Key Takeaways:

Performance management is a system that helps an organization measure and manage activities and outputs to ensure it meets its goals effectively and efficiently.

An organization’s leaders and individuals working within the organization are evaluated with a performance management system; the organization, in whole or in part, and its processes are also evaluated using a performance management system.

Effective performance management systems:

- Clarify responsibilities and expectations.

- Enhance individual and group productivity.

- Develop individual capabilities through feedback and coaching.

- Align individual and group behaviour with an organization’s values, goals, and strategy.

- Improve communication within the organization.

- Are the basis for deciding how, when, and where to deploy an organization’s staff and volunteers.