employee performance evaluation Archives - RSI Concepts - Top IT Solution Provider Company in Dubai, UAE

June 1, 2022

How to Develop Customized Enterprise Performance Management Software?

This blog will provide you basic understanding of the performance management system software and how you can develop a customized enterprise performance management software. In Dubai and all around the UAE the markets are very competitive and the customer trends are always changing. If a business wants to excel in such environment they must have to make sure that each business function is working at their maximum level and each individual employee is delivering the best of their work.The performance management is not a one time work, in fact it is a continuous process that can take years to reach to the maximum performance and efficiency. Businesses use performance management systems and software for various factors that directly or indirectly impact the overall performance of the business.

There are several benefits of the performance management software. The biggest advantage of any performance management software is that it allow the management to implement their strategy more effectively and communicate their goals with the employees. It help employees understand their job roles, business’s expectations from them, their contribution required in the high-level organizational goals and objectives and it also provide them the roadmap/plan to effectively meet the expectations and ensure maximum performance and efficiency. The performance management software can easily track the current performance and it also keeps the past evaluations which help the management to understand the employee and it also help them to assess the employee development programs and training programs and a lot many things.

Today’s world is heavily data driven, no matter which industry or business sector you belongs to, the data is crucially important. The technology have rooted deeply in our daily lives. Especially in Dubai and all around the UAE where the technology and digital IT infrastructure is dominating the businesses, it is crucial to have effective and efficient digital strategy. Now a day’s even a small retail store can’t operation without a simple digital POS machine. As much as the business grows the integration with modern technology and solutions grows too. A performance management software is one of the best asset a business can utilize to achieve its long term and short term goals. There are two major types of enterprise performance management software. One is the off-the-shelf or ready-made solution which is provided by several vendors, the second type is customized enterprise performance management software which is far superior then the off-the-shelf solutions.

The customized enterprise performance management software provide more control, flexibility and it is very cost-efficient in the long term. Here in this blog we will discuss how a business without any prior experience or expertise can develop a high-quality enterprise performance management software.

Step 1: Develop Customized Enterprise Performance Management Software – Discovery Phase

For the enterprise performance management software or any other customized enterprise solution the first step is called discovery phase or requirement gathering phase. A business owner or senior manager can either take matter into their hands or they can also appoint a project in charge who should take responsibility of everything. The first step starts with the research. Not too technical, only basic research to understand the software and it is better to look up for some case studies and go through them. This will provide you a basic understanding of the enterprise performance management software and what other businesses are doing and how they are doing it. You can easily find those case studies online and also on the websites of the custom software development companies. If you are located in Dubai or anywhere in the UAE it is better to look up for the case studies from your region. Anyways, case studies no matter from where would be a great start. This will provide you excellent understanding of what you can do and what you can expect from the customized enterprise performance management software.

Step 2: Develop Customized Enterprise Performance Management Software – Set Goals and Make Plan

Whenever a business invest in any solution or software the first thing they do is to set a goal and then select the appropriate tools to achieve those goals. For customized enterprise performance management software the prime objective is to boost the performance of the entire business including all its business functions, management, and the individual employees. But the biggest challenge is that each business have certain limitations in terms of resources and capabilities. For example if you want to improve a product you have an excellent team who can design a great product but your production facility is running on old machinery which is not capable of manufacturing that product. In that case you can’t achieve your goal. So, the goals should be realistic and achievable. That was just one example, there could be hundred different scenarios where the business can face a road block.

Anyways, setting up goals like improvement in customer retention, increase in sales and improvement in resource management are the goals that any business can easily achieve. For those goals the business can set objectives such as 20% reduction in customer churn rate, 15% improvement in NPS (Net Promoter Score), 30% reduction in customer wait time, etc. For these objectives the business can make workable plans and good strategies. Such objectives are clearly quantifiable hence a plan can be built to achieve those objectives and overall organizational goals. A customized enterprise performance management software allow businesses to easily implement their strategy and execute plans effectively to insure their goals will be achieved.

