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Performance Management

performance management for teams

An introductory guide

Performance Management is a cyclical process aimed at improving performance (eg: achievement of business objectives). Performance Management involves the following principles (illustrated by a call centre example):

The term "Performance Management" is often used in two contexts:

  1. A way of maximising performance of an individual, team or organisation
  2. A process for dealing with underperforming individuals (or teams).

Whilst the underlying principles are always the same, the way in which they are implemented varies between the two contexts.

Maximising performance Poor performers
Usually collaborative between management and staff Involves more confrontation
Can be informal, with written records only recording revised targets Is a formal process with each step being written down
Is a cyclical process, one of constant improvement Is a process that escalates into disciplinary proceedings, possibly concluding with termination of employment
Often involves analysis of the process Often involves analysis of one individual's behaviours/attitudes


Performance Management is a term used to improve team performance, based on the principles of measurement, appraisal, action and monitoring. However, it can be manifest in very different forms depending on whether the aim is to further improve good performers, or deal with underperformance. Performance Management can also apply to individuals, teams, groups or organisations.

We have an article on performance management for teams, which is aimed at helping good teams improve their performance even further.

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