WHAT IS

PERFORMANCE
MANAGEMENT
SYSTEM ?
 It is the systematic approach to measure the performance of
employees.

 It is a process through which the organization aligns their mission,

goals and objectives with available resources, systems and set the
priorities.

 Performance management is an ongoing process of

communication between a supervisor and an employee that occurs
throughout the year, in support of accomplishing the strategic
objectives of the organization.

 The communication process includes clarifying expectations,

setting objectives, identifying goals, providing feedback, and reviewing
results.
What is the
Process Of
Performance
Management
System ?
PMS PROCESS - :

Step I : Identify list of employee eligible for PMS as per policy.

Step II : Prepare bell curve list for HOD’s across all locations.
Step III : Send PMS email as well as bell curve to all HOD’s with last date
to submit the rating & PMS Form of all the employee to HR department.
Step IV : After receiving data from all locations comply all the data and
records.
Step V : Find the variation of the bell curve standard VS actual.
Step VI : If any variations send back the data to HOD for correction & get
back corrected list as per standard.
Step VII : Comply all the data and arrange meeting with top management
regarding strategy on increment, Promotion and actual payout.
Step IX : Freezing the payout & releasing the actual pay.
What is the
importantance of
Performance
Management
System ?
 Enables a business to sustain profitability and performance by
linking the employees’ pay to competency and contribution.

 It provides opportunities for concerted personal development

and career growth.

 It brings all the employees under a single strategic umbrella.

 Most importantly, it gives supervisors and subordinates an

equal opportunity to express themselves under structured
conditions.
What is the need
for Performance
Management
System?
 Result/outcome/Impact

 Correct Performance/Behaviour

 Administer Salary & Wages

 Plan for Future (promotion, transfer, career dev)

 Facilitate Decision-Making (counselling, terminations)

 Facilitate Human Resource Planning

 Create Culture Building

 Good Relationships Increase

 Organizational Loyalty Determine

 Effectiveness of Selection and

 Placement Methods
 Differentiate between Performance
Management and Performance Appraisal?
 BASIS FOR PERFORMANCE PERFORMANCE
COMPARISON APPRAISAL MANAGEMENT
Meaning Performance Appraisal, Performance
means the analysis of Management is the
an employee's management of human
performance and their resources in an
calibre for future organization.
growth and
development.
What is it? It is a system. It is a process.
Nature Rigid Supple
Type of tool Operational Tool Strategic Tool
Owned by Human Resource Managers
Department
Conducted Annually Continuously
Approach Individualistic Holistic
Focused on Quantitative Aspects Qualitative Aspects
Corrections Retrospective Prospective
Performance Management :
Process used to identify, encourage,
measure, evaluate, improve, and
reward employee performance.
Performance Appraisal:
The process of evaluating how well
employees perform their jobs and then
communicating that information to the
employees.
 What is the role Of
Leadership in
Performance
Management System ?
The 6 essentials to transform performance management so that

it becomes a key contributor to business success.

 Link performance management to business strategy

 Be clear on your critical success factors

 Avoid over load

 Determine the question you are trying to answer

 Have a balanced set of answers

 Involve people
What are the
Errors of
Performance
Management
System?
• Central tendency • Holding a grudge

• Favouritism • The horns effect

• Grouping • Bias

• Guilt by association • Regency

• The halo effect • The sunflower effect

Every Manager is A HR
• Each team will be asked 2
questions of 10 marks each. They
will be given 30 seconds for each
question.

•If the allotted team is unable to

answer the question then the
question will passed on to the
subsequent teams.

•Subsequent teams will be given

15 seconds to answer & will be
awarded 5 marks for each correct
answer.
_______ is defined as the record of outcomes
produced on a specific job function or activity
during a specific time period.

(A)Performance
(B) Work function
(C) Evaluation
(D) None of the above
______ is the personnel activity by
means of which the enterprise
determines the extent to which the
employee is performing the job
effectively.

(A)Job evaluation
(B) Work evaluation
(C) Performance evaluation
(D) None of the above
College Professors are
generally evaluated on the
following Work function(s).

(A)Teaching
(B) Service
(C) Research
(D) All of the above
In which evaluation method, the
evaluator is asked to describe the strong
and weak aspects of the employee’s
behaviour.

(A)Graphic rating scale

(B) Forced choice
(C) Essay evaluation
(D) Management by Objective
The following system combines the
superior and self evaluation systems?

(A)Graphic rating scale

(B) Forced choice
(C) Essay evaluation
(D) Management by Objective
In this technique, personnel specialists and
operating managers prepare lists of
statements of very effective and very
ineffective behavior for an employee.

(A)Critical incident technique

(B) Forced choice
(C) Essay evaluation
(D) Management by Objective
The following technique(s) is based on the
critical incident approach.

(A)Behaviorally anchored rating scales

(BARS)
(B) Critical incident technique
(C) Both (A) and (B)
(D) None of the above
Paired comparison method can be used by?

(A) Superiors
(B) Peers
(C) Subordinates
(D) All of the above
a/an ______ is a plan or programmes to
motivate individual or group performance.

(A)Incentive scheme
(B) Promotion scheme
(C) Reward
(D) None of the above
An incentive plan may consist of :

(A)Monetary
(B) Nonmonetary
(C) Both ‘monetary’ and
‘nonmonetary
(D) None of the above
A/An ______ is a vertical
move in rank and
responsibility.

(A)Increment
(B) Appraisal
(C) Promotion
(D) None of the above
The following technique is used to evaluate an
employee individually.

(A)Graphic scale rating

(B) Ranking
(C) Paired comparison
(D) Forced distribution
The technique that have been used to evaluate an
employee in comparison with other employees

(A)Ranking
(B) Forced choice
(C) Essay evaluation
(D) Critical incident technique
The Recognition may be shown in the
form of :

(A)A pat on the back of employee

(B)Promotion
(C)Assignment of more interesting tasks
(D)All of the above
Crossword Puzzle

Rules :

• Each team would be given 10 minutes

to solve .
Role play Case Study
Rules :

Each Team would be given-

• 10 minutes to prepare
• 5 minutes maximum to present
• Every member should actively participate
in the Role Play
Raga Keerthika . M 18MBARB097
Anaida Khan 18MBARB101
Prinsha . C. 18MBARB085
Pushpa Latha . N. 18MBARB086
M . Naima Mizra. 18MBARB081