Performance management is about creating a culture that encourages the continuous improvement of business processes and of individuals’ skills, behaviour and contribution. It is a repetitive process that is continually reviewed and is both strategic and integrated. It is about broad issues and long-term goals and integrated by linking various aspects of the business, people management, individuals and teams to delivering successful results in organisations. It does this by improving performance and developing the capabilities of teams and individuals.
The two main purposes of performance management are;
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Level 1 - Physiological which are the bare basics of food, water, shelter.
Level 2 -Security, this is job security, financial and emotional.
Level 3 -Social which would be meaningful reaction at work. Level 4 -Esteem where we would view ourselves as someone important.
Level 5 -Self Acualization, which is the need to fulfil our fullest potential.
If we are to motivate people to perform we have to meet these needs in a specific order. Herzberg refers to Level one to three as Hygiene factors. These factors must be present to ensure a reasonable level of satisfaction and a sufficient level of motivation, the employee will not however be extremely satisfied but without them they would be extremely dissatisfied and de-motivated. These factors cover benefits & pay, job security & friends/social needs.
To ensure an organisation’s employees have a great deal of motivation we must then ensure level 4 and 5 are met. These factors are Esteem and Self Aculization. Things like recognition for a job well done would give the employee a feeling of purpose and they would feel appreciated which is a massive motivational factor. Another example is an employee being given challenging work which will give them the feeling of having some impact and also the opportunity to stretch themselves and