What is the Performance Management Cycle?

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AIHR Learning Bite: What is the Performance Management Cycle?

The performance management cycle is an annually recurring phenomenon in which employees are evaluated throughout the year. All employees go through this cycle, starting with goal-setting at the beginning of the year, followed by the monitoring of their progress, helping them develop to do better, and ending with a formal evaluation afterward.

The goal of this cycle is to develop and execute employee performance plans. These plans help in focusing employee efforts on achieving organizational goals which, in turn, helps to align employee priorities with the goals of the organization.

The performance management cycle model that we propose is a four-stage model: planning, monitoring, developing and finally, rating and rewarding.


Find out more in our in-depth article on the performance management cycle, and read about 5 tips that can help you ace your employee performance management process.

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