Performance Measurement to Performance Management - Essay Example

Comments (0) Cite this document
1 - Management's primary tool in decision making is the constant measurement of the employees' performance in terms of products (quality and quantity) and quality of services rendered in line with the company's objectives and over all organizational performance…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER96.7% of users find it useful
Performance Measurement to Performance Management
Read TextPreview

Extract of sample "Performance Measurement to Performance Management"

Download file to see previous pages When performance is at par or even better than standards previously set, then the business' financial condition also improves. Budgets are either increased or decreased in support of better organizational survival, Since there are usually many competitors around. When performance measured passes the standards set, salary and other benefits are given for satisfactory performance.
Management must have a meeting with the line and staff organization and the organization's goals, strategy, mission, vision, values and strategy to accomplish the goals, purpose of goal and standard setting must be implemented. The employees and stockholders are encouraged thru regular trainings/meetings that they are part of the success and failure of the entire organization. The performance measures give the employees the daily challenges to be conquered.
Integration places standards where needed in accomplishing strategic business ventures. Integration also helps hasten change. When actual work is compared with performance, the difference or similarity of the actual against the standards set is compared and management makes the needed decisions for the further improvement of over-all activity.
2.1 Performance Measurement - Measuring performance quantitatively tell us whether our goods, services done by employees have increased or decreased or even remained the same. They help management decide on ways and means to improve performance of some products which have not performed according to pre - set goals. Measurement performance can tell whether the following criteria are in order: a) We are doing as pre- expected b) If customers like our product/service and come back. c) If manufacturing processes are controlled. d) Adjustments can be made to improve present performance.
Performance measurement provides us with the needed details to make intelligent decisions.
Performance is usually done by taking done the number of units and unit price of goods sold or cost of goods bought. The products could be listed as 1,000.,000 units of product sold at $5.00 each. The actual units sold or produced by the manufacturing department are then compared with pre-determined standard or goals which was agreed upon. Usually the standards or goals are agreed upon between all departments involved. A too high standard may cause some discouragement with the employees. A too low standard may sometimes cause idleness. Units of measurement could be hours, meters, nanoseconds, dollars, reports, number of errors, length of time spend or to be spent These the usual basic of measurement
Sometimes, other units of measurement are used. The unit of measurement could be miles per gallon ( for analyzing daily gasoline expenses ), fire accidents in a year ( oganization' s safety program) , number of units produced per day ( sales analysis). This sounds better than the unit of measurement in the prior paragraph. What is important is that the unit of measurement used should be the one to show variances between actual and standard performance
Some categories of performance evaluation are enumerated below:
1) Effectiveness - Simply put, actual performance meets the goal set. ( Doing
the job the right way.)
2) Efficiency - Doing the job required at the least possible cost. ( Doing things
the right way.)
3) Quality - Products sold or services given meets ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“Performance Measurement to Performance Management Essay”, n.d.)
Performance Measurement to Performance Management Essay. Retrieved from
(Performance Measurement to Performance Management Essay)
Performance Measurement to Performance Management Essay.
“Performance Measurement to Performance Management Essay”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Performance Measurement to Performance Management

John Stuart Mill's view of the Iraqi War

10 Pages(2500 words)Term Paper

There are limitations, but financial and management accounting perform a fundamental role in the measurement of performance wit

...?There are limitations, but financial and management accounting perform a fundamental role in the measurement of performance within an organization. 1. Introduction One of the key challenges of organizations operating in the global market is the development of strategic decisions that will help these organizations to compete their rivals. The above target cannot be achieved without identifying the organizational strengths and weaknesses – as revealed through the performance of the firm’s daily activities. The use of performance measurement systems has been considered as an effective tool for identifying the potentials of a firm’s departments to follow the rules included in the organizational plans. In this context, the performance... ...
12 Pages(3000 words)Essay

