What Is Corporate Performance Management?

The so-called enterprise performance management refers to the continuous cycle process of managers and employees at all levels participating in the formulation of performance plans, performance counseling and communication, performance assessment and evaluation, application of performance results, and improvement of performance goals in order to achieve organizational goals.

Enterprise Performance Management

The so-called enterprise performance management refers to managers and employees at all levels in order to achieve

Steps to collect and transfer information

The characteristic of enterprise performance management is to realize a closed-loop business system. This closed-loop has two key points: one is the use of analytical data and operational data in business processes; the other is that the enterprise performance management cycle reflects the transaction or operation system. And analysis

At the end of 2002,

Planning-goal setting for performance management

Performance goals come from the decomposition of the organization's overall business goals, and core employees bear extremely important responsibilities for achieving the organization's ultimate goals. From the perspective of most people's hearts, they always hope that their goals are as small as possible, and the higher the performance reward after completing the goals, the better, and at the same time, they can get a greater sense of psychological satisfaction and achievement. However, from the perspective of organizational development, I always hope to set a challenging goal to achieve the rapid development of the organization. Therefore, communication is the only way to make a plan during the breakdown of the organization's overall performance goals.

The formulation of performance goals is the core of the entire performance management. Performance goals can be divided into annual goals, quarterly goals, monthly goals, and even weekly plans according to the cycle. They can also be divided into special project goals, management goals, and business goals according to business types. Through effective target disaggregation, work plan formulation and clear evaluation criteria, it is crucial for the subsequent performance execution process communication, performance result check and cycle improvement.

Implementation-guidance during performance execution

For core employees, their own abilities are very outstanding and they can all take on a large role. At the same time, most of the tasks they undertake have high requirements for innovation, and there are many ways to achieve the goals. As an assessor, it is difficult to understand and master various methods. Therefore, the assessor uses the form of regular reports, business work analysis meetings or departmental meetings during the performance execution process, combined with the monthly work plan, to complete the various goals. The situation can be effectively tracked and monitored. Too frequent communication or guidance may disrupt their normal work thinking, affect the normal development of work, and the effect may be counterproductive.

Review-review of performance results

For core employees, purely results-oriented, focusing on the achievement of performance goals. This link is a part of review and reflection in the entire performance management process, reviewing the completion of the previous assessment cycle, the existing problems, and reflecting on how to further improve performance in the next step. Reward and punishment are not the main purpose of performance assessment, but a means or tool that helps performance management play a better role.

Improvement-detailed plan for cyclical improvement of personal capabilities

Improvement is the end of the previous cycle and the beginning of the next cycle. Each time is to summarize the successes and failures of the past. Each summary will make people further improve. Performance improvement is actually a process of refining and proposing better solutions to the problems found in the performance results review process, and clarifying them in the form of a detailed improvement plan.

1. Improve the standardization and planning of the decision-making work itself. The performance is decomposed at different levels. The high-level has no clear goals. The middle-level and grass-roots teams are naturally at a loss. Of course, the middle-level can also be implemented, but the efficiency is reduced by half.

2. Improve (clarify) the logical relationship at the management level, thereby reducing unit (department) friction and increasing the efficiency of organizational operations (this is a historical problem in state-owned enterprises). Everything is clear. The responsible person of the responsible unit. The time limit objectives and content are clear. It's hard to think wrong, let alone fight for power;

3. Let all employees have a burden on their shoulders, do things at the right time, and have goals, performance management is a systematic project, like a basket can hold many things, but the key performance assessment indicator (KPI) decomposition is the core of the core, this The line is the bamboo and rattan weaving the basket, and the indicators of the layer-by-layer decomposition are the specific work of employees at all levels; 4. Dredge the employee's career development channels and pass the performance evaluation. Penalties, retraining, reduced requirements and pay, or even eliminated);

5. Constructing a harmonious corporate culture, rewarding diligence, punishment for laziness, survival of the fittest, prioritization, clear goals, and ambitions are the key elements of a harmonious corporate culture, and the long-term promotion of performance management Tirelessly), these things can be achieved.

I. Emphasize performance assessment and ignore performance management. Everyone knows that performance appraisal is not the same as comprehensive performance management. However, many companies consider performance assessment as the whole of performance management. Think performance management is the assessment. However, performance appraisal is only a simple means of comprehensive performance management.

2. Emphasize quantitative indicators and ignore qualitative indicators. When it comes to assessment, many people emphasize only the assessment of "quantitative" indicators, and not to mention that many things cannot be quantified, even if they can be quantified, non-quantified assessments are needed, but this non-quantified assessment is more flexible. Non-quantitative assessment can be called "qualitative" assessment, including quality, attitude, spirit, style and so on. It should be noted that often non-quantitative assessment is more important than quantitative assessment.

3. Emphasizing those being assessed and ignoring those who are assessing. The assessment should be "all-member", however, many enterprises often stare at the basic employees in the assessment, and ignore the assessment of the appraisers who hold the assessment power of the opponent. No wonder some employees often complain: "Officials have the power to talk big, talk to others, talk about themselves without mouth!" It should be said that the assessment of the assessor is often more important than the assessment of those who are assessed.

4. Emphasize key indicators and ignore other indicators. When it comes to assessment, it seems that there is only the assessment of "KPI" key indicators, and those "non-critical indicators" are often ignored. There is no trivial matter in corporate management. Non-critical indicators are necessary conditions to ensure that key indicators are achieved. Without these non-critical indicators, Key indicators, key indicators can only become a "vision."

