Performance Management

Performance management can be defined as a systematic process for improving organizational performance by developing the performance of individuals and teams. It is a means of getting better results from the organization, teams and individuals by understanding and managing performance within an agreed framework of planned goals, standards and competence requirements. Processes exist for establishing shared understanding about what is to be achieved, and for managing and developing people in a way that increases the probability that it will be achieved in the short and longer term. It is owned and driven by line management.
Other definitions

Performance management is: The development of individuals with competence and commitment, working towards the achievement of shared meaningful objectives within an organisation which supports and encourages their achievement
Performance management is managing the business
Performance management is: the process of ‘Directing and supporting employees to work as effectively and efficiently as possible in line with the needs of the organisation
Performance management is a strategic and integrated approach to delivering sustained success to organisations by improving the performance of the people who work in them and by developing the capabilities of teams and individual contributors

AIMS OF PERFORMANCE MANAGEMENT

The overall aim of performance management is to establish a high-performance culture in which individuals and teams take responsibility for the continuous improvement of business processes and for their own skills and contributions within a framework provided by effective leadership. Its key purpose is to focus people on doing the right things by achieving goal clarity.

Specifically, performance management is about aligning individual objectives to organizational objectives and ensuring that individuals uphold corporate core values. It provides for expectations to be defined and agreed in terms of role responsibilities and accountabilities (expected to do), skills (expected to have) and behaviours (expected to be). The aim is to develop the capacity of people to meet and exceed expectations and to achieve their full potential to the benefit of themselves and the organization. Importantly, performance management is concerned with ensuring that the support and guidance people need to develop and improve are readily available.

The following are the aims of performance management as expressed by a variety of organizations

Empowering, motivating and rewarding employees to do their best (Armstrong World Industries).
Focusing employees' tasks on the right things and doing them right. Aligning everyone's individual goals to the goals of the organization (Eli Lilly & Co).
Proactively managing and resourcing performance against agreed accountabilities and objective
Linking job performance to the achievement of the council's medium- term corporate strategy and service plans (Leicestershire County Council).

The alignment of personal/individual objectives with team, department/divisional and corporate plans. The presentation of objectives with clearly defined goals/targets using measures, both soft and numeric. The monitoring of performance and tasking of continuous action as required (Macmillan Cancer Relief).

All individuals being clear about what they need to achieve and expected standards, and how that contributes to the overall success of the organization; receiving regular, fair, accurate feedback and coaching to stretch and motivate them to achieve their best (Marks & Spencer Financial Services).Systematic approach to organizational performance aligning individual accountabilities to organizational targets and activity (Royal Berkshire and Battle Hospitals NHS Trust).The process and behaviours by which managers manage the performance of their people to deliver a high-achieving organization (Standard Chartered Bank).Maximizing the potential of individuals and teams to benefit themselves and the organization, focusing on achievement of their objectives (West Bromwich Building Society).