Step 3: Develop Customized Enterprise Performance Management Software – Hire a Custom Software Development Company in Dubai, UAE

For the development of customized enterprise performance management software hiring a custom software development company in Dubai, UAE could be a trickier task. There are hundreds if not thousands of software development companies located in Dubai alone and there are many more all around the UAE. This makes it difficult for a business owner or the manager to select a right software development company for their customized enterprise performance management software. Here are some steps if followed as per the following order could help you identify a good service provider:

Make a list of 10 to 12 custom software development companies in Dubai or anywhere in UAE
The list can be prepared by simple Google search or you can ask your colleagues, friends and professional connection to suggest software development companies or it can also be a combination of both
Spend some time on exploring the websites of all the companies that you have in your list
Scrutinize their websites in terms of design, the information, overall look and feel, their portfolio, business partners, awards, testimonials, and media center (blog, PR, case studies, etc.)
Trust on your guts and rearrange the list by putting the best at the top, you can also discard a few at this stage if you feel they are not good enough or doesn’t have strong profile
Contact all of the short listed software development companies and ask them to sign NDA with you, then share your project plan, objectives and goals with them and ask them to submit their proposal and quotations
Analyze those proposals and discard the companies who failed to understand your requirements correctly or who are offering you a very vague, general purpose type solution
Now you would be remaining with only 4 to 5 or maybe even less companies, ask them to provide you the contacts of at least any 3 customers to whom they have provided a similar solution and take their opinion about the vendor
Now start negotiation on both technical and commercial proposals and try to reduce the project cost as much as you could while getting maximum features
Now you are in a position to easily select the best customer software development company
Sign agreements and agree on a project plan as well as payment and other terms and conditions

If you are still reading you might have noticed I haven’t mention anything about off-shore customer software development companies at all. There are hundreds of off-shore companies who are serving customers here in UAE but there are thousands who could get you to a failure. In addition to that any off-shore company is not bound by the UAE laws that protect customers in such business transactions. That is why it is better to avoid off-shore service provider and chose a customer software development company in Dubai, such as RSI Concepts or anywhere else from the UAE.

Step 4: Develop Customized Enterprise Performance Management Software – Project Execution

The customized enterprise performance management software project execution is a simple and fairly straightforward. Since the project plan is already drawn the scope of the software is already agreed in the previous stages now it is only the matter of time. However, there are some important things that you should consider when the project enters into the development phase. Here is how the customized enterprise performance management software development project is executed step by step:

Wireframe: The wireframes are layouts and diagrams that describe how the actual software will look and how each functionality will be provided. It is basically the blue print of the entire software.
UI/UX Design: The UI (user interface) and UX (user experience) is crucial for the success of any software. Be vigilant at this stage, carefully examination of the UI and all the screens will provide you the details of the UX. At this stage changes can be made easily, on later stages the changes could cost you more time and money.
App Development: The app development phase is where the developer add source code and develop algorithms. All the functionalities are developed at this stage.
Quality Testing: Some development companies do in-house testing some also invite customers to participate in this phase. Either way the final product is tested to see if all the features are working as per agreed previously or not. The software development company also do bug-fixing and quality assurance at this stage.
Security Testing: For any business the data collected by the enterprise performance management software is crucial. So a detailed security testing is required. Usually business acquire a third-party to do the security testing.
UAT: The UAT or user acceptance test is done by a selective group from the actual software users. Majorly the project teams, management and some key employees perform UAT. Once approved the project is ready for the launch.
Beta Launch: The beta launch or soft launch is a pre-launch step, in this the software is made available for a larger group of users. Who test it and usually the training also take place during this stage.

