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Monday, 14 October 2013

Performance Management System – Quick guide

An online performance management system helps to align an organization’s strategic goals with employee performance, while improving the efficiency of the appraisal process.  Businesses can derive a wide range of benefits from deploying an effective performance management system ranging from higher levels of employee engagement and higher productivity to higher profitability. Some key advantages to businesses of deploying a good performance management system include

Online performance management systems help to bring about role clarity and focus on expected behaviors and results. By driving performance and feedback discussions, they ensure greater alignment between managers and their teams leading to higher levels of engagement and involvement. An online performance management system empowers employees by providing them access to information as and when they need, bringing about greater transparency in the process leading to reduced attrition rates.

With an online performance management system, there is a significant reduction in the administrative burden of the HR team as also cost saving by eliminating the need for paper based processes. Employee self service portal provides easy access to data and reports at the click of a button leading to higher productivity and improved decision making.

Online performance management systems also enable structured goal setting process with clearly marked out deliverables. This makes it easier for organizations to recognize and retain high performers with focused interventions. A well managed performance management system also allows you to track training results vs. spend and work towards making training more aligned to business goals.

The system also makes it possible to manage different performance cycles within the same organization such as 6-monthly or 12 monthly performance appraisals, as well as appraisals based on employee anniversaries or ad-hoc reviews. Moreover, they are easily scalable with options of administering different forms for different category of employees or employees located in different geographies. They are also securely routed and password protected with access controls to ensure data is kept secure and confidential.

Key features of a well-designed performance management system include

However, even the best performance management system can be successful only if it is used as an enabler to drive greater focus on the performance discussion and end user experience. The true value of a performance management system is realized only when data from the performance management system should be used to identify and plan focused interventions for driving business results. Read more on OfficeNet Portal.


  1. I love all details that you give in your articles.
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  2. Glad to see the details about performance management system.Really an effective performance management system works towards the improvement of the overall organizational performance.Thanks for sharing the post.