What to Consider in Performance Management

Diploma of ManagementThe overall goal of performance management is to ensure that all of the subsystems within the organisation, including processes, departments, teams and employees, are working together to achieve the best results possible.

When we think of performance management, it is common to think of only the responsibilities and effectiveness of employees.  However, performance management is a broader concept consisting of:

  1. The organisation

  2. Departments (computer support, administration, sales, etc.)

  3. Processes (billing, budgeting, product development, financial management, etc.)

  4. Programs (implementing new policies and procedures to ensure a safe workplace; or, for a non-profit, ongoing delivery of services to a community)

  5. Products or services to internal or external customers

  6. Projects (automating the billing process, moving to a new building, etc.)

  7. Teams or groups organised to accomplish a result for internal or external customers

Once these elements are working in conjunction with one another, the following activities must be achieved including:

  • Identification and prioritisation of desired results

  • Establishing means to measure progress toward those results

  • Setting standards for assessing how well results were achieved

  • Tracking and measuring progress toward results

  • Exchanging ongoing feedback among those participants working to achieve results, periodically reviewing progress

  • Reinforcing activities that achieve results, and intervening to improve progress where needed. 

Performance management is an ongoing process and these activities must be regularly evaluated, or changed altogether, in order to suit the needs and goals of the organisation.

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