Fifth, emphasis on technical means and neglect coaching means. In the assessment, people often emphasize the technical means that can be used for assessment, such as forms, methods, modules, software, and so on. Thought that this can achieve the purpose of assessment. In fact, improving performance through assessment is more important than scoring. Therefore, in the assessment according to the specific circumstances of the assessment of the appraisal subject to timely coaching, and then improve staff performance through coaching, this is the purpose of the assessment.

6. Emphasize improvement year by year and ignore stable development. A prominent problem in the assessment that has caused headaches for managers at all levels is that the assessment indicators are increasing year by year, and the performance indicators of the examinees are increasing year by year and rising month by month. In this way, after several years of increments, the goal cannot be achieved. As a result, the assessment has become a helpless form.

7. Emphasize the assessment of everything and ignore the rules of trust. A common disease in the assessment is: either single emphasis on "KPI", or everything. The so-called assessment of everything is a typical distrust of employees. It is thought that the behavior of employees can be managed and fulfilled only in the "examination". Didn't you know that employees themselves still have a subjective function and a certain sense of responsibility?

8. Emphasize departmental benefits and ignore overall benefits. Due to the "rigid" principle of the assessment, it is easy to cause the department to "sweep the snow in front of its own house and ignore the frost on others". Therefore, it is difficult to reflect the overall benefits of the enterprise. We must know that the overall benefit of an enterprise is not equal to the simple superposition of the benefits of various departments. There is a question of global and local relations.

Nine, emphasis on assessment scores and ignore performance interviews. Once the assessment scores are determined, all employees are "scored" based on the scores, and the reasons behind the scores are often ignored. Of course, there is no big mistake based on scores, but what is more important than scores is the performance interview after the assessment. Because the performance interview can better solve the deep problems that can not be solved by the formal assessment, and once these deep problems are solved and understood, employees can go to a higher level.

X. Emphasize the year-end assessment and ignore the daily assessment. This is a common problem common in many enterprises. Although the assessment needs to be carried out in stages, no one said that it must or must be done at the end of the year. You know, assessment should be a normal state, and this normal state should be reflected in daily life. Some people will say "the daily assessment is too busy". In fact, those who say such things do not understand the true operation of performance management. What is this operation? That is: level by level management, level by level assessment. If the year-end assessment is a "one-shot", then the daily assessment is "knock the gong every day."

11. Emphasize grass-roots assessments and ignore high-level assessments. A big mistake that many companies often make in the assessment is to evaluate only the employees and departments at the grassroots level, but not the senior leaders and departments. For example, the assessment of the board of directors and the chairman, the assessment of the board of supervisors and the chairman of the board of supervisors, the assessment of the general manager team and the general manager, and so on. The most terrible thing is that there is no assessment of the business owner.

12. Emphasize rigidity and ignore flexibility effects. What is rigidity? That is: one is one, the other is two, and when I see the trees, I do nt see the forest, I do nt know how to be flexible. What is flexibility? For example: What is the equivalent of adding "1" to "1"? A rigid and rigid person can only draw a "2" conclusion. Flexible and flexible people will draw different conclusions based on the actual situation. If "1 + 1" is arranged, it is equal to "11"; if "1" is superimposed, it is equal to "ten". Rigid people do not inspire people, flexible people do. Therefore, performance appraisal needs incentives even more.

13. Emphasize elimination at the bottom and ignore the bottom line of excellence. Once upon a time, enterprises were evaluated for the "last elimination", and what "July 21" was brought up in a rigid manner. All employees listed in "One" were eliminated indiscriminately. The last elimination is not wrong, but overuse is a big mistake. For example, there are three employees whose assessment scores are 85 points, 90 points, and 95 points. Which one will be eliminated? Naturally, 85 points should be eliminated, but 85 points are excellent. Do you want to eliminate them?

14. Emphasize human resources and ignore other departments. When it comes to performance appraisal, it seems that this is the business of the human resources department. In fact, this is not only the business of the human resources department, but the "things" of all line departments, functional departments, leaders at all levels, and managers at all levels. The main functions of the human resources department are to organize the assessment, design the assessment method, arrange the assessment time, grasp the assessment policy, implement the use of assessment results, and so on. The actual assessment and implementation should be a matter for various departments. However, it is difficult to compliment the practice of some enterprises. Either the human resources department conducts a comprehensive assessment and regards the human resources department as the "God Almighty"; And other departments that really generate performance lack power, responsibility, and nothing to do.

15. Emphasize the intensity of assessment and ignore performance evaluation. We often hear such management languages: "pay close attention to assessment", "intensify efforts", "strict assessment", "detailed assessment" and so on. It seems nothing wrong. However, can some of these "strengths" be assigned to "performance evaluation"? You know, performance evaluation is more meaningful than performance evaluation. But unfortunately, many companies focus on the assessment (actually scoring), and there is no "performance evaluation" at all. The big deal is that some companies only have "performance evaluation". You should know that "estimation" cannot evaluate benefits because there are too many subjective factors; "analysis" is different. There are many objective factors in analysis, so it can help improve performance.

16. Emphasize the end result and ignore process supervision. Performance appraisal cannot emphasize the result one-sidedly, because once it becomes the result, it is difficult to change, especially the bad result is more terrible. In this case, a new way of thinking should be adopted-emphasis on supervision. Because only when leaders and managers find and solve problems in the process of "supervision" and "guide" can they guarantee a good "fruit".