Top 3 reasons to focus on Employee Performance Management
In today’s organizations where strategic and dynamic HR practices are on the go, employee performance management practices play a key role in building the overall organizational competency and effectiveness.
So, what is Employee performance management?
Employee performance management is a continuous process that aims at achieving an overall positive business outcome by focusing on nurturing and developing individual employee performances. It is a goal-oriented process, wherein individual employee goals are set, tracked, measured, re-defined and rewarded on a continuous basis. Employee performance management ensures that individual goals align with overall organizational goals and the effectiveness of individual performances sum up to achieve strategic business objectives.
Why do organizations have to focus on Employee Performance Management?
While there can be a multitude of reasons for organizations to focus on bringing good performance management processes in place, we aim to concentrate on three major ones that could be claimed as direct or indirect outcomes of inculcating good employee performance management processes within an organization.
1. Build competencies, nurture your employees and help them develop
Employee Performance management being a continuous and dynamic process, helps organizations to completely focus and assess each employees quality of work, identify gaps (if any) and foster mechanisms to improvise performance .It also reinforces immediate reward and commendable work output. By identifying individual employee strengths and weaknesses, organizations can not only define training plans to overcome their weaknesses, but can also build on their capabilities in such a way that it is beneficial to the growth of both the individual and the organization.
2. Increased motivation and happier employees, therefore reduced attrition
When continuous performance management practices directly relate to the rewards and growth , the net result on the employee satisfaction and motivation is tremendous. Happy employees, who know that their careers have a well-defined growth plan in the organization, tend to stick on to the organization for a longer duration. Such employees are potential leaders who will work towards the achievement of business goals in future. Apart from retaining talent, these organizations tend to attract the available talent pool from the outside market as well.
3. Achieve business driven talent management
Owing to the above outcomes, organizations will be able to perceive the direct link between employee effectiveness and business effectiveness. Such organizations constantly learn and grow at a faster pace than the others, by focusing more on building business driven talent management initiatives.