees

4. Helps for setting actionable goals

Performance appraisal system also helps for setting actionable goals and it helps for improving the overall productivity of the organization. For example, improving the productivity of the organization from 5% to 7%

5. Strengthen bonds

Performance appraisal system also helps for improving the relationship and bond between the employees and it also helps for reducing conflicts