Performance Management System

August 10, 2022 0 Comments

How to proceed and points of introduction

Performance management is one of the human resources management methods that are said to be suitable for the present age when the speed of change is remarkable. Unlike the conventional method, it is characterized by emphasizing employee independence. What kind of change will be brought about by implementing performance management? This time, we will introduce various information such as basic knowledge of performance management, implementation flow, and points to remember before introduction.

Basic knowledge of performance management The main flow of performance management Key points when introducing performance management Tools to help with performance management Let’s review the personnel system and incorporate performance management.

Basic Knowledge Of Performance Management

What kind of management method is performance management? First of all, I will introduce the meaning of performance management, the merits of introduction, and the reasons why we can recommend it.

What Is Performance Management?

Performance management system is a management method that has been spreading to global companies in Europe and the United States in recent years and is attracting attention. It is characterized by a policy that emphasizes dialogue between superiors and subordinates without conducting annual evaluations. Your boss is required to give appropriate feedback, elicit the growth of members, and lead to results. When implementing it, it is important to be aware of maximizing the performance of the members and aiming to achieve their goals.

Benefits Of Introducing Performance Management

Performance management provides a work environment where you can be supported and evaluated appropriately for your goals. This has the great advantage of allowing employees to take the initiative in taking on challenges. The performance of the entire organization is also improved by having each employee understand his or her role and work independently. It will lead to the construction of a rewarding workplace. It will help you build trust between your boss and your subordinates, and improve employee engagement.

Another major feature is the ability to respond with a sense of speed. The “Management by Objectives (MBO)”, which is a personnel evaluation system introduced by many Japanese companies, sets goals ⇒ actions ⇒ evaluations semi-annually or semi-annually. In the past, we were able to achieve results with this method, but now that the world is changing rapidly, it may be difficult to respond with a sense of speed. Since feedback to subordinates will be given after a while, there are cases where the evaluation is unclear.

In addition, in the case of MBO, it takes time to complete a series of steps such as setting goals and evaluating. Especially in a company with a large number of employees, it is also a drawback that the burden on the manager side becomes heavy. Even if you spend a lot of time setting goals and giving feedback, you may not get the desired results. In order to avoid these problems, it can be said that the introduction of performance management is suitable.

Learn more about Management by Objectives (MBO)

The main flow of performance management

 we start by setting clear goals and work to achieve them by repeating feedback. Here, I will explain the main flow of performance management.

When implementing management, set goals first. Consider the goals that your team or individual should aim for, based on company-wide policies. Also, decide the evaluation target and criteria.

Your boss uses coaching techniques to help members reach their goals. Coaching is a type of communication method. By coaching well, you can increase the motivation of members, encourage independent actions, and lead to the achievement of goals.

The frequency of coaching is not fixed. It may be done as often as once a week or once a month. Set up opportunities for real-time interviews and communicate as you progress.

Give feedback as members take action to reach their goals. Give feedback based on objective evidence such as numbers and data, rather than opinions that are mixed with subjectivity and prejudice. At that time, if there are specific issues that have been converted into data, it will be easier to devise improvement measures.

It is also important to be aware of sharing ideas for achieving goals, rather than negative evaluations. You also have the flexibility to change your goal settings if needed.

Key points when introducing performance management

In order to fully demonstrate the effects of performance management, it is necessary to pay attention to each point from goal setting to feedback. Before starting a full-scale introduction, check the following points.

Consistent company ideas and stance

 management focuses on the growth of individual members. However, if employees set goals that deviate from the company’s vision, the direction of the organization will be shaken. It is important to make the ideas and stances of the company and personnel consistent and reflect them in individual goals.

When introducing performance management, let’s decide concretely the purpose and goal of the company. Proceeding with management with the understanding of employees should lead to strengthening of organizational strength as a result.

Reform the awareness of managers

Manager support is essential for team members to move toward their goals. Awareness of managers is also an important point for smooth  management. In particular, you will need to give due consideration to communication with your subordinates. It is important for managers to actively improve their communication skills. If necessary, provide training for managers to raise awareness.

Acquire coaching skills

In coaching, it is required that the boss communicates with each other rather than acting as an evaluator and talking unilaterally. We will ask questions to the target people and proceed with the discussion so that the members themselves can devise solutions. By doing so, each employee will have a sense of ownership and will be able to move more independently.

Coaching abilities are not always readily available. It will be even more difficult for managers who have never had the opportunity to practice coaching and are accustomed to traditional  appraisal systems.


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