Managing employee performance- why you should prioritise this in your business.
What is performance management?
Performance management is a set of processes that ensure employees fulfil business objectives and do the job they are paid to do, in line with the requirements of the role.
It brings together many elements of good people management practice, including learning and development, measurement of performance, and organisational development. For this very reason, it’s complex and often misunderstood.
Performance management should incorporate:
- Performance improvement – throughout the organisation, in respect of individual, team and organisational effectiveness
- Development – unless there is continuous development of individuals and teams, performance will not improve
- Managing behaviour – ensuring that individuals behave in a way that fosters healthy and productive working relationships.
What does performance management involve?
Performance management is not, as is often assumed, only used when an employee is underperforming. Performance management should also be used right from the point of employment so that there are clear parameters in place and transparency over expectations. This could include the following;
- Developing clear job descriptions and employee performance plans.
- Negotiating requirements and performance standards for measuring the outcome and overall productivity against the predefined benchmarks.
- Providing continuous coaching and feedback during the period of delivery of performance.
- Identifying the training and development needs by measuring the outcomes achieved against the set standards and implementing effective development programs for improvement.
- Holding quarterly performance development discussions and evaluating employee performance on the basis of performance plans.
- Designing effective compensation and reward systems for recognizing those employees who excel in their jobs
- Providing promotional/career development support and guidance to the employees.
- Performing exit interviews for understanding the cause of employee discontentment and thereafter exit from an organization.
Who should undertake performance management?
Ordinarily performance management would be undertaken by an employee’s line manager. The HR department often also is involved with the process though – if only as they are ordinarily the ones that produce the tools that the managers then use.
What help can we give to you?
As well as providing legal advice on any aspect of performance management, our Employment Law and HR Adviser team includes HR practitioners who can come in and conduct performance management for you, leaving you free to run your business.
Our HR practitioners are trained to understand the important HR issues and to make sure performance management procedures are compliant from an employment law perspective – giving you the peace of mind that if any disputes arise you will be in the best position to deal with them.
We work on day and half day rates and remember, if you are a Watertight member, you get 10% off our fees. Call us on 0114 303 2300 or email firstname.lastname@example.org to discuss, in confidence, any issues which you need to resolve.