Performance management is defined as an ongoing process of communication between supervisors and employees to accomplish organizational objectives. It aims to improve performance through setting expectations, providing feedback, and reviewing results. The key aspects of performance management include defining performance standards, conducting appraisals, measuring performance, and providing feedback and coaching. It differs from performance appraisal systems in focusing on continuous improvement rather than annual ratings and involving respective departments rather than just HR.

1. Performance Management
VIJAY KAMBOJ
+919466500020

2. Performance Management
• According to Armstrong and Baron (1998),
“Performance Management is both a strategic
and an integrated approach to delivering
successful results in organizations by improving
the performance and developing the capabilities
of teams and individuals”

3. Performance Management
• The term performance management gained its popularity in
early 1980’s when total quality management programs
received utmost importance for achievement of superior
standards and quality performance

4. Performance Management
• Performance management is the integration of performance
appraisal systems with broader human resource system as a
means of aligning employees work behavior with the
organization’s goals. Performance management should be an
ongoing, interactive process designed to enhance employee
capabilities and productivity. Setting and clearly
communicating performance standards and expectations,
observing and providing feedback, and conducting appraisals
enables organization to achieve the best results through
managing employee performance.

5. Performance Management - Definition
• Performance management is an ongoing process of
communication between a supervisor and an employee that
occurs throughout the year, in support of accomplishing the
strategic objectives of the organization. The communication
process includes clarifying expectations, setting objectives,
identifying goals, providing feedback, and reviewing results.

6. Objectives of Performance Management
• To enable the employees towards achievement of superior
standards of work performance.
• To help the employees in identifying the knowledge and skills
required for performing the job efficiently as this would drive
their focus towards performing the right task in the right way.
• Boosting the performance of the employees by encouraging
employee empowerment, motivation and implementation of an
effective reward mechanism.

7. Objectives of Performance Management
• Promoting a two way system of communication between the
supervisors and the employees for providing a regular and a
transparent feedback for improving employee performance
and continuous coaching.
• Identifying the barriers to effective performance and resolving
those barriers through constant monitoring, coaching and
development interventions.
• Creating a basis for several administrative decisions strategic
planning, succession planning, promotions and performance
based payment

8. Process of Performance Management
• Defining performance
• Appraisal process
• Measuring Performance
• Feedback and Coaching

9. Difference b/w PAS and PMS
Performance Appraisal System Performance Management System
Focus is on performance appraisal and
generation of ratings
Focus is on performance management
Emphasis is on relative evaluation of
individuals
Emphasis is on performance improvement
of individuals officer and his department
or team performance
Annual exercise- though normally
periodic evaluations are made
Continuous process with quarterly or
periodic performance review discussions
Rewards and recognition of good
performance is an important component
Performance rewarding may or may not be
an integral part
Designed and monitored by the HR
department
Designed by HR department but could be
monitored by the respective departments
themselves
It is a system with deadlines, meetings,
inputs and outputs
It is a system with deadlines, meetings,
inputs and outputs