For an organization or business to achieve organizational success, there ought to be measures and metrics put in place to measure performance. The process through which a company measures and manages the employees to achieve set organizational goals is known as employee performance management. A company should treat its employees as valuable assets that will help this company complete set tasks and functions. Through performance management, an organization can improve not only an employee’s goodwill but also company culture.
No doubt there is a lot of money and time spend in hiring and training a new workforce. Even so, when measures are put in place, the employees will be in a better position to decide whether to stick to the company or look for greener pastures. It is imperative that companies learn to treat their employees as partners and ambassadors, failure to which employee turnout may be worrying. It needs no mentioning when employees are motivated by treating them right; they will be able to work extra hard and put in more effort to have their efforts recognized and appreciated.
There are various steps and measures contained on effective performance management to guide and evaluate employees. These include planning, monitoring, developing, rating, reviewing and rewarding. An organization needs to plan and decide on the tasks that each employee need to accomplish within the stipulated period. It is also in the planning phase that a company decides on the salaries or compensation of the employees. Monitoring is the second phase of effective performance management.
Through monitoring, an organization can know whether the employees are performing their tasks as trained and as expected per the company policies. 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 next step in effective performance management is review and rating. 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. The last phase is rewarding the employee which can be incentive based or monetary in nature. These may include merit pay increase, bonuses, gift cards, etc. When all is said and done, an organization seeks to have a motivated workforce that will help it achieve its goals and bottom line.