S/HR/29. Employee Performance Measurement and Reward: A Discussion of the Various Issues and Techniques

The way in that an organisation both monitors staff performance and rewards that performance is of crucial importance. An ill-conceived set of employee performance metrics and reward incentives can produce unintended behaviour, de-motivate employees, harm the strategic intent of the organisation and ultimately damage profitability. The task of designing a set of performance measures and reward incentives is therefore fraught with dangers, whether it be intended for shop-floor workers, middle management or your board members. This paper aims to look at different employee performance measurement and reward techniques, some traditional and some modern, and highlight the issues surrounding them.