10 Step Checklist for Choosing Performance Management System in 2019


Hitendra Rathore

Senior editor

Parul Saxena

Chief editor

Last updated: January 13, 2021


PossibleWorks: No. 1 In Performance Management Software

You will agree with us when we say that employee appraisals take a lot of time and energy. The time of appraisals become quite hectic for the management and employees equally and there are chances that it might disrupt the project work as well.

This said the right kind of performance management system can reduce the overhead of the whole process. There is a lot of such software in the market, and choosing the one that best suits your company can be quite tasking. In this article, we help you select the right performance review system for your organization.

Before buying a performance management solution, you should know where your current system is lacking and then decide on getting one after taking note of your requirements and if having a new system will accelerate the work.

Pointers Choosing the Right Performance Management System

1. Business Requirements

Identify the problems that you are facing with the current system for employee appraisals. Then make a list of the things that will help you solve these problems. Check if having a performance management system in place in your organization can help the managers in carrying out appraisals smoothly. After taking note of all your requirements into consideration, look out for the software that is the best fit for your company.

There are a lot of resources working under each manager and it is a difficult task to keep a tab on each of them individually. Checking the work of the employees, finding out whether they are on the same page for the organization’s growth, encouraging them to outperform their own work is quite tasking for a manager. A good performance management system comes at the rescue of the managers by easing out these tasks.

The software enables managers to monitor each employee individually and helps them in setting clear goals and also check the performance of employees which comes at handy during appraisal cycles.

2. Goal Setting

A good performance management system should help you set the right goals and competencies for your employees. It should also have a rewarding system in place and should store the past data of employees to keep their progress in check.

3. Desirable Features

Make a list of the features that you want in the software to fulfill your requirements. Check if the software that you are shortlisting is compatible across all types of devices and platforms. You must have detailed knowledge of all the tools, features and the tasks that you want the software to perform. The system must be easily scalable to accommodate the new employees and must be reliable.

An ideal employee appraisal system has the following features:

  • It must allow you to set clear goals and objectives.
  • A timely reminder of the goals should be given to the employees.
  • You should be able to provide quick feedback to employees so that they can improve and implement the goals to align with the organization’s goals.
  • Employees must be able to review their own performance first and then it goes to the managers for their suggestions.

Looking for Performance Management Software? Check out SoftwareSuggest’s list of the best performance management software solutions.

4. Check the User-friendliness

You are looking out for a performance review system to ease the work of managers in your organization. While doing so, the one thing that matters is that the software that you choose must ease their task. Thus, you should check if the software has easy-to-use features. You must select such software in which training your employees is as easy as a walk in a park! Also, ensure that it does not take a lot of time to get used to the system.

5. Compatibility with the existing system

While you go for a new system in place in your organization, it should not disrupt the working of the current one. Make sure before you select software that it integrates seamlessly with your existing modules and works well in coordination with them. The transfer of data of employees to and from should go smoothly without losing huge data chunks.

6. Quick Feedback

A good performance management system is the one that enables easy communication between employee and manager. Managers should be able to keep an eye on the progress of the employees, appreciate their work, provide training or train the new employees. Even the employees should be able to report their problems and suggestions if any. The members of a team must be able to share their views as well.

7. Software Support

Having solid vendor support is a must. Check if the vendor is providing support after deploying the software at your organization’s end. You must be able to scale the performance management system without much hassle when the number of employee increases or if you want to add newer features into it.

8. Learning Modules

The software in place must contain various learning modules for skill development of your employees. It should be able to induce a newly joined employee into your organizational system apart from helping the existing employees in updating their skills. The system solution must also contain the latest technological training to keep your workforce upgraded as per the market dynamics.

9. Real-time Reports

The employee appraisal system that you want in practice must be able to generate timely reports for monitoring the performance of employees. Reports aid manager in gauging the employees, knowing their potential and using this employee can be rewarded or sanctioned as per their work.

10. Live Software Demo

There is certain software in the market which allows you to take a trial. Make sure you test the software for compatibility in your ongoing system. This helps you in taking the right decision in selecting a performance management system and investing in the right one for your organization.

Wrapping up

Selecting the right performance management system for your organization is quite a job but once you have it in your organization, your employee appraisal system is sure to be a hassle-free task. Choose software that will be easy to integrate to your current system without much transfer of data and which eases the overall work of managers and employees resulting in a better performing organization.

Hitendra is the Digital Marketing Executive and Content Analyst at SoftwareSuggest and loves helping people plan, optimize and launch marketing & content strategies. While digital marketing is his primary job function by day, hitendra also enjoys spending time with his family and listening to music.

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