Performance Management Calculator
Performance Management is the process in which the groups and targets of either an individual or group, are defined. During this process, the achievements and goals of the individual or group are measured in order to consider how effective the individual or group has been.
If you have any further requirements in this area or would like to see additional functions added to our calculator, then feel free to contact us.
What is Performance Management?
The Performance Management process is when either an individual or group of people have their tasks and achievement defined. In the midst of this process both the achievements and the goals of the individual or group are measured carefully in order to decide how effective they have been.
On top of this, the performance management process is used as a KPI (Key Performance Indicator) in order to find out how effective someone's work is and if it has been done successfully. If this process is done properly, it can help the manager of a company locate whether or not a certain department needs to step up their work due to lacking, or locate any individuals who are over achieving and could take on a role which would suit their skills better. If a company has goals to reach on a regular basis, then this process can be incredibly useful.
In order for modern companies to function in the most effective way possible, good performance is required. If a company is underperforming Performance Management can be incredibly useful for them to locate where things are going wrong for them and improve their weak links.
The Performance Management Formula
The formulae that our Performance Management Calculator uses are:
Performance Management Formula: PM = Sum of all GPM / number of Goals
Goal Formula: GPM = Sum of all TPM / number of Targets
Target Formula: TPM = (T/100) x A
- PM is the Performance Management Score
- GPM is the Goal Performance Management Score
- TPM is the Target Performance Management Score
- T is the Target Performance Management Score
- A is the Achieved Performance Management Score
Performance Management is often used as a tool that is target drive, as well as changing in PESTLE (Political, Economic, Social, Technological, Logistical, and Environmental) factors and whether or not they affect the market.
The best of managers will know exactly how they will be able to take control of their performance statistics and alter them in order to make sure that their teams are being productive and putting in as much effort as possible in order to achieve the core objectives of the company.
In a lot of larger companies, it requires a lot of effort and attention in order to set specific performance management goals. The goals that are set should be set per strategic level then broken down into each department. Each strategic level should be reviewed on a regular basis and should have quality control applied in order to ensure that the broken down goals fit into the over goals. Any added value activities should be defined clearly with consideration to the costs. Goals and targets should make sure that any waste should not be a regular focus as a business operation.
Regardless of all the considerations from above, the Performance Management formula is very simple.
- Define the goals you wish to achieve.
- Define targets that are necessary to achieve each goal.
- For any goal that requires a certain number of items to be produced, set the expected output rate for each day.
- For any goals that aren't based on the quantity of items output, assign a weighting value such as 1-100, setting which tasks are most important.
- Repeat this process for all your targets and goals.
- Once you have completed that, review everything you've done so far and assign each goal to the associated department along with any strategic aims you may have.
- Assess each goal regularly. On either a daily, weekly, or monthly basis, take the time to assess your progress on each goal. The best of performance systems are automated computer systems which make it a lot easier to control and take care of.