Category: Human Resource »

Goal-setting theory and performance management system

Goal-setting theory refers to the effects of setting goals on subsequent performance. Researcher Edwin Locke found that individuals who set specific, difficult goals performed better than those who set general, easy goals (Yearta, Maitlis, & Briner, 1995). The goal-setting theory states that specific and challenging goals with appropriate feedback contribute to improved performance. Goals direct the employee to perform their jobs. It further facilitates the employees in understanding the number of efforts required to put in. Read more »

Role of organizational justice theory in performance management

Management of human resources is an important and complex process of an organization. Performance management systems help to retain the talents within an organization and growth of the organization (Jenkins, 2005). Organizational justice theory helps the performance management process of an organization to make it more transparent, trustworthy, and reliable. Read more »

Expectancy theory and performance management system

Victor Vroom proposed the expectancy theory of motivation in 1965. It is the most comprehensive and realistic, underlying other motivation theories. Expectancy theory featuring the performance management system states that the motivation of employees and their reflected behavior in the workplace depends upon the following key elements:

  • Expectancy,
  • Instrumentality and
  • Valence.

Expectancy is a belief for performing a job satisfactorily, instrumentality involves rewards for performances and valence focuses on the value of the positive rewards (Parijat & Bagga, 2014). Read more »

Stack ranking performance management system in General Electric (GE)

General Electric (GE) Company is a global digital company established in 1892 by Thomas Edison, Charles A. Coffin, Elihu Thompson and Ediwin J. Howston in New York. The main business of GE is production of aircraft engines, power generation, oil and gas production equipments, medical imaging, financing and industrial equipment. Read more »

Behavioral approach of measuring performance of employees

There are various methods which organisations adopt to measure employee performance such as:

  • comparative approach,
  • attribute approach,
  • behavioural approach,
  • result approach and
  • quality approach.

Behavioural approach is the most commonly adopted approach and comprises of vertical scales which are based on certain parameters. Organisations use following techniques to measure employee performance:

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Approaches for measuring performance of employees

Measuring performance of employees is the backbone of any organization’s management. Business owners usually measure employee performance by assessing how much contribution the employee is making to the firm’s growth. This is conveyed to the employee at the time of their performance appraisal. Performance appraisal refers to the evaluation of employees, providing them with valuable feedback and creating a positive effect on future performance. Employee performance depends upon a number of factors such as;

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Justice theory of performance management system

In a highly competitive global business environment, managing human resources has become more challenging task than ever before. Most organizations face various key issues with respect to their workforce such as: Read more »

Control theory of performance management system

Performance Management system is that vital part of Human Resource Management which aligns and optimizes individual performance with the overall performance of the organization. It can be defined as “a continuous process of identifying, measuring and developing performance in organizations. It is achieved by linking each individual’s performance and objectives to the organization’s overall mission and goals” (Aguinis, 2011). Read more »

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