INTERNATIONAL PERFORMANCE MANAGEMENT

Performance Management is a means of getting better results from the organizations, teams and
individuals within an agreed framework of planned goals, objectives and standards.

-ARMSTRONG AND MURLIS

 A communication tool to measure each individual's contribution

 To evaluate talent and achievement with sensible consistency and accuracy

 To help distinguish barriers to top performance

Aims of Performance management:

 When we know what is expected of us, and have played a role in forming these
expectations, we will do our best to meet the expectations.

 We can meet expectations only through our capability and if we get support from the
‘management’ through processes, systems and resources.
Design process for expatriate performance:

 Goal setting for expatriates

 Performance appraisal

Individual Performance and Appraisal:

Factors to be considered in the Individual Performance and Appraisal process :

•Expatriate Performance Management System

•Compensation Package

•Task

•Headquarters’ Support

•Host Environment

•Cultural Adjustment

Expatriate Performance Appraisal :

Challenges-

 Fit of international operation in multinational strategy

 Unreliable date

 Complex and volatile environments

 Time difference and distance separation

 Local cultural situation

 In most cases, two groups evaluate the performance of expatriate managers - host nation
managers and home office managers - and both are subject to unintentional bias

 Home country managers tend to rely on hard data when evaluating expatriates

 Host country managers can be biased towards their own frame of reference

Steps to Improve the Expatriate Performance Appraisal:

1. Fit the evaluation criteria to strategy

2. Fine-tune the evaluation criteria

3. Use multiple sources of evaluation with varying periods of evaluation

To reduce bias in performance appraisal:

 Most expatriates believe more weight should be given to an on-site manager's appraisal
than to an off-site manager's appraisal

 A former expatriate who has served in the same location could be involved in the
appraisal process to help reduce bias.

 When the policy is for foreign on-site mangers to write performance evaluations, home
office managers should probably be consulted before an on-site manager completes a
formal termination evaluation