Please enable JavaScript.
Coggle requires JavaScript to display documents.
CHAPTER 1 : PERFORMANCE MANAGEMENT - Coggle Diagram
CHAPTER 1 :
PERFORMANCE MANAGEMENT
DEFINITION
Performance management is continuos process :
Identifying
Measuring
Developing
Aligning performance with STRATEGIC GOALS of the organization
PM IS NOT PERFORMANCE APPRAISAL
Strategic business consideration
Driven by line manager
it is on going feedback
Employee can improve performance
CONTRIBUTION OF PERFORMANCE MANAGEMENT
For employee
1.Clarify definitions of job success criteria
Increase motivation to perform
Increase self-esteem
Enhance self-insight and development
For Manager
Communicate supervisors’ views of performance more clearly
Managers gain insight about subordinates
Better and more timely differentiation between good and poor performers
Employees become more competent
Organization/HR Function
Clarify organizational goals
Facilitate organizational change
Fairer, more appropriate administrative actions
Better protection from lawsuits
DISADVANTAGES OF POORLY IMPLEMENTED PM SYSTEM
Employees
Lowered self-esteem
Employee burnout and job dissatisfaction
Damaged relationships
Use of false or misleading information
Manager
Increased turnover
Decreased motivation to perform
Unjustified demands on managers’ resources
Varying and unfair standards and ratings
Organization
Wasted time and money
Unclear ratings system
Emerging biases
Increased risk of litigation
PERFORMANCE APRRAISAL
Driven by HR
Assesses employee (Strength & Weakness)
Once a year
Lack ingoing feedback
REWARD SYSTEM
Tangible Returns
CASH COMPENSATION
Base pay
Cost-of-Living & Contingent Pay
Incentives (short- and long-term)
Income Protection
Allowances
Work/life focus
Intangible Returns
Relational returns, such as
Recognition and status
Employment security
Challenging work
Learning opportunities