Performance Management 

Performance management refers to the broad range of trial, policy, dealings, and interventions deliberate to help workers improve their performance. Performance management usually includes the constant method of finding, measuring, and increasing the performance of individuals and groups in organizations (Hooria, Lubna and Mattiullah, 2018).It is the process of creating a work environment or setting in which people are enabled to perform to the best of their abilities (Manchester Metropolitan University, ND).It is a holistic, goal-congruent and largely participatory process of managing and supervising work in their task, team or groups. It is more into organizational goals and objectives, manager recognition and awards corresponding to manager needs and aspirations (Davinder, 2010). Performance Management deals with the challenges organization face in defining, measuring and stimulating employee performance with the ultimate goal to improve organizational performance (Deanne, Paul & Jaap, 2004).Performance management arises from the awareness that a systematic, organized approach to managing and rewarding performance better generates and sustains positive manager motivation (Davinder, 2010). It is the main vehicle by which managers communicate what is required from employees and give feedback on how well they are achieving job goals.  It brings together many of the elements that make up the practice of people management, including in particular learning and development. Performance management establishes shared understanding of what is to be achieved and provides an approach to leading and developing people that will ensure it is achieved (Manchester Metropolitan University, ND).

Despite the potential of performance management systems to positively support the organization and enhance both employee and organizational performance, the reality faced by practitioners may be very different (Aguinis, Joo, & Gottfredson, 2011). In fact, PM systems, which include sometimes very blunt Performance Appraisal (PA) practices, have been called the “Achilles’ heel” of organizational processes (Pulakos, Mueller-Hanson, O’Leary, & Meyrowitz, 2012). Perhaps because of this more skeptical view, a significant shift in performance management practices has been witnessed more recently with calls made to make performance management  more comprehensive, holistic and ultimately more ‘developmental’ in nature. In essence, this view sees performance appraisal  as an annual evaluation exercise, whereas, performance management  is an ongoing, if not continuous, activity that focuses on defining, assessing, and developing performance in a manner that aligns with strategic goals (Aguinis, 2013).


     Video 1 : Performance Management 

     Source : Gregg Learning ,2018

Aguinis, H. (2013). Performance management (3rd ed). Boston: Pearson.

Aguinis, H., Joo, H., & Gottfredson, R. K. (2011). Why we hate performance management—And why we should love it. Business Horizons, 54, 503–507. doi:10.1016/j.bushor.2011.06.001.

Davinder,S.,2010, Performance Appraisal and Management,1st ed.India,

Himalaya Publishing House.

Deanne, N.D.H., Paul,B. and  Jaap,P.,2004, ‘Performance Management: A model and research agenda’, Erasmus Universiteit Rotterdam,pp.1-20.

Hooria,S.,Lubna,K.,Mattiullah,B.,2018, 'Effect of Performance Management on Employees Well-Being via Perceived Job Control ',Macrothink Institute,2(1),pp.18-32.

Manchester Metropolitan University,ND, ‘Performance Management An introduction’,1st ed.UK, Department of Human Resources, Manchester Metropolitan University.

Pulakos, E. D., Mueller-Hanson, R. A., O’Leary, R. S., & Meyrowitz, M. M. (2012). Building a high-performance culture: A fresh look at performance management. Effective Practices Guidelines. Alexandria, VA: SHRM Foundation.