Question

Give two examples of an administrative decision that would be based on performance management information. Give two examples of developmental decisions based on this type of information.

Answer 1

Give two examples of an administrative decision that would be based on performance management information. Give two examples of developmental decisions based on this type of information.

Administrative purposes of performance management refer to the ways in which companies use the system to provide data for day-to-day decisions about salary, benefits, and recognition programs. Administrative decisions can be taken on the basis of performance management information. Like:

In selling organizations like Square pharma or Aristopharma, Employees get incentives when they perform well and achieve their quarterly target. To achieve their target one may do unethical practice like product migration or under rate. In performance management system this things are continuously monitored. So, if any employee do such things he will get punishment for that.

In some organization, employees have to set our own KPIs. Supervisors monitor month to month activities and if employees can meet their goals then they will get higher pay rise at the end of the year.