An effective performance management system is an intrinsic part of all strong performing organisations. It is a system of guidelines, methods and processes which allows its leaders and participants to manage individual and teams behaviours and results (i.e. performance) to an optimum level to achieve the goals of the organisation.
Below are the top 5 benefits an effective Performance Management System / Process
- Financial Gains
- Project overruns are less likely as they are linked to the business objectives
- Sales growth as individuals results are measured and managed
- Reduction in organisational costs as projects deemed to not meet the company goals are not ‘green lighted’.
- Improved Productivity
- Projects which are critical to meeting the organisations goals are given extra resources and tightly managed.
- Improved management control boosts productivity
- Incentive plans encourage over achievement not ‘business as usual’ outcomes.
- Open Communication
- The vision is clear as each employee’s goals are directly inline with that of the CEO or organisational heads.
- The Performance system is built on open dialogue and feedback
- Individual’s performance is routinely assessed and discussed – no surprises!
- Clear Accountabilities
- Results are transparent and individuals are aware of the results they need for success.
- Happy Employees
- Employees understand how their role and results contributes to the overall organisational goals.
- Professional development programs that are closely aligned with the goals of the organisation are invested in.
- Incentive plans clearly linked to performance
The benefits are clear, yet if you need help in the process of implementing or managing an effective performance management system, Happening People will be happy to discuss how we can help you.