Today, performance management is the priority of successful companies. In fact, companies, regardless of their size and sector of activity, are faced with situations that are uncertain, unpredictable and unreadable. In that context, some of them have introduced new approaches to enhance the effectiveness of performance management. Thus, performance management has become indispensable in business. Let us examine the impact of performance management in a company.
[...] Conclusion Performance management has been proved essential in both strategic and operational levels of the company. It is also essential for the relationship between corporate stakeholders. The impact of performance management is an overall impact on the company: It conditions and enriches the company's strategy. It provides the link between strategic and operational actions. The performance management strategy also makes things more efficient by increasing accountability and vigilance of managers, in terms of their goals and performance. It models the company. [...]
[...] Impact on corporate culture Performance management brings about a cultural change in the social life of the company. It is not only considered performance responsiveness, the ability to change the management of the action, but also considered collective responsibility. All this constitutes the culture of a company. Performance management leads to responsiveness and ability to change as it seeks a stronger continuous adaptation of working methods, alertness and responsiveness. But the need for stable and secure standards may be the real barriers to performance. [...]
[...] The impact on management of the action means that performance management focuses on the procedures that can be analyzed. By questioning the actions leading to the performance or performance-cons, it is possible to optimize the activities and work processes, and therefore the performance. Performance management has implications on the optimization of actions. Performance management is also considered an emerging collective responsibility. Performance evaluation is done on the basis of a collective learning perspective rather than individual judgments. This should encourage greater transparency. [...]
[...] Thus, the performance management approach enhances the overall strategy of the company and provides the link between strategic and operational actions. The introduction of Performance Measurement Driving the performance of a firm entails the need to measure performance, in order to correlate it with the strategy used. Managers need information in order to assess the strategic objectives that meet the desired level of performance. The performance management can be well managed if it is based on measurements. Hence, performance management has to be objective. [...]
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