What Is Performance Management - Essay Example

What is Performance Management? What value does Performance Management have for an organization? What value for an individual? What is Performance Management? Performance Management is “the facilitation of high achievement by employees. Performance management involves enabling people to perform their work to the best of their ability, meeting and perhaps exceeding targets and standards. Performance management can be coordinated by an interrelated framework between manager and employee. Key areas of the framework to be agreed are objectives, human resource management, standards and performance indicators, and means of reward. For successful performance management, a culture of collective and individual responsibility for the continuing improvement of business processes needs to be established, and individual skills and contributions need to be encouraged and nurtured. One tool for monitoring performance management is performance appraisal. For organizations, performance management is usually known as company performance and is monitored through business appraisal. [Performance Management. (2009). In BUSINESS: The Ultimate Resource. Retrieved from http://www.credoreference.com/entry/ultimatebusiness/performance_management] What value does Performance Management have for an organization? For the organization, Performance Management’s is beneficial as it facilitates the organization’s capacity to deliver strategic and operational goals which can be translated to a growth in sales, reduction of costs, and increased operational efficiency. It also provides the employee a clear understanding of how meeting target performance adds value to the organization’s strategic goals. What value for an individual? For an individual, Performance Management is beneficial as it creates an environment that motivates employees to be at its best. Through Performance Management, employees are also able to know how much and how they are contributing to the growth of the organization. And as the employees contribute to the growth of the organization, Performance Management provides the incentive structure by which employees are rewarded for achieving if not exceeding their goal in the organization. 2. What is meant by the term Business Behavior? What are the unbreakable behavior laws? Why is behavior considered the key to quality? What is meant by the term Business Behavior? Business behavior “underlies what employees choose to do (quality and/or quality), how much effort they will put into accomplishing the task, and how long they will put into accomplishing it”. (Steven Stralser, Phd. MBA in a Day: what you would learn in top tier schools (if you only had the time!) John and Wiley and Sons Incorporated, Hoboken, New Jersey, Published simultaneously in Canada. E-book. P. 20 What are the unbreakable behavior laws? Unbreakable behavior laws are the inviolable laws of business conduct that was drafted to align processes and employee activities within the organization to ensure that behavior will be in consonance to the company’s strategic and long-term goals. They are the set of performance expectations from employees that is tied up with the over-all organizational goal. Why is behavior considered the key to quality? Business Behavior is key to quality because it determines how an employee will perform. If behavior is desirable and consistent to Performance Plan, such behavior will translate not only quality but also greater efficiency. While an underperforming behavior will undermine not only the particular employee’s performance but also the organization as a whole. 3. What is pinpointing? How does pinpointing apply to performance management? What is meant by “the right” pinpoint? What value does pointing have in managing performance? What is pinpointing? Pinpointing is being specific about target performance and communicating it clearly to the employees. It includes defining the drivers that measures performance that will add value to organizational goals. (Retrieved from http://www.p-m-consult.com/Pin_Comm.html) How does pinpointing apply to performance management? “Right pinpoint meant the usage of discrete units of measurement to “pinpoint” Target Performance and to provide a clear, specific definition and behavior on how to achieve the Target Performance. Typical examples of these are target sales in a definite period of time; say for example $100,000 sales for every quarter. In production line, this can be translated to the number of desired units to be produced in a given time. What value does pointing have in managing performance? Pinpointing provides clear and specific measurement whether an employee was meeting the pinpointed target performance. It translates organizational goals to a targeted employee performance for the employee to understand the value he/she adds in achieving an organizational goal. 4. What is performance feedback? What value does feedback have for an individual? What value for an organization? What is performance feedback? Performance feedback is the on-going process between employee and manager where information is exchanged concerning the performance expected and the performance exhibited. Constructive feedback can praise good performance or correct poor performance and should always be tied to the performance standards.(Retrieved from http://www.indiana.edu/~uhrs/training/ca/feedback.html) What value does feedback have for an individual? Performance feedback is designed to improve the performance of an individual as correlated to Performance Management. It serves as a mechanism to reinforce and praise positive behavior and as a corrective measure to a less than desirable performance. This mechanism is to ensure that individuals are able to deliver the strategic and operational goals of a company and bridge performance gap as compared to desired performance. What value for an organization? For an organization, it ensures that each of its component, particularly the employees are performing according to the Performance Plan. It ensures that the organization is able to deliver its strategic and operational goals that will be executed by its manpower, align organizational activities and process to the strategic goals of the organization. 5. What is the “coaching manager”? What do successful coaching managers do? What is meant by a “coaching mindset”? What is a coaching dialog? How does coaching apply to Performance Management? What value does coaching have in managing performance? What is the “coaching manager? “This type of coaching has several distinctions from other types of coaching. There is still a boss subordinate relationship and a formal performance review process. This is very different from other types of coaching , where one of the principle is providing a safe harbor where people can work through issues with confidentiality and without repercusiion. Also, the training and role is described by such concepts as delegating, communicating and teaching/instruction.” (Coaching: A Leadhership Development Option. Page 21 By: Nyman, Mark; Thach, Liz. Supervision, Feb2009, Vol. 70 Issue 2, p19-22, 4p; Reading Level (Lexile): 1220 retrieved from http://ehis.ebscohost.com/ehost/pdfviewer/pdfviewer?sid=dbeba8d6-80ea-4bf9-bab8-f6a01cf6c483%40sessionmgr112&vid=1&hid=114) What do successful coaching managers do? Coaching Managers train and develop their employees and subordinates in order to achieve business results and for them to meet required performance as stated in Performance Plan. As a coaching manager, it is also their task to unlock the potential of their employee/subordinate. What is meant by a “coaching mindset”? “The mindset of the manager-coach is to create an environment that fosters learning, independent thinking and opportunities to contribute. The manager-coach does not want to be seen as a solution provider. Rather, they want to be seen as a facilitator, paving the way for team members to achieve their results”. (Coaching – The New Word in Management. Retrieved from http://www.siliconfareast.com/coaching.htm) What is a coaching dialog? A coaching dialog is a performance conversation between a coach and an employee. Where the “coaching manager” provides an environment to elicit information that has significant effect on the employee’s performance and “coach” remedial measures through dialog if the performance is below par and reinforce behavior if it adds value to organizational goals. How does coaching apply to Performance Management? Coaching serves as a course for correction and at times a training opportunity for an employee’s performance to be consistent to the set objectives and delivery expectation. It also provides the employee a clear picture on how he/she performs and how he/she contributes to the over-all performance of the company. What value does coaching have in managing performance? Through coaching, managers elicit commitment that aligns people in new possibilities that enhance performance and efficiency that translate to an individual and organizational effectiveness. Read More