Performance Management System (PMS)


We live through activities that we expect to contribute to our well-being or well-being, which we can also call by the names of satisfaction, happiness etc. In our personal (private) and public (in jobs, social works, etc.) ways of life, we carry out various activities using available resources such as energy, money, time, materials, intellect, relationships, etc. The end goal of these activities is to achieve the goal (or objective) which, in other words, can be explained as the expected result. The methodology for achieving the goal through organized activities involves a process called performance management. Performance management leads to effective and efficient use of resources to achieve the goal / objective. It (performance management) also applies to individuals and organizations. At the organizational level, business success is totally dependent on performance management. Most effectively managed organizations have an effective performance management system (PMS) in place, by design or otherwise. In the case of growing organizations, they must have a well-designed PMS without which growth can become unsustainable.

In the PMS of growing organizations, the need for change is often inevitable, whether in people’s attitudes, the use of technology or organizational structures. PMS failure, when it occurs, begins with people’s attitudes in general and their resistance to change in particular. Some of the excuses that people (at all levels of organizations) offer to resist change are:

1. Everything is going well – so why try new things?

2. Who is he / she (the change agent) to tell me what to do, when I know everything better than him / her?

3. I have X years of experience and my experience tells me that everything is working fine here.

4. These changes will ultimately fail. Nothing new is working here.

5. Who has the time and money to try new things when the job is going well here!

6. When things improve with these changes, my hold / power / authority over people and the work around me will decrease and I will perhaps become redundant.

7. These changes require teamwork and teamwork will reduce my importance.

8. Change comes with risks and I don’t like to take risks.

9. We are in a business and what matters most in business is production / operation (as the case may be, depending on the industry). The development of the organization and organizational systems has virtually no connection with production / operation. If people are hitting my production / operating goals, that’s fine with me.

10. Systems will bring responsibility and I’m afraid of responsibility.

The reasons people cite for avoiding the performance management system (PMS) might be more interesting. Some of those often cited are:

1. There is no way to measure performance.

2. Performance is only important for production / operation / marketing functions. Why then a PMS for the whole organization?

3. If something cannot be measured in numbers and numbers, it is not performance.

4. The sum total of individual performance in numbers and in numbers equals the full performance of the organization and therefore, focus only on those whose performance can be measured.

5. Performance depends on individual capabilities and therefore it is unnecessary to have a PMS for the whole organization.

6. I can extract the performance of anyone without PMS. I’m good at sorting people out and everyone performs well if under pressure, targets and threats.

Times change and the need of the hour in organizations is an effective performance management system (PMS) encompassing all resources including human resources, materials, finance, technology, intellect, people relationships, etc. The fundamental principle of an effective PMS is systematization. When it comes to the people who matter, the personal fear of losing importance is the biggest barrier to building organizational systems. If organizations can tackle these fears at the individual level, there is no reason for a well-planned PMS to fail. What emerges when addressing personal fears and related delusions are the roles of organizational behavior interventions (OB), training and organizational development (OD). These are essential to ensure sustainable and effective performance management systems (PMS).


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