Performance management is often viewed as yet another administrative process that needs to be completed, when it is in fact a golden opportunity to lay a solid foundation of growth and development for both business and employee alike.
“Performance management should be done with the purpose of improving a company's performance instead of adhering to HR policies and procedures,” says Anja Hartman-Weitz, HR Manager for Softline VIP, part of Sage Group Plc.
Performance management has the potential to have a positive impact from an organisational, team and individual perspective, if executed correctly, says Weitz.
“In many instances, a performance management exercise will aid an organisation to clarify its goals. It will ensure that all the different departments and areas of business are collectively working towards a single strategic company objective. The process will also highlight areas where the strategy or direction needs to be tweaked in order to achieve optimum alignment,” explains Weitz.
Each team within an organisation serves a specific purpose in the grander scheme of things, but remains inter-dependant despite the fact. “If any part of the business is experiencing any difficulties, it will never be able to reach its full potential and positively contribute to the organisation as a whole. For this reason, it is crucial for each team to understand exactly what role it plays and how that role impacts other teams and operations around it,” Weitz says.
Human capital is the cornerstone to a company's success. “Each individual has a basic desire to fulfil a purpose and in order to do that, the individual needs to know what is expected of him/her with a clear description of what is required and where he/she is going. Performance management provides a platform for this to take place and illustrates exactly how that individual contributes by adding value to the team and organisation's overall goal.”
The overall performance of an organisation will be enhanced through training and development that will ensure the growth of the individual on both a personal and organisational level. “Performance management provides the input and information required to formulate a skills development strategy that combines the requirements of the individual, team and organisation in its pursuit of a single goal,” explains Weitz.
“The individual, team and organisational performance management process can, however, not be done in the absence of other HR processes and systems such as succession planning and talent management,” adds Weitz. “The future and longevity of the organisation depends on it, and the individuals must therefore be managed with a long-term objective in mind.”
Weitz says the implementation of the company's values into the performance management process will aid in the development of an organisational culture that is unique and will add value to the customers that will experience its offering. “Keep it simple and form a base for recognition and reward. Performance management opens the channels for feedback where the individual, team and organisation can quickly identify obstacles, giving ample opportunity to adjust where necessary,” Weitz explains.
The key to success lies in technique and Softline VIP has learned some valuable lessons along the way. “It is important that the performance management process is clearly and continuously communicated from the top down in order to secure buy-in and collaboration from both management and staff alike. The value of a computerised system allows for readily available information that is invaluable when it comes to decision-making. Performance management is most effective when the process is informal with regular monthly one-on-one sessions,” Weitz concludes.
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