Performance Management

Topics: Human resource management, Management, Performance appraisal Pages: 8 (3111 words) Published: February 21, 2013
Armstrong and Baron(2005,P.14) The term Performance management and Performance Appraisal are sometimes synonymous but they are different, Performance management is a comprehensive continuous and flexible approach to the management of organisation, teams and individuals which involves the maximum amount of dialogue between those concerned .Performance appraisal is more of a limited approach which involves manager making top-down assessment and rating the performance of their subordinate at an annual performance appraisal meeting .To define performance appraisal in its own context , Performance appraisals are a valuable performance management tool to evaluate the performance and value employees provide as well as set of goals for the next review period (Rasley,2012).while performance management is the systematic measuring and monitoring of organizational progress against corporate target as cascaded down to business as well as operational level of an organization ,or is the systematic process of planning work and setting expectations, continually monitoring performance, developing the capacity to perform, periodically rating performance in a summary fashion and rewarding good performance (willams,2010) The last couple of years have seen organisation use performance management and performance appraisal as a tool to measure effectiveness although we cannot really lay our hands on a specific date about performance appraisal but looking as far back as the third century A.D ,according to Kevin, Murphy and Cleavland (1995, p.3)Sin yu an early Chinese philosopher criticised a biased rater employed by the Wei dynasty on the grounds that ‘the imperial rater of nine grades seldom rates men according to their merits but always according to his likes and dislikes, while the origin of performance management can be traced to the early 1960’s where performance appraisal systems were practiced. During this period annual confidential reports (ACR’s) which was also known as employee service records were maintained for controlling the behaviours of the employees and these reports provided substantial information on the performance of the employees, any negative comment or a remark in the ESR or ACR used to adversely affect the prospects of career growth of an employee .The assessments were usually done for ten traits on a five or ten point rating scale basis. These traits were job, knowledge, sincerity dynamism, punctuality, leadership loyalty etc. The remarks of these reports were never communicated to the employees and strict confidentiality was maintained in the entire process. The employees remained in absolute darkness due to the absence of a transparent mechanism of feedback communication (Online management study guide, 2012).We are advised that the term performance management system was first used by Corning Glass, a US company Beer and Ruh (1976 ).According to Fisher and Sempik in Leopold and Harris (2008, p.222) there is no objective evidence that performance management improves an organisation’s performance but there is evidence that people can find it helpful in interpreting and evaluating their organisational roles. In a clear context we shall see the difference between performance management and performance appraisal , thus said Performance management has to be leading to the business of the day in an organisation, first is understanding performance management and performance appraisal and see how it is applied in an organisation. At the beginning of a financial year managers set targets and goals for an organisation all hands must be on deck to achieve such targets, when these targets are achieved then success is achieved .The question here is how do they achieve this success and what tools or what mechanism would they put in place in achieving this success? measuring employees performance on a daily, monthly or quarterly depending on which best suits the organisation is key to an organisation ,feedback is also necessary...
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