Need for High Performance Management in Today’s Economy
I believe that in this era of globalization and cut throat competition, it is crucial to practice strategic HR policies in an effort to gain a competitive edge over competitors. A well-designed high performance system can help organizations streamline the activities of employees according to the corporate mission and vision.
Need for High Performance Management System
Today, many organizations are facing difficulties in managing the performance of their employees. The performance of employees depends on the commitment, competence and willingness to carry out a particular task. So, if used efficiently by rewarding and taking regular feedback from employees, a performance management system can play an effective role in motivating and improving the performance of employees.
In my opinion, a high performance management system is required to align the major organizational functions and sub functions in a way that leads to the attainment of long-term organizational goals. This system is linked with all the functions including planning, implementing, reviewing and evaluating to improve the productivity of both individuals and the organization.
Benefits of Performance Management System
- Performance management system helps in increasing the profitability of an organization. This is possible because of the higher services of loyal employees
- It helps in increasing the sales of an organization
- It uses integrated software instead of spreadsheets which saves time and money
- It helps in avoiding project overruns
- It aligns the goals of an organization according to the mission and vision
- It offers incentive programs to motivate employees
- It improves employee engagement in business, as they understand how they are contributing in achieving organizational goals.
- It uses a step-by-step approach to attain corporate goals
- It increases the morale of employees and helps in retaining top-performers
- This system is flexible and easy to understand
- It helps in simplifying the strategic goals by using effective communication tools
How to Implement Performance Management System in Your Organization
If you want to increase the performance of your business, I highly recommend you implement a performance management system. Not only will it help in competing effectively, but it will also be helpful in retaining your efficient employees.
Follow these steps to implement Performance Management system in your organization.
Identify the Behavioral Goals of Your Organization
This step includes taking feedback from clients, customers, employees, management and peers.
Compare Current Organizational behavior
Assess the organizational behavior and compare it using the framework mentioned in step 1.
Identify the Gap
This is the time to undertake a gap analysis and identify the most significant gaps that can change team behavior
Design a Program to close the gap
Now design an effective program to reduce/close the gap
This step includes monitoring the whole program of improvement and measuring the ‘current behaviors’ to ensure that the new system is working properly.
I am sure this system will help you a lot in improving the performance of your business and surviving in this tough economy. However, make sure you monitor the system on a regular basis and make the necessary changes when required to achieve the desired results.