Strategic goals defined by the leadership is the yoke that steer the organization towards the continual existence. The strategic goals target the long-term survival and often reflected in the organization’s mission and goals. This is the key point before developing a PfM system.
According to Aguinis (2009a) the first stage of the PfM implementing is to identify,
1. The organization’s mission and strategic goals
2. Knowledge about the task
These are crucial to develop an efficient PfM system to identify the goals and how better to get there. The first prerequisite is important as illustrated below, because it ensures that the employees’ work aligns with the organization’s goal & strategy.
Figure 1 Hierarchy of goals in various management level
The final prerequisite of PfM is the knowledge about the job in hand. To better understand the job, job analysis are utilised. Job analysis tools identify the key ingredients of a job such as activities, tasks, products, services and process and sometimes including personality traits required. (Aguinis, Mazurkiewicz, & Heggestad, 2009c).
A common example for the job analytical tool is a job specific interview, where the leader asses the task requirement along with the employee skills by asking questions and determine the suitability.
References
Aguinis, H. (2009a). An expanded view of performance management. In J. W.Smither and M. London (Editors.), Performance management: Putting research into practice .pp. 1–43. San Francisco, CA: Wiley
Aguinis, H. (2009b). Performance management. 1st ed. Upper Saddle River, NJ: Pearson Prentice Hall.
Aguinis , H., Mazurkiewicz , M. D. , & Heggestad , E. D. ( 2009c). Using web based frame-of-reference training to decrease biases in personality-based job analysis: An experimental field study . Personnel Psychology, 62, pp. 405–438.
These are the first 2 steps to be taken when implementing the PM system for an organisation.
ReplyDelete1. Clear Understanding of the organisation mission and it's strategic goals
2. How much knowledge does the employee has towards the task.
Implementing change initiatives in organizations is extremely problematic and particularly in relation to human resource management (HRM) initiatives.
ReplyDeleteThe challenges inherent in implementing new HRM systems and procedures.
However, the use of performance management is not without its challenges, initial employee resistance and a resulting initial spike in labor turnover.
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However, findings indicate that if nonprofit organizations are willing to undertake consultation with staff and ensure that the organization's specific context, values, and mission are reflected in the performance management system, it can be a useful tool for managers and a direct benefit to employees.
[ First published: 15 March 2011
https://doi.org/10.1002/nml.20024 ]
The strategy development process results in clear strategic objectives and action plans for measurable performance improvement. These are based on a through understanding of the key value drivers that are aimed at achieving a competitive advantage. Business issues that drive organizations to improve the strategy development process are the lack of focus of the strategic plans and the low quality of the strategic targets.
ReplyDeleteReference
Ana-Maria, Grigore & Constantin, Bagu & Radu, Catalina. (2009). THE STRATEGIC PERFORMANCE MANAGEMENT PROCESS. Annals of Faculty of Economics. 4. 276-279.