Top 3 Concerns Of Performance Management

concerns of performance management

Manager-employee communication is one of the most integral parts of a successful business. Employees thrive when the manager believes in their ideas and is transparent with the company’s objectives and policies. A communication gap between them can leave the team stuck with their tasks, leading to poor performance and late completion of work. This is where the need for performance management arises. This process creates a chain of continuous communication and feedback between a manager and their team toward the accomplishment of particular objectives.

Earlier, performance management was used as a forward-looking solution, where companies used to analyze work and performance after completion. But as the organization’s culture has evolved, there has been an increased need for continuous feedback to bring the best out of each employee. With employee performance management software available today, managers can foresee problems based on ongoing employee performance and make a plan regarding it to get the employee back on track. Let’s now delve a little deeper into understanding precisely what performance management is and what the top concerns relating to it are. 

What is Performance Management?

Performance management is a systematic process that streamlines an employee’s performance with KPIs and tasks assigned to them efficiently. It is used to measure an employee’s contribution towards the company through tangible measures and can provide data for various crucial decisions such as appraisals, promotions, and incentives, as well as downsizing the workforce.

Why is Performance Management Necessary?

Attracting and retaining talent, creating innovative business models, and developing the next leader are some of the biggest challenges that organisations face today. The good news is that all these challenges can be solved through the incorporation of employee performance management systems.

What are the Top 3 Concerns of Performance Management?

Being an integral part of any organization, performance management is concerned with several things related to the overall performance of the organization toward its goal. Here are the three main concerns of performance management in the following points: 

  • Concern with Continuous Improvement

The concern for continuous improvement means that if each team member in an organization constantly strives to do better, it will translate into an overall benefit to the organization. It establishes a culture where managers, teams, and individuals take responsibility for improving the business process, and their own skills, competencies, and contributions.

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  • Concern for Communication 

Ease of communication is one of the major objectives of performance management. This is done by creating an environment where managers and their team members continue to share information about the tasks assigned, future goals, and any hindrances to achieving them. It creates a framework for the quick resolution of doubts and queries and also improve employee engagement.

  • Output, Process, and Inputs 

Performance management is concerned with outputs, processes, and inputs. The output is surely the ultimate goal in assessing whether the objectives set out for the workforce were achieved or not. It also deals with the process, which is the way in which an organization will reach the result. Finally, the inputs to a performance management system include the skills, knowledge, and competencies required from the team and the individuals involved.


As the business expands, there is a need for direct and easy communication driven by technology among the hierarchy of management in any organization. It not only helps the top management understand how the work is going but also allows them to rectify the work in progress if they find any mistakes. Performance management is the best technique that meets these requirements and ensures that the business is moving towards its goals.