Step 5: Develop Customized Enterprise Performance Management Software – Launch

In the launch phase the customized enterprise performance management software is made available for all the users and it starts operations. After the launch another important thing is the maintenance of the customized enterprise performance management system software. Such software doesn’t usually require much maintenance. As they are usually at the cloud or online hosting, which is managed by the service provider so businesses doesn’t have to worry much about it. Even if it is hosted in in-premises data center, the management team could easily keep it operational. However, it is still very beneficial to sign an annual maintenance agreement with the development company. As it can provide additional support and few minor changes can also be accommodated under that agreement.

Conclusion

The enterprise performance management software is a very important asset for any business or organization. It provides the management with a real-time and 360 view of what is happening. The enterprise performance management software provide both macro and micro level monitoring features which are very helpful for improving efficiency and boosting employee performance. The managers can get the performance data which help them to quickly identify the hurdles and issues and provide them a chance to evaluate their actions and changes that they made to overcome those obstacles. Furthermore the enterprise performance management and appraisal software is a key component to reduce employee turnover and improve the overall workforce of the business. A capable team and efficient business processes are key to productivity, profitability and growth.

RSI Concepts is a leading custom software development company in Dubai, UAE with specialized skills and experience in customized enterprise performance management software. If you want to learn more about the subject or need our help to develop a super-efficient customized enterprise performance management software for you, please feel free to contact us via our Contact Us page or leave a comment in the comment box below and we will get in touch with you soon.

Check out this: How the HR should select a Performance Management System?

May 30, 2022

How the HR should select a Performance Management System?

For any business the human resource is considered to be the backbone of the business. The HR is responsible for hiring skilled staff. The HR is also responsible for employee retention and employee happiness. Job satisfaction is a very positive factor and can boost one’s performance by many times. Here in Dubai and all around the UAE the market is very competitive, the customers are also very savvy and there are other challenges too which makes it extremely crucial to make your employees productive and efficient. For that businesses uses multiple methods and tactics, most of the businesses use a performance management system. The main reason to use a performance management system is to measure and evaluate the employee performance and their impact on the high-level organizational objectives and goals. Basically the performance management system is used to make sure all the employees and departments are working in the right direction to achieve the high-level organizational goals and objectives.

The continuous performance monitoring and evaluation also help encouraging employees to perform well. The performance management system is also used to improve employee’s capabilities. It helps HR in many ways and it enable businesses to implement employee development programs which help them improving their employees’ professional skills and capabilities. The performance management system is also a great tool to understand the strengths and weaknesses of the employees which help businesses in effective and efficient resource planning and management. All these benefits can help businesses and organizations in achieving their goals and objectives and maximize the productivity and profitability of the business.

When it comes to implementing a performance management system there are several options available in the market. Here in Dubai and all around the UAE the off-the-shelf and ready-made solutions are in abundance which also makes it difficult for the HR to decide which system they should acquire. Obviously each business have different needs and plans, so in this blog we will discuss how the HR should choose the right system for their needs.

What is a Performance Management System?

A performance management system is mainly a software which have in-built features that allow the businesses and organizations to execute the performance management tasks and strategy. There are two major parts of performance management. First part is called performance management system which is drawing a roadmap to achieve the goals. The second part is performance appraisal system which is basically measuring the performance and progress of each individual employee, teams, departments and management with the reference to the high-level organizational goals and objectives. Although most of the time the performance management system and the appraisal management system are interchanged and referred to as the performance management system only.

The performance management system software can be hosted on cloud, online hosting or in local/in-premises data centers. The system is interlinked with the central information center as well as all necessary systems and tools via API based integration which enables it to synchronize, update and push data to and from other systems.

Here are a few important things that the HR should consider while selecting a performance management system:

Performance Management System Software Technology and Platform

For any performance management system the software technology and the platform is crucial as it will not only support businesses with customization and scalability but it also have huge impact on the cost. The performance management system must be built on a widely available technology. Hence the changes or customization should be easy. These days many performance management systems are utilizing open-source programing platforms which is very cost-efficient and easy to customize. Furthermore the performance management system should be able to provide easy and cost-efficient scalability. The performance management system’s software consists of user interfaces (UIs) and a core server application.

