Performance Management
Performance Management
“Processes that seek to integrate the key elements of organisational strategy and goals with employee inputs and outputs” (Robinson 2006:216).
“Ensuring that employees are assessed on objectives or criteria that are the key to organisational success and which may be linked to reward.” (Torrington Hall & Taylor 2008:68).
According to Armstrong and Baron (2004), PM is a process which contributes to the effective management of individuals an teams in order to achieve high levels of organisational performance. AS such, it establishes shared understanding about what is to be achieved and an approach to leading and developing people which will ensure that it is achieved.
They also suggest that ‘ PM is a strategy that relates to every activity of the organisation set in the context of its human resource policies, culture, style and communications system. The nature of the strategy depends on the organisational context and can vary from organisation to organisation.
This means that PM should be linked to the strategic aims of the organisation and should be integrated into all aspects of organisational life. It should not only be concerned with performance but also with development, which in turn will enable performance to be improved.
De Nisi (2000) argues that PM is a range of activities in an organisation to enhance and improve organisational effectiveness. One of the biggest problems with PM is that it means different things to different people. The administrators often focus on the appraisal process,ensuring that the managers conduct review on time and follow through on the development needs. Line managers are often more conscious meeting production targets. The finance deparment looks at factors such as performance related reward aand profitability, and the head of HR might examine performance in developing programmes,