HC2101: Performance Management in HR - Individual Assignment Report

This report, submitted as an individual assignment for the HC2101 Performance Management for HR course at Holmes Institute, examines the critical components of an effective performance management system. It emphasizes the importance of goal setting, monitoring, employee development, and rewards in fostering employee engagement and organizational success. The report discusses various methods of measuring employee performance, including self-evaluation, and highlights the benefits of a well-structured performance management system for both employees and organizations. The analysis draws on relevant literature and provides practical insights into how companies can enhance their HR practices to improve employee performance and achieve their objectives. The report concludes by reiterating the significance of performance management in maintaining employee efficiency and overall organizational success. The report also contains references to various authors like Cascio, Bratton and Gold, and others. The paper also includes the student's declaration with the student's name and number.

Student name Student number Signature
Faculty of Higher Education - Assignment Cover Sheet
Subject Code HC2101
Subject PERFORMANCE MANAGEMENT for HR
Lecturer AHMED HEGAZI
Assignment Title Individual Assignment
Due date Friday, Week 6, at 5PM
Submission Date 3rd May, 2019
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SITU MAHARJAN
0434291996
[e-mail]
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received in its preparation and cited any sources from which I/we used data, ideas, words, either
quoted directly or paraphrased.
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Performance management for HR
Performance management is a term that includes different range of activities; one of the major
activities is performance appraisal and feedback. It has been years, the researchers in the field of HTM
and industrial organization psychology emphasized on study on the performance appraisal of the
employees and the measurement techniques. The motive behind the system of the performance
appraisal is to measure the performance of employees in the reliable as well as in valid manner. The
companies should have the enough understanding related to the performance management process. The
aim of the research is to focus on the identification as well as discussion on the components of an
effective performance management system. In addition, the paper also includes the understanding of
the different methods as well as levels of measuring the performance within the organization.
Thesis statement: Components of effective performance management system
Performance management is the continuing process of the communication among the employee
and supervisor major occur during a year in order to accomplish the objectives. This communication
process includes describing the objectives, clarifying setting objectives, determining the goals, offering
the feedback and reviewing the results. This has been found in the researcher have shared different
views on the concept of the performance management. One of the Cascio, 2015 said, performance
management is the procedure of forming a work atmosphere or setting in which the worker are
empowered to achieve the best work according to their abilities as well as skills. This has been found
that it is the entire effort scheme that initiates when the job is well defined as essential and it finishes
when any worker leave the association. In the modern world, every employee seeks for the effective
performance management system. The effective performance management system cultivates the
organizational as well as the job-specific competencies for every employee (Bratton and Gold 2017).
This leads to the rise in organization performance as well as leads to the success of business.
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The performance management system is essential for both the employees and organization. The
organization gets the benefit as they can retain the employee and can attract the best employee that
contributes in increasing their business productivity. On the other hand, the employees get the benefit
as they can get the benefit of rewards as well as promotion (Van Dooren, Bouckaert and Halligan,
2015). In addition, this will improve the chances of achieving the goals and attaining the success in the
near future. This will bring the employees a sense of development in their personal as well as the
professional attributes that is applied by them at the work place to accomplish the goals and to improve
the business operations. Moreover, this has been found that performance management process is a time
consuming process but for this method, the HR of the company needs to be proactive enough.
The effective performance management systems include different components that lead to the
success of this system. Human resource management of the company considers all the mechanisms of
the performance management system. The major component of the effective performance management
system includes planning as well as expectation setting. The goals must be set; the planning done for
the evaluation of goals and for specifying the period. The success of the performance management
system based on effective goal setting which is based on the improved planning (Mone and London,
2018).
Then comes, the monitoring that is an element of the performance management that is
considered by the HR. The best performance management tools as well as techniques are available in
the market that can support in the tracking the ongoing process of employees that remains very simple
as well as quick. The employees of the company should be capable enough to track their record in
terms of the performance that gives them an opportunity to bring the self-development and to grab the
ownership (Shields, et al, 2015). This is concluding that it involves monitoring of employees
performance for the set period.
