Performance measurement and management

11 important questions on Performance measurement and management

Job performance measurement

The collection and use of judgements, ratings, perceptions or more objective sources of information to better understand the performance of a person, team, unit, business, process, program or initiative in order to guide subsequent actions or decisions.

Objective measures of performance

-sales figures
-service duration
-utilization
-results
-production
-quality

proxy measures (objective data that are not directly associated with the task or function of the job. These are actually a poor substitute for relevant job data:

-absence
-safety record
-tardiness/timekeeping

Objective performance data are limited because they fail to tap into why some people perform better than others. For work psychoogists, the best way to establish fairly whether someone is performing at work is to examine behaviour at work.

Components of task performance

- Job-specific task performance: how well a person fulfils the tasks listed on their job description

- Non-job-specific task performance: performance on tasks or assignments outside areas of core responsibility
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Organizational citizenship behaviour (OCB)

Referred to as discretionary or extra-role behaviours. International competition and increased employee autonomy, such behaviours are now considered critical to effective organizational performance.

Three dimensions of OCB

1. Personal support (OCB-I); helping others, teaching them, cooperating with others, showing consideration etc.

2. Organizational support (OCB-O): Defending and promoting it, expressing satisfaction and loyalty etc.

3. Conscientious Initiative: Persisting with extra effort despite difficult conditions. Taking initiative to do al that is necessary to accomplish objectives, developing own knowledge and skills etc.

Counterproductive work behaviours (CWB)

- Proporty damage
- Substance abuse at work
- Violence
- Lateness, absenteeism, social loafing and turnover

Improving rating scales and appraisal measures

Reducing bias:

- Training
- Forced distributions: whereby appraisers are forced to give 10 per cent the top rating, 10 per cent the bottom rating and so on.
- Multiple raters
- Behavioural scales: the rater changes from 'judge' to 'observer'

A model of performance management

The performance measurement is considered alongside the desired level of performance (derived from corporate and individual goals). Performance assessment information is fed back to people in the organization. Where there is a discrepancy between observed and desired levels of performance, performance management interventions would be deployed to prompt improvement in performance. Expectations of performance improvement are then built in to more goals and objectives, forming the basis of the next performance assessment.

Three important processes in this model:
- performance goal setting
- performance feedback
- performance management interventions

Tas complexity and performance and learning goals

LGO are more motivated to learn and understand, whereas PGO are more motivated to achieve their desired goals. Regardless of preferred style, setting challenging learning goals resulted in similar performances from those with LGO and PGO styles.

Goal setting is likely to be most effective when managers understand and are attentive to:

- The format and content of goals
- The mechanisms by which goals are achieved
- The moderators of the goals-performance relationship
- The satisfaction of individuals with the rewards they receive for achieving goals

Characteristics of effective feedback

-timeliness
-frequency
-specificty
-varifiability
-consistency
-privacy
-consequences
-description first, evaluation second
-performance as continuous
-pattern identification
-confidence in the employee
-advice and idea generation

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