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Performance Management and Maximizing Employee Engagement

The performance management system supports the performance and motivation of employees. The organization can benefit from the challenging performance standards, and it can keep employees motivated to reach even more. The organization, which understands the basic of managing the employee engagement, builds a strong, sustainable competitive advantage. The art of the employee engagement is in engaging the top performers and high potentials. They build the real competitive advantage.

The employees’ contribution and employee engagement are crucial for the success of the modern organization. Today, the innovations are even more urgent. The global growth is slowing and the habits of consumers change. The consumers buy fewer products and services; the organization has to be innovative to be the winner of the market competition. The performance management is a strong HR tool for the support of the employee engagement.

The employees’ contribution starts with the challenging business strategy. Employees want to be a part of the interesting journey. They want to bring products, which are famous. They want to be proud to speak about their employer with friends. The challenging strategy makes the journey attractive.

HR has to design the system, which supports the engagement of best employees of the organization. These employees are crucial for the future of the company. They bring innovative ideas, and they follow their goals. The performance management has to provide a strong differentiation of top performers and high potentials from the rest of the population in the organization.

The top performers and high potentials have to be recognized by the organization. The performance management has to be connected with other HR processes. The employees are engaged, when they see and feel consequences from the results of the performance appraisals.

Many organizations lose the potential of the performance management by implementing a weak link to other HR Processes. Managers conduct the performance appraisals, and nothing happens till the next round of performance discussions. The organization has to have a clear goal for the performance management system before it starts the implementation. Each organization can have different goals, but they have to be followed. The system without the proper follow-up becomes bureaucratic and delivering no value added.

HR has to find creative approaches to strengthen the employee engagement. The performance management is a right tool to engage the most valuable employees of the company. The top management should have monitoring of these two groups on their regular agenda. They should monitor changes in the population at least twice a year. The top managers should sponsor employees with the high potential, and they should have regular career interviews with them. They can mentor the selected top performers and high potentials.

Today, organizations are under a huge pressure from competitors. The organization has to engage employees to produce the best results. All competitors try to implement creative approaches to engage employees. Usually, the simplest and efficient approach works. The performance management can strongly support the effort to engage top performers and high potentials.