Employee Relation Essay

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Managing Employee Performance (HR2009N) Lecturer – Tana Geoffroy How employee performance should be managed within an organisation. The last 20 years has changed the nature of the workplace brought from advances in technology and the economy forcing organisation to compete in a global market. The change in the market has seen the importance in human capital with the Institute of Personal and Development in the UK concluding that people management is not only critical to business but the most important factor in terms of maximise the financial profits of an organization. (Redman and Wilkinson 2006). The growth of Human Resource Management (HRM) saw the move from the focus on appraisal to a broader agenda of improving performance “an emphasis on a more open and honest communication between managers and individuals on behaviour and outcome and the need to engage and motivate employees” (Sparrow 2008 cited in Armstrong 2009 p.26). This holistic approach gave way to the term performance management (PM) which (Armstrong and Barton 2005) describes as “a natural process of management that contributes to the effective management of individual and teams to achieve high levels of organisational performance…it establishes shared understanding about what is to be achieved and a approach to leading and developing people… which will ensure that it is achieved.” The process should be one that is continuous involving setting goals and objectives, observing performance, enabling mangers to give on-going coaching and feedback and then linking these to the strategies of the business. In line with competitive business environment (PM) is designed to maximise and improve performance, it provides an opportunity where the workforce are managed effectively, ensuring everyone is working at their full capacity aligned to the organisation goal. (PM) also offers the grounding

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