Importance of employee performance management Essay

Importance of employee performance management - Essay Example 72). â€Å"Given the current challenges of the economic climate and high rates of unemployment, performance management and employee evaluation is likely to remain a hot topic† (Gliddon, 2004 cited in Newman, 2008, p. 172). In simple words, performance management of employees is a process of getting the most out of employees. In order to achieve this, organizations need to work on a range of factors that include but are not limited to employees’ motivation, continued learning, skill improvement, allocation of right jobs to the right people, fostering teamwork, and providing the employees with an environment where they can thrive with their capabilities. Performance management has probably never been as important in the organizational context as it is today since the workplace is more dynamic than ever before with new kinds of technology surfacing and being integrated into the work setup so frequently. Managers in the contemporary age not only face the challenge of keepin g updated with the latest advancements of technology and integrating them into the workplace, but they also have to take the required measures to enable the employees to make effective use of those technologies. This makes it a continuous process with great margin of trial and error, requiring great knowledge and experience to handle the intricate issues with respect to performance management. â€Å"If you are a manager, the progress principle holds clear implications for where to focus your efforts. It suggests that you have more influence than you may realize over employees’ well-being, motivation, and creative output. Knowing what serves to catalyze and nourish progress—and what does the opposite—turns out to be the key to effectively managing people and their work† (Amabile and Kramer, 2011). Discussion Why is performance management important? Performance management of employees in an organization derives its importance from the fact that it is a way to reinforce the decisions related to organizational personnel like those related to transfer, promotion, compensation and reward, training and skill development, planning of human resources, and development of the organization as a whole (Bhattacharyya, 2011, p. 58). The level to which each of these factors is considered important may vary from one organization to another but all of these factors govern the performance of employees in any organization. Besides the primary importance of the different factors in different organizations, performance management strengthens the relationship between the management and the subordinates, and improves motivation and flow of communication in the organization, thus improving its overall performance. From the perspective of human capital, performance management plays a very important role in the development of the human capital of an organization (Smither and London, 2009). The importance of performance management of employees in the organizat ions is elaborated with the help of some case studies below: Case Study 1 One of the prime motivations behind conducting performance reviews is eradication of bad performers from the organization. This is a case in which performance management helped in the identification and weeding out of a bad leader. Usually organizations tell their managers to establish a paper trial to justify the termination of an employee that is deemed a poor performer. In such cases,

Assignment Essay Example | Topics and Well Written Essays - 2000 words - 10

Assignment - Essay Example These barriers have overtime been significantly eliminated through bilateral and multilateral trade agreements. Classical trade theory, however, predicts that countries specialize in production of commodities which best suits their relative factor endowment. This kind of specialization gives rise to advantage in international trade in merchandise. According to classical trade theory, differences in relative factor endowments cause factors of production specialization causing trade in international markets. Trade theory further expounds that, trade in commodities with varying factor intensities may eliminate local diminishing returns to factors of production and thus the need for capital to flow across the boundaries (Lerner 1952). From another standpoint, Leontief (1954) viewed international commodity trade from the perspective of differences in regional factor proportions such as source of comparative advantage. He argues that different parts of the world have differing intensive intermediate goods and every region specialize in particular type of commodity, which uses their abundant factor intensity Reduction in cost of trade includes transportation, currency exchange and communication also contributed to rise in global commodity trade. Increase in income per head is also another factor that increases cross- border trade. As income per head increases, consumers tend to switch their spending habits away from basic to manufactured commodities, which on the other hand offer more scope for product diversification, differentiation and international trade. The classical trade model stipulates that countries would prefer to produce commodities that are relatively cheaper for them to produce. The weak economic growth mostly amongst the developed economies is one of the major factors that contributed to the sharp decline of the world merchandise trade within this duration. Trade