The Need for Performance Management in an Organization - Thesis Proposal Example

Proposal for PhD in Human Resources Management Table of Contents Table of Contents 2 Proposed Research Topic 4 Purposes 4 Background of the Study 5 Research Objectives 6 Research Questions 7 Literature Review 7 Methodology 9 Limitations 10 Conclusion 11 References 12 Bibliography 15 Proposed Research Topic The proposed research topic is ‘An investigation and analysis of the need for performance management in an organization and its value addition capability for improving organizational performance’. Purposes The purpose of the proposed study is to analyze the present scenario of performance management from the organizational context and the benefit it can provide to an organization to improve upon their existing performance. The proposed study will also look into the need for performance management in an organization and how it has become one of the main areas for a human resource manager to work in an organization. The proposed study will also look to investigate the impact of performance management on the employees of an organization and whether it creates a value addition towards the organizational strategic goals. Performance management’s capability to motivate and encourage organizational employees towards not only looking to accomplish higher goals for themselves but also the organization will be recognized in this proposed study. Background of the Study Performance management has become a part of organizational strategic and also an integrated approach. Performance management’s capability of delivering sustained success for an organization has been recognized. It has been observed that performance management helps people working in an organization to get motivated. It also helps to increase the teamwork and togetherness in an organization. It helps to improve an individual’s contribution and efforts towards working for achieving common organizational goals (ICFAI, 2005). Performance management provides a context for measuring performance. Performance can provide a guide for an organization to judge their present working condition and the need existing in the organization for improving the performance. Performance management can also provide necessary impetus in an organization to look to organize training and developmental programs if the organizational performance is not up to the required level. Performance management can help to shape an individual’s job design according to the capabilities of an individual. Performance management also helps to shape an organization’s culture and their functionality. It also provides a framework for rewarding employees with incentives and bonuses according to their performance. Moreover, performance management works as a strategic management tool for an organization for providing very important and crucial inputs which also helps in overall organizational development. Performance management helps to align organizational and individual plans, objectives and goals (Lebas, 1995). Performance management in an organization helps to establish a culture in which employees feel motivated and driven towards achieving organizational goals and objectives in turn fulfilling their own need for progression. It also helps in continuous improvement of a business by coherent use of individual skills and also capabilities (ICFAI, 2005). Research Objectives The objectives of the research are To investigate the capabilities of performance management as a human resource management tool. To analyze the need for performance management in an organization. To find and recognize the need value addition that performance management can provide towards improving organizational performance. To find in the modern organizational context how performance management can work towards correlating and driving an organizational goals and objectives along with individual goals. Research Questions The research questions to be analyzed in this proposed study are What is performance management? What are the needs for incorporating performance management as a crucial strategic human resource management tool in an organization? How performance management can help to motivate and drive an employee in an organization towards achieving their own goals, correlated with organizational goals? How performance management can benefit an organization towards improving their overall performance? Literature Review In this proposed research study, a very significant human resource management issue is being taken up. In this era of globalization, business organizations throughout the world have been able to realize the need and value of human resources i.e. the organizational manpower towards driving and achieving organizational success. The issue of performance management is also very relevant as in modern business organizations globally human resource retention has gained importance. Organizations have recognized the value and importance of retaining employee in terms financial aspects and also for improving organizational culture. Attrition of employees occurs because of varied reasons, but one of the main reasons is lack of motivation and dissatisfaction from their current work and also their existing remuneration scenarios. Performance management can be extremely crucial in this aspect (Luecke & Et. Al, 2006). Performance management provides a framework for performance appraisal. Performance appraisal is a tool which can help to evaluate an employee’s performance and contribution towards not only achieving their own goals but also fulfilling organizational objectives. Performance management therefore can help to properly recognize and reward the employees accordingly. It will not only help to motivate employees towards working harder in future but also will reduce the attrition level of employees from an organization. Job performance has been observed as a combination of ability and motivation. Performance management has the capability of looking into both these factors. Performance management also helps to treat each employee equally and recognize and reward their performance according to the contribution towards the organization (ICFAI, 2005). Performance management comprises of various elements such as planning employees performance, monitoring employees performance, developing employees