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Behind the success of every organization are managers and employees who work together for a common goal. However, behind every employee’s enthusiasm and passion are hours of extensive planning, execution, and evaluation, all of which fall under the purview of performance management.
Performance management is the process through which managers monitor and evaluate employee work performance. According to UC Berkley, it is an ongoing process “in support of accomplishing the strategic objectives of the organization,” which includes “clarifying expectations, setting objectives, identifying goals, providing feedback, and reviewing results.” This process enables managers to see employees in a broader context, such as how their individual strengths and capabilities can contribute to the organization as a whole. When properly utilized, performance management enables employees to grow along with the company.
The Phases of Performance Management According to UC Berkeley
- Phase 1: Planning
During this phase, objectives and standards that would eventually measure actions, behaviors, and performances are set. These objectives and standards serve as a basis for measuring progress and performance and in determining whether an outcome is acceptable or not.
Moreover, in this phase, employees and managers mutually develop goals in line with the overall goal of the company. To that end, a development plan is developed and agreed upon for both parties to perform their work according to the standard set.
- Phase 2: Checking-in
After the objectives and standards are set, the monitoring of employee performance can be started. Regularly checking-in with them and providing them with detailed feedback will allow employees to recognize their key strengths, identify their areas for improvement, and eventually, meet the company’s expectations.
- Phase 3: Reviewing
This phase is where an employee’s performance will be measured through evaluation and feedbacking, keeping in mind the standards set in phase 1. Here, the employee’s contributions over the entire period will be summarized, allowing them to recognize how successful they were in meeting expectations.
Conducting an Efficient Performance Management
According to McKinsey & Co., performance management allows companies to “align their employees (…) to meet their strategic objectives.” When conducted efficiently, companies will be able to see how well employees are performing according to their standards.
As technology advances, more options for companies to conduct performance management more efficiently have become available.
A cloud-based HR software in the MENA region has been developed in the UAE, allowing companies to use a systemized and integrated software to track the performance of their employees. This software provides businesses with a variety of tools designed to assist them in increasing employee capacities for overall business success.
One of the features of the software is a homepage where managers can review and update goals and objectives for employees to see. It also enables organizations to access data from various sources and provide an automated goal update. Finally, the software’s database allows businesses to save any type of document, such as reports, to aid them in workforce management.
Using this software in performance management will enable managers and employees to have a clear understanding of their goals without relying too heavily on traditional standard-setting methods such as face-to-face discussions, saving time and energy.
