Performance review is central to the development of a complex framework that seeks to enhance a company’s future performance. Therefore, large volumes of quantitative and qualitative data collected throughout the performance assessment stage should be thoroughly analyzed and attributed to various key performance indicators. Then, the company’s senior management should develop and establish a strategy that takes into consideration all the issues that used to undermine the achievement of the company’s goals.
The results of the review should be available to employees working in different departments. Moreover, the company’s goals, values, and expectations should be delivered to everyone working for the company. It is crucial to ensure that every worker manages to evaluate his/her performance by applying a specific system of metrics. Every responsible employee that experiences challenges that hinder his chances of contributing to the company’s success should be assisted by providing guidelines for altering the usual working patterns that may be inefficient.
Performance management provides a complex framework that seeks to enhance the company’s performance by encouraging a wide range of activities promoting a proper understanding of a company’s goals and performance indicators. The changing working environment that currently tends to emphasize flexibility and a high degree of responsibility leads to the necessity to alter various management approaches. The focus on individuals, their efforts, and their duties should be considered instrumental for the improvement of the company’s performance.
Moreover, the currently popular performance management systems can be further enhanced by changing the emphasis. Ugoani (2020) states that “effective team performance management seeks to minimize appraisal politics by institutionalizing equitable appraisal mechanism for evaluating performance and fostering a climate of open two-way communications and team development”. Therefore, companies that rely predominantly on projects and small teams that have separate key performance indicators, should tailor their approach to performance management systems duly.
Every company should evaluate the importance of teamwork for its activities, as there is no universal framework for distinguishing the metrics for teams and individuals. Smither and London (2009) pinpoint that “by linking the organization’s goals with individual goals, the performance management system reinforces behaviors consistent with the attainment of organizational goals”. Therefore, certain company activities should be enhanced by guiding the work of teams while others should continue to be monitored and improved by encouraging individual workers.
Given the current tendency for rapid business expansion, it is essential to develop new strategies that best suit the aims set by companies determined to scale up. Therefore, it has become crucial for every company to utilize a wide range of tools that can help enhance control over the efficiency of its activities. Moreover, the attitude of Millennials toward work-life balance and working conditions, in general, raises concern about the usefulness of traditional metrics applied to measuring employees’ performance. All the above-mentioned factors drive numerous managers to consider utilizing numerous approaches proposed by performance managers. The eventual benefits of the successful implementation of all the stages of performance management have proven to include direct financial gain, a motivated workforce, and improved management control.
References
Ugoani, J. (2020). Team performance management and effect on organizational performance. International Journal of Economics and Business Administration, 1(3), 88–96. Web.
Smither, J. W., & London, M. (Eds.). (2009). Performance management: Putting research into action. Jossey-Bass.