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What are the essentials of a good performance management system?
The performance management system must be functional and constant, so that it can generate significant changes. For it to work, the company must have a deep understanding of how these assessments work and work with tools capable of supporting these activities.

Understanding the dynamics of performance management ensures the quality of the process and facilitates access to improvements resulting from this strategy. For this, three components interact to condition employee performance:

capacity (development);
environment (opportunity);
effort (motivation).
The main element of the performance management system is the performance appraisal , which can be carried out in several ways:

Individual performance evaluation
More traditional, the individual performance evaluation follows the development of each employee in particular, taking into account their weaknesses and strengths. Within this evaluation model, the employee’s growth is valued, making him/her able to have a much more complete performance .

It takes into account not only technical skills, but also behavioral skills that can affect the quality of your work .Group performance evaluation
This type of assessment is less common, but can also be applied successfully. In these cases, the team’s performance is evaluated according to the results presented in a given project or its impact on the company.

This model also takes into account the positive and negative aspects of the team , but it is not as efficient when it comes to the development of professionals. Qualitative assessments
Qualitative assessments focus on individual goals and objectives , and take into account the quality of the work performed, also in comparison with the objectives defined by the company.

Quantitative assessments
Quantitative assessments take into account the technical and behavioral skills of professionals. These competencies are measured to enable the monitoring of the development of these employees.

The implementation of the performance management system requires planning and clear communication within the company. Make a calendar with each step to be carried out and set indicators that will help to measure the results. Using assessments in the right way, maintaining transparency, tracking the effects and promoting corrective actions, the performance management system will bring the expected results.

What are the strengths of performance management?
The implementation of the performance management system brings a series of benefits to the organization. We can highlight: Help in the recognition of professionals
Performance evaluations should be used to develop a professional recognition plan .

Your results may influence promotions or bonus payments in return for excellent results. This recognition can be done for the entire team or for employees who have performed above average in particular.

Clarify team goals
Performance reviews are an excellent source of feedback . When evaluations are done correctly, they make room for employees to make suggestions and point out mistakes. With this, the organization can collect data that will help improve employer branding , attracting even more capable talent .