Question

I enjoyed reading your response and the information that was shared. Performance Management Systems are crucial for businesses to have in place. In fact, these systems are an excellent tool for encouraging the employees to perform their best and to deliver the desired organizational outcomes. Considering the benefits, do you believe that Performance Management Systems are easily to formulate, but difficult to implement and maintain?

Answer 1

Performance management:

The effective performance management can be measured through the below factors as that determines on the accurate performance measure in the organization.

Strategic: The strategic decision needs to be taken in the performance measures, as where that act as a guide on maintaining certain rules and regulation and increase the effectiveness performance management. It helps the organization to reach on the goal through increases on the work performance.

Valid: The performance measurement tool should be valid on the appraisal process as that describes on the validity on the measure taken to analyze on the performance and increase its effectiveness.

Reliable: The reliable on the true and correct information needs to be provided on to measure the performance, so that it increases on the effective performance management.

Acceptable: The acceptable measure on the satisfactory of the performance, as where accurate data can helps to analyze on the performance of the individual. It evaluates on the jobs performed by the individual and increases on the effective performance management.

Specific: The specific information needs to be identified as where every individual would understand on the complete process of the performance measurement. The level of performance can be identifies as that helps to increase on the effective performance measure.

Implementing and maintaining performance is difficult due to below reasons:

1. Most of the managers think performance appraisal is just a transactional work which needs to be done at the end of the year and which does not add value to the business.
2. It is time consuming and hence allocating time in the busy schedules is also another issue.
3. Having a comfort zone and set of comfort people under them is also a reason for not taking performance appraisal seriously.
4. Hiking of recruitment cost and replacement cost is another consequence.
5. Loss of revenue and profitability due to employees not understanding their role and manager is not measuring them through performance appraisal is a major consequence.