Best Performance Management System

Performance management software helps organizations establish employee performance standards and enables managers to evaluate employees’ job performance in relation to these standards. Performance management systems are used to manage employee progress, performance, and development in relation to organizational goals. Companies use performance management software to facilitate meaningful and ongoing discussions between managers and direct reports.

Performance management software is most commonly implemented by HR departments to support manager-level staff throughout various departments at an organization evaluate employees, conduct performance reviews, maintain a record of discussion topics, and facilitate 360-degree feedback. Many performance management solutions offer organizational planning capabilities that help HR departments ensure certain skill sets are present within the organization and plan for succession contingencies in case of employee departure. Performance management software can be implemented either as a standalone solution or as part of an integrated HR management suite. Performance management software frequently integrates with compensation management software so that employee performance reviews can directly impact compensation decisions.

To qualify for inclusion in the Performance Management category, a product must:

• Facilitate the employee performance review process
• Allow users to evaluate employee performance in relation to overarching company goals
• Enable 360-degree feedback between managers, employees, and peers
• Retain historical review data or integrate with third-party applications where historical data can be maintained

Performance Management System Grid^® Overview