PRESTIGE INSTITUTE OF MANAGEMENT AND

RESEARCH

Session 2019-21
Performance Management System
UNIT-1 Performance Management

Submitted to Submitted By:

Dr. Jyoti Bajpai Nidhi Sharma
1121711838
Introduction

 Performance management can be defined as a systematic process to improve

organizational performance by developing the performance of individuals and teams
working with an organization. It is a means of getting better results from the
organization, teams and individuals by understanding and managing their
performance within a framework of planned goals, standards and competence
requirements
 Performance management comprises of the methodologies, processes, software tools, and
systems that manage the performance of an organization.
 The benefits of performance management extend to enhancing broad cross-functional
involvement in decision-making, and calculated risk-taking by providing greater visibility with
accurate and relevant information, to execute an organization’s strategy
 Performance management involves many managerial roles, which shows you must be a
communicator, a leader and a collaborator as well
 Performance Management System

 Performance management system is the systematic approach to measure the

performance of the employee. It is a process through which the organization aligns their
mission, goals and objectives with available resources systems and set the priorities.

 The competency, skills and knowledge gaps are also identified through this process which
can be improved by providing guidance, trainings, coaching and mentoring to employees
or teams at different levels and designations
Purpose of Implementing Performance Management System

Strategic 

Administrative

Communication

Developmental

Documentation
 Strategic: Performance managed system is a tool which should be align with overall organization
goal followed through department goal and individual goals.In other words, the organizational
strategic goals should be linked with each activity performed by every department or employee.

 Administrative: Performance management system is also set the deciding factor of employee’s
promotion, demotion, salary increment, transfer and terminations. It enables to identify the
performers, non-performers or under performer employees in an organization

 Communication- It is the effective communication channel to inform employees about their goals,
job responsibilities, key deliverables and performance standards. Further, it is also a structure
method to indicate the key areas of improvement required by the employee in order to improvise his
performance

 Documentation- The performance management reviews, feedback and forms should be documented
and maintained periodically by every organization. It would enable them to look forward, set new
targets and design developmental needs.
THANK YOU