The strategic impact of performance management systems in an organization

HUMAN RESOURCE MANAGEMENT
HUMAN RESOURCE MANAGEMENT
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HUMAN RESOURCE MANAGEMENT
Contents
The strategic impact of performance management systems in an organisation:.............................3
1. Why do organisations implement performance management systems?......................................3
2. What would be some potential issues with not having a formal performance management
system in place? How might this have a negative – or positive – impact on the organisation and
its staff?............................................................................................................................................3
3. Consider the potential implications of performance management for staff, for leaders and for
business outcomes:..........................................................................................................................4
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HUMAN RESOURCE MANAGEMENT
The strategic impact of performance management systems in an organization:
1. Why do organizations implement performance management systems?
Performance management is of the most important objectives for an organization’s growth. By
this system, we not only understand about the growth and prospects of that organization but also
about employee’s performance within organization. With the help of this process self assessment
would become easy for the employees (Armstrong 2009). By the help of performance
management system, we easily can get an idea about how many products are sold from that
particular organization. With the help of this performance management process, managerial
bodies and authorities can assess skills, talents, abilities and knowledge of the employees of a
particular organization and also can understand how to use their efficiencies and competencies in
the right path. With the help of this process leaders and supervisors can encourage their well
competent employees to think innovatively for the sake of their respective organization. To
implying this process an organization can easily identify the exact social, economic and
commercial position and reputation of that organization on the global market scenario. Thus we
can clearly state that this strategic performance management is a very important factor for
measuring the commercial, social state of that organization and their employees (Armstrong and
Baron 2005).
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