Study Of Performance Improvement With Objective Management Theory

Objective management, as one of today’s most effective management methods and theory, is an organizational management model. It adapted to the socio-economic development trends, and has made extraordinary achievements, such as raising the level of organizational performance, improving organizational execution, balancing between efficiency and equity, efficiency and effectiveness. Objective management as an effective performance management tools and methods, have been widely used in the fields of business management, administration, and is playing an increasingly important role. Starting from the1980s, China began to draw on Western concepts of performance management, and implement objective management. To date, more than200cities (including more than20capital cities) has introduced target management of local Government in China. Guangzhou has implemented pay-for-performance system in public institutions since2009, but the institutions have not established as corresponding to the performance appraisal system. Therefore, in public institutions, distribution of jobs, job descriptions, and performance systems must be established progressively. In this study, a case study of a public institution in Guangzhou City was chosen as object to research the relation between job analysis, objective management and employees’ performance of public institutions, so as to establish a perfect performance target assessment system which will be treated as references by other public institutions. Purpose and SignificanceThe purpose and significance of this study:First, applying job analysis and objective management theory to solve some problems amongst the pervasive performance management in public institutions, and to improve staff performance in public institutions and achieve employee and organizational goals, thus achieving the organizations and individuals interests linked. Second, building a framework of institutions’ management by objectives, management by different levels in the target system, determines the positions of work flow. Third, job analysis, job description and representation specification based on workflow, determine performance results by objectives management and evaluation of competency. Fourth, to explore objective management in practice application process of improving staff performance in public institutions.Methods1. Literature reviewWith the purpose of looking for breakthrough and theoretical basis for this study, we learned about theory of management by objectives and current research situation and the latest developments on the employees’ performance of public institutions through CNKI and library. Material collected would serve as the theoretical basis of establishing the target management performance assessment system in public institutions.2. Questionnaire SurveyStaffs of public institutions were chosen as subjects to investigate via questionnaire to learn some practical problems in implementing performance management. Survey involves:(1) the current status of performance management in public institutions and staffs’ views on it;(2) determination of Staffs on shifting the current assessment style, and related recommendations;(3) how applying objective management to improve employees’ performance, and so on.3. InterviewThe status of the performance appraisal was understood by interviews with the staff of an institution. Interviewees include:leaders of institution (3people). personnel sector related staffs (5people), the department heads (5people), lower-level employees (10people), and service objects (10people).Interview outline includes:(1) perception of the current assessment methods;(2) whether staffs have clear position duties and objectives;(3) whether staffs can carry out self-management, self-control, and exhibit individual initiative in the process of working;(4) whether performance evaluation results matches staffs’ actual work status;(5) the application of assessment results, and so on. We could know about organizational goals of public institution in the process of interview, which will help us to construct objective system, job analysis and others work.Content and ProcessGoal management is the process of setting goals, goal decomposition, executing the target, result evaluation, and feedback. It is a management thought and management methods that goals were set and achieved by institution, outcomes were monitored by supervisees and managers.1. Follow the principle of people-oriented, building a framework of objective management in public institutions according to their different objectives.Determine objectives including goals and sub-goals, is a starting stage of objective management in public institutions. Setting goal must adhere to the people-oriented principle, take the employee’s ability, personality, interests and other factors into account. Setting work objectives must keep target, position and employees’capacity in balance, and make the target have certain feasibility and incentive. Determining the goals should both qualitative and quantitative, and is conducive to the target implementation, control and evaluation. Meantime, performance appraisal should integrate into the target-setting process, which to some extent, makes the development of performance standards keep compliance, synchronicity. Determine content and criteria for evaluating are key to achieving positive interaction between performance appraisal and target-setting.2. Implementing objective management can make the work of departments be specific and match the organizational structure.Objective decomposition is, under the guidance of the overall objective, the primary sector and workers through discussion develop their own goals according to their respective situation. The objective decomposition has two steps. First, identifying key issues. When objective was decomposed and implemented, the sector and workers should find out the key issues in order to achieve higher goals according to the actual situation and the existing conditions. Second, preparing target system. constructing the target system and strengthening management could stimulate the awareness of all employees involved in the management,thus achieve objective management better.3. Applying empowerment management and self-management theory to achieve process management of goals.Empowerment management is a core of process management, goal is the basis of empowerment. Empowerment management of managers and self-management of employees can effectively mobilize the enthusiasm of employees and optimize teams. One hand, in process of Empowerment management of managers, process monitoring in accordance with the management objectives and monitoring performance standards is essential. On the other hand, managers should advocate self-regulation, self control, self management of the sector and employees, make incentive decision according to goals, and mobilize initiative of staff. During process management, timely feedback and problems-solving can ensure realization of the ultimate goal. In the process of realizing objective, managers must ensure that responsibility is clear, and command is consist with objective direction.4. Regarding the goal outcome as standards of performance evaluation.When the overall objectives and sub-goals are over, objective, impartial and accurate assessment of the actual results is made in accordance with management objectives and performance standards. The evaluation of the achievement is focus on self-assessment, and take into account the evaluation of department heads and service objects. On the premise of taking full account of the degree of goals and personal interests, managers make the appropriate incentives or punitive measures according to the performance of employees. More importantly, the assessment can achieve integration effect, results effect and incentive effect through effect feedback, acts improved, and target results evaluation, so as to achieve constant improvement of management level and service level.ConclusionsCompared to traditional assessment model of institution, new performance evaluation system based on management by objectives has some advanced in terms of the theory and practice. Besides, implementation of the new system in public institutions has some practical significance in transforming the styles and concepts of management, improving efficiency and social benefits, and enhancing employee satisfaction.1. Implementing management by objective could improve efficiency and social benefits.Public institution, introduced enterprise performance management by bjectives mode, can improve efficiency and reduce service costs. Due to public institutions does not exist fierce market competition mechanism, so inefficiency is prone to occur. Establishing a competitive mechanism by introducing management mode of performance objectives contribute institutions to achieving greater social benefits.2. Scientific system and good operating mechanism, built by the public institutions based on objective management, are able to fully mobilize the enthusiasm of the staff.Performance objective management in public institutions should reflect the characteristics of the institution, public institution is not to pursuit maximize profits for its behavior target, and not driven by profit motives, contrary, it should be driven by social responsibility, and pursuit of maximization of social benefits. When the target is decomposed, the manager must take fully into account the traits of institution, thus make evaluation in line with the actual needs. The institution’s mission is decomposed into a series of specific targets which are clear and measurable, so that employees are able to have clear working objectives, mobilize fully their enthusiasm and enhance their stress awareness and responsibility.3. Building a scientific and standardized assessment criteria, and perfecting the incentive mechanism. Scientific and rational assessment contents and assessment criteria is the key to performance appraisal of management by objectives. Scientific job descriptions and performance evaluation checklist, perfecting evaluation of organization performance review process is the basis of completing performance assessment. Based on objective outcome evaluations on employees’punishments, examination system of incentive effect is clear, and overall efficiency is improved.4. Create a feedback mechanism to enhance employee satisfaction.Performance appraisal feedback of assessment results timely is more important than the results. accurate feedback of performance results and comments ensure scientific and rational evaluation of objective, and achieve a fair and impartial in the process of performance allocation.Characteristics and innovationWith objective management theory, an objective management system of institutions was developed, the sub-goals were translated into the workflow which as the basis of setting the positions and job analysis, and the sub-goals were implemented. The construction of examination and evaluation indexes system and the perfection of incentive mechanism were achieved by objective management.Objective management theory, human resources management theory and performance evaluation method were applied to explore the construction objective management system and operation mechanism in public institutions.