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Performance management in building highly effective teams

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The Importance of Management Performance in Building the Effective Teams


The Methods of Improving the Management Performance


The Maintaining the Effective Performance Management





 The behavior of every participant of the business can be changed by using a team performance management process, or TPM process. Performance management is concentrated on the achievement of key business objectives of any team by filling the gap between the team building 'enablers' and business performance results. It also establishes a direct connection between collective behaviors and team performance. 
The TPM process is closely connected with the assessment of key managerial competencies for senior managers and the assessment of performance management responsibilities for all supervisors.
The current work is of a high importance for those who are concerned to the management process.


Many decades of different researches devoted to process of performance management were contributed to prove it’s necessity and urged to it’s improving by every company. In 2000, Dransfield stated that the performance management is to be equipped by the tools and strategy on daily basis. In 2003, Swart and Kinnie considered the knowledge as the crucial factor of any business. The studies of Gustavsson in 2007 determined the methods of performance management as flexible means targeted to the satisfaction of the customers and increasing their demands. The processes of performance management implementation on organization’s level were deeply researched by Bell in 2007. In 2011, Pulacos and O’Leary analyzed the psychological aspects of performance management and insisted on the need to shift from the formal concepts to the studying on the personnel’s everyday behavior. The contribution to the fast changing concepts of performance management was made by Krullaars and others in 2015.

Nowadays, the performance management is “the apple of human capital management eye”. The increasing of competition and changing demands make companies to be more flexible. However, despite the time, effort and resources devoted to it, performance management not always absolutely achieves its main purpose - improving performance. The performance process in it’s traditional comprehension is reviewed as low effective for both organizations and it’s personnel. The concentration on formal aspects is no more useful in achieving the objectives of the company. Actually, the real increase in team performance is not the result of annual reviews, but the continuing process of managerial communication, involving feedback and leveraging staff’s talents.

The current review is spreading over the formal appraisal performance management process (which usually failed in administrative planning, justifying ratings and aligning outcomes) and considers the formation of a performance-based effective team building which implies a range of strategies such as improved communication and better relationship skills.

Summarizing the latest researches of high-performing teams, the review determines the specific tools to develop more effective performance management behavior. It can be vitally important for practitioners who are engaged into the management process and team building and who has limited time to coincide with the outcomes of the latest studies. By integrating the research-based, comprehensive and practical findings set out in the present work it will be possible to conduct effective HR practice which provides the successful practice of management performance in effective team-building.


There is a common point of view that performance management is the most difficult system to implement successfully in regard of an effective teamwork building. Both personnel and CEO should convince its value. Its inherent difficulties have been the reason of an enormous attention from both theoretic and practitioners, but the overwhelming majority of interventions to improve performance management outcomes have concentrated on making drifts from the formal system towards more flexible and modern one. The present review supposes that every company should cease it’s focus on upgrading formal systems and instead focus on building well attitudes between managers and workers make a management performance model that involves high effectiveness of work. Research has shown that effective performance management behaviors positively affect employee engagement and bottom-line results. To the extent that changes are applied to formal systems, the aim is to reduce complexity and administrative demands. While the actions considered here may be more inconvenient to implement, they are more likely to produce sustainable performance management improvements leading to a more successful and productive team working. Thus, the way to shift mindsets is to remind members of the whole teamwork that they engage in performance management every day. Once people realize this connection, they can better grasp the meaning of performance management in the workplace.


  • Corporate Leadership Council. (2004). Driving employee performance and retention through engagement: A quantitative analysis of the effectiveness of employee engagement strategies. (Catalog No. CLC12PV0PD). Washington, DC: Corporate Executive Board.
  • Beer, M. (1981). Performance appraisal: Dilemmas and possibilities. Organizational Dynamics, 9(3), 24-36.
  • Bryant, A. (2011, March 12). Google’s quest to build a better boss. The New York Times, p. BU 1.
  • Harvey, P., Stoner, J., Hochwarter, W., & Kacmar, C. (2007). Dealing with bad bosses: The neutralizing effects of selfpresentation and positive effect on the negative consequences of abusive supervision. Leadership Quarterly, 18, 264-280.
  • Hillgren, J. S., & Cheatham, D. W. (2000). Understanding performance measures: An approach to linking rewards to the achievement of organizational objectives. Scottsdale, AZ: WorldatWork.
  • Pulakos (2004). Performance management: A roadmap for developing, implementing and evaluating performance management systems. Alexandria, VA: SHRM Foundation.
  • Pulakos, E. D., & O’Leary, R. S. (2011). Why is performance management broken? Industrial and Organizational Psychology, 4(2), 146-164.
  • Pulakos, E. D., Mueller-Hanson, R. A., & O’Leary, R. S. (2008). Performance management in the United States. In A. Varma, P. S. Budhwar & A. DeNisi (Eds.), Performance management systems around the globe (pp. 97-114). London: Routledge.
  • Silverman, L., & Propst, A. (1996). Ensuring sucess: A model for self-managed teams. Parters for progress and quality transfer, pp 1-14.
  • Swart, J., & Kinnie, N. (2003). Sharing knowledge in knowledge-intensive firms. Human Resource Management Journal , pp 60-75.
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