The server application is where all the source code and algorithms are stored and executed. Hence the software platform should be able to support multiple server technologies such as online hosting, cloud hosting, local or in-premises hosting solutions. This will enable the business to choose appropriate solution as per their convenient and doesn’t put extra strain on the expense by forcing them to opt for a particular hosting technology.

Exclusive and Intuitive User Interfaces (UIs)

For performance management system or in fact for any system it is extremely crucial that the users are able to use it without any trouble. The intuitiveness and simplicity improves user experience which improves the overall efficiency and efficacy of the system. For the performance management system as it should be utilized by different all of the employees who all have different level of IT proficiency and computer knowledge, so the user interfaces should be designed to keep the users in mind. In a standard performance management system there are several different types of user interfaces which are all designed for different user groups, for example the user interface (UI) for the employee would be very different from the user interface for the CEO or the top level executives.

That is why it is extremely important that the user interface is easy to understand and intuitive. In some cases if training is required then the training should be provided to the staff. An employee or even a manager can only get the full benefits of the performance management system if they could use it easily.

Flexible Goals and Objectives Implementation

This is the most important part of any performance management system. The performance management system must have to be very flexible and user-friendly to enable the users to easily set goals and objectives in the system. At every managerial hierarchy till the individual employees the system administration (which is top level management) should be able to transmit the goals and objectives. In-built features should allow the board of directors and senior management to communicate the high-level organizational goals and objectives with the head of departments, directors, etc. and then they should be able to communicate those goals to their respective teams. For example the director operations should be able to set goals of the managers from the department and then they can do the same for the next level of employees and then the line managers, supervisors, etc. and at last the individual employees. This should be available for all business functions.

In this way the high-level organizational goals and objectives can be effectively communicated to everyone in the chain and businesses can get better results. Furthermore a good performance management system always encourage inputs and feedbacks from the individual employees and lower level management, which help them understand the goals much better and when employee have their say in planning and strategic affairs they feel more compassionate about their work and become more loyal with their employer. This can help improving their performance too.

Strong Monitoring Tools and Dynamic Strategy Implementation Approach

Most of the time the high-level organizational goals and objectives never changed, they remain same for the entire year. However, due to unplanned and unforeseen circumstances the individual goals and plan of action can be changed to remain on course for the high-level organizational goals. This requires continuous monitoring of the performance and the progress. A good performance management system should be very flexible towards implementing strategy and plans. It should provide continuous performance data to the managers and supervisors and let them change or amend the goals at any time. This course correction help them dealing with unforeseen events, interruptions and unplanned events.

Another upside is that it also provide continuous performance data to the employees as well and provide them with a chance to improve their performance to reach their goals and objectives. Furthermore it also estimate the impact of the individual performance on the overall performance of the team, department and the organization as well. Which also help encouraging the employees to perform well and it gives them a sense of importance which is good to improve employee loyalty and employee retention.

Continuous Employee Feedback

For any performance and appraisal management system the employee feedback is absolutely essential. It provides management a chance to evaluate the employees in a more accurate and better way and it also help reducing the communication barrier which is usually present among the junior employees and the management. The performance management system should have a dedicated in-built module for the employee feedback management. Where the managers should have ability to schedule one-on-one feedback sessions for any of their subordinate and also the manager who will be conducting the feedback session. The performance management system should also include online feedback features to conduct online surveys and feedbacks.

Furthermore the peer-to-peer, top-to-bottom and bottom-to-top feedback collection mechanisms should be available. These features can become very handy for the HR department and they also help understanding the problems and issues of the employees in greater depths.

