Performance Management

using the Perception Dynamics approach

Performance Management has become a relatively ambiguous concept. Its origins were focused on improving the performance of individuals within an organisation. However, over time, it has become increasingly clear that, with the possible exceptions of certain mass production situations, Performance Management cannot focus on the performance of an individual in isolation. Indeed, research has suggested that organisations that apply the traditional view of Performance Management are no more successful than organisations that do not use it.

In some mass production situations, the inputs to a process, and the processes themselves are so uniform that it is possible to compare the performance of different individuals to identify if there are specific problems. However, in the vast majority of other situations, the variability of the circumstances in which different individuals operate make such comparisons irrelevant, even when they appear to be carrying out similar processes.

This is because, in such variable situations, simply because the measurable performance of one person appears to be superior to another, the circumstances are sufficiently different to make it impossible to relate that difference purely to the capability or motivation of the individuals concerned.

For this reason, it is often far more productive to view Performance Management as primarily focused on improving the performance of the services offered by an organisation. Only once the cost effectiveness of the service is being monitored, is it meaningful to look at the effectiveness of the individuals providing the services.

This approach allows Performance Management to become an integral part of the organisational systems. Furthermore in creates the situation where staff themselves can take ownership of all the factors affecting the performance of their services, including their own skills and motivation.

This is exactly the approach taken within Perception Dynamics.