PERFORMANCE MANAGEMENT & EMPLOYEE MOTIVATION
The organisation's success and growth largely depend on their team members’ contribution. To facilitate effective contribution, team members must know what is expected of them and how they are measured up to those expectations. On the other hand, companies must create a work environment that empowers employees to perform to the best of their abilities by providing continuous development opportunities.
Performance management in an HRM process concerned with getting the best performance from individuals in an organisation, from the team, and the organisation as whole (Dransfield, 2000).
According to Leonard & Cardy (2011) Performance management is a crucial and important component for both individuals and organisational effectiveness. Therefore real gain in performance required a thoughtful and committed process of evaluation and feedback.
What Performance appraisal do ?
According to Lloyd (2009) well-designed and well-executed performance appraisal have a strong motivational impact on team members of an organisation. The following are the benefits that are interconnected with motivated employees.
Demonstrate the need for improvement - It gives a clear understanding of how should be performed and clearly express the issues with performance.It motivates the employee to do
Self-improvements.
Higher-level psychological need - It is an opportunity for an employee to get formal, significant and enduring recognition from their Manager.
Build a sense of personal value - Managers takes time and effort to carefully review and discuss the performance and it gives a sense of value to the employee.
Enhance personal development - Performance appraisal is an effective tool for employees who are looking to enhance their learning and development.
Increase satisfaction - Effective performance appraisal creates satisfied employee through self-improvement and personal recognition.
Performance appraisal at Sampath Bank PLC
In Sampath Bank, a high level of performance, commitment, and results from team members are expected at all levels. They strive to create an environment where all team members understand the impact of their contribution towards the achievement of the bank’s vision and are provided the opportunity for personal growth.
The bank endeavour to provide necessary tools, training, guidance and a conducive work environment to create a performance-based work culture where team members are rewarded based on their achievement of expected results and deliverable.
The bank considers the performance management process as a continuous communication process between team members and their immediate supervisors as they plan, manage, review and reward performance. Therefore Managing performance is a mutual responsibility of team members and the respective supervisors.
During the performance appraisal process, Formal assessment should take place regularly; preferably twice a year. Both the positive and negative aspects of an individual performance should be frankly addressed. Its purpose is to provide feedback on past performance and future potential as well as on other relevant aspects concerning a team member’s work including the development of his/her skills and competencies.
Assessment of performance is based essentially on agreed objectives and their level of achievement. Adequate time should be dedicated to the monitoring and follow-up of the progressive achievement of objectives during the year.
Further supervisors are requested to provide written evidence of such feedback sessions. The focus should be essentially on continuous improvement, identifying appropriate training measures and also to create a stimulating working environment.
References
Dransfield,
R., 2000. Studies in Economic and Busiess - Human Resoure Management.
Bristol: Heinemann Eucational Publishers.
Leonard,
B. & Cardy, R.L., 2011. Performance Management : Concepts, Skills and
Exercise. 2nd ed. New York: M.E. Sharpe.
Lloyd, K., 2009. Performance appraisals & phrases for Dummies. Hoboken ,NJ:
Wiley Publishing Inc.
Performance management should bring the best from employees but in our country some organizations are use this as a punishment tool. The Lloys’s elements are clear benefits of proffer performance management process. And your bank practicing some good reviews which we can observe from your outputs. Thanks for sharing.
ReplyDeleteInteresting article , nicely explained , thanks for sharing this.
ReplyDeleteInteresting article and nicely explain. thanks share your knowledge in this blog. good luck.
ReplyDeleteIts not only doing this on the year end but need continues feedback to improve employees in small intervals. Nice work Nethra
ReplyDeleteYou have explained the performance appraisal well even though your title is about performance management.
ReplyDeletePerformance appraisal is a limited approach which evaluates based on past performance and performance management direct to manage real-time performance to ensure organisational success.
Good report Nethra. Performance management is the key to understand where you are according to target
ReplyDeleteThose mentioned one to one discussion sessions should happen not only twice a year but regularly so a manager would know where the employee stand by & what kind of help that he needed rather than just evaluating an employee from his results at the year end.
ReplyDeleteAgree that performance management is a crucial and important component for both individuals and organisational effectiveness. Same appraisal system applies in NDB bank as well.
ReplyDelete