Managing people in organisations is becoming more and more important nowadays so as to produce the best result and achieve efficiency. Therefore employees should be managed efficiently so as to add value in organisations.
Performance management is not new, despite the fact that nowadays more emphasis is being laid on it, especially in the public sector. Performance management system is considered as a tool to an organisation.
Performance management is a whole work system that begins when a job is defined as needed. It ends when an employee leaves your organisation. The performance management system is a process which increases competence, decreases cost and promotes quality.
Performance management is a term borrowed from the management literature. The term ‘performance management’ was first used in the 1970s, but it did not become a recognised process until the later half of the 1980s (Armstrong & Baron, 1998).
It has been among the most important and positive developments in the sphere of management in recent years.
The meaning of performance management has evolved and continues to evolve. While in the sixties and seventies performance management was often equated to some form of merit-rating, in the eighties and nineties it has been linked to ‘new’ management paradigms such as Management by Objectives, Performance Appraisal, Behaviourally Anchored Rating Scales and Performance-related Pay.
The ultimate competitive asset of any organization is its people (Band et al., 1994), thus organizations should develop employee competencies in a manner aligned with the organization’s business goals. This can be achieved through performance management systems (Moullin, 2003), which act as both behavioural change tool and enabler of improved organizational performance through being instrumental in driving change.
ORGANIZATION INDIVIDUAL 组织个人
Defines mission, values, strategies and objectives 定义使命、价值观、战略和目标
Understands and agrees objectives 理解并同意目标
Define tasks, standards and performance measures 定义任务、标准和绩效度量
Understands and agrees tasks, standards and performance measures 理解并同意任务、标准和绩效衡量标准
Monitors organisational, team and individual performance 监控组织、团队和个人绩效
Monitors own performance 监控自身性能
Develops team and individual performance 发展团队和个人绩效
Develops own performance 发展自己的绩效
Performance management therefore aims to emphasize and encourage desired and valued behaviours (Risher, 2003), thus is a key tool of communication and motivation within organizations seeking a competitive edge through strategic change and control.
Performance management then becomes a system for translating organizational intention and ambition into action and results delivering a strategic goal, such as behavioural change (Band et al., 1994).
Band, D.C., Scanlan, G. and Tustin, C.M. (1994), “Beyond the bottom line: gainsharing and organizational development”, Personnel Review, Vol. 23 No. 8, pp. 17-32.
Moullin, M. (2003), “Defining performance measurement”, Perspectives on Performance, March, p. 3.
Risher, H. (2003), “Refocusing performance management for high performance”, Compensation and Benefits Review, Vol. 35 No. 5, pp. 20-30.
DEFINITION OF PMS PMS的定义
Fowler (1990) defines performance management as: “the organisation of work to achieve the best possible results. From this simple viewpoint, performance management is not a system or technique, it is the totality of the day-to-day activities of all managers.”
The (then) Institute of Personnel Management (1992) produced a similar definition: 当时的人事管理研究所（1992年）给出了类似的定义
“A strategy which relates to every activity of the organisation set in the context of its human resources policies, culture, style and communications systems. The nature of the strategy depends on the organisational context and can vary from organisation to organisation.”
Storey and Sisson (1993) define performance management as: “an interlocking set of policies and practices which have as their focus the enhanced achievement of organisational objectives through a concentration on individual performance.”
Fletcher (1992) provides a more organisational definition of performance management:
“an approach to creating a shared vision of the purpose and aims of the organisation, helping each individual employee understand and recognise their part in contributing to them, and in so doing manage and enhance the performance of both individuals and the organisation.”
Performance management systems are defined as: 绩效管理系统定义为
the formal, information-based routines and procedures managers use to maintain or alter patterns in organizational activities (adapted from Simons, 2000).
Simons, R. (2000), Performance Measurement and Control Systems for Implementing Strategy: Text and Cases, Prentice-Hall, Upper Saddle River, NJ.
Armstrong and Baron (1998):
“Performance management, in a human resource management (HRM) sense, is the process of delivering sustained success to organizations by improving capabilities of individuals and teams.”
Armstrong and Baron define performance management as “a process which contributes to the effective management of individuals and teams in order to achieve high levels of organisational performance.” As such, it establishes shared understanding about what is to be achieved and an approach to leading and developing people which will ensure that it is achieved. They go on to stress that it is “a strategy which relates to every activity of the organisation set in the context of its human resource policies, culture, style and communications systems. The nature of the strategy depends on the organisational context and can vary from organisation to organisation.”
