The world is changing. Both individuals and organizations now compete in an international marketplace. Customers want quality goods and services at competitive prices. If the produce of an organization cannot compete, it will have not market. But an organization how to improve productivities and compete with other organizations? Human resource management (HRM) should be used. HRM refer to the policies and practices needed to carry out the people, or personal, aspects of a management position, including recruiting, training, rewarding and appraising.
As the most important part in whole HRM, performance management must be emphasized. Performance management is using by countries such GDP, organizations and individuals. Performance management is concerned to get the best performance from individual, but goes further in that it also aims to get the best performance from the team and from the organization as a whole.
In this assignment, I should discuss what is performance management system, what problems are included in this system and how can these problems be overcome.
2.0 Understanding Performance Management
Performance management derives from the human resource management approach as a strategic and integrated approach to the management and development of people. The process of identifying, evaluating and developing the work performance of employees in the organization, so that the organizational goals and objectives are more effectively achieved, while at the same time benefiting employees in terms of recognition, receiving feedback, catering for work needs and offering career guidance1. This definition emphasizes that performance management is a process. We can see the illustrated following:
(Resource: Raymond J. Stone, 1991, Readings in Human Resource Management, p.91, John Wiley & Sons)
From this definition, we can consider that performance management is concerned with improving not only the performance of the individual, but also the performance of the team and the...