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Another component that is essential for the effective performance management system is
development as well as improvement. After monitoring the performance of the employees through
different ways, it is the time to provide the encouragement to them in order to bring improvement as
well as development. The company needs to provide different elements in order to encourage the
employees so that they can remain motivated towards the work. HR of the company organizes the
training for their employees in order to enhance their efficiency towards the work. In addition,
managers of company provide the proper mentoring, counseling as well as guidance to the employees
(DeNisi and Gonzalez, 2017). The entire process helps the employee not only to meet their set goals
but also to go beyond it.
In addition, the rewards are another important component that is consider by HR in system. The
success of the process of performance management relies on the rewards and compensation offered by
the managers to their employees. This component contributes effectively in motivating the employees
and in enhancing their morale that makes them to improve their performance and work in effective
manner (Oliver, Cravens and Stewart, 2019). Thus, ultimately employees will be able to attain the
desired goals as well as objectives.
The above discussed are the major components of the performance management system that
makes this system effective. In addition to this, it is clear that presently, the operations of companies
are different due to which HR of the company make use of different method when it comes to
measuring of the performance of the personnel. The measurement of employee performance includes
different methods that are Manager Reviews, 360 Feedback, Engagement Surveys, self-evaluation and
many others. Out of these methods, self-evaluation method considered as one of the essential methods
that are used for measuring the performance of the employees. In this method, the employees of the
company itself evaluate their performance within the appraisal duration that helps them in identifying
the gaps between the actual as well as expected goals (Iqbal, Akbar, and Budhwar, 2015). This will
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provide the managers an easy way when it comes to reviewing the performance of the employees. In
addition, real-world organization like GE, AB InBev, Walmart and many others are applying self-
evaluation method for performance appraisal.
At the end, it is concluded that the performance management is beneficial in order to improve
the performances of the organization. In this paper, discussion is made on the performance
management and its components. The reward, planning, development and improvement, and
monitoring have been discussed in this report. As per the discussion, it is observed that the organization
achieve its objective by implementing these components in the organization. These components help to
maintain the efficiency of employees in order to maintain the work. In this paper, the methods of
performance management are also discussed that helps to determine the performance of employees in
the regular basis. Methods are also essential for the organization in order to increase the performance of
employees. Human resources are the main asset of the organization that helps to achieve the success. It
is necessary to satisfy their needs and desires in order to maintain the efficiency in their performance.
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References
Bratton, J. and Gold, J. (2017) Human resource management: theory and practice. Palgrave.
Brewster, C., Vernon, G., Sparrow, P., and Houldsworth, E. (2016) International human resource
management. Kogan Page Publishers.
Cascio, W.F., (2015) Managing human resources. McGraw-Hill.
DeCenzo, D. A., Robbins, S. P., & Verhulst, S. L. (2016) Fundamentals of Human Resource
Management, Binder Ready Version. John Wiley & Sons.
DeNisi, A. S., and Gonzalez, J. A. (2017) Design performance appraisal systems to improve
performance. The Blackwell Handbook of Principles of Organizational Behaviour, 63-75.
Iqbal, M. Z., Akbar, S., and Budhwar, P. (2015) Effectiveness of performance appraisal: An integrated
framework. International Journal of Management Reviews, 17(4), 510-533.
Mone, E. M., and London, M. (2018) Employee engagement through effective performance
management: A practical guide for managers. New York: Routledge.
Oliver, E. G., Cravens, K. S., and Stewart, J. S. (2019) Performance appraisal and workplace culture: A
qualitative study investigating differences in job roles and outcomes. Management in Healthcare, 3(3),
268-278.
Shields, J., Brown, M., Kaine, S., Dolle-Samuel, C., North-Samardzic, A., McLean, P., Johns, R.,
O'Leary, P., Robinson, J. and Plimmer, G. (2015) Managing employee performance & reward:
Concepts, practices, strategies. Cambridge University Press.
Van Dooren, W., Bouckaert, G., and Halligan, J. (2015) Performance management in the public sector.
New York: Routledge.
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