Every organization should have a systematic approach to measure employee’s performance. It cannot be randomly determined. Performance management system in a company defines mission, goal and objective with the available resources. It helps in forecasting the business projections and revenue of the company. This helps to identify, encourage, measure, reward employee based on the performance. It is important to characterize a frame work regarding the performance calculation. This system deals with objective and targets provided to the employees and their performance on it. It helps in providing optimized result and reduces grievances and conflicts among employees.
Purpose of introducing PMS;
This tool helps in aligning overall organization objective which leads from individual goal and department objective. Strategy should be developed to maintain these in an alignment. Organization goal should be linked with each other activity performed by every team or an employee.
Inclusive of employee promotion, demotion, salary increment, transfer and terminations are the sensitive part in an organization. It helps in segregating performers and non performers. It gives a clear definition of administrating management decision. The efficiency of the management decisions are evaluated using performance management system.
Feedback based system helps in improving areas and provides development plans. You can structure various functions such as mentoring, training and much more. This helps the team to perform better
Maintain an organization in a professional way. There are various approaches to maintain work place clarity. This maintains the health of the organization and their reputation. We should ensure that our firm works in an organized structure. This helps in forecasting the firm performance.
Performance management and feedbacks should be documented and maintained regularly in every organization. It would be helpful for setting targets in future. It drives company needs to its desired objectives.
Communication has become a key element in day to day life. We must ensure that, the employee should know about their job responsibilities, key deliverables and performance standards. We should always have a strong communication channel. It gives the platform to learn and train on skills, knowledge for better performance and results.