Critically Evaluate the Argument That Performance...

Introduction Although it is a concept that has commanded attention from the management world over the past twenty years, and has contributed to the efficiency and effectiveness of numerous organisations, yet performance measurement remains a critical and much debated issue. Most of the criticisms are directed to the performance appraisal process. Some call it useless and some even said it makes organisations worst (Bacal 1994, Deming 1986). However, these arguments against performance management were made a long time ago, with some more than twenty years ago. With the advance in technology and globalisation, who is to say that performance management has not improved? In the later chapters, we will take a look at the evolution of†¦show more content†¦These performance data are recorded for evaluation and considerations for personal development planning. Employees will discuss with their managers to agree upon a development plan to undergo trainings that will not only focus on development in their current job but also to gain knowledge and skills to increase their ability to undertake wider responsibilities in order to achieve higher level organisational goals (Armstrong Baron 2005). Usually once or twice a year, a formal performance review is conducted to allow managers and employees to jointly explore new grounds for improvement and identify solutions to issues that hinder the employee’s ability to achieve standards stated in the prearranged performance agreement (Management Study Guide 2011). There are many approaches to conduct performance reviews, such as the 360-degree evaluation, which is a multi-rater approach, where feedbacks are drawn from customers, bosses, colleagues and the employee. Using the pre-determined performance agreement as a measure, decisions would be made to either improve the performance of the employees, take the required corrective actions, or the related Human Resource decisions like rewards, promotions, demotions or transfers. Performance Management Criticisms and Evolution Although the performance management framework has been regarded as a great contribution to organisations effectiveness, it has received criticisms from various management theorists. Deming