performance, rating employees performance, and rewarding employees performance. These elements of performance management can be effectively and efficiently executed in an organization by following performance management cycle (FedUni, 2002). Performance management cycle depends mainly on the organizational context. The performance management cycle comprises of strategy formulation, strategy execution, performance analysis, and continuous optimization. Performance management can also help to set employees individual goals according to the SMART framework i.e. specific, measurable, agreed, realistic and time bound. This framework benefits an organization as individuals in an organization can contribute completely towards benefitting and improving organization as their goals can be achieved rather than burdening them with unachievable goals (Kloot & Martin, 2000). Performance management can help to recognize the need for improving individual performance. Therefore it can in turn identify the need for training and developmental needs for an employee. Performance management basically is about the idea of sharing expectation between individual and organization (ICFAI, 2005). Methodology In this proposed study, the research methodologies that would be used include both quantitative as well as qualitative research methods. Qualitative research method can be used in this process to analyze the factors and issues related to performance management. Qualitative research is very flexible and adaptable research process. Qualitative research can be used to substantiate the various facts for the research process before performing quantitative research. It will also be easier to correlate with the objectives of the study by this method (Silverman, 2004). Quantitative research is basically an analytical approach. Qualitative research provides benefit to a researcher by providing the option of undertaking face to face interview of respondents by preparing a questionnaire. Qualitative research for this proposed study can be conducted by using the methods like depth interview and focus groups (Ehigie & Ehigie, 2005). Qualitative research process also provides an option for the researcher to observe the respondents before coming to any conclusion. In this proposed study, in the qualitative method secondary data which already exist will be also analyzed. Methods adapted by various organizations with regard to performance management and its impact in improving their overall performance can be studied from secondary resources like journals and articles. Quantitative research can be undertaken by performing an exploratory research. Surveys can be conducted in this method to understand the existing scenario. A questionnaire can be prepared for this purpose for both the employees and the employers of an organization which would comprise of set questions on various factors (Balnaves & Caputi, 2001). The employees and the employers will be asked to respond to the set of questions relating to performance management. The reply of respondents will aid in providing the viewpoint from both the perspectives. The collected data will then be analyzed by using analytical tools such as graphical and hypothetical method. The results from the analysis will help to find out the actual organizational scenario relating to performance management and its value adding capabilities (ICMR, 2005). Limitations The proposed research study comprises of the limitation such as the availability of recognized research data from the secondary sources, biasness of the view and response of the respondents, error in formulation and tabulation of collected data for analysis in the research process. The other limitations include constraints of time and availability of respondents for answering the research questionnaire. Conclusion The proposed research study is related to a very crucial aspect of modern day organization i.e. performance management. The proposed research study will provide an opportunity to analyze and investigate the need and value of performance management and its ability to benefit in organization’s development and performance improvement. The proposed research study will help to gather the view of employees and that of employers regarding performance management and whether it has been able to work as a motivating factor for employees and an appraising tool for the employers. References Balnaves, M. & Caputi, P., (2001). Introduction to quantitative research methods: an investigative approach. SAGE. Ehigie, B. O. & Ehigie, R. I., (2005). Applying Qualitative Methods in Organizations: A Note for Industrial/Organizational Psychologists. Nova Southeastern University. Retrieved Online on August 28, 2010 from http://www.nova.edu/ssss/QR/QR10-3/ehigie.pdf FedUni, (2002). Strategic Human Resource Management. ICFAI University. ICFAI, (2005). Performance Measurement and Reward Systems. ICFAI University. ICMR, (2005). Business Research Methods. ICFAI University. Kloot, L. & Martin, J., (2000). Strategic performance management: A balanced approach to performance management issues in local government. Management Accounting Research. Retrieved Online on August 28, 2010 from http://www.student.nada.kth.se/~eral02/3107/Kloot2000.pdf Lebas, M. J., (1995). Performance measurement and performance management. International journal of production economics. Retrieved Online on August 28, 2010 from http://pessoas.feb.unesp.br/vagner/files/2009/02/Aula-3_2010_Lebas-Michael-J.-1995.pdf Luecke, R. & Et. Al., (2006). Performance management: measure and improve the effectiveness of your employees. Harvard Business Press. Silverman, D., (2004). Qualitative research: theory, method and practice. SAGE. Bibliography Katou, A. A., (2008). Measuring the impact of HRM on organisational performance. Journal of Industrial Engineering and Management. Retrieved Online on August 28, 2010 from https://upcommons.upc.edu/revistes/bitstream/2099/7052/1/katou.pdf Meier, K. J. & OToole, Jr, L., (2002). Public Management and Organizational Performance: The Impact of Managerial Quality. Texas Educational Excellence Project. Retrieved Online on August 28, 2010 from http://teep.tamu.edu/pubs/meier-otoole.jpam.pdf Parekh, S. & Et. Al., (2000). Using Control Theory to Achieve Service Level Objectives in Performance Management. University of Michigan. Read More