BE 486 Organisational Behaviour and HRM Assignment Sample
1. Introduction
Performance management actually helps to evaluate an employee’s work and provide them guidance so that such employees can contribute to business growth in a better way. The aim of the performance management is to create a working environment so that everyone can perform his or her best. “Behind a successful organization there will be a huge importance of performance management”. It can be argued that the statement denotes that for those who are efficient at their work, performance management builds a platform for them. Performance management focuses on the best performance of everyone and the development of the organization. Manager reviews, development and improvement, successful planning, monitoring, goal setting and outcome management are the aspects of performance management. Performance management has a vital effect on organizational development. Technical needs, natural resources, employees need, management system, everything is evaluated by performance management. In this study, the main focus is to evaluate a statement proposed by the Chartered Institute of Personnel and Development and analyses the concepts and theories behind it.
2. Discussion
Based on the statement, it can be argued that both management and employees have to collaborate with each other to improve the overall position of an organization (DeNisi and Murphy 2017). While the management must take critical decisions when confronting issues, employees should also try to lend a hand and support the organization. The existing literary sources state that if an employee has the necessary skills and if they are properly guided by the higher-ups, work productivity significantly increases. In addition to this, motivation also plays a crucial role in enhancing work productivity (DeNisi and Murphy 2017). According to Maslow’s hierarchy of needs, if the needs of employees are fulfilled, then they become motivated to work. Hence, with respect to this theory, an organization should always try to meet employee’s needs so that these employees can function better for the organization’s growth.
Performance management is a way by which the higher-ups manage to evaluate the employees’ working capability and contribution (Franco‐Santos and Otley 2018). For example, if an employee manages to make sound achievements with respect to their roles and duty in the organization, their performance management is deemed to be positive. After conducting performance appraisal, such employees are likely to be promoted or given rewards for their achievements (Franco‐Santos and Otley 2018). On the other hand, if an employee continuously fails in their respective tasks, they would be negatively appraised. As stated by Gorman et al. (2017) these kinds of employees are vulnerable to termination, suspension or demotion. Thus, in order to establish a successful organization, performance management plays a vital part.
Based on the afore-mentioned example, it can be argued that theories such as expectancy theory go hand-in-hand with performance management. According to this theory, employees in an organization adjust their behavior with respect to the amount of satisfaction they get (Gorman et al. 2017). In order to modify their behavior and make sure they attain their valued goals, the managers and management needs to come up with proper strategies. For example, if the organization finds that an employee’s performance has consistently improved, then the management needs to reward them for their contribution (Tseng and Levy 2019). As a result, the employee will feel influenced and try to work harder. Thus, it can be argued that in the concept of performance management, performance of an individual depends on their expectations.
Performance management can be evaluated in many forms such as weekly feedback or appraisals. As stated by Rivera (2018) coaching, corrective action and termination are the three types of performance management.
Coaching-
Training, learning, orienting is actually included in performance management (Schleicher, 2018). How employees will work and perform in their working place, those activities are teaches in their training period carefully. An efficient employee always plays a major role for the development of an organization (Schleicher, 2018). For that reason, training is important so that they will not face any type of problem while they work. Employees get proper training from the trainer so that they will not face any problems while working. As stated by Schleicher et al. (2018) it can be argued that if employees have higher job satisfaction, turnover is reduced. Moreover, if an employee works efficiently, it will be the most effective way for a successful organization.
Performance of an employee depends on the trainer, so the training period is the most important part of performance management (Richards, 2019). Performance management is also evaluated from team working, as individuals working in a group need to have equal contribution for a project (Gruman and Saks 2011). It can be argued that if one individual from a group lags behind others, then that particular employee is dragging down the overall performance of the group. In order to avoid this, it is necessary for coaching to be given to employees so that each individual knows what they are accountable for and perform accordingly (DeNisi and Murphy 2017). To define the performance expectations and provide ongoing coaching and feedback are the terms of the performance management. Appraisal the performance of all the employees and evaluation discussion are the taken steps of this performance management (Richards, 2019). To determine the performance rewards of all the employees and consequences are under performance management. To develop the careers of all employees, performance management has a major effect. To build a successful career in any organization it is necessary to work here efficiently and honestly so that the organization will develop. The behavior of employees and the behavior of managers are also handled by this performance management department. All the employees and managers’ behaviors are playing an important role for a successful organization. Nothing is possible to do in an organization without taking help from performance management.
