Detailed Report: Performance Management Process and Components

This report delves into the intricacies of the performance management process, emphasizing its role in aligning employee and organizational goals. It outlines the key stages, including planning, execution, tracking, review, and rewards, and highlights the significance of performance appraisal as a major component. The report discusses how organizations measure employee performance through various components such as quality of work, attitude, personal presentation, and client surveys. It emphasizes the importance of a continuous performance management cycle and the need for regular feedback and adjustments. The report also touches upon the role of technology in streamlining the performance management process. The report concludes by reiterating the importance of performance management in fostering employee engagement, identifying training needs, and ultimately driving organizational success.

Performance Management Process

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Introduction
Effective performance management is a procedure of motivating the employee to
improve performance by setting the goals and objectives which are aligned in the
organization to achieve goals (Gruman, 2011). The process planned to accomplish the
goals by reviewing and evaluating the performance, assessing the progress, and also
developing the skills, knowledge, and ability of employees of the company (Mone,
2018).
There are many activities this process includes, and performance appraisal is one of
them. This strategy involves formal review once or twice in a year whereby an
employee’s last 6-12 month performance is assessed and decides the future target and
goals. This report will analyze the overall process of performance management, also the
components to measure the performance of organizations and their staff.
Performance management cycle and performance appraisal
While discussing performance management, performance appraisal is a major aspect of
the performance management process. One of the best definitions of performance
management is to measure the staffs and organizational performance with the objective
of making their performance effective in order to achieve success for both of them.
Performance appraisal program utilized to identify the skill and abilities for his
development and growth. It is aimed at determining the worth of the employee to the
organization. However many companies consider this process useless as a yearly event
and some critics also measured it useless and argued for the eliminations of this
system, as they believe that many principals fail to deliver effective employee

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performance. But some research states that organizations with these yearly activities
have better results, and some company has also changed their performance
management system according to the company’s modern need (Towler, 2018).
An organization like Google has involved changes in the performance measurement
system through abandoning traditional yearly performance reviews and focusing on
having a conversation with employees. However, there is no practical research
evidence these new industry patterns work and specialists have prompted HR experts
to stick to sound psychological rules that educate successful evaluation frameworks.
These psychological standards incorporate the requirement for criticism on execution
and the capacity to have a voice all the while (Towler, 2018).
Performance management process contains different levels such as planning,
execution, tracking, and then review and rewards. It involves the outcome achieved
through the overall contribution of the organization and its employee (Franco‐Santos,
2018).
The first level of the performance management process is “planning”. Planning must
include all the objectives and goals for the personal development plan. It also involves
agreeing on objectives and goals, a PDP (personal development plan) , reviewing the
job requirements and updating the job profile according to skills. Many organizations
utilize this planning stage once in a year (Juneja, 2018). However, the business
environment becoming fast moving that is why many organization familiarizing short
process and setting short term objectives for every three months.

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Second stage “Act” is all about the execution of the task and how an employee or an
organization performing in order to achieve the objectives and carry out the role and
implement personal development plan during the year. The act and track levels of
performance management process are the most important. These levels include
activities such as doing the task, delivery of the performance and achievement of
objectives and goals (Moynihan, 2016). During this period individuals need to be
encouraged to perform well. Similarly, leaders need to check where their employees
need to be directed. They have to give feedbacks use skills to help their employee to
overcome challenges and also identify opportunities to develop their skills. Review part
of this process often use at the end of the year, however, this levels must be utilized in
the mid of the year because this will help to recognize the challenges and the
organization can take an instant action to overcome the challenges. If it is an end of a
year review than it’s too late to achieve the objectives and plans, and they might end up
being partially achieved (Juneja, 2018).
The overall performance management process does not include any arrow between
these five stages this is just because the level does not flow in line or one after the
other. Act and track have to continue during the year. Reviews might take place
anywhere at any point during the year and planning can be done a number of times
whenever an organization wants to re-revise them according to their business needs
change (The Performance Management & Appraisal Help Center, 2018).
The organization needs good performances from employee’s end because that will only
help an organization to meet the goals. While organizations are utilizing the
performance management process, it is also pointing to know how to measure the

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performance of an employee. There are few components to measure the performance
such as attitude, personal presentation, and habits, quality of work, client survey,
random check, punctuality (Carlos, 2016).
Quality of work component is all about to check that employee complete their work on
time. Is work completed according to organizations expectations? Is he or she got stuck
when they asked to give clarifications about their work? Overall to measure the
performance of labor and worker is all about to check the quality of work done by staffs
and how many errors they have made during productions also are they completed their
work time to time or not (Murphy, 2017).
It is important to find the attitude of any employee, it is all about to consider that is
employee choose to be optimistic or are they leading the team who keeps the overall
picture in mind. Is he or she showing a positive attitude for their work and with other
colleagues and nothing appropriate thing wrong behavior done by him? All these
qualities need to be recognizing to measure the overall performance. A poor attitude will
be apparent in organizations and individual performance.
Measuring the Personal presentation and habits for an employee is important an
employee weather he or she dressed up properly or not. How they present themselves
in front of their managers or leaders. Employee bad habits bring their morale and
performance down in any organizations. Client survey is the key components of the
performance management cycle for customer based organizations, an HR ask to give
feedback that how are they being well or they serve better service to them or not?

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Measure the time management of an employee also criteria to measure his overall
performance. Poor time management also brings an employee’s performance down.
The execution of the boarding procedure is a progressing nonstop procedure. When the
task has been audited and end, at that point the process starts for the next performance
appraisal. It ought to be again line up with one year from now organization’s mission,
objectives and combined with divisions purposes In certainties, it is a process, which
starts from the beginning of the process, again which has to be talking about, plan, acts,
executed and review. This is required on the grounds that the outside condition of an
organization like clients, market, contenders, and suppliers likewise rotated and every
single resulting change requires to basics for the task, arranging and setting with vital
(Business Jargons, 2018).
The overall performance measurement process Performance rewards are the final
stage of this system. It is an imperative part as it will choose the work inspiration of an
employee. Amid this stage, employees are observed for their good execution and are
rewarded (Buntak, 2017). This stage is delicate for a representative as this might affect
the confidence and achievement introduction. Any commitments appropriately alleged
by an organization support a worker in familiarizing up to the failure effectively and
satisfy the requirement for affection.
Conclusion
The conclusion of this essay is that the procedure of performance management is all
about to measure how organizations and employee perform the task in order to achieve
individual and organizational goals. It also establishes belter communications and

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engages employee, assess their performance, identify the employees training
requirement and evaluate their annual performance and provide rewards. Some
research demonstrates that there is as yet scope for development in many phases of
the cycle. With the assistance of innovation, associations can actualize online execution
the board frameworks that give a stage to the execution of the boarding procedure that
requires lesser time and exertion from the two chiefs and representatives.

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