Study Unit 1: Performance Management in Context
Learning outcomes:
1. Explain the concept of performance management
Performance management is a fundamental part of the rest of the enterprise and something
recognised as contributing to the achievement of the strategic goals of the organisation.
Performance management is a continuous process of identifying, measuring and developing
the performance of individuals and teams and aligning performance with the strategic goals
of the organisation.
Two main components:
Continuous Process – Performance management is on-going. It involves a never-ending
process of setting goals and objectives, observing performance and receiving on-going
coaching & feedback.
Alignment with Strategic Goals – Performance management requires managers to ensure
that employees’ activities and output are congruent with the organisation’s goals and
consequently help the organisation gain competitive advantage.
Performance therefore creates a direct link between employee performance and
organisational goals and makes the employee’s contribution to the organisation explicit.
2. Distinguish between performance management and performance appraisal (pg. 10 -11)
Performance management is not performance appraisal.
Performance appraisal refers to a system that involves employee evaluation once a year
without any effort to provide feedback and coaching so that performance can be improved.
Performance management is more than just evaluating employee performance. It is clear
that it is an on-going process rather than a one-off event taking place, for instance annually
or biannually. It is a comprehensive, continuous and flexible approach to the management
of organisations, teams and individuals which involve the maximum amount of dialogue
between those concerned.
3. Illustrate by means of a diagram the performance management process (pg. 7)
1. Prerequisites
2. Performance
Planning
3. Performance
Execution
4. Performance
assessment
5. Performance
Review
6. Performance
renewal & re-
contracting
Learning outcomes:
1. Explain the concept of performance management
Performance management is a fundamental part of the rest of the enterprise and something
recognised as contributing to the achievement of the strategic goals of the organisation.
Performance management is a continuous process of identifying, measuring and developing
the performance of individuals and teams and aligning performance with the strategic goals
of the organisation.
Two main components:
Continuous Process – Performance management is on-going. It involves a never-ending
process of setting goals and objectives, observing performance and receiving on-going
coaching & feedback.
Alignment with Strategic Goals – Performance management requires managers to ensure
that employees’ activities and output are congruent with the organisation’s goals and
consequently help the organisation gain competitive advantage.
Performance therefore creates a direct link between employee performance and
organisational goals and makes the employee’s contribution to the organisation explicit.
2. Distinguish between performance management and performance appraisal (pg. 10 -11)
Performance management is not performance appraisal.
Performance appraisal refers to a system that involves employee evaluation once a year
without any effort to provide feedback and coaching so that performance can be improved.
Performance management is more than just evaluating employee performance. It is clear
that it is an on-going process rather than a one-off event taking place, for instance annually
or biannually. It is a comprehensive, continuous and flexible approach to the management
of organisations, teams and individuals which involve the maximum amount of dialogue
between those concerned.
3. Illustrate by means of a diagram the performance management process (pg. 7)
1. Prerequisites
2. Performance
Planning
3. Performance
Execution
4. Performance
assessment
5. Performance
Review
6. Performance
renewal & re-
contracting