Effective coaching creates a working environment so that employees can do their work efficiently (Gorman et al. 2017). The trainer also informs them about the organization, aim, goals and the challenges that will be a huge part of their work (Gruman and Saks 2011). They inform them of the process of working to increase their performing skills and about the team working. They organize for the new employee’s orientation programmed where the new employees get a chance to know about their work and about the organization (Richards, 2019). It is a very useful decision for performance management because this orientation part creates a working environment and builds communication with the new employees.
Corrective-
Performance management arranges a correction section for all employees. It can be argued that if employees faced any difficulties in their working way then performance management arranges a corrective programmed to solve their problems (Richards, 2019). This is the most effective way to cooperate with an employee. This type of decision built a strong and trustful relation between managers and all employees. For this type of friendly environment, all employees get confidence and also get a platform to their working skills which are very important for an organization (Gorman et al. 2017). A good working skill employee is the key to the success of any organization so performance management decides to give every type of opportunity to them. Hence, every employee can show their efficient work and they can show their working experience which they gained.
It can be observed that some employees get a platform to give their good working knowledge to the organization for the development of the organization (Tseng and Levy 2019). Since they are working in a team, they also work with energy and these types of arrangements are done by the performance management. To take these types of steps for an organization is very important, and for that, the performance management is playing a most important role in any organization (Schleicher, 2018). Thus, without the planning of performance management, nothing is possible to handle smoothly. From the manager department to the employees, each and everyone is under the performance department.
Termination-
Termination is the ultimate step of any planning that is done by performance management. After the coaching and correction process, termination is the last stage of the employees’ training and learning period (Tseng and Levy 2019). The new things that they learned in their training will be part of their work. Performance management arranges a termination round for the employees so that they can present their rules, terms and conditions about their organization. As stated by Rivera (2018) they also discuss the “does and don’ts” about their organization. They try to inform them about each and everything about their organization and the way that they will work for the development of the organization. Termination round means the question answer section where they can ask about the organization and about their work details (Schleicher, 2018). All of these programmers are arranged by performance management so that everyone can perform in their working place freely.
For example, a survey initiated by the company can probe into the inside problems of the individuals working in the organization. So that no one will face any type of problems in their work and if they still face any problems, they can inform their managers without any hesitation (Schleicher et al. 2019). All the facilities and options are given by the performance management team so that the organization will be successful. All the employees can ask any type of question regarding the organization and their work so that they will not face any difficulties while they are working. The whole arrangement of these sections is done by the performance management department very smoothly (Tseng and Levy 2019). This performance management department creates a good relationship between manager and employees. This department also creates good relationships among all the employees who are working together in a team. This type of perfect planning is the advantage of the performance management department.
Performance appraisals, key performance indicators and management dashboards are the examples of performance management (Tseng and Levy 2019). Some division of the performance management are discussed below-
Corporate performance management (CPM)-
Corporate performance management is actually checking the whole performance of the organization. CPM organizes the whole organizational programmed and executes the strategy of the organization (DeNisi and Murphy 2020). CPM also measures the major and minor performances and also they make all the decisions about the organization. Corporate performance management mainly focuses on the improvement of strategy and also measures and analyzes the performances of the organization (DeNisi and Murphy 2020). CPM also notes the balance score, strategy planning, performance reporting and the management programmers in the dashboard of the organization.
People performance management (PPM)-
People performance management department is focusing on the performance of the people of the organization. Working performance of every employee and the managers are observed by the “people performance management department” (Gruman and Saks 2011). To check the working efficiency of all employees and their each and problems are the main aim of the PPM department. As stated by Gruman and Saks (2011) PPM acts like an umbrella of the organization, handling all the problems and difficulties of all employees are solved by this “people performance management department”. Helping all employees equally and guiding all the managers carefully are the main aim of the “people performance management department” (Tseng and Levy 2019). PPM notes all the performance data of all employees who worked in that organization.
