TOPIC 2 :

HUMAN  RESOURCE  PERFORMANCE  MANAGEMENT  SYSTEMS.

Based on my understanding from my previous Performance Management subject, performance is ongoing process of identify, measure and develop the individual and team’s performance, align with the organization’s strategic goals. To ensure every employee performs their excellent jobs, organization must have performance management system. 

A performance system consist of objectives for individual, training, monitoring employee’s performance, performance appraisal and follow-up action based on employee appraisal. Employee performance management system refer to ensure every employee works in their best ability align with organization goals and reach their maximum job potential. While performance appraisal is a technique used to evaluate employee performance or job related.

Information in performance management system (PMS) related to salary, performance feedback and identifying employee strength and weaknesses. The purpose of PMS is:

ü  Achieve strategic objectives – align organization goals with individual goals and PMS can influence the consistent employee’s behavior.

ü  Administrative – the information help in decision making such as employee’s salary, promotion, retention, recognition, layoff and many more. It’s really useful in reward system.

ü  Informational – inform employees; how they are doing and the expectations.

ü  Development – feedback; useful for managers to coaching the employees and employees get information about their career.

ü  Organizational maintenance – prepares useful information in workplace planning and related to training needs, performance evaluation and effectiveness of HR.

ü  Documentation – collect valid information for documentation purpose and decision making.

The advantages of implementing the PMS is increase motivation, self esteem and development, can understand the employees, clear job description and specification, fair management, clear organization goals, competent workers, identify good and worst employee’s performance and reduce employee intention to leave organization. On the other hand, the danger that need to be consider is increased employee turnover, inaccurate information, low self-esteem related to feedback, costly and long period (time), effect relationship, unmotivated, burnout and dissatisfaction through assessment, and more.

The good system comprises strategic objectives, easy to use system, specific, meaningful, reliability, validity, acceptable and fair, open system, accurate, standard, ethicality and practical. It’s good for the organization to implement suitable and know how to manage effectively the performance system, this because the result will give effects to the employees, employer and the organization. 

The example of PMS is Enterprise Performance Management System, help organization in business strategy, information and give a set of balanced KPIs data. In conclusion, PMS provide broad and complete of information for organization to manage the employees effectively.  

400 words.

REF:

·         Maimunah Aminuddin, Human Resource Management - Principle and Practices, 2008,  Selangor, Oxford Fajar Sdn Bhd.

·         Michael J. Kavanagh, Mohan Thite and Richard D. Johnson, Human Resource Information Systems- Basic, Application and Future Directions, Los Angeles, Sage.

·         Herman Aguinis, Performance Management, 2009, New Jersey, Pearson Prentice Hall.