Contemporary Performance Management Practice in a global Context

Performance management is the process or an activity of developing a working environment where people are able to perform to their maximum abilities. The aim of this process is to maintain and improve employee performances in line with organizations objectives.  It’s also a system that starts when a job is distinct as a needed job function to the organization. This continues process take place until the employee leaves the organization or resign from his or her employment.

Its better defined by Armstrong as , ‘Performance Management is the continuous process of improving performance by setting goals that are aligned to the strategic goals of the organization, planning performance to achieve the goals, reviewing progress, and developing the knowledge , skills and  abilities of people (Armstrong, 2016).

 ‘In Summary Some of the main tools used in performance management are, setting clear objectives, Performance ratings, Performance appraisals and feedback, learning and development and Performance related pay’ (CIPD,2017).

Many companies globally have shown importance to performance management, ‘In 2012, Deloitte uncovered the fact that 2 million hours a year were spent completing forms in their company. They also carried out a survey that reflected that 58% of the HR execs believed the existing performances management system didn’t drive engagement of performance. In reaction, the organization massively revamped their approach to performance management and   introduced Snapshot, an app- Based management system’ (Heran, 2016). Furthermore Heran explains that employee’s feedback was collected through this app on five key aspects as, Business acumen, global acumen, technical capability, leadership skills and relationships.

The well known electrical company, General Electrical's used to have a very infamous performance management system known as “Rank and Yanks. In this system the employees were rated in the annual performance review and the bottom 10% was fired. But currently the company have aborted this system and developed an App called Performance Development at GE, (PD@GE). This app has helped employees and mangers communicate regularly where it has helped the HR department save a lot of time in conducting annual performance reviews (Heran, 2016).

An article written by peter Cappelli and Anna Taris to the Harvard Business review explains the global changers that organizations are adopting into performance management practices. They explain that company's like Adobe, Juniper Systems, Dell, Microsoft, IBM, Deloitte, Accenture, GAP have given up the traditional appraisal systems and replacing with frequent, informal check-ins between managers and employees (Cappelli and Taris, 2016)

Finally, Contemporary Performance Management Practice in a global Context is taking its stand in many top corporate's worldwide. It is advisable to look at these global changes and the impacts this corporate's are having after such changes. So far the development of such newer practices have proven to be much effective than the conventional systems used before. The company that I work for is still using the conventional appraisal systems which is very complicated and time consuming.   HR mangers globally have agreed that using newer technology in conducting appraisals have saved them a lot of time.

References

Armstrong, M. (2016). ‘Armstrong’s Handbook of Management and Leadership for HR’.  4^th Ed. New York: Kogan page, pp 86-87.

Cappelli, P and Travis, A. (2016) ‘The performance management revolution’.  Harvard Business review, October. Available at : https://hbr.org/2016/10/the-performance-management-revolution (Accessed on 11th December 2017).

CIPD. ( 2017). ‘Performance management : an Introduction’. CIPD.  Available at:  https://www.cipd.co.uk/knowledge/fundamentals/people/performance/factsheet (accessed on 12^th December 2017 at 3.33 pm).

Hearn, S. (2016). ‘How top companies are redefining performance management’ The Social work place. 18^th May. Available at: http://thesocialworkplace.com/2016/05/how-top-companies-are-redefining-performance-management/ (accessed on 12^th December 2017 at 9.02 am)