Performance Management for Organizational Success...

Performance Management for Organizational Success Performance management in an organization includes activities which ensure that goals are consistently being met in an effective and efficient manner. It focuses on the performance of the organization, department, employees, or even the production processes which produces the product or service, as well as many other areas. It is also known as a process by which the organization aligns the resources, systems and employees to strategic objectives and priorities. An organization aspiring for success needs in place the process of performance management. Aims of the performance management in the organization are (i) to make the performance of the organization visible, (ii) to drive the management and the employees to take actions, and (iii) to provide timely feedback on the effect of the actions for taking corrective measures. Performance management highlights the visible performance gaps in the organization. It creates increased pressure on the management and the employees for improvement in the performance level. It identifies the areas of improvement in the organization. It helps the organization for sustaining the continuous improvement in quality, cost, safety, and in meeting the customer requirements. Performance management is a structured visual approach to monitoring of the organizational performance, highlighting issues and reacting to them in a timely manner. Performance management system is required in the organization for the purpose of meeting obligations to customers, employees, shareholders and other stakeholders. Collection and analyzing of data is an important necessity in the process of the performance management. Accuracy of the data for the performance indicators is necessary for the stimulation of the improvement activities in the organization. The data-improvement cycle is given below in Fig 1. Fig 1 Data improvement cycle Performance management is a tool to ensure effective management in the organization. It is the process...

Vision, Mission, and Values of an Organization...

Vision, Mission, and Values of an Organization Vision and mission both relate to an organization’s purpose and are typically communicated in some written form. Vision and mission are statements from the organization that answer questions about who we are, what do we value, and where we’re going. Vision and mission create a target for strategy development. Vision and mission provide a high level guide, and the strategy provides a specific guide, to the goals and objectives showing success or failure of the strategy and satisfaction of the larger set of objectives stated in the mission. Vision and mission statements play three critical roles. They are (i) to communicate the purpose of the organization to stakeholders, (ii) to inform strategy development, and (iii) to develop the measurable goals and objectives by which to gauge the success of the organization’s strategy. These interdependent, cascading roles, and the relationships among them, are summarized in the Fig 1. Fig 1 Key roles of vision and mission There are three reasons why an organization must develops vision and mission statements as shown above. First it helps the organization focus on what is really important. Although the organization knows what it is trying to do to improve the performance, yet it is easy to lose sight of this when dealing with the day to day hassles that plague all organizations. The vision and mission statements of the organizations help employees remember what is important as they go about doing their daily work. Second, organizational vision and mission statements let people and other organizations have a snapshot view of what the organization is and what it wants to do. When the organizational vision and mission statements are easily visible, people can learn about the organization without having to work hard for...

Role of Planning in Management...

Role of Planning in Management Planning is the primary and most important function of management and occupies a very high position in the management process. It is the starting point of the whole management process and involves the determination of future course of action. Why an action is required, how to take an action, and when to take action are main subjects of planning for the management. Planning is a determined course of action for achieving a specific objective.  It is deciding in advance what to do and how to do. It is needed at every level of management. In the absence of planning all the business activities of the organization become meaningless. The importance of planning has increased all the more in view of the increasing size of organizations and their complexities and because of uncertain and constantly changing business environment. In the absence of planning, it may not be impossible but certainly difficult to guess the uncertain events of future. Planning is one of the basic management functions. In fact it occupies the top position in the management process. It is the starting point of the management process as other management function can take place only through this function. Before doing a thing, it is necessary that the management formulates an idea of how to work on a particular task. Thus, planning is closely connected with creativity and innovation. It involves setting objectives and developing appropriate courses of action to achieve these objectives. Objectives are achieved by fixing time based goals For achieving its goals management of an organization usually works with several management plans such as business plan, production plan, maintenance plan, or marketing plan etc. Further management plans can be either short term or long term or both. Definition of...