Every financial institution in the world wish to become world-class in their quality of products and service delivery by legal ways. They expect to deliver better services and products at a low cost to compete well and penetrate in a country for that they are working hard. They have realized that they can gain competitive advantage by the Knowledge and skills of their employees.
They are so concerned with satisfying and motivating of the employees to achieve business success and competitive advantage. This fact introduces the concept and need of an effective management system for performance.
Performance management system is a formal process for improving any organizational
performance. To do this, organizations should understand and manage their
agreed goals or standards with the performance of the employees (Armstrong,
2009).
The goal of performance management is to improve employees ' ability to
meet or exceed expectations and to realize their full potential to benefit both
themselves and the organization (Armstrong, 2009).
Organizations get to know the importance of performance assessment as
they show the increased productivity of employees of all major multinational
companies that they have carried out the performance assessment and the
importance of performance management and its measurement has been clarified
from different points of view (Whitney, 1994).
This process starts with the recruitment of an employee into a company
and concludes when that employee quite the organization. Performance management
consist of performance appraisal and performance
development process.
Performance evaluation system is
the one of the methods most commonly used to ensure the importance of employee
performance. The achievement
of performance appraisal depends on how effectively and efficiently it is
implemented. It
also depends on an employee's understanding of the performance assessment
system and the positive orientation of employees towards their system.
In srilankan context most of the private sector organizations have implemented
the performance evaluating system within their organization.
In banking sector performance management system is running well & we
used to following method to evaluating the performance,
Performance review on Daily,Monthly & Quaterly basis with branch
staff members
Yearly review -Employee appraisal discussion/Budget review
These type of mechanism should be
implemented within the organization to drive their targets as well as to
improve the employees development as well.
References
Armstrong, M., 2009. Armstrong's Handbook
of Human Resource Management Practice. 11th ed. London: Kogan Page.
Whitney, K. (1994). Improving group task
performance: The role of group goals and group efficacy. Human Performance, 7,
55-78.
Video link-https://www.youtube.com/watch?v=zLOZCwegCus
Video link-https://www.youtube.com/watch?v=zLOZCwegCus
Great job. The Blog is really excellent. I am sure this video helped many others who are eager to know about it. In short I would like to say the fundamental goal of performance management is to promote and improve employee effectiveness. It is a continuous process where managers and employees work together to plan, monitor and review an employee's work objectives or goals and his or her overall contribution to the organisation.
ReplyDeleteThanks sameera
DeleteThis explains why performance management is so important and linked to profitability.great article.
ReplyDeleteThanks thilina
DeletePerformance management is very important to run a organization otherwise not easy to manage the people
ReplyDeleteThis a good article.
Good job 👍
Thanks
DeleteNice article. Good points.
ReplyDeleteA motivated workforce to makes a difference in the organization reduces turnover rates and boosts productivity altogether. Hence effective performance management has ended up a fundamental perspective of HR management.anyway good explanation
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ReplyDeleteThe psychological literature on employee motivation contains many claims that changes in job design can be expected to produce better employee job performance.
ReplyDeletePerformance managemant create a better environment to perform for the employee s furthermore.
ReplyDeletePerformance management is very vital factor & it creates good working environment & directly effect to employees aspects
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