When an employee is hired, there are certain expectations an employer has for job performance. Unless those expectations are defined clearly, the employee may be at a disadvantage to perform successfully. Using a performance measurement tool, both employers and employees are able to determine job performance and are able to make adjustments that are beneficial to everyone.
Providing an employee with a specific set of duties and guidelines for performance creates indicators that allow both the employer and employee the ability to evaluate job performance. For example, a receptionist may be told she needs to answer phone calls within three rings. If she consistently answers within one ring, she exceeds standards. If she consistently answers on the fourth ring, there is a failure to meet standards.
The performance measurement process is a positive way to determine if an employee excels, meets standards, or fails to meet standards in their job position. An employee who exceeds standards may be allowed to progress, receive a promotion, or even a raise. An employee who fails to meet standards after additional training may need to be replaced.
Businesses who use performance measurements find that data can be collected to show where its weaknesses and strengths lie. A division whose employees perform poorly may need to be evaluated for additional training, may need clarification of duties, or may have supervisory difficulties. Evaluation may also help determine a need for consolidation or reduction of workforce, or a change in allocation of resources.
If the performance measurement process is designed correctly, every employee with the same job title should be evaluated using the same evaluation criteria. For instance, all administrative assistants would have the same evaluation components for which they are judged, thereby reducing unfairness in hiring and firing practices.