HRM

3/2/2012
Master of Business Administration MBA

Human Resources Management
HRM511T
Presenter:
Dr. Tumo Kele
keletp@tut.ac.za
012 382 3032
Presented By Harry Mills / PRESENTATIONPRO
Prescribed textbooks:
Noe, R.A., Hollenbeck, J.R., Gerhart, B. & Wright, P.M. 2008. Human Resource Management: Gaining a Competitive Advantage, 7th edition. McGraw-Hill
3/2/2012
Chapter 8
PERFORMANCE MANAGEMENT
Introduction
To achieve competitive advantage, organisations must be able to manage employees behaviour and their results.
Sometimes managers use performance management systems to catalog all

the bad things an employee has done over the year. However, most managers and employees dislike performance appraisals. They argue that the procedures lack consistency, inadequate to measure between different performance levels, inability to provide useful data for developmental purposes or to build performance high-performance culture.
Tshwane University of Technology
Presented ByBus iness School Harry Mills / PRESENTATIONPRO Faculty of Management Sciences Master of Business Administration Human Resource Management (HRM511T)
3/2/2012
Introduction (cont.)
A good performance appraisal system ensures that all employees doing similar job are assessed using the same standards. Using technology can reduce the administrative burden and improve the accuracy of performance reviews. By definition, performance management is: the process through which managers ensure that employees activities and outputs are congruent with the organisations goals.
The Practice of Performance Management
Research suggest that most companies use performance management to make pay decisions. Few companies use it to identify training and developmental needs. Because more companies want to gain competitive advantage, continuous improvement and motivated employees is a critical component for their success.
3/2/2012
An organisations Model of Performance Management

According to the model, individuals attributes skills, abilities, and so on. E.g. sales job requires good interpersonal skills and knowledge of the product. . Situational analysis: culture, economic conditions To gain competitive advantage, attributes, behaviours and results must be tied to the companys strategy.
Purposes of Performance Management
The purposes of performance management consist of three components: o Strategic purpose: the congruence between company goals and behaviour. o Administrative purpose: salary increases, promotions and other decisions.
o Developmental purpose: development of effective employees for future

promotions.
3/2/2012
Performance Measures Criteria
o Strategic congruence: performance management system must elicit job
performance that is consistent with company goals.

o Validity: performance measures should assess all relevant aspects of performance. o Reliability: consistency of the measuring instrument. o Acceptability: employees should be comfortable with the system and accept it.
Approaches to Measuring Performance

The Comparative Approach: rater compares individuals with their peers. The Attribute Approach: certain attributes desirable for companys success are assessed. The Behavioural Approach: the behaviour that must be exhibited by employees. The Results Approach: the quality or quantity of the results is measured.
The Quality Approach: this approach focuses on customer satisfaction.
3/2/2012
Choosing a Source for Performance Information
Managers: Peers: Subordinates: Self:
Customers:
Performance Feedback
The Managers Role
The rest of the sections are SELF STUDY. This is MBA.
I am tied now, I worked since 2h30am. Time to rest now.
3/2/2012
Presentations March 2012
Group 1: Performance management Group 2: Human Resource Planning during mergers and acquisitions Group 3: Managing Human Resources in Global companies Group 4: Effective structuring of employee benefits
Group 5: Ethics and strategic human resourcing

Group 6: Quality issues in HR Group 7: Cross-cultural deployment of employees Group 8: Developing young talent for future deployments Group 9: Effective management of scarce skills employees
Thank you very much
Lets meet next week

HRM

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3/2/2012

Master of Business Administration MBA

Dr. Tumo Kele

Presented By Harry Mills / PRESENTATIONPRO

Presented By Harry Mills / PRESENTATIONPRO

Sometimes managers use performance management systems to catalog all

Tshwane University of Technology

The Practice of Performance Management

Tshwane University of Technology

An organisations Model of Performance Management

Tshwane University of Technology

Purposes of Performance Management

o Developmental purpose: development of effective employees for future

Tshwane University of Technology

Performance Measures Criteria

o Strategic congruence: performance management system must elicit job

performance that is consistent with company goals.

Tshwane University of Technology

Approaches to Measuring Performance

The Quality Approach: this approach focuses on customer satisfaction.

Tshwane University of Technology

Choosing a Source for Performance Information

Managers: Peers: Subordinates: Self:

Tshwane University of Technology

The Managers Role

The rest of the sections are SELF STUDY. This is MBA.

I am tied now, I worked since 2h30am. Time to rest now.

Tshwane University of Technology

Presentations March 2012

Group 5: Ethics and strategic human resourcing

Thank you very much

Lets meet next week

Tshwane University of Technology

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