Performance Management - Research and Assessment Term Paper

Performance Management - Research and Assessment - Term Paper Example SM Energy Company has a goal planning sessions which undertakes development of goals by the employees which are later approved by managers (Aguinis, # 10). The business strategy in SM energy is done through cascading goals in order to support the process of performance management effectively and efficiently. Board of directors is the ones who sets and approves the goals and the goals are communicated to the organization by the management. The company has formulated training and education for workers which are formulated based on performance management. Performance management is an ongoing activity. Each employee should be kept updated thus why training is vital (Rausch, #34). SM Energy employee’s views performance management as effective and fair because they do not dispute its process. Evaluation of performance is done twice per year. Employees should be given the chance to give their opinions concerning performance management thus enhancing the handling performances issues that are difficult. Poor performance is well addressed in SM Energy Company. It is majorly based on progressive discipline. Before taking disciplinary actions, coaching is done first and later performance improvement plan is used to address the problem. Performance improvement plan is described as a structured document that discusses mainly the problem or the influence of the problem on department, person or the organization. It acts as a letter of warning before one is terminated from the organization. There are several measure that SM energy company employs like any other organization to determine whether the performance management process is effective. The first one is that at the end of each year they observe the distribution of ratings. This means that majority of the employees are meeting their set goals. Another measure is Lake Woebegone effect, this is the feeling that each person should be above average