HRM Employee Performance Measurement

It is important to measure the performance of employees, to assess employee achievement, recognize good performance, and identify potential areas of improvement. There are different types of performance measurement, such as overall efficiency and effectiveness, and measures which may be used as benchmarks. Measures can be used to aid effectiveness leadership, but they will not replace good leadership guidance (Ukko, Tenhunen, & Rantanen, 2007).

For an employee working in a call centre selling time share, or generating leads for time share, the ultimate measure may be the level of leads or sales generated. The measure would have to be assessed in a meaningful manner so there is a uniform measures that creates comparability. It is also essential that the employees perceive the measures used as fair (Torrington & hall, 2014). For example, the measures may include the number of sales achieved or leads generated, such as leads/sales per week. This is a basic measure, but it may not be a true measure of an employee's performance, as some employees may work longer hours compared to others. If the measure issued for an award, such as a bonus, the part time employees are likely to perceive...

According to equity theory if employees see the measurements as unfair are likely to react negativity, with their motivation and performance levels will declining (Torrington & Hall, 2014). Alternate approaches may include leads/sales generated per hour, or per day, adjusted for the number of hours worked.
Total revenue/profit generated per employee may also be used. This may be appropriate if the call centre employees are selling, but if they are generating leads only it would be unfair, as it the sales people's skills would impact in the revenue/profit result. This can be used to assess the value of the individual employees, but to create comparability it would also need to be assessed on a uniform basis as different employees work different lengths of time, so a measure per hours may be most effective.

To gain the sales/leads the employees need to make a sufficient level of calls. Therefore, a general performance measure may be the number of calls made per hour. This will give an indication of the overall level of activity. The measure may be used to assess the employee against an expected level, and can be used to compare to other employees. This measurement may e important if an employee…