Article (April-2017)


Purposeful PMS

Anil Kaushik

Designation : -   Chief Editor

Organization : -  Business Manager


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There has been a sort of noise going around in corridors of business world about necessity of moving away from present established different performance management systems and to adopt certain new processes. Few organizations have also done it. They have stopped applying forced rating system and annual appraisal feedback process. Results of adopting new/improved/ corrected processes are yet to be formally assessed and declared but it is set to change the way organizations do their performance appraisals. The idea is triggered because of changing nature of business in this new knowledge economy. Technology driven and mainly service/consulting organizations have gone for revamping PMS.

HR professionals without jumping on changes in PMS or switching on to new system should first analyse that what your performance management system needs most. I think if your system is capable of encouraging better communication , team work and collaboration among employees, it should be taken as purposeful HR intervention, because, its effectiveness keeps employees motivating. At this point, it is also to be understood and appreciated that any such system having elements of process and people should have equal strengths and capabilities in respect of both components. The biggest cause of dissatisfaction about PMS has been due to the reason of weak people element. While process part is quite strong, people implementing the process many times do not possess those required skills to carry the process to logical end.

The question is, if moving away from present systems, what would be the future PMS? The  changes, organizations have identified  in the current system, which are to be made, are parting from annual goal setting  exercise to periodic with more frequent meetings with employees for setting expectations and rating employees on absolute performance. Whatever elements are added or revised or removed, the objectives of any such future PMS should be that the whole system should be transparent, must have element of continuous feedback, reduce time consumption in completing the process, use information technology and big data. The present systems which are based on assessing past performance should move to fueling the performance in future. The crux of any future system has to be where manager will not point out as to what he thinks about the employee but he has to spell what he can achieve with him in the organization. It has to be more realistic in terms of action rather that opinion formation tool. HR should not forget that that whatever system they may develop for meeting the challenges, it has to taken down by managers. Their skills in assessing the performance have to be continuously honed.

This time cover story is all about finding the issues involved in PMS for making it more purposeful, possible ingredients of any good PMS and what is going to be the future PMS. Industry HR captains sitting at helm of affairs and other experts have shared their thoughts. Their innovative ideas are going to fuel the power of genuineness that will help readers to take balanced approach.

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Happy Reading!