Performance management system-
The corporate performance management and the people performance management are the whole part of the performance management system. The CPM and PPM department is supported by information technology (Risher, 2011). Performance management system processes are involved with the information technology department. All the performance management system’s difficulties are solved by the technology department, for example, the system related and the machine related problems are solved by the technology department. In addition, any internet issues are easily solved by this technology department (Risher, 2011). As these types of issues can hamper the performance of an individual, the organization must inform these issues to the performance management department. It is mainly done to assure the employees that technical faults and errors will not negatively affect their performance, thereby motivating them to carry on with their work without any fear of negative appraisal.
Importance of the establishment of the performance management-
To build a perfect management system, performance management is necessary (Schleicher et al. 2019). All organizations try to be the best organization. Therefore, to be number one, a perfect system is very important. Performance management department arranges all the steps of the whole system and this whole system is controlled by this performance management department. It is not possible to get success without perfect management. For this proper management system, the performance management department has a major effect (Schleicher et al. 2019). High culture of the employees of an organization and best performance are the symbols of a successful organization. Performance management departments always notice the entire performance of the organization. Managers and all employees are under the observation of the performance management department. For checking all working details of all employees and managers, they maintain a dashboard. Without any proper culture, there is less chance to achieve goals of an organization (Schleicher, 2018). There will be lots of problems faced by managers and employees during work time. No one will create this problem to be a major issue that is observed by this performance management department.
3. Conclusion
Based on the above discussions, to be a successful organization a proper plan and management system is needed for this organization to create a management department. This management department is a performance management department; this department observes all the difficulties and possibilities of the organization. The activities and working capability, efficiency all are observed by the performance management department. For creating a perfect management system, performance management makes some planning for all employees. They provide coaching, corrective and termination rounds before joining so that no one will face any type of difficulties while they are working. This training is very important for an organization to do any work peacefully and carefully with all employees. The managers try to teach them the whole work of the organization, which they will do and they also give some knowledge about the organization, the aim of the organization, goals, terms and conditions and everything. Performance management also keeps a termination round means question answer round where every employee can present any type of queries about the organization. Employees can also ask any question about their work in the organization so that there will be less chance to face any difficulties after starting work.
All the problems of an organization are solved by the performance management department. If any employee will face any type of technical issue and machine related issue, the technology department always tries to solve every problem. This technology department is included with the performance management department, these two departments work together for the achievement of the goal and aims of the organization. Performance management is the only reason for the success of an organization. In a nutshell, the study has critically evaluated how performance management plays a crucial role for both organization and employees.
4. References
Chartered Institute of Personnel and Development (2019). Compensation & Benefits Review, 43, 273-281
DeNisi, A.S. and Murphy, K.R., (2017). Performance appraisal and performance management: 100 years of progress?. Journal of applied psychology, 102(3), p.421.
Franco‐Santos, M. and Otley, D., (2018). Reviewing and theorizing the unintended consequences of performance management systems. International Journal of Management Reviews, 20(3), pp.696-730.
Gorman, C.A., Meriac, J.P., Roch, S.G., Ray, J.L. and Gamble, J.S., (2017). An exploratory study of current performance management practices: Human resource executives’ perspectives. International Journal of Selection and Assessment, 25(2), pp.193-202.
Gruman and Saks (2011), Performance Management and Employee Engagement. Human Resource Management Engagement. Human Resource Management Review, 21, 123-136
Richards, G., Yeoh, W., Chong, A.Y.L. and Popovič, A., (2019). Business intelligence effectiveness and corporate performance management: an empirical analysis. Journal of Computer Information Systems, 59(2), pp.188-196.
Risher (2011), Getting Performance Management on Track. Compensation & Benefits Review, 43, 273-281
Schleicher, D.J., Baumann, H.M., Sullivan, D.W. and Yim, J., (2019). Evaluating the effectiveness of performance management: A 30-year integrative conceptual review. Journal of Applied Psychology, 104(7), p.851.
Schleicher, D.J., Baumann, H.M., Sullivan, D.W., Levy, P.E., Hargrove, D.C. and Barros-Rivera, B.A., (2018). Putting the system into performance management systems: A review and agenda for performance management research. Journal of Management, 44(6), pp.2209-2245.
Tseng, S.T. and Levy, P.E., (2019). A multilevel leadership process framework of performance management. Human Resource Management Review, 29(4), p.100668.
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