You want to transition your organization's performance appraisal system into a performance management system

Write a one-page memo to your supervisor describing the advantages of having a well-designed, properly implemented performance management system.
What will be an ideal response?

Memos will vary, but they should all include the following benefits of a well-designed and implemented PM system:

Performance appraisal is the systematic description of an employee's strengths and weaknesses, whereas performance management is a continuous process of identifying, measuring, and developing the performance of individuals and teams and aligning performance with the strategic goals of the organization.

A . Increased motivation to perform. If given correctly, feedback can increase the motivation to improve future performance.
B. Increased self-esteem. Receiving feedback about one's performance fulfills a basic need to be appreciated and valued at work. Feeling appreciated and valued will increase an employee's self-esteem.
C. Managers gain insight about subordinates. Direct supervisors and other managers in charge of the appraisal gain new insights into the person being appraised.
D. Clarification and definition of job and criteria. The job of the person being appraised may be clarified and better defined; thus, employees gain a better understanding of what it takes to be a successful performer.
E. Self-insight and development. Participants in the system also gain a better understanding of their strengths and weaknesses, which can help them better define future career paths.
F. Fair and appropriate administrative actions. Performance management systems provide valid information about performance that can be used for administrative actions such as merit increases, promotions, transfers, and terminations.
G. Organizational goals made clear. The goals of the unit and organization are made clear.
H. More competent employees. Performance of employees is improved, especially when developmental plans are put in place.
I. Protections from lawsuits. Data collected through performance management systems can help document compliance with regulations.
J. Differentiates between good and poor performers. Performance management systems allow for a quicker identification of good and poor performers.
K. Communicates supervisor's view of performance. Good systems force managers to communicate to their subordinates their judgments and expectations regarding performance.