• Implementing a well-designed performance management system has many advantages. From the perspective
Of employees, a good system increases motivation and self-esteem, helps improve performance, charifies job
tasks and duties, provides seft-insight and development opportunities, and clarifies supervisors’ expectations.
From the perspective of managers, good systems allow them to gain insight into employees’ activities and goals,
allow for more fair and appropriate administrative actions, allow them to communicate organizational goals more
clearly, let them differentiate good and poor performers, help drive organizational change, encourage voice
behavior, and improve employee engagement. Finally, from the perspective of the HR function, a good system
provides protection from litigation and can also help minimize employee misconduct which can have so many
negative consequences for the organization.