Suggest a Performance Management Systems for a small government department. Explain how can the Balanced Scorecard complement the Performance Management System - Essay Example

The performance management system outlined in this paper come from the personal experience of CEOs of big and small companies, business analysts, consultants and major players in the business world as well as management experts in non profit organisations. While these individuals may differ on how the performance management system should be constructed, they are all united on the point that such systems and the performance review process itself is an essential part of employee growth which in turn leads to the growth and development of the organisation.

In fact, Jack Welch served as the CEO of General Electric for more than two decades and links performance management to the overall mission of the company. He says that “Every decision or initiative was linked to the mission. We publicly rewarded people who drove the mission and let go of people who couldn’t deal with it for whatever reason (Welch, 2005, Pg. 16).” This idea connects directly with the idea of the balanced scorecard given by Kaplan and Norton (1992) primarily due to the fact that it connects employee performance management with the idea of promoting the objectives and mission of the organisations rather than any other factor.

GE’s own mission, when Welch was running the company, was to be the most competitive company in the world which fits with the approach of rewarding and doing the utmost to keep the best talent within the organisation and letting go of those who do not perform to a certain level. Such tactics could only be employed when an effective performance management system is place and GE’s system for performance reviews has been lauded by critics as well as copied by the competition simply because it is one of the best.

In the modern concept of governance, government departments certainly note the importance of human resource management. However, the process of applying the concepts of human resource management which are created in a