The Evaluation And Design Of Premier's Performance Management System

This paper is based on the designing of performance management system in Premier is a private enterprise with turnover of nearly twenty thousand million, production as digital camera, projector and optical parts in the world market. To cope with fast expansion, the company began to introduce and roll out performance management at the beginning of 2006. Since the implementation, the effect is not very satisfied. In view of the current situation and the problem with performance management in Premier, the author defines the principle and ways of how to solve the problem, designs the corresponding solution and discusses the appraisal system of implementation.Through study of dynamic performance management and analysis of the advantages and disadvantages of various methods for performance management, the paper tries to design a set of operational performance management system based on Premier real circs. When designing, performance targets are set separately for subsidiary company, department and staff. Following the SMART principle and annual goal, the new system tries to construct the KPI of company level in aspects of finance, customer, internal service and development using balance scorecard and KPI Index. KPI of each department then is set based on company KPI in four same aspects and finally turned into each staff's KPI. After the training of the performance index designing, Premier's evaluation method is revised and performance evaluation tables for the department, department managers and the staff are redesign.This system links the company's strategy and performance target directly, defines the purposes of performance management. The system integrates the balance scorecard and KPI Index to accomplish integrity. Moreover the system links the appraisal results and salary, training and promotion to strengthen the effect of performance's incentive. In new system, performance improvement will be an important part of the performance management.Through series of performance training to create the good performance management and through the project performance to optimize the correlation system and flow, build the deep-set foundation for the performance management. During implementation, a circulation of performance planning, communication, appraisal and management is formed to promote the entire company's performance. The key reference points are located in implementation by comprehensive appraisal of performance management system from aspects of directivity, rationality and usability.