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These ten signs indicate that your company may not need a performance management system

by , 08 July 2014
Performance management systems have been around for many years and they've evolved over time. That said; they're still criticised by most managers and employees.

Some say they aren't effective enough and actually demotivate employees.

So where does this leave your company? Should you do away with a performance management system and stop doing things like performance appraisals and assessing employee performance?

We recommend you first take a look at the checklist below. It contains ten signs your company may not need a performance management system.

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If your company displays any of these ten signs, you may not need a performance management system

The Practical Guide to Human Resources Management gives you a checklist that contains signs that your company may not need a performance management system:

Sign #1: Everyone works towards an explicit and shared vision and purpose.

Sign #2: People work in partnership.

Sign #3: Cohesive and productive teamwork exist (often self-directed).

Sign #4: Everyone in your company is motivated and self-empowered.

Sign #5: Employees in your company feel empowered.

Sign #6: Everyone in your business sees it as their role to improve the skills of others (for example coaching fellow employees).

Sign #7: Open channels of communication exist between all levels and teams/departments.

Sign #8: People in your company don't fear giving other employees/managers feedback.

Sign #9: The environment in your company is fast changing and flexible.

Sign #10: Managers in your organisation have excellent leadership and people skills.

There you have it. If your company shows these signs, you may not need a performance management system.

If you need more information on performance management systems or on the type of performance appraisal approaches you can follow, be sure to check out the Practical Guide to Human Resources Management.



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