EC(HZ) Company’s Performance Management

Along with the economic globalization and the arrival of information era, companies around the world are facing increasing competition in the domestic and international market. In order to improve their competitive ability and adaptability, many enterprises are exploring an effective way to increase productivity and improve organizational performance. As the markets mature and competition intensifying, many enterprises face enormous pressure to survive and the development space are getting smaller.One of its important reason is that these companies do not have big improvement in the performance management like lacking of a good performance management system or poor execution to the system, lacking of full understanding of performance management concept and do not have enough support, etc. All above items are the bottleneck to restrict the development of performance management, Therefore, to establish and perfect the performance management system is the key to improve performance and competitiveness which is also the focus of one enterprise for better development. EC (HZ) Company is an U.S. manufacturing enterprises that headquarter is locating in US Missouri state. Start from2010, the company has facing a high staff turnover rate and lower customer satisfaction, even got more customer complaints on the quality. The main reason is the employees did not satisfy with the salary and bonus, also did not get good chance on the career development and promotion. They found the performance management of this company did not keep up with the needs of the development of the Conpany.At the begging of this paper has indicated the background of this topic and the meaning to the company for this study. Second, it has an overview of the performance management theories, then summarize the concept and content of performance management essentially and introduces the performance management process; The third part is to elaborates the current situation of EC (HZ) Company, introduces the performance management process and Performance appraisal methods of EC (HZ) Company, also introduces the employee key performance indicators and related weights and key performance indicators calculation method, and also include the current situation of the communication on the performance between the management and emplyees. The fourth part, take the data through interviews and making research to the epresentative persons, then make analysis and found out the many problems of the company’s performance management. For examples, The appraisal indicators and weight do not set in a reasonable way for the production line staff; the poor execution of the management on the performance, Not engouh and sustained performance communication between the employees and the manager or even higher top management do not have a way to meet with the basic staffs. And also the company does not give fully support to this topic. The fifth part makes analysis to the root cause of the problems; discuss how to further strengthen the company’s performance management. Such as set up reasonable production line staff performance evaluation indicators, to determine the the responsibility in performance management for each department manager and personal; broadening the channels for effective communication, strengthening the support for performance management, etc., All above action can make the company’s performance management to a new level. As so when the company has a good management on the employee performance, there can improve the organization and individual performance, Finanlly will improve the whole company’s efficiency. So there has a great practical significance to study this topic and will make sustainable development of EC (HZ) Company.