What Is Performance Management
- It is the process of managing your employees to achieve results for the company and tying their individual efforts to rewards and benefits.
- Performance Management helps harness the skills and potential of your employees and enables you to adopt a more flexible wage system.
Steps Involved In Performance Management
- Establish the Key Performance Indicators (KPIs) for your company. The KPI is a tool to help your company track and measure its performance.*
- Get the buy-in of all levels of employees.
- Communicate company's performance to all employees regurlarly.
- Keep proper documentation to track employees' performance.
- Review and monitor your employees' individual performance closely.
- Make decisions on wages and bonuses based on performance.
*The KPIs for each company may be different depending on the company’s nature of business and operating environment. The 2 common categories of KPIs are Financial Indicators and Operational Indicators.
Getting More Information
- National Wage Guidelines
The National Wage Guidelines help businesses benchmark their salaries and wages on a national level.
- Singapore's Flexible Wage System
The Government recommends all businesses to adopt a flexi-wage system to cope with downturns and to motivate employees.