4.personnel MGT - 2
4.personnel MGT - 2
PERFORMANCE
MANAGEMENT
Dr Ahmad Faiz Yaakob, FSPPP UITM Seremban 3 5/9/2020 1
Traditional model of administration
• By any standard, performance management in the traditional model of administration
was inadequate, and this applies to both the performance of individuals and the
organization. Measures which did exist were ad hoc and far from systematic. It is true
that there are difficulties in measuring performance in the public sector when
compared to the private sector, but it seemed that little effort was made. Perhaps it was
assumed that results would follow from bureaucratic organization, so that any explicit
measure was unnecessary.
• There was often no idea what was produced, how well it was produced, who was to
take the praise or blame, or even who was a good worker. In any case, an administrator
does not need to worry about performance as all he or she is doing is carrying out
instructions, and performance measurement is the problem of those giving the
instructions. Evaluation of program or people was infrequent and inadequate, with no
ideaDr Ahmad
of progress towards objectives, if indeed there were any clear objectives.
Faiz Yaakob, FSPPP UITM Seremban 3 5/9/2020 2
Performance management in NPM
• Reforms to performance management are a particularly important part of the managerial
programs. Agencies in many parts of government are now expected to develop ‘performance
indicators’, that is, some way of measuring the progress the organization has made towards
achieving declared objectives.
• Statistical measures can be developed in any organization, although there are more difficulties
in practice in the public sector than usually experienced in the private sector. Performance of
staff is also to be measured more systematically than before.
• The performance appraisal system aims to measure the performance of individual staff, even
to the extent of defining the key contributions expected over the year, which are then
compared with actual achievement at the end of the year.
• can extend to rewarding or sanctioning staff according to progress towards agreed objectives.
Informal methods of appraisal are considered to be ineffective and lead to inferior
organizational outcomes.
Dr Ahmad Faiz Yaakob, FSPPP UITM Seremban 3 5/9/2020 3
• There is a general aim to monitor and improve the progress of staff and agencies
towards achieving objectives. One of the starting points was the Financial Management
Initiative (FMI) in the United
• Kingdom that aimed at promoting in each department (UK Treasury and Civil Service
Committee, 1982):
• an organisation and a system in which managers at all levels have: ● a clear view of their objectives;
and means to assess, and wherever possible, measure, outputs or performance in relation to those
objectives; ● well-defined responsibility for making the best use of their resources, including a critical
scrutiny of output and value for money; and ● the information (particularly about costs), the training
and the access to expert advice which they need to exercise their responsibilities effectively.