Performance management and strategic planning and are interconnected. The relationship is actually quite simple. Strategic planning is based on the Vision and Mission of the organizations and this decides the organizational goals. These goals are accomplished by being cascaded down from the organization as per the following plans.
- Business plan
- Operational plan
- Functional plan
The objectives of business plans are divided into operational objectives and these objectives are further divided into the functional objectives often as part of the total picture, to every employee. This is carried over through the procedure of goal setting for the individual employees during the phase of performance planning of performance management.
There are tremendous returns to this approach. First, it aligns the goals of the organization and the goals of the individual employees. Second, it helps employees to realize that their smaller goals ultimately contribute to the achievement of organizational goals. It gives great meaning to the work of every employee.
For Citing this article use:
- Dondiram, P. R. (2018) ‘A study of impact of performance Management practices on the Financial Performance of selected Co op Banks in Sangli District’
