What is Performance Management?

Performance management is a process that uses goals and measures to manage and improve an organization’s performance. It involves:

  1. Identifying desired results
  2. Measuring progress toward these results and
  3. Making decisions based on data, to improve achievement of desired results

While quality improvement focuses on improving processes, performance management focuses primarily on results. Performance management brings rigor and rationality to the process of management, using data and facts to drive decision making.

A fully functioning performance management system that is completely integrated into health department daily practice at all levels includes:

  1. Setting organizational objectives across all levels of the department
  2. Identifying indicators to measure progress toward achieving objectives on a regular basis
  3. Identifying responsibility for monitoring progress & reporting
  4. Identifying areas where achieving objectives requires focused quality improvement processes
  5. Visible leadership for ongoing performance management

Source: PHAB Glossary of Terms, v 1.5, December 2013