Table of ContentsThe ProcessPhase 1 - Development and PlanningPhase 2 - Performance ManagementPhase 3 - Rewarding PerformanceConclusionPerformance management is an integrated control system where processes, activities, people and comments are applied. It ensures the outcome of an organization effectively achieving its goals when complex digital concepts are easily communicated and implemented. It is a continuous process of communication between employee and supervisor aimed at achieving their highest potential, thereby maximizing the performance of an organization. This creates a shared understanding of what needs to be achieved and how it should be achieved; an approach to managing people to increase the likelihood of career success. Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get an Original Essay In today's competitive global environment in which organizations operate, the need to retain and develop highly skilled employees is paramount to prosperity and survival. Armstrong implies that performance management is an approach to achieving better results from teams and individuals by understanding and managing performance within an agreed framework of time period, planned objectives, standards and requirements of attribute skills. Bates and Holton argue that performance management is a multidimensional construct, the measurement of which varies depending on various factors. Armstrong and Baroncan state that it should be defined as an integrated and strategic approach aimed at generating sustainable organizational success with improved performance. A similar view was expressed by Nanni, Dixon and Vollmann, stating that performance management represents measurement and control systems that create information to be shared with: Performance; Hold employees accountable; Remuneration decisions; Dismissal decisions; Registration for legal protection. ProcessPerformance management consists of six basic elements such as shared direction, goal alignment, continuous performance monitoring, continuous feedback, coaching and development support, and recognition and rewards. One might note, like March and Sutton, that "performance" and "effectiveness" are conflated interchangeably because the problems associated with their definition and measurement are virtually identical. Shenhav, Shrum, and Alon argue that the two concepts cannot be independent, that effectiveness and performance have contributed interchangeably to the literature, and that performance has therefore become the more dominant concept. The Human Resources and Organizational Effectiveness Division recognizes four key elements of performance management in the PCER model, namely planning, coaching, evaluation and reward. According to Schneier, Beatty and Baird, a performance management system is classified into development, planning, management, review and reward phases. Phase 1 - Development and Planning Planning is the first stage of the performance management system and forms the basis of an effective process. which must be treated with great care. Armstrong and Baron emphasize that objectives or goals describe something that must be accomplished by individuals, departments, and organizations over an agreed period of time. Similarly, Rogers and Hunter stated that goal setting is the fundamental aspect of an organization. In this planning phase, managers and.