Managing Director

Coursework

Report:

‘Fundamentals of a performance management system linked to reward’.

To: Module Leader Bev Crighton

By: Filip Gorski

29 December 2010

Content

Executive summary……………………………………………………………………………………..3

1.Introduction……………………………………………………………………………………………..4

2.Components of performance management systems…………………………..4-7
3.Relationship between motivation and performance management......7-8

4.Total reward system in relation to performance management………….9-10

5.Conclusion………………………………………………………………………………………………10

Bibliography……………………………………………………………………………………………….11

Executive summary

This report was commissioned to examine fundamentals of performance management system linked to reward. This paper draws attention to reward, as a vital element of performance management system. As there are many tools available to managers to reward an employee, starting from understanding, how the targets should be set, then creating appropriate appraisals systems for using different feedback techniques. It is claimed by many managers, that the performance appraisal system can bring a lot of benefits to both employees and employers. It is crucial to provide employees with an opportunity to discuss their performance and its standards, as frequently, as possible with their supervisor to help employee to improve their performance.
In this report, I will present a special system called ‘360-degree’, which gives a feedback and valuable approach to performance appraisal.
There are five points to conduct performance appraisal: - measurement, assessing performance against agreed targets -feedback providing information to the individual on

Bibliography: 1. DuBrin A.J., 2008, Essentials of Management, 8th edition, South-Western Cengage Learning, Mason, USA. 2. Heery, E & Noon, M 2001, Human Resource Management, 1st edition, Oxford University Press, USA. 3. Sherman, A & Colander, G &Snell, S 1998, Managing Human Resources,11th edition, South-Western Collage Publishing, Cincinnati, Ohio, USA. 4. CIPD, 2010. Pay and reward: an overview. [on line] Available at: http://www.cipd.co.uk/subjects/pay/general/payrewrdovw.htm [Accessed 20 October 2010] 5. Business Link, 2010. Measure performance and set targets. [on line] Available at: http://www.businesslink.gov.uk/bdotg/action/layer?topicId=1079681127 [Accessed 10 November 2010] 6. CNN Money.com,2010. 100 Best Companies to work for. [on line] Available at: http://money.cnn.com/magazines/fortune/bestcompanies/2010/ [Accessed 15 November 2010] 7. CIPD,2010. Coaching and mentoring. [on line] Available at: http://www.cipd.co.uk/subjects/lrnanddev/coachmntor/?area=hs [Accessed 22 November 2010] 8. Direct Gov, 2010. Performance related pay. [on line] Available at: http://www.direct.gov.uk/en/Employment/Employees/Pay/DG_10027253 [Accessed 12 December 2010] 9. Mind tools, 2010. Dealing with poor performance. [on line] Available at: http://www.mindtools.com/pages/article/newTMM_80.htm [Accessed 15 December 2010] [pic]