Many organizations often fail to achieve their objective of driving organizational performance because they focus too narrowly on appraisals and performance decisions. Critical stages like performance contracting, development planning, ongoing performance monitoring, and feedback are frequently overlooked. This results in poor alignment between employee goals and organizational strategy, lack of continuous performance improvement, and inadequate support for underperforming employees, ultimately hindering overall productivity and growth. 

To drive organizational performance effectively, organizations must adopt a holistic performance management process that includes the following stages: Performance Contracting, Development Contracting, Performance Monitoring & Evaluation, Performance Appraisals and Decisions, and Managing Poor Performance.

If you want to learn more about all the stages of performance management and how you can effectively apply them in your organization in order to drive performance, click HERE to read our whitepaper, “The Performance Management Process.”  This resource provides high-level principles and best practices that every organization can adapt in their performance management process.