Impact Of Performance Management System On The Organizational Growth – Literature Review

Abstract

Employees in an organization are influenced by many factors which affect their performance and their engagement. Due to recent covid times there has been a need forhybrid and work from home models for an organization. The employees working on hybrid model work on virtual work model which is very different from the regular work environment. This type of virtual environment loses the physical presence of the employee in their regular work. Their physical appearance in the meeting and physical communication and meetings with the managers is missing from the schedule. The employee may feel left out or not noticed in meetings or events when they are working on hybrid model and other employees are available physically in the meeting. There is a need for a positive approach by the managers to make sure the employees work on hybrid model in an organization. The performance management system is a major part of the employee where he can showcase the improvement he has shown in the term. The organizations using the performance management system apply for a two was analysis where the employee is graded and analyzed by the manager and employee also does same to the manager. This type of feedback would help both the employee and manager. There has been a lot of evolution in technology in developing good performance management system software as per the specifications needed by the organizations. Few companies have customized it as per their needs internally. This paper would try to bring out the various aspects of the Performance management systems which influence the employee for better employee engagement and further make sure the rate of employee retention is decreased and there is an increase in the organization production.