Effectiveness of Performance Management System for Employee Performance Through Engagement

 

Performance management system effectiveness (PMSE) is the measure of alignment between employee and organizational objectives (Armstrong, 2015). Researchers (e.g., Kennerley & Neely, 2003; Kolich, 2009; Tan & Smyrnios, 2006) have substantiated that a careful implementation of an effective PMS ensures this consistency, An effective PMS implementation process necessitates that employees eagerly accept and effectively participate in the goal-setting process (Awan, Habib, Akhtar , and Naveed,2020). According to Forbes employees who are engaged in their work are more likely to be motivated and remain committed to their employer. Engaged employees are well aware about their job roles and the organizational goals that they need to accomplish.

Dewettinck and van Dijk (2013) have studied PMSE for its clarity of goals and expectations and the extent to which these were linked with their individual objectives of performance, development, and career enhancement, Their study also indicated strong linkages between PMSE and goal setting, control, and expectancy theories (Awan, Habib, Akhtar , and  Naveed,2020). Mone et al. (2011) report several PMS activities, which are related to enhancing engagement, They indicate that jointly set performance and development goals help employees to understand how their work supports the overall company strategy and direction ( Awan, Habib,  Akhtar , and Naveed,2020). This means employee engagement will definitely improves the work performance. Engagement can be objective in many ways. Understanding about the job role and responsibilities, by making decisions, evaluating the areas of training and development, Opportunity to carrier development etc.  Employee development practices like coaching, career planning, and development discussions also have a positive impact on employee behavior, even when taken on an individual basis ( Awan, Habib,  Akhtar , and  Naveed,2020).

Employee engagement will increase the customer satisfaction and then the number of sales or the revenue. A study conducted by Cheese and Cantrell (2005) conclude that organizations having a higher level of engagement among employees who develop a better culture of motivation, commitment, and work (Harter, 2002). ABC Industrial Laboratories Ltd in Sri Lanka is a service providing testing laboratory. The chemists working in the laboratory highly engaged and passionate on their working. The main strength of them comparing to their competitors are they are capable of releasing the test reports at a minimum working day. Employees do get training opportunities frequently inhouse as well as by other training institutes within the country as well as overseas where those training are applicable to the laboratory scope as well for the job role. Each analysis is considered as research and development opportunities So the employees get a chance to develop their skills by own and this makes employees to attach to their job roles and complete them more efficiently and accurately.

Work engagement (WE) is an effective antecedent of employee performance (Abraham, 2012 ). de Vries et al. (2016) define work engagement as “active investment of energy in domains of interest.” ( Awan,  Habib,  Akhtar, Naveed,2020). Smith and Bititci (2017) conduct an exploratory action research involving pilot and control groups from two departments of a U.K. bank to find out the interaction between performance management, work engagement, and performance. They find that effective performance management enhances employees work engagement in those who find themselves comfortable at work and more inclined toward better performance (Awan, Habib, Akhtar , and  Naveed,2020).

References :

Armstrong, 2015; Sajid Hussain Awan, Nazia Habib, Chaudhry Shoaib Akhtar , and Shaheryar Naveed,2020

Sajid Hussain Awan, Nazia Habib, Chaudhry Shoaib Akhtar , and Shaheryar Naveed,2020