Organization Development - Analyzing Performance Measurement and Management

...? Organization Development- Analyzing Performance Measurement and Management Contents Contents 2 Executive Summary 3 Introduction 4Theme and Analysis 4 Limitations of the Article 6 Conclusion 7 Reference List 9 Executive Summary The role of facilities management has recently garnered significant attention for its ability to impact a wide range of disciplines and the potential to use this relationship for improved performance of the organization. A tool that can be employed by FM for the achievement of organizational goals and objectives is performance measurement. This paper analyzes the article, “Moving from...
4 Pages(1000 words)Essay

New Performance Management (NPM) : Who benefits from today's measurement

...sector. The reasons behind the outcomes are series of managerial and technical issues which are linked with the public sector performance measurement that make the management system unfit for the operation. Another reason is the challenges that the public sectors face when they import management practices from the private sector which is more disciplined and planned. The review thus explains a set of arguments in an organized manner. The first portion of the review elaborates the framework of New Public Management (NPM) and argues regarding the increasing need of the performance measurement in the various elements of...
6 Pages(1500 words)Literature review

Scholarly Blogs

3 Pages(750 words)Essay

Performance Measurement and Management

...Performance Measurement and Management This paper will introduce the management systems used in the call center industry to meet their targets and goals. The history of exchanging information has been around for centuries now, some started relaying information through drawings, early civilizations even used smoke to convey their thoughts, and then the process of communication evolved through the ages. One example was the invention of the telephone. Telephone is a device used by civilization to communicate with each other no matter how far they are apart from each other. The invention of telephone paved the way to the advancement of technology of communication through the...
9 Pages(2250 words)Essay


...PERFORMANCE MEASUREMENT AND MANAGEMENT AT THERMO SCIENTIFIC ABOUT THERMO SCIENTIFIC1 Thermo Scientific offers a wide range of scientific products ranging from high-end analytical instruments, reagents & consumables, laboratory equipments, software & services for routine testing to complex research and discovery. They provide world class solutions for the successful completion of experiments from the beginning till end. Thermo Group ensures that its offerings help run the laboratories at peak performance. The organization has its branches across a number of countries in US, Europe, Middle East, and Africa & Asia. Thermo Scientific employs more than 34000 employees around...
8 Pages(2000 words)Essay

Is increased precision in accounting always desirable Discuss this with reference to management accounting techniques such as either costing methods or performance measurement or both

...cost includes the cost incurred in the activities associated with the respective cost driver (Akyol, Tuncel & Bayham, 2005). Furthermore, it has been shown by Geri and Ronen that the implementation of ABC requires a series of complex steps (Geri & Ronen, 2005). To simplify things, Robert Kaplan and Steven Anderson have introduced Time Driven Activity Based Costing. In this revised model, the corporate managers are supposed to estimate the demand of resources in each of the transactions, rather than relying on time consuming and expensive employee surveys and numbers. The key input used in this model is time or capacity required to carry out an activity that can be anything like processing an order, servicing the...
10 Pages(2500 words)Essay

Performance Measurement and Management

...Performance Management October 28, Performance Measurement Metrics That Might Be Appropriate to Allulite Performance management is the constant collection of data in order to evaluate the performance of a given processes and the achievement of desired results for an organization (Lichiello and Turnock, 2010). Moreover, it is the process of analyzing the success of employees, programs and organizations efforts by making comparisons of data on what is achieved against the planned objectives. Furthermore, it seeks to establish whether the organizations efforts are appropriate in achieving its long and short-term goals and objectives. Performance is measured to achieve various objectives such as quality improvement to by helping... the...
9 Pages(2250 words)Assignment

W2 D566 Performance Management/Measurement

...Performance Management versus Performance Measurement al Affiliation Performance Management versus Performance Measurement Distinguish between performance management and performance measurement There is a difference between performance management and performance measurement. According to a module on performance management and appraisal, the function of human resources on development and maintenance of personnel entails understanding the...
1 Pages(250 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Performance Measurement to Performance Management for FREE!

Contact Us