International Performance Management: Strategies for Global Firms

This report examines the crucial role of international performance management in multinational corporations. It emphasizes the impact of globalization on performance management, highlighting the need for multicultural strategies and the challenges of managing geographically dispersed teams. The report underscores the importance of employee effectiveness through goal-setting, monitoring, and motivation, aligning performance management with organizational goals and vision. It discusses various performance management theories, with a focus on the goal-setting theory. The report stresses the need for objective and inclusive performance management plans that involve employee input and adapt to a dynamic international environment. It also highlights the importance of managers' international market knowledge and motivational theories in enhancing employee efficiency. Ultimately, the report concludes that effective international performance management is essential for organizational sustainability and competitiveness in the global arena, focusing on performance evaluation, rewards, and employee motivation.

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INTERNATIONAL PERFORMANCE MANAGEMENT
Student Name
Institution Name

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INTERNATIONAL PERFORMANCE MANAGEMENT
Performance management is essential for a firm’s progress. Currently, the globalization
effects have complicated performance management actions. For instance, managing
performance in a culturally diverse environment requires organizations to implement
multicultural strategies. Moreover, modern firms have to deal with the challenging task of
managing geographically alienated teams. However, technology has eased this management
pressure by offering integrated performance management systems which are easy to monitor.
With employees being central to organizational success, performance management provides a
platform that promotes and improves workers’ effectiveness through goal-setting,
monitoring, and motivation.
International performance management is a process which enables multinational firms to
continuously evaluate and improve corporate and staffs performance in relation to set goals.
According to Caldwell (2002, p. 2), the objective of performance management is to enhance
employees effectiveness. Principally, it is the role of the management to design effective
performance management strategies that align with the organizational goals and vision.
However, Caldwell (2002, p. 3) advises that it is essential for the management and the
employees to work collaboratively during the performance management process.
Performance management strategies differ according to organizational characteristics. The
nature of these strategies is defined by the management model adopted by a firm. The
prominent performance management theories include expectancy, control, and goal-setting
perspectives. However, Al Ariss, Cascio and Paauwe (2014) opine that the goal- setting
theory has gained popularity due to its objectivity and efficiency in improving performance.
Regardless of the perspective employed by a firm, international performance management
serves to identify performance gaps and means of rectifying them accordingly.

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Consequently, the performance management process must be designed objectively. Without
an objective performance management, work progress, efficiency, and performance cannot be
determined. In this respect, the department mandated to oversee performance management
activities must develop a plan on how to evaluate and improve employees’ performance. This
performance management plan has to be inclusive capturing both the opinions of the
employer and the employees (Budworth et al., 2015). In fact, Budworth et al. (2015) insist
that the employees must be involved in all the stages of performance management. Employee
inclusion ensures that the vital factors that affects individaul perfomance are captured in the
evaluation process.
After developing the plan, it should be implemented, evaluated and revised frequently. The
international working environment is dynamic. Performance factors change with time, and so
should the management process. Consequently, the performance goals used to evaluate
employees effectiveness should match with the prevailing external environment. According
to Vukšić et al.(2015), global managers ought to have the international market knowledge to
understand the best performance management models that fit their organizations. As Caldwell
(2002) opines, all performance management activities should be geared toward addressing the
vital needs of the employees that affect performance. The motivational theories direct
employers to prioritize the employees’ psychological needs such as recognition, appreciation,
and development in their performance management plans to enhance efficiency.
Conclusively, international performance management aims at enhancing employees'
effectiveness through performance evaluation, reward, and motivation. Without performance
management, it is impossible to establish individual employee progress in an organization.
Consequently, firms are advised to structure their performance management actions
objectively to enhance sustainability and competitiveness in the global environment.

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Reference List
Al Ariss, A., Cascio, W. F. & Paauwe, J., 2014. Talent management: Current theories and
future research directions. Journal of World Business, 49(2), pp. 173-179.
Budworth, M., Latham, G. P. & Manroop, L., 2015. "Looking forward to performance
improvement: A field test of the feedforward interview for performance management.
Human Resource Management, 54(1), pp. 45-54.
Caldwell, C. M., 2002. Performance Management. New York: AMACOM Division
American Management Association.
Vukšić, V. B., Bach, M. P. & Popovič, A., 2013. Supporting performance management with
business process management and business intelligence: A case analysis of integration and
orchestration. International journal of information management, 33(4), pp. 613-619.