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why is performance management important in an organisation

Top performers within an organization deserve to advance when the opportunity arises. Performance management systems help human resources personnel and department leaders identify top-rated employees and develop them for the next step in their careers. Without a process to identify top performers, talented individuals can get stuck in jobs beneath their skill level and end up quitting as a result.

Also, coaching for improved performance is a major part of performance management and can help employees overcome their shortcomings, so they can advance their careers and strengthen their organization.
If your business focus is the development of an innovative, high-quality product, employee performance plays an integral role in achieving your business goals.

The design, engineering, quality assurance and marketing of your company's product are essential components--employee performance in these areas is critical to your business success.

Customers who purchase your product expect a quality product that meets their needs. Once customers find a company that provides the product they need, repeat business helps you build a strong customer base.

When loyal customers swap stories about the best products and services for their needs, and if your customers are extremely satisfied with your product, your business can increase as a result of word of mouth.

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