Performance Management

Performance Management Plan

The performance management plan we will discuss is a management plan that indicates where Clapton Commercial Construction is at this point and where it will be expected to be after expansion. Company is a commercial construction business and is currently in Detroit, Michigan. Company currently has 650 employees and plans to expand to Arizona, thus adding 20% additional employees. Annual net revenue is 10 million with a revenue growth of -3%, which is expected to stay the same at least for the first year. The turnover rate currently is 20% and forecasting same rate after expansion. 

Performance Management

Performance management is “a broad process that requires managers to define, facilitate, and encourage performance by providing timely feedback and constantly focusing everyone’s attention on the ultimate objectives” (Cascio, W., 2013). Employee performance management incudes:

• Planning

In the planning stage organizations identify performance expectations and goals desired of employees to achieve organizational objectives. It also supports tasks designed to accomplish higher levels of performance, and fosters persistence for higher levels of performance (Cascio, 2013). Encouraging employee’s involvement in the planning process will provide understanding of organizational goals; what needs to be done, why it needs to be done, and how well it should be done.

• Monitoring

Monitoring is the measurement of performance and continue feedback to employees and their work groups; with regards to progress of target completion.  One of the reasons that performance management is not easy to execute within an entire organization is performance management demands daily commitment from management. By constant monitoring, supervisors will be able to identify unwarranted work performance at any time during the appraisal process.  Being able to address such performance issue at the time of occurrence rather than wait until the end of the period.

• Developing

Developing afford employees with training and developmental opportunities fosters good performance, reinforces job-related skills and competencies, and helps employees keep up with changes in the workplace. Carrying out the processes of performance management offers an excellent opportunity for supervisors and employees to identify developmental needs. Areas for improving good performance also stand out, and steps can be taken to help successful employees improve skills even further.

• Rewarding

Rewards programs support employees’ behavior, attendance, and efficiency in helping to achieve company goals. Enthusiastically satisfied employees work the hardest to achieve a company’s goals. Besides, a staff member is likely to repeat his model behavior if he is rewarded for his model behavior.