MGT 340 CH 9-10 Creating High Performance Org. and Managing employee performance

High-performance work system

The right combination of people, technology, and organizational structure that maximizes an organization’s resources and opportunities to achieve its goals.

Elements of a high-performance work system

Organizational structure, task design, people, reward systems, and information systems.

Outcomes of a high-performance work system

Achieves organization’s goals such as growth, productivity, profitability, and strong reputation.

Conditions creating a high-performance work system

Skills, incentives, knowledge, autonomy, teamwork, empowerment, and employee satisfaction.

Learning organization

An organization where people constantly learn and share knowledge to improve performance.

Performance management

The process through which managers ensure employee activities and outputs contribute to organizational goals.

Strategic purpose of performance management

Meets business objectives by linking employees' behavior with organizational goals.

Administrative purpose of performance management

Provides information for decisions related to salary, benefits, recognition, and retention.

Developmental purpose of performance management

Utilizes the system to develop employees’ knowledge and skills.

Performance measurement criteria

Must be strategic, valid, reliable, acceptable, and specific.

360-degree performance appraisal

Combines multiple sources of performance information, reducing subjectivity.

Rater bias errors

Include leniency, strictness, central tendency, halo, and horns errors.

Effective performance feedback

Should be regular, collaborative, focused on behavior, and include praise.

Improving unsatisfactory performance

Involves coaching, training, feedback, motivation assessment, and fit evaluation.

Legal issues in performance management

Include discrimination and unjust dismissal, requiring valid measures and fair evaluations.

Ethical issues in performance management

Involves monitoring employee performance in ways that may affect morale, requiring transparency.