Study On H Company Performance Management System

As the rapid development of the economic and society in recent years, the competitions among the enterprises in China had become more and more fierce, in a broader and in-depth area at the same time. It seems that these competitions are based on the capital, technologies, knowledge, and the market shares that the enterprises own, but we are now aware that it is more about the human resource the enterprises generated, and the attendant institution innovation and general management. The management of human resource is the foundation of the management of an enterprise and affects it directly. Of the human resource management, performance management is one of the most important part, which decides the performance of the whole enterprise and so its competency. Then, how can we evaluate the performance of employees fairly, justly, objectively, and accurately? More importantly, how we can build a performance managing system which fits the enterprise’s reality perfectly and arouses the enthusiasm, initiative, and creativity of the employees, so as to improve the performance of employees and the whole enterprise.We take enterprise H as an example in this thesis, by analyzing its problems in the performance management with the main tools of modern HRM theory, we aim to develop a new system of performance management which fits its reality and can bring it a better performance. Firstly, we introduce the background, significance, methods and research framework of this thesis. Secondly, we introduce the history of the development of performance management theory and the main tools being used nowadays. Thirdly, we introduce the status of the performance management of enterprise H and figure out the problems embedded. Fourthly, basing on the reality of enterprise H and the objective and principles in redesigning the performance management system, we select out the appropriate methods. Finally, we develop the redesigned performance management institution, the key performance indicators at enterprise level, apartment level, and employee level, what’s more, some notes in applying.We conclude that enterprises should design their performance management system according to their specific reality, because in different conditions, such as different stages of their life circles, the emphasis of performance management differs. Effective performance management is good for the general management of the enterprise, and we should not only focus on the appraisal of the performance, but also the feedback and how to help employees to improve. The analyzing and redesigning of the enterprise H’s performance management system is helpful for it to check and improve itself, and we hope that these analysis can also serve as an inspiring example for other SMEs.