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evaluation of the employee and appropriate compensation for the job
discusses how to improve management performance of your organization. The important aspect of managing performance is the leadership skills that can be enhanced alongside attitudes, interpersonal skills and behaviors. (Abbey,2007). It helps to retain and maintain people who embody the basic human capital of the organizations as they are the one responsible for the execution of the strategic plans of the business. (Abbey,2007).
This essay includes an analysis of the issues in managing performance by citing cases in an organization that involves performance management. The views and opinions of several organizations about the effectivity of the management are cited. The disadvantage and advantages of performance management are enumerated to further support the importance of such management. Based on the studies that will be presented in this essay effective performance management will result in an increase in sales and greater profitability.
Managing performance involves the evaluation of the employee and appropriate compensation for the job. Companies and managers have conflicting ideas about this. In the study done by Harris (2001), it involves two phases. It is about the argument that the importance of managerial values and assumptions about rewarding individual performance has been an overlooked and underestimated dimension in the design and application of individual performance-related pay processes (IPRP). .The study revealed that, in practice, this was largely assumed rather than actively pursued and developed. The aim of the survey done was to identify, through an initial questionnaire and follow-up semi-structured interviews, the line managers’ .perspective on the effectiveness of performance-related pay processes in terms of encouraging the types of behaviors employers stated they were seeking from their employees. The study done by Harris (2001) wants to prove that a well-compensated employee will result in a well-done job and thus increases the output and the profitability of the company. It is the responsibility of the managers to fill in the gap between the missing links of aspirations and results, by motivating their employees, through the management of their performance. (Abbey,2007). The organizations are aware that the success of the strategy is dependent on the effort and capabilities of their employees to implement the strategy that makes all the difference to their flourishing business. (Abbey,2007). In the study done by Harris (2001), 78 percent of respondents identified a non-publicized objective which is to increase employee commitment and improve individual motivation through a fairer reward system more focused on business objectives. This was referred to by the study as an official agenda. Another objective identified as a hidden agenda was concerned with the control aspects of the performance management system, which changes the culture, making managers manage, dealing with issues of under-performance, reducing staffing levels and costs while increasing workloads.
Another important objective is to increase the potential of an organization, in order to achieve its strategy. it is important that an organization develops and creates the capabilities of its employees
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