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‡ Maintaining interrelations is complex

‡ It depends upon various factors
1. Nature of industry
2. Its size
3. Nature of leadership
4. Orgn culture
5.Environment of competitiveness
Ú Industrial environment
2. Resources
‡ Desired performance ±Employees perception
& attitudes
‡ Actual performance± Employees behaviour &
performance
‡ Gap analysis ±Individual, Team, Orgn
‡ Cause analysis
1. Reward and compensation
2. Data and information
3. Resources - Tools ± Environment
4. Individual copetence
5. Motives and expectations
6. Skills and knowledge
7. Ethics in behaviour and action
‡ HR INTERVENTIONS
1. Feedback and counseling
2. Change management
3. Team building
4. Talent MGT
5. T&D
6. Reward MGT
7. Competency mapping and Learning
8. Ethical performance`
 H R outcomes
1. Quality work
2. Tangible rewards
3. Future growth
4. Enabling environment & inspiration
‡ Orgnal performance improvement
‡ Orgnal effectiveness
‡ Competitive advantage
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‡ Helps to clarify the vision, mission ,
strategy and values of the orgn.
‡ Help to improve various business process
‡ Help to attract and retain talent
‡ Facilitates competency mapping and T&D
‡ Assist to validate the recruitment &
selection process
‡ Help employees to attain full potential and
balance between work and personal life
‡ I R to Individual relations
‡ Enables sustainable orgnal.
Competitiveness , innovation , low
employee turnover
‡ Builds intellectual capital at all levels
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‡ PMS is a process of linking an employee job
objectives to the orgn.¶s objectives and strategy
‡ Every system will have its objectives/
components/elements and a process
‡ Every orgn. Needs a well defined and well
established system
‡ It ensures effective management
‡ PMS enables realisation of the orgn.¶s strategy
‡ PMS is to boost employees performance and
ultimately the productivity of the orgn.
‡ The purpose of setting PMS is to become
better
‡ It refers to a set of orgnal. Managerial, team
and individual matrics used
 

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‡ Orgnal. Objectives and strategy
1. Ultimate goal achievement
2. Competitive position
3. Comparing orgn. Strengths with changing
environment
4. Examining critical issues of the orgn.
5. Analysing opportunities of the orgn.
6. Exploring best approaches- resources
&competencies
‡ Assessment of orgnal. Performance
1. Identifying competencies for achieving
the best
2. Determining new and future performance
needs
3. Prioritising performance improvement
measures
4. Recognizing core values of the orgn.
‡ Setting orgnal. Perf expectations
1. Determining required Vs desired
2. Determining the current status
3. Understanding , aligning and agreeing on perf
expectations
4. Formulating key performance indicators
5. Evolving job objectives
6. Aligning individual goals with orgnal.
Strategy
‡ Establishing PFM process
1. Designing a frame work
2. Performance planning
3. Performance execution
4. Performance monitoring
5. Performance assessment
6. Performance review
‡ Measuring effectiveness of PFM
1. Identifying opportunities for performance
development
2. Providing performance counseling including
360 degree feedback
3. Developing reward strategy and implementing
4. Instituting PFM audit
5. Improvement in competitive position of the
orgn.
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‡ To leverage performance of the orgn.
‡ To create role clarity and clarify
performance objectives
‡ To promote high performance work
culture
‡ To encourage teamwork , a sense of
belongingness and ownership
‡ To develop employees by identifying
T&D needs
‡ To improve relationships through two- way
communication
‡ To bring out the hidden potential and
capabilities of the employees
‡ To focus more on process
‡ Initiating, developing and implementing a
follow up action
‡ To recognise, reward and compensate
employees achievement in a more
objective. Transparent and equitable way
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‡ Recruitment and promotion of employees
into roles that fit their talent
‡ Creating a supporting work environment ±
to develop to the fullest
‡ A systematic measure of an employees
value to the orgn.
‡ Data regarding strengths and weaknesses of
employees
‡ Involvement of employees in setting goals
‡ Disciplinary action based performance data
‡ Clear linkage between performance and
remuneration
‡ Empowered teams to develop their own work
plans
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‡ .´Each one of you is physically ready. Now go there and do
your best . No one can ever ask more than that´
‡ ³You should strive to achieve 95% in your board exam´
‡ In the late 1960s Edwin Locke proposed that intentions to
work toward a goal is a major source of work motivation.
‡ Goals tell-what needs to be done and how much effort need
to be put.
‡ This theory tells about the goal value.
1. Specific goals increase performance.
2.difficult goals when accepted ± result high performance
than easy goals.
3.Feedback leads to higher performance.
4.Specific goals------General goals
5 .Accepted goals acts as internal stimulus.
6.Generally people accept easy goals.
7.Positive feedback ±work better.
8.Self generated feedback is more powerful.
9.Participative goal setting and assigned goals.
10. Difficult goals --Resistance greater.
11.Participative --Difficult goals will be accepted.
 The other factors influencing goal
performance:
1. Goal commitment.
2.Self efficacy-
a) Individual belief.
b)Higher self efficacy-more confidence in
ability to succeed ,try hard goals and
respond to negative feedback.
c) Lower self efficacy---less effort, may give
up, negative feed back ±lesser effort.
3.Task characteristics:
a)Individuel goal setting does not work equally
well on all tasks.
b) Goals have more substantial effort on
performance:
Simple± complex,
Learned rather than novel,
Independent rather than dependent.
EXPECTANCY THEORY
‡ According to this theory an employee will be
motivated to exert a high level of effort when
he or she believes that effort will lead to
‡ A good performance appraisal (Expectancy)
‡ That a good performance appraisal will lead to
orgnal rewards such as bonus, a salary
increase ,or a promotion (Instrumentality)
‡ That the reward will satisfy the employee¶s
personal needs/ goal (Valence)
‡ It focuses on three relationships:
1.Effort²performance relationship
Believes that exerting a given amount of effort will
lead to performance.
2.Performance--- reward relationship
Believes that performing at a particular level will lead to the
attainment of a desired outcome and will be rewarded.
3. Reward----personal goal relationship.
The degree to which orgnal rewards satisfy individual¶s
personal goals or needs and the attractiveness of those
potential rewards for the individual.