The Jacksonville Chapter of the Society for Human Resource Management and Florida Community College at Jacksonville have joined forces to increase effectiveness and give more flexibility to those wishing to join the study group to become certified as a PHR - Professional of Human Resources or an SPHR – Senior Professional of Human Resources.

Teresa Cotton
(904) 301-2106
Cindy Gray
(904) 632-5064

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Effective Performance Management Systems Are A Competitive Advantage

The giant human resources consulting firm, Watson Wyatt Worldwide, conducted a survey recently in which only three out of ten workers surveyed say their company’s performance management program does what it is intended to do - improve performance. This is a very sad state of affairs for American business. Another depressing statistic revealed from this survey is that only 40% of the employees stated that their system establishes clear performance expectations or generates honest feedback.

It is no secret that companies with effective performance management systems are able to recruit and retain higher quality employees, experience increased shareholder value and consistently have better financial results than organizations that do not have constructive programs.

Here are a few elements of a good performance management system.

Measurable goals and objectives are determined prior to the review year. Having the ability to measure performance makes the appraisal a much simpler exercise.

Performance factors are defined for each position. The competencies for an accountant are different than the competencies for a computer technician. Items such as customer service skills, teamwork and cooperation mean different things for each position. Acceptable performance for these factors must be defined at the beginning of the review period. If you do annual reviews on a calendar year basis define them now.

It is customized to the organization. Off-the-shelf or generic tools are for generic companies. Effective organizations will institute programs that compliment their culture and organizational objectives.

A culture of continuous improvement is instilled in the workplace. To stay competitive it is important to remember that what was done last year is not good enough this year. The companies that understand this and incorporate this philosophy into their performance management process will be more likely to succeed.

Compensation is tied to performance. Tying performance improvement to compensation and pay increases give employees more of an incentive to achieve better results.

Honest feedback both positive and corrective is provided. With measurable standards, it is much easier to assess the level of performance on all factors.

It is continuous. An effective performance management system provides feedback to employees throughout the year. It is not just an annual event.

For a performance management system to work well, employees and managers must be fully engaged in the process of continually improving performance. Pretty soon, your competitors will be sitting up and taking notice. Make it happen – implement some changes to your system.


December 2004 -
End of the Year Things to Be Thankful For
OCTOBER 2004 -
Recruitment Metrics Are You Measuring the Right Stuff?
Do Machines Mean More Than People?
AUGUST 2004 -
Employment At Will – What Does It Really Mean?
JULY 2004 -
JUNE 2004 -