A performance management system refers to a comprehensive approach that helps HR teams and managers establish clear performance expectations to help employees understand what is expected of their job. A robust performance management system allows HR managers to ensure that they maintain the individual accountability of employees to meet their respective goals and evaluate their own performance.
A performance management system generally comprises of multiple HR functions, including continuous progress review, frequent communication, real-time feedback, rewarding improved performance, goal setting, training employees for improved performance, and more.
Using good performance management software is an excellent way to develop strong performance management systems as it helps to bring transparency in the process, thereby helping in improving the employee’s engagement. Performance management software is essentially a technology that helps HR managers better understand their employees’ performance and productivity. It also allows managers to easily track, analyze, and evaluate employees, ensuring that their individual goals are met, and the issues they have are addressed preemptively.
Any great performance management software addresses various performance-related issues due to features such as –
- Performance review cycles
- Easy to navigate dashboards
- Availability of customizable review and assessment scripts
- 360 degree and peer reviews
- Development and succession planning