Employee Appraisal Management & Reward Modules

The employee appraisal management is a very crucial part of the performance management. The employee appraisal is basically their performance during a particular time period. The employee appraisal management modules measure the employee performance on the bases of their progress towards the objectives, goals, and their contribution in the overall organizational goals and objectives. The appraisal management is the key component that is used to align all organizational resources with the high-level organizational goals and keep everyone on track to ensure the high-level goals and objectives will be achieved. The management by objectives is a modern appraisal method that involves employees in goal setting and strategy building process. Furthermore there are other methods too such as behaviorally anchored performance scales, 360 degree feedback, straight ranking appraisal, accounting appraisals, etc. and many more.

A good performance management system should not only support all these methods but it should also be able to allow the management to customize and configure their own methods and techniques. The appraisals play a crucial role in improving the overall productivity and profitability of the business. On the bases of the performance evaluation the performance management system should also help businesses to implement an effective reward program. The reward program help businesses in improving employee’s morals, encouraging them to perform even better in future. Furthermore the performance management system can provide accurate data on technical and behavioral competencies which help businesses to setup and plan training programs and it also help them in measuring the effects of the trainings and skill enhancement programs. This help HR to improve the overall operational and professional capabilities of the entire workforce.

KPIs, OKRs, KRAs, and other Matrices

The performance management system have in-built performance measuring matrices. These matrices are used to track, monitor and measure the performance of the entire business along with all its business units, departments, teams, and employees. The KPIs are Key Performance Indicators which are used to measure the performance of the individual employees, teams, departments, and even the entire business. The KPIs are used to communicate what is needed from an employee and quantify their work to assess the performance. While the KRAs or Key Result/Responsibility Areas are matrices that are used to measure the employee performance in terms of the expectations from their job role. Majorly the KRAs are used to clearly communicate the job role of the employees and give them a perspective of what the business is expecting from them and what should be their contribution.

The OKRs means Objectives and Key Results and it is a fairly new performance management method. The OKRs are reviewed more frequently (usually at the end of each quarter) and they are transparent both horizontally and vertically. The OKRs are different from KPIs as the KPIs provide the measure of the effectiveness of the existing processes, the OKRs mainly address the change and growth and it measures how far a business have progressed in in a certain time period in pursuit of their goals and objectives. These are some matrices that any good performance management system should have. These matrices and a lot many more such matrices improve the efficacy of the performance management system.

Performance Management System with Remote Access Enabled

A good performance management system must also have capabilities to provide access to the employees remotely if needed. These days in general our dependence on the smartphones and mobile devices is increasing. In fact most of the people use their mobile devices as their primary device to access the internet and do regular tasks. Furthermore businesses in Dubai and all around the UAE usually have many branches and most of the time employees are deployed off-campus or at project sites. This means that all of the employees wouldn’t have access to the computer or they won’t be able to come to the head-office to access their performance management system dashboard. Sometimes the higher management and stockholders also want to access the system from remote locations such as if they are at home, or at a business trip or if anything urgent came up while they are not at the office, etc.

That is why having the facility to provide remote access via mobile and smartphones could be a great advantage. Businesses can also integrate special purpose interactive kiosks with the system which can provide access to the performance management system from remote locations and make it possible for all employees to access their dashboard any time and from anywhere. Such features are very helpful in improving the effectiveness of the system and help businesses improve their performance in all sectors.

Performance Management System Cost – Customized VS Off-the-shelf Solution

Obviously the cost is one of the major factor. Whenever a business planned to acquire a new system or tool the cost is always an important anchor point. The ROI is calculated on the bases of the cost and the returns a business gets from the software or system. There are two types of performance management systems on the bases of their cost and usage agreements. Some companies are providing ready-made or off-the-shelf performance management systems which can be acquired on the rental bases or at different subscription plans. In both cases the scalability is expensive and the business must have to pay for the plan or package they have opted for. Usually these plans and packages are designed for general purpose hence most of the businesses end up paying for unwanted features and tools as well.

