Performance measurement
- 1. Performance measurement Is the process of collecting, analyzing and/or reporting information regarding the performance of an individual, group, organization, system or component.
- 2. APPROACHES TO MEASURE PERFORMANCR Trait Approach Emphasizes individual traits of employees Behavior Approach Emphasizes how employees do the job Results Approach Emphasizes what employees produce
- 3. WHAT IS EXECUTIVE EVALUATION? The process of planning and reviewing the performance of senior management A means of maintaining alignment between goal sets and achievement reached A means of determining the need for further future professional development education and training
- 4. EFFECTIVNESS OF PERFORMANCE MEASUREMENT The performance measurement system must be integrated with the overall strategy of the business. There must be a system of regular feedback . The performance measurement system must be comprehensive. Measures need to be fair and achievable. The system and results reporting need to be simple, clear and understandable,
- 5. COMPANSATION Compensation is the remuneration received by employee in return for his/her contribution to the organization. For balancing work or employee relations providing monetary and non monetary benefits to employee.
- 6. COMPANSATION SYSTEM INDIRECT DIRECT Protection programs base pay Medical insurance salary Life insurance wage Pension merit pay Social security
- 8. SKILL BASED PAY Remuneration system in which employees are paid wages on the bases of number of job skills they have required. e.g. knowledge ,skill ,competency.
- 9. BROAD BANDING Broad banding is a job grading structure many job grades to determine what to pay particular positions and incumbents within those positions. Broad job classification defined as a strategy for salary structures that consolidate a large number of pay grades into a few "broad bands
- 10. Team based pay Team-based pay, a compensation plan used by some companies to reward individuals based on the work they do in groups
- 11. Variable compensation Variable pay is a non-fixed monetary (cash) reward that is contingent on discretion, performance, or results achieved. There are different types of variable pay plans, such as bonus schemes, sales incentives (commission), overtime pay, and more.
- 12. EXECUTIVE COMPANSATION The financial payments and non monetary benefits provided to high level management in exchange for their work on behalf of an organization.