Performance management tools implementation at individual level requires a thorough analysis regarding the internal organisational structure, system and culture. This is mostly due to the human factor that needs to be considered when managing individuals and measuring their performance.
The instruments used need to be organisation-specific and to respond to the unique business and internal human capital context. It is highly important how these tools are communicated within the organisation and how they are understood by the employees. If understood only as controlling tools, these instruments will not be able to generate the expected results for employee performance improvement.
Some of the most relevant performance management tools at individual level are:
Key Performance Indicators (KPIs)
KPIs are used in individual performance management to monitor results and improvement for employee’s key responsibilities from the job description. The development and use of the KPIs should form the basis for the analysis of an employee’s current performance, its future areas for improvement and the initiatives required for ongoing success.
PIs, measures and metrics
These tools represent instruments that tend to indicate the health, progress and/or success of a project, process or area of service delivery. They focus on resources and processes that are most likely to lead to successful outcomes and are usually short, focused, relevant, measurable, repeatable and consistent.
Individual Performance Scorecards
Individual Performance Scorecards represent repositories with all the KPIs important for a job or an employee, allowing visualization of the information and analysis, showing deviations from performance standards / targets / thresholds.
Performance standards / Norms
Performance standards are tools used to state the results and behaviors expected in order to reach at least a satisfactory level. They are often used in quality and productivity management, in order to encourage and generate the expected or required performance.
360 degree Feedback
It is a tool of providing employees with the opportunity of receiving performance feedback from the supervisors, colleagues and subordinates. It is usually followed by improving initiatives and another round of feedback after a given time period.
- U.S. Department of the Interior (2010), Performance Appraisal Handbook, available at: http://www.doi.gov/hrm/guidance/370dm430hndbk.pdf (accessed 16 August 2010)
- smartKPIs.com (2010), Performance Measurement Taxonomy, available at: http://www.smartkpis.com/blog/2010/04/17/performance-measurement-taxonomy-–-linking-performance-measurement-and-management/ (accessed 16 August 2010)
- smartKPIs.com (2010), Performance Management Taxonomy, available at: http://www.smartkpis.com/blog/2010/04/09/performance-management-taxonomy-linking-performance-measurement-and-management/ (accessed 16 August 2010)