The data is stored in the service provider’s storage and business have no control over it. Another big disadvantage of off-the-shelf solutions is that they are hard to customize and sometimes businesses have to wait for a long time to see the new features in the updates. If any customization is done, it remains limited and it is also very expensive and in some cases it is not permitted at all.On the contrary the custom-build performance management systems provide full control and freedom. The business usually acquired a software development company like RSI Concepts or they hired a team of programmers and developers. In any case the business have full ownership rights over the software and it’s all resources. This make scalability a non-issue and business can include as many employees, departments, branches and everything whenever needed without paying hefty charges or upgrading fees.

Furthermore the full ownership frees the business from dependency on a single vendor and businesses can move to a new vendor or service provider without losing anything or going through the migration problems. This make customized performance management systems more superior and cost-efficient. In the long term the cost to benefits rates are excellent and the business have more control and freedom over their performance management system.

Conclusion

The performance management system is a very critical component of any business’s management. Businesses use a digital performance management system to plan and execute strategies as per their goals and vision. However, when it comes to selecting an appropriate performance management system the HR department had to be very careful. The performance management system could have a significant and long term impact on the business’s growth and productivity. In this blog we have listed some basic features which will help the HR department to choose the best solution for their performance management needs. A performance management system help businesses to set realistic goals and help them implementing strategies to achieve those goals. It significantly improves communication.

The performance management system also help employees’ in understanding their job roles, the expectations from them and the importance of their contribution in the overall high-level organizational goals and objectives. The feedback and planning tools help businesses including the employees in planning and strategy building phases which increase their trust and improve their relationship with the business.A performance management system is absolutely necessary for any business. Each business grows, some grow faster and some at a slower pace but eventually each business grows and their internal business processes become more complex and sophisticated. A performance management system ensures the business sustain that growth and with the growth it also improves it workforce, operational capabilities while ensuring higher productivity and performance.

RSI Concepts is a leading performance management system provider in Dubai, UAE. If you want to learn more about the subject or if you need our help to provide you a high-quality performance management system, please feel free to contact us through our Contact Us page or leave a comment in the comment box below and we will get in touch with you soon.

Check out this: Employee KPIs and Performance Management

April 29, 2022

Why do businesses need both the performance management and performance appraisal?

For any business it is important that all its resources are performing at higher performance with maximum efficiency. Every business small or large must have limited resources, hence they have to utilize their resources in a way that they can achieve maximum productivity and profitability. The performance management is also necessary for the business as it enables them to align all human resources, assets and strategies with the organizational goal and vision. Every business function and every operational tasks is dependent on the employees, if the employees are performing well they will produce better result hence the efficiency of each and every business process is dependent on the employee’s performance. Business in Dubai and all around the UAE are rapidly adopting performance management systems and tools. There are several reasons why businesses acquire a performance management or performance appraisal systems.

For any business or organization it is crucial to monitor and rectify problems and challenges that employees are facing in order to boost their performance. This will help businesses to obtain employee trust and loyalty which in return also increase performance. Furthermore the performance and progress should be in a direction to achieve something. All businesses and organizations always set their future goals, vision and mission. The enterprise’s performance is optimized and increased to achieve those high-level goals. In this blog we will cover performance management and performance appraisal and their importance.

What is Performance Management System?

A performance management system is a tool that facilitates performance management process. The performance management process is basically a set of all the efforts and activities a business do in order to keep its employees on track and aligned with the organizational goals. The main objective of doing performance management is that the employees and all other resources remain aligned with the high-level organization goal. The performance management process encourages employees to perform well and perform in the right direction so the high-level organizational goals can be achieved. The performance management process and system also enable managers and supervisors to engage with the employees and encourage them to work better.

What is Performance Appraisal System?

The performance appraisal system or process is a very simple process it measures the performance of the employee. Where performance management system provides a roadmap to achieve the organizational goals the performance appraisal system is used to measure the progress of each individual employees. The performance appraisal system is only used to measure the performance of the employees as per their progress towards the set goals and objectives. The performance appraisal keep records of the performances of the individual employees which can be used by the HR department as well. Basically the performance appraisal system tells business about how productive an employee is. This way businesses can easily identify the highly performing employees and reward them and businesses can also easily identify the employees who have become liability.

