Technology scoopcar 0 2020-05-07
The process of setting up an environment of motivation in an organization, where employees and managers should keep on reviewing themselves regularly, and all of them work towards the common goals of the organization, is known as performance management. It is well known that an organization needs to follow performance management because it helps the organization to make a workforce that is skilled and efficient, which helps in increasing the overall productivity of the organization. Moreover, if an organization does not follow the performance management system, it fails in the process of employee motivation. Because of this, their employees become directionless and disengaged from work. Performance Management acts as a vital process for modern organizations. It helps organizations to become more successful and to stay ahead of the competition. Mainly, Performance Management involves measuring, reporting, and managing the progress of the organization to improve the performance of the organization both at an individual and corporate level.  Types of Performance Management Tools and Techniques Every organization, whether commercial or non-commercial, prefers to monitor their overall progress yearly, monthly, or weekly, or some organization does this check even daily. It depends on the amount of work and the type of organization. Therefore, to help the organizations to keep a check on the progress of the organization, many useful Performance management software and tools are available. These tools simplify the work of the organization and also provide benefits to the employees. These Performance management tools are: 
  • Performance Appraisals
  • 360-degree Feedback
  • Key Performance Indicators (KPIs)
  • Personal Development Plans (PDP)
  • Reward and Recognition Programmes
These are the top 5 Performance management tools used by most of the organizations. Each of these tools has its benefits, features, specifications, and flaws. It is upon the organization which type of Performance Management Software is suitable for their organization according to their needs, demands, and scope of growth of the organization and would benefit them.
  • Performance Appraisals
Performance Appraisal is one of the top 5 Performance management tools which are used very commonly. The tool is known to be a potent tool for combining goals of the individual to the common goals of the organization, but when used correctly. To get the most and right amount of output from this tool, employees need to take care that the Appraisal process should be honest, fair, regular, and constructive two-way communication should take place. If these points are not kept in mind, appraisals can work as demotivation for the organization and can lead to a decline in the performance of the organization. Appraisals also helps in identifying the performers who are not performing up to the mark and those who have landed up in the wrong job. 
  • 360-degree Feedback
360-degree Feedback tool usually deals with the evaluation and assessment of the employees which could be either internal or external. The main question which this tool has to answer is “How Well are their Employees Performing?”. It provides each and every individual of the organization with a detailed assessment of their performance on the basis of the views of the people for whom and with whom they work. These people include their Supervisors, Managers, Colleagues, Customers, Suppliers, Agents, and so on. The reports or the results are always confidential and therefore presented to the employees usually by their managers. 360-degree Feedback tool is therefore, typically, used in employee training and development. When this tool is used effectively and efficiently, it helps in simplifying the review process as it considers the opinions of many people instead of reviews of just the manager of the employee.
  • Key Performance Indicators (KPI’s)
KPI is a perfect Performance management Software that provides different ways to measure how well the organization, its units, projects, or the individual employees are performing to fulfill the organizational goals and objectives. It is a form of hr software. KPI is not only in terms of measurements, but it is also used in enabling performance conversations, which are rich data-driven and also help in making better decisions for the organization. Well-designed KPI's act as an essential navigational instrument, which gives the exact and clear picture of the current levels of the performance of the organization and finds out whether the business has achieved its goals and objective
  • Personal Development Plans (PDP)
A personal development plan is an expertly and efficiently designed action plan which is based on the needs, wants, and awareness of the actions that are going to support the personal and organizational development. PDP's are most often used to identify various types of training and development needs and by looking at this creating an action plan for fulfilling these needs. It helps individuals to set out the way they want to grow and to find out how they can achieve their goals. This builds the interest of the individual towards the company and helps them improve their performance in the organization. To ensure high performance of the organization, different Performance management tools, techniques, and processes like the PDP, acts as an essential part of the organization for increasing the performance of the organization. The performance and growth of the organization are the only aims of the organization regardless of the size of the organization.
  • Reward and Recognition Programmes
The excellent performance of the employees should always be praised and rewarded. As when the employees feel that their hard work and excellent performance goes unrecognized and unrewarded, their motivation turns into demotivation, which makes the employees deviate from the organization's overall objectives and goals. Therefore, every organization should organize rewards and recognition programs, which are an essential part of the whole performance management system of the organization. This also helps in celebrating the high performers of the organization. Many big organizations think reward and recognition programs as a source of distributing financial rewards and incentives like bonuses and increments, but pure praise and recognition of hard-working employees is an essential aspect for maintaining morale and high performance of the employees.