Performance Monitoring

Dr. Palki Sharma

Associate Professor
MBA 3rd Semester
Chandigarh Group of
Colleges
Performance
Monitoring
Performance monitoring may be defined as the process of appraising
an environment of continuous learning and development. It will be
done by maintaining the employee's performance, enhancing
individual competencies to make them more productive for the
organization.
 Characteristics of Performance Monitoring

The key characteristics of performance monitoring are given below:

1. In organizations, a performance monitoring plan is a critical tool for
planning, managing, and documenting data collection.

2. It is an important part of performance management system to control and

measure the behaviors.

3. This helps in maintaining the employees’ performance as per the goals and
objectives of the organization.

4. Performance monitoring helps in building the strong relationships

between the management and employees for their efficient performance.
5. It facilitates career development of employees and provides the training
and development opportunity to employees.

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Objectives of Performance Monitoring
1. Timely and quality fulfillment of managing tasks and goals.

2. To improve employee’s job performance as well as methods and

techniques of measuring.
3. Introducing the continuous learning and development process.

4. Periodic reviews help the performance of manager.

5. It helps in correct planning assumptions and errors mid-course

before it is too late.

6. It monitors and encourages progress, and keep the work on track.

7. It strengthens a dyadic relationship(relationship b/w two people)

between the manager and the employee.

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Importance of Performance Monitoring

• Performance monitoring provides scope for modification, change, and or alteration of the existing
performance management system as per the outcomes measured in the process.

• It helps in reviewing and correcting performance objectives. Because it is linked to the mission
and objectives of the organization.

• It identifies areas for competency improvement for the overall development of employees and the
organization.

• It continually enhances the performance of employees and making them efficient.

• It helps in realizing the full potential of employees and organizations for excellence in
performance.

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Process of Performance Monitoring

In this process, the manager observes manage performance through:

• Periodic written reports.

• Scheduled meetings.

• On-the-spot inspections, or field or site visits in case of managees

whose location is different from that of the manager.

• Relevant and reliable information from other available sources.

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Performance Implementation :

Implementation is the process that turns strategies and plans into

actions in order to accomplish strategic objectives and goals.
Performance management is a strategic process and an integrated
approach. The process involves an ongoing dialogue between the
supervisor and the employee for setting goals which are achievable
and contribute in the direction of fulfillment of the organizational goal.

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Implementing Performance Management
in 4 Steps
• Performance management step 1: set expectations: Performance
management starts with meeting with each employee to discuss
which results and behaviors are expected of them.
• Performance management step 2: observe :Keep track of examples
of good and bad performance on a daily basis. These examples will
be used during the performance review process to highlight what
improvements are needed.
• Performance management step 3: assessment :for some positions it
may be appropriate to evaluate results, for others behaviors, and for
some, both.
• Performance management step 4: review: The final step of
performance management is to sit down with the employee and
discuss their performance during the review period. Share your
observations, assessments, and feedback, and ask the employee for
their opinion on what they did well and what they need to improve
on.
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Performance Management Cycle

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SMART that stands for Specific, Measurable, Achievable, Relevant
and Time-Bound. Setting SMART Metrics helps to clarify what success
means to a business, which will ultimately help it achieve that success.

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Role of HR Professionals in Performance
Management
Human resources (HR) professionals conduct a wide
variety of tasks within an organizational structure. A
brief review of the core functions of human resource
departments will be useful in framing the more
common activities a human resource professional
will conduct. The core functions can be summarized
as:

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Ethics

Ethics, also called moral philosophy, the discipline concerned with

what is morally good and bad and morally right and wrong. The term
is also applied to any system or theory of moral values or principles.
Acc to R. Wayne Mondy,” Ethics is the discipline dealing with what is
good or bad or right or wrong or with moral duty & obligation.”

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Major Ethical Issues

1. Equal Opportunity: The HR managers must regularly monitor the

company's hiring practices to make sure there is no discrimination
in the hiring process based on Gender, race, religion and disability.
2. Privacy: Privacy is always a sensitive matter for an HR manager.
Though a company culture may be friendly and open and motivates
employees to freely discuss personal details and lifestyles, the HR
manager has an ethical obligation to keep such matters private. The
employee wants the organization to protect his/her personal life.
3. Compensation and Skills: HR managers can suggest compensation.
While these recommendations may be based on a salary range for
each position, ethical dilemmas arise when it comes to
compensating employees differently for the same skills.
4. Opportunity for New Skills: HR managers should provide more
opportunities to employees so that their skills can be developed.
5. Fair Working Conditions: HR must provide fair working conditions
to their employees in the business environment.
6. Cash and Incentive Plans:
Cash and incentive plans include issues like basic salaries, annual
increments or incentives, executive perquisites and long term
incentive plans.
7. Employees Discriminations:
A framework of laws and regulations has been evolved to avoid the practices of
treatment of employees on the basis of their caste, gender, religion, disability,
age etc. No organization can openly practice any discriminatory policies, with
regard to selection, training, development, appraisal etc.

8.Performance Appraisal: Ethics should be the basis of performance evaluation.

Highly ethical performance appraisal demands that there should be an honest
assessment of the performance and steps should be taken to improve the
effectiveness of employees. However, HR managers, sometimes, face the
dilemma of assigning higher rates to employees who are not deserving them;
based on some unrelated factors eg. closeness to the top management.
 Techniques for managing Ethics:
1. Top Management: They should take initiative of ensuring ethical
standards in the organization.
2. Code of Ethics: The basic purpose of code of ethics is to provide
guidance to managers and employees when they face an ethical
dilemma.
3. Ethics Committees: Many organizations have established ethics
committees to advise the organization on ethical issues. It consists
of CEO & Board of Directors. The committee helps the company by
giving advice on ethical issues.
4. Ethics Training Programmes: Many organizations are providing
ethics training programmes to their managers & other employees. In
these programmes the participants are made familiar with official
policy on ethical issues. They are also made aware that how these
policies can be translated into specific everyday decision making.