Difference between Performance Management and Performance Appraisal

The performance management and the performance appraisal both are used for employee performance however there are basic difference between the two methodologies. Here is a list of some fundamental differences between performance management and performance appraisal systems:

Performance management help and encourage employees to improve their performance, while the performance appraisal only evaluate the performance
Performance management evaluate an employee on the bases of past, present and future, however, the performance appraisal just measures the performance in the immediate past
Performance management increase employee engagement and evaluate the relationship between employee and the employer, however, performance appraisal is individualistic
Performance management continuously monitor employees, evolve strategies and focusing on employee development, whereas, the performance appraisal focuses only on the results
Performance management includes one-on-one sessions and discussions, hence it is very dynamic. The performance appraisal have a top-down approach and is very linear
Performance management always encourage employee development and help facing challenges in present and future however the performance appraisal focuses only past performance
Performance management offer real-time reviews and continuous feedback however, performance appraisal only offers feedback once or twice in a performance period (usually 1 year)
Performance management is better future equipped and easy-to-scale however, the performance appraisal is usually focused on the past performance of the employees

It is clear now that the performance management system and performance appraisal systems are designed and used for completely different purposes although both are covering employee performance management.

Why a Business Should Use Both Performance Management and Performance Appraisal?

The performance management is a continuous process which keeps monitoring the employees and their progress in real-time. This provides the management an added advantage of allowing them to quickly set course or make adjustments if any employee deviates from their set path. This advantage is not available in the appraisal method. However, the performance appraisal process can accurately measure the actual contribution or value of the efforts of the employees towards the high-level organizational goal and objective. That is why it is important to use both systems in parallel. Businesses use performance appraisal system to generate performance data for HR. The performance appraisal will provide accurate employee performance to the HR on the bases of this performance the HR can plan bonuses, awards, promotions, demotions, transfers, training program and much more.

The performance management system on the other hand provides a comprehensive strategic and tactical data which not only measure the employee performance but also help businesses and organizations to set goals, build strategies to achieve those goals, make plans, and assign individual and team goals as per the requirements. The performance management system also helps businesses in communicating those goals and objectives with the employees and also guide them how they could and should perform in order to achieve their individual and high-level goals and objectives. The performance management system can also generate data which can help businesses in understanding their resources, technical skills, and capabilities of each individual employee. This will help businesses in future and it will enable them to make more realistic and practically sound decisions.

A good quality performance management system help businesses and organizations to achieve their long term strategic and financial goals. When the performance management system and the appraisal systems both are used combined the effectiveness and results will be improved significantly. Here are some benefits of using employee performance management system and appraisal system:

Improve Communication between Employee and Management
Convey Goals and Objectives more Effectively
Communicate the Performance Requirements/Needs and Expectation more Effectively
Enable Employees to Evaluate themselves and Provide Feedback about their Individual Goals and Plan of Action to achieve those Goals
Aligning Employees and Resources with the High-Level Organizational Goals and Objectives
Improve Communication all across the Organization and Improve Relationship between Employees and their Managers
Real-time and Continuous Feedback Makes it Easier for Employees to Communicate with the Management
Help Management to Monitor the Performance of the Entire Business or Organization
Enable Management to Swiftly Take Actions to Rectify Problems and Help Employee Facing their Challenges
Increase Employee Engagement, Gain Employee Trust, and Increase Employee Retention

These are some of the most obvious benefits of combining the performance management system and appraisal system.

