Organisations are about results, but these don’t just happen.  Effective performance management is critical, and must be linked to the priorities of any organisation through service, team and individual performance plans that set out what must be achieved. Any defined system should be as simple as possible, transparent, fair and offer development opportunities.

For many organisations, it is the systemic management of performance that builds success.  Performance management means taking actions to achieve high performance and tackle unacceptable performance.  Performance must be actively managed, with honest, direct, clear messages given on a regular basis and ample opportunity to discuss success and where appropriate the need to improve.  Effective performance management is the backbone of success and gives the edge needed to move on from complacency or failure.

Reward

It is important to establish the link between good performance and reward. This helps to drive the culture of a high performing results focused organisation. Reward is not only about base and variable pay; it is also about rewards from the employment environment itself, for instance the content of the work, the available development opportunities, the career enhancement opportunities, the opportunity to work flexibly and the quality of management and leadership within the organisation.  If you have performance related pay, make it exactly that – set targets that will reflect high performance not just turning up.  This requires clear targets, proper metrics and an honest dialogue.