What is Workforce Performance Management?

Kerrie Main
Kerrie Main
Workforce performance management may help enhance productivity.
Workforce performance management may help enhance productivity.

Workforce performance management is a way for companies and organizations to assess their employees and work processes in order to enhance productivity and profitability. This type of organizational philosophy can be found in nearly all industries and positions. For many organizations, the overall goal of implementing workforce performance management is to improve the company’s products and services. Workforce performance management tools come in many forms, including clearly defined position descriptions, quality control systems, employee reviews and business performance management software.

Various charts and tools may be used to track employee performance.
Various charts and tools may be used to track employee performance.

Many companies that want to create productive workforce performance management systems start with their current position descriptions. When employees and managers do not clearly understand what their organization expects from them, problems can arise. Once job responsibilities are outlined, employees can then be evaluated to learn if improvement or changes are needed.

Some organizations put quality control systems in place to help improve workforce performance management. These types of systems can help to ensure that the end product or service is up to the required standards, can monitor how long the product is in each production stage and can identify which employees need improvement. The information gained through the process can be used to evaluate equipment and employees in order to make improvements.

Employee reviews are one of the most basic workforce performance management tools. They can be done on a weekly, monthly, quarterly, bi-annual or annual basis, depending on the organization’s needs. Performance reviews use an employee’s behavior and results to identify his or her strengths and weaknesses. Some of these reviews also involve putting career path plans in place to let the employee know what is expected from them if they want to gain a promotion or position change.

There are many business performance management software packages available, and they have many different types of capabilities. Companies interested in cutting operational costs might consider energy management software tools that measure how much electricity is being used throughout the workday. Other types include web-based performance appraisals to speed up the process and track performance over time. There are marketing tracking software programs, as well as fleet tracking systems for companies that deliver products.

Many companies believe that workforce performance management can effectively improve the organization as a whole. Some benefits of it can include direct financial gains such as more sales, reduced costs and decreased labor time. This type of management also can motivate the workforce by creating professional goals and rewards systems. Another benefit of it is improved management control because it typically helps with employee audits, and it implements clear communication of goals and policies throughout the organization.

Discussion Comments


Quantitative indicators are easy to measure. Like the article said, computer software can be used to measure production and costs. It's the qualitative indicators that are harder to measure and manage. These are issues involving efficiency, motivation and time.


@ddljohn-- That's a difficult question to answer. I'm not an expert on the topic but I think that there are advantages and disadvantages of each system.

There are different ways to review employees for the purpose of managing performance. These are usually referred to as appraisal. Appraisals are done in different ways. Usually, a supervisor appraises an employee. This may be done with questionnaires, rating scales or in essay form. Sometimes, an employee may be asked to assess himself or herself. Other times, different departments and teams in an organization may assess one another.

There is also a system called management by objectives (MBO). This is becoming a very popular performance management method. The management sets goals/tasks for an employee and then evaluates the results. I personally think that this is the best way to carry out staff performance management. This system not only makes apparent shortcomings of the employee, it also makes apparent shortcomings of the organization.


What is the best type of employee review system for workplace performance management?

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    • Workforce performance management may help enhance productivity.
      By: Henry Schmitt
      Workforce performance management may help enhance productivity.
    • Various charts and tools may be used to track employee performance.
      By: barneyboogles
      Various charts and tools may be used to track employee performance.