Performance management (PM) includes activities that ensure that goals are consistently being met in an effective and efficient manner. Performance management can focus on the performance of an organization, a department, an employee, or even the processes to build a product or service, as well as many other areas.
PM is also known as a process by which organizations align their resources, systems, and employees to strategic objectives and priorities.
"A formal definition of performance management, according to Daniels' is "a scientifically based, data-oriented management system. It consists of three primary elements-measurement, feedback, and positive reinforcement."
Performance management originated as a broad term coined by Dr. Aubrey Daniels in the late 1970s to describe a technology (i.e. science embedded in applications methods) for managing both behavior and results, two critical elements of what is known as performance.
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