A company’s performance management process is integral not just to the operations of the business, but also to the relationships developed with, and among employees. Having a clear performance management plan in place sends a strong message to your staff that the organisation is invested in the professional development and career growth of its people - an important factor underpinning employee motivation and loyalty.
Learn the benefits of a comprehensive performance management process from performance reviews to making promotion decisions and managing pay rises.
The performance management process – integral to the success of your company
Having a strong performance management process in place is more than a human resources responsibility. It is tied to the operating success of the company, providing a framework on which bonuses, pay rises, and salary reviews are based, and this in turn directly impacts staffing costs.
Having a clear performance management plan for each employee provides a transparent framework for every staff member to know how well they have performed, where they can improve, which areas they need further training and professional development in – and how the company will support (and reward) them to grow and develop in their career.
How to conduct a performance review
The performance review is a valuable opportunity to provide feedback to your staff on how they have performed, where they can improve, and to plan career goals for the year ahead.
Performance review templates
A performance review demands a clear record of what was discussed with each employee, to provide a roadmap for the review period ahead and a reference point to look back on for future reviews.
How to handle a pay rise request
Recognising which employees deserve a pay rise can help you retain your best talent. But sometimes you may be approached with an unexpected request for a salary increase, and it’s critical to know how to handle the situation professionally yet with empathy.
There are ways to reward your staff that don’t involve a salary increase. And if your company isn’t in a position to offer a pay rise, it is worth exploring alternative options that demonstrate how much you value your team’s effort without too much impact on the company’s bottom line.
A final meeting with an employee who is leaving the company is a chance to gain valuable insights into your company’s workplace, and an opportunity to find out what you’re doing well as an employer, and where things could be improved.