How To Manage Employee Performance

This How To Guide establishes guidelines for managers to follow so performance problems are addressed fairly and consistently.

How to Manage Employee Performance

It goes without saying that the success of a company relies on the success of its employees and their performance. Many employers find it difficult to maximise employee performance while keeping turnover low and employee morale high. Sound familiar? This may be due to the lack of an efficient performance management plan. Performance management is the key to performance excellence. It involves setting specific performance expectation and periodically providing feedback about an employee’s performance.

Importance of Performance Management

Performance management enables an organisation to plan, monitor and review an employee’s work objectives and overall contribution to the organisation. Not only that, but it can also increase the productivity and competitiveness of an organisation. Managing employee performance creates stronger teams by increasing employee morale. If managed effectively, employee performance can result in the organisation functioning at its optimum level. Also, it enables the organisation to identify high performers to promote to the next level while underperformers can be given training or performance management techniques to improve.

Questions to consider prior to Performance Management

• Does your employee know exactly what they should be doing?
• Does your employee properly understand how their work fits in with and impacts on your business?
• Have you addressed any underperformance issues from the outset, or waited for a scheduled performance review?
• Are your expectations too high?
• Have you made yourself, or the management approachable and available?
• Are there external issues affecting the employee’s work – i.e. workplace bullying, domestic violence, drug and alcohol abuse, or other problems?

Steps to manage employee performance

• Ensure the employee is clear of their work expectations, goals and KPIs
• Find the root cause of poor performance and work out a plan to resolve
• Articulate performance goals and set expectations
• Offer additional training and development
• Monitor performance
• Conduct employee performance appraisals
• Provide timely feedback
• Focus on morale

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