Comprehensive and Detailed Explanatio n:
While performance management systems can support engagement and change, their core function
is to evaluate and develop employees to ensure alignment with business objectives. Global
organizations use them to:
Set measurable expectations
Provide consistent performance feedback
Identify development opportunities
Align performance with strategic goals
GPHR Study Guide Extract – Talent and Organizational Development / Performance Management:
“Performance management systems serve to align individual objectives with organizational strategy,
drive performance, and support development. Globally, they help ensure consistency in how
performance is measured and improved across different markets.”
Sanctions and discipline are secondary functions and not the primary strategic reason for adopting
global systems.
