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A strong and achieving public service is a necessary condition for a competitively successful nation. The Management and Training Services Division of the Commonwealth Secretariat assists member governments to improve the performance of the public service through action-oriented advisory services, policy analysis and training. This assistance is supported by funds from the Commonwealth Fund for Technical Co-operation (CFTC).
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In many countries the public service is the major or a highly significant employer. The economic pressures of the Eighties have led to public and political demands for transparent, cost-effective, customer-focused government management and services. In the Nineties an intense climate of government reform continues.
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Development of a performance culture with an emphasis on employee empowerment, commitment and the achievement of results rather than subordination and control involves organisations in major change and requires shifts in management and employee thinking. In public services in the last decade many have moved from concentration on inputs (how much budget?, what staff establishment controls?) to outputs (what results have been achieved?, to what level of quality?) Central agencies and corporate offices, in many settings, have moved from being regulators to providers of enabling policies, models and tools to assist public service organisations to achieve their public purpose.
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In designing the processes of the performance management appraisal system, an important element will be decisions on the most appropriate start and finish dates of the annual performance appraisal cycle. Considerations will include organisational strategic planning timeframes and dates for payment of merit-related pay increases. Generally, setting of individual objectives and development of work plans occurs at the appropriate point in the budgetary cycle when overall priorities for the year have been set and available resources are known.
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The issue of performance-based reward and recognition has long been a contentious one in public service employment. Many have considered performance reward only in the context of performance pay and debate rages over whether performance pay creates an overly competitive work environment. The research literature stresses that what is valued varies for individuals in differing circumstances and at varying stages in their life.
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While the open, consultative nature of performance management is aimed at consensus-building and striving for shared organisational goals and work rewards, it is inevitable that performance appraisal outcomes will at times be challenged. While assessment, based in the main on results achieved, offers the best chance of a bias-free appraisal, it is inevitable that personal differences will at times cloud issues and biased ratings may be given or considered to have been given.
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A performance management system provides a vehicle for common understanding of the organisation's purpose and of the requirements and management expectations in relation to each individual's work. The system recognises the importance of the work of each employee to the success of the organisation. It promotes open communication between the manager and the employee by providing regular discussion on expectations and progress.
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