Performance Management: Building A High Functioning Organization

Highly competitive market requires a highly competitive organization. High performing organizations depend on their cultures, streamlined processes, and people with the right skills, knowledge and attitudes. Performance management is vital to building a high functioning organization. Performance management is a cyclical process aligning organizational goals to its functions and employees as it measures continuous improvement. “Performance management is a continuous process of identifying, measuring and developing the performance of organization’s members and align performance with strategic goals of the organization” (Aguinis, 2007). An employee review or performance appraisals falls under a large umbrella of performance management; however,

The performance management training is the organization’s way of being proactive with their growth and its people. Performance management offers an organizational culture shift of employee development and accountability measured by scorecards or dashboards. The company will also benefit from continuous improvement develop and grow its future leaders organically. The benefits, however, are reliant upon adaption of the organization to the process where it starts from the top level executives. According to Becom and Insler (2013), a study conducted by State of Performance Management showed a high number of companies considered performance management as ineffective. Unfortunately, without the support of the senior management and thorough understanding of the purpose of performance management and its process, the system may become chaotic, misaligned expectations and ultimately cause low morale and employee engagement as well as high turnover. Major parts of the performance management system is not well designed and clarified and fails to function as expected (Bae, ). Additionally, performance management implementation challenges also include employees’ resistance of the new system (Becker, Antuar, & Everett, 2011). These challenges in implementation will require introduction to overall

According to Mueller-Hanson and Pulakos (2013), research showed that performance management training should be focused on educating managers on coaching their employees to see the bigger picture. Managers should help their employees understand how their performance contributes to the overall success of the organization. Delivering honest feedback and creating challenging roles to help employees is an integral part of performance management. Therefore, training will be devoted into helping manager acquire a higher level of skills in coaching and providing feedback.

Performance management contains four major phases, strategic planning, execution, measurement/assessment and employee rewards and development. Each phase is vital to the success of the process; therefore, elimination of any of the phases may result in unsuccessful system. The training, however, will consist of high level overview of performance management in an effort to help management understand the overall