The performance management and performance appraisal systems when used together can fix drawbacks and gaps of each other. For example:

The performance management system can increase the communication and fill the communication gap which usually occurs in performance appraisal management
The performance appraisal doesn’t clearly communicates the high-level organization whereas the performance management system clearly communicates individual and high-level organizational goals as well as it also include employees in planning and strategy building processes which increase employee engagement
The performance appraisal process worries employees, as the appraisal is done only once or twice the year, and that is the reason most of the employees doesn’t show trust on the appraisal process. However, the performance management process includes regular and continuous employee reviews. Which not only gain employee’s trust and reduce their anxiety but it also help improving the communication between the employee and the manager.
The performance appraisal methods emphasize on increasing the performance and doesn’t clearly communicate how the employee should improve their performance or what is expected from them in the future. On top of that most of the time the communication is very low. The performance management process clearly communicates the goals and objectives, both individual and high-level goals and objectives are defined. The employees are provided with the guidance on how to achieve their objectives and how to improve the performance.
The performance management is continuous and it can collect all the details about the employees and their performance. This data can be made available for the management at any time. However, in performance appraisal methods the evaluation is done once or twice in a year.
The performance appraisal method lacks the employee personal development strategy. However, the performance management focuses a lot on employee’s personal development program to ensure the business always have the required workforce. The personal development program can increase employee engagement and it also help increasing loyalty. However, if the employees feel there is no scope for their personal development then they will leave.
The performance appraisal methods doesn’t help much in increasing employee engagements, gaining employee trust and improving employee retention. However, the performance management methods boost employee engagement and help building a sense of belonging and connection with the business. This also make employees happy and satisfied and it also increase employee retention.

The performance management and performance appraisal both are tools to boost business’s performance. If the employees and other resources start working at their true potential the productivity and profitability increases. That is why both system are important and when used combined can have additional benefits as well.

Conclusion

For any business in Dubai or anywhere else in UAE achieving the high-level organizational goals is a key to success. Businesses use various methods and tools to improve the employee performance. The employee performance is crucial if a business wants to achieve their high-level goals and objectives. The employee performance can be improved by communicating them the goals clearly, assigning them the objectives & tasks, and monitoring them to understand if they are going in the right direction. The performance management and appraisal ensures that the goals and objectives are established and communicated clearly and there is a monitoring mechanism in place which can immediately highlight if an employee is deviating from their set path and allow the managers to take timely actions to reset course.

The performance management also help businesses in evaluating employees and understanding their true potential, skills and capabilities. This help HR in several functions and also provide intelligence data for employee personal development and reward schemes. In short the performance management and performance appraisals are absolutely necessary for a business and its long term growth. RSI Concepts is a leading name in developing and designing performance management systems and tools, if you need any help in your business’s performance management or if you want to learn more about the topic, please feel free to contact us through our Contact Us page or leave a comment in the comment box below and we will get in touch with you soon.

Check out this: Digital Branch Transformation Trends for Banks in 2022

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How to Develop Customized Enterprise Performance Management Software?

Step 1: Develop Customized Enterprise Performance Management Software – Discovery Phase

Step 2: Develop Customized Enterprise Performance Management Software – Set Goals and Make Plan

Step 3: Develop Customized Enterprise Performance Management Software – Hire a Custom Software Development Company in Dubai, UAE

Step 4: Develop Customized Enterprise Performance Management Software – Project Execution

Step 5: Develop Customized Enterprise Performance Management Software – Launch

Conclusion

How the HR should select a Performance Management System?

What is a Performance Management System?

Performance Management System Software Technology and Platform

Exclusive and Intuitive User Interfaces (UIs)

Flexible Goals and Objectives Implementation

Strong Monitoring Tools and Dynamic Strategy Implementation Approach

Continuous Employee Feedback

Employee Appraisal Management & Reward Modules

KPIs, OKRs, KRAs, and other Matrices

Performance Management System with Remote Access Enabled

Performance Management System Cost – Customized VS Off-the-shelf Solution

Conclusion

Why do businesses need both the performance management and performance appraisal?

What is Performance Management System?

What is Performance Appraisal System?

Difference between Performance Management and Performance Appraisal

Why a Business Should Use Both Performance Management and Performance Appraisal?

Conclusion