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1、 Procedia - Social and Behavioral Sciences 124 ( 2016 ) 255 – 262 1877-0428 © 2016 The Authors. Published by Elsevier Ltd. Selection and peer-review under responsibility of SIM 2015 / 12th International Symp
2、osium in Management. doi: 10.1016/j.sbspro.2016.02.484 ScienceDirectSIM 2015 Do Romanian small and medium-sized enterprises use performance management? An empirical study Radu D. Stanciu* Politehnica University of Bucha
3、rest, 313 Spl. Independentei, 060042 Bucharest, Romania Abstract Small and medium-sized enterprises (SMEs) represent a source of entrepreneurial skills, innovation, and new jobs creation. Despite the recognition of the
4、importance of human factor in obtaining performances as the organizational level (especially during crises) relatively few managers from SMEs pay attention to implementation and utilization of a performance management s
5、ystem. This paper aims to evaluate the level the Romanian small and medium-sized enterprises use performance management tools and techniques in their activities. © 2014 The Authors. Published by Elsevier Ltd. Se
6、lection and peer-review under responsibility of SIM 2015/12th International Symposium in Management. Keywords: small and medium-sized enterprises, performance management 1. Introduction 1.1. The importance of small and m
7、edium-sized enterprises and there human resources for any economy The small and medium-sized enterprises (SMEs) represent an important component of the economic activities. After a modest start at the beginning of the 90
8、s, their number significantly increased both from a statistical point of view and from the diversity of their activity. The SMEs represent an important source for job (approximately two thirds of the new created jobs).
9、 The labor climate allows successful experimentation of different systems, methods, and techniques took from the management theory. This kind of companies offers the favorable framework not only for applying the scientif
10、ic management but also to conceive new management methods and procedures. Therefore, the SME activities, solving * Corresponding author. Tel.: +4-021-402-9106; fax: +4-021-402-3811. E-mail address: radu.stanciu@upb.ro
11、Available online at www.sciencedirect.com© 2016 The Authors. Published by Elsevier Ltd. Selection and peer-review under responsibility of SIM 2015 / 12th International Symposium in Management.Open access under CC B
12、Y-NC-ND license.Open access under CC BY-NC-ND license.257Radu D. Stanciu / Procedia - Social and Behavioral Sciences 124 ( 2016 ) 255 – 262 business by significantly influencing the individual behavior and direct
13、ing it towards achievement of the strategic organizational objectives. Researchers Allan and Susan Mohrman from Center for Effective Organizations, Marshall School of Business, University of Southern California emphasi
14、zed that performance management means to run a business, what line managers do every day (Mohrman & Mohrman, 1995). In their book from 1998, the expert in human resource management, Michael Armstrong and his co-work
15、er, Angela Baron from Croydon College defined performance management as “a process which contributes to the effective management of individuals and teams in order to achieve high levels of organizational performance. A
16、s such, it establishes shared understanding about what is to be achieved and an approach to leading and developing people, which will ensure that it is achieved. …A strategy that relates to every activity of the organi
17、zation set in the context of its human resource policies, culture, style, and communications systems. The nature of the strategy depends on the organizational context and can vary from organization to organization” (Ar
18、mstrong & Baron, 2009). In other words performance management must be efficient (be sure that employees have the necessary competences for performance), integrated (assure the connections between different aspects
19、of business, human resource management, individuals, and teams), and strategic (refer to long term objectives. This process helps the employees to understand the way they may contribute to the achievement of the organi
20、zational strategic objectives and ensure the use of the most appropriate competences for activities useful to the organization, that have an important impact on its performance. It is a useful tool for line managers by
21、helping them to lead their subordinates in an efficient manner strongly linked to the organizational objectives. Through it, managers assure that: ? Know and understand the expectations ? Know and understand the expect
22、ations ? Have the support of the organization in developing the capacity to meet the expectations ? Receive feedback regarding their achievements, and ? Have the opportunity to discuss and contribute to individual and
23、 group objectives setting. Therefore, the process must be clear and concise, understandable for all those involved. Both, managers and employees must understand not only the way to implement the performance management s
24、ystems but also what will be the expected results of its implementation. It has to align the activities and objectives of every employee with those at the organizational level. Furthermore, the activities and objective
25、s of all the employees, no matter his or her position within the organization, must be lined-up to the organization’s objectives. Finally, it allows everyone to understand the way the results will be used and the advant
26、ages generated for employees and the organization itself. Correctly used performance management is a powerful tool for focusing activities and efforts that will lead to an increasing of the business performance. Misund
27、erstanding the mechanism or an improper usage of it may lead to a poor involvement of the employees, appearance of unproductive activities, and a wrong rewards management. 2. An empirical study regarding the usage of
28、performance management in Romanian SMEs The development of such a study was hard to do because, based on author’s knowledge, there are no precedents regarding the performance management strictly within SMEs, in Romania
29、or abroad. Therefore, we developed a questionnaire for identifying the main aspects of performance management PM in the Romanian SMEs, starting from two previous studies carried on by Chartered Institute of Personnel a
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