In other words performance management should be: 换句话说，绩效管理应该是
Strategic – it is about broader issues and longer-term goals 战略——它涉及更广泛的问题和更长期的目标
Integrated – it should link various aspects of the business, people management, and individuals and teams.集成–它应该将业务、人员管理、个人和团队的各个方面联系起来。
It should incorporate: 它应包括
Performance improvement – throughout the organisation, for individual, team and organisational effectiveness
Development – unless there is continuous development of individuals and teams, performance will not improve
Managing behaviour – ensuring that individuals are encouraged to behave in a way that allows and fosters better working relationships.
Armstrong and Baron stress that at its best performance management is a tool to ensure that managers manage effectively; that they ensure the people or teams they manage:
know and understand what is expected of them 了解并理解对他们的期望
have the skills and ability to deliver on these expectations 具备实现这些期望的技能和能力
are supported by the organisation to develop the capacity to meet these expectations are given feedback on their performance
have the opportunity to discuss and contribute to individual and team aims and objectives.
It is also about ensuring that managers themselves are aware of the impact of their own behaviour on the people they manage and are encouraged to identify and exhibit positive behaviours.
PERFORMANCE MANAGEMENT AS AN INTEGRATING PROCESS 绩效管理作为一个集成过程
Performance management is concerned with the interrelated processes of work, management, development and reward. It can become a powerful integrating force, ensuring that these processes are linked together properly as a fundamental part of the human resource management approach which should be practised by every manager in the organisation.
CHARACTERISTICS OF PMS PMS的特性
Armstrong and Baron (1998) define performance management by eliciting the characteristics of a performance management system, which are as follows: Armstrong和Baron（1998）通过引出绩效管理系统的特征来定义绩效管理，具体如下：
It communicates a vision of its objectives to all its employees.它将目标愿景传达给所有员工
It sets departmental, unit, team, and individual performance targets that are related to wider objectives.它设定了与更广泛目标相关的部门、单位、团队和个人绩效目标。
It conducts a formal review of progress towards these targets.它对实现这些目标的进展进行正式审查。
It uses the review process to identify training, development and reward outcomes.它使用审查过程来确定培训、发展和奖励结果。
It evaluates the whole process in order to improve effectiveness.它评估整个过程，以提高效率。
It defines a managerial structure to look after all the characteristics above, so that individual staff and managers are assigned specific responsibilities to manage the Performance Management System.它定义了一个管理结构，以照顾上述所有特征，从而为个别工作人员和管理人员分配了管理绩效管理系统的具体职责。
Furthermore, a performance management system should have SMART objectives namely; Specific, Measurable, Appropriate, Relevant and Timed.
PURPOSES OF PMS PMS的目的
Armstrong and Baron (1998, pp. 51-6), Williams (2002, pp. 219-24), Poister (2003, pp. 9-15) and others have noted that organisations introduce performance management and/or measurement for a variety of purposes which might include one or more of the following 17 (the list below is not intended to be exhaustive):
(1) to provide information on organisational effectiveness; 提供组织有效性信息；
(2) to provide information on employees’ effectiveness; 提供有关员工工作效率的信息；
(3) to improve organisational effectiveness; 提高组织效率；
(4) to improve employees’ effectiveness; 提高员工的工作效率；
(5) to provide information on organisational efficiency; 提供有关组织效率的信息；
(6) to provide information on employees’ efficiency; 提供有关员工效率的信息；
(7) to improve organisational efficiency; 提高组织效率；
(8) to improve employees’ efficiency; 提高员工效率；
(9) to focus employees’ attention on areas deemed to be of greatest priority; 将员工的注意力集中在被视为最优先的领域；
(10) to improve employees’ levels of motivation; 提高员工的积极性；
(11) to link employees’ pay with perceptions of their performance; 将员工的薪酬与其绩效认知联系起来；
(12) to improve the quality of employees’ training and development; 提高员工培训和发展的质量；
(13) to raise levels of employee accountability; 提高员工问责水平；
(14) to align employees’ objectives with those of the organisation as a whole; 使员工的目标与整个组织的目标保持一致；
(15) to improve customer service; 改善客户服务；
(16) to facilitate the implementation of an organisation’s mission and/or strategy; 促进组织使命和/或战略的实施；
(17) to act as a lever of change in developing a more performance oriented culture. 作为变革的杠杆，发展更注重绩效的文化。