Understanding the Phases of an Organization’s Performance Management
For an organization or business to achieve organizational success, there ought to be measures and metrics put in place to measure performance. Therefore, performance management is described as a process through which a company manages its employees to achieve its goals. As such, any serious company should learn to treat its workforce as valuable and indispensable assets that will help it achieve its success. Once these areas are improved, no doubt the organization will have hired the best employees and also be able to retain great talent and human resource with key knowledge of its business processes.
An organization may spend a lot of money and time on hiring and training new members of staff. When there is a transparent way of measuring and managing performance, employees get a better chance to decide to stick with the company or move to the next available opportunity. Any organization that is serious about achieving its bottom line should treat its members of staff as valuable business ambassadors and partners. By treating employees right, they will be more willing to work extra hard to achieve their set goals and targets so they can have their performance recognized and appreciated.
There are various steps and measures contained on effective performance management to guide and evaluate employees. These measures cover planning, monitoring, continuous development, reviewing and rating as well as rewarding. Planning starts with the decision on setting specific tasks that all employees ought to accomplish within the given period. The management team should decide on the wages commensurate to the specific tasks before they hire the workforce. Monitoring is the second phase of effective performance management.
This phase is more about ensuring the employees are well trained and monitored on a regular basis to see how competent they are in what they have been trained on. Monitoring and development go hand in hand in that the management is not only monitoring but also providing advice on how to complete the given tasks more efficiently and effectively.
The review and rating phase is what follows next in the performance management system. This is where an organization allows the employee to know more about its rating system as they rate their performance as per their productivity. Of equal importance to keep in mind here is that the review and rating process will be done periodically based on a company’s performance management system. And when all is said and done, the employee is rewarded for their hard work based on their performance as per the measures put in place. There are organizations that will offer monetary compensations such as bonuses, pay increase on merit, gift cards, while others will extend incentive-based rewards. When all is said and done, an organization seeks to have a motivated workforce that will help it achieve its goals and bottom line.