The following are the important characteristics of performance planning:
- It forms the basis of effective performance management as it involves the effective participation of both the employees and the managers in setting up performance standards;
- It begins with the identification and acceptance of organizational goals and strategies and ends with the establishment of performance standards;
- It demonstrates the dedication of employees and managers toward the achievement of organizational goals and objectives;
- It is an essential function of management and an essential part of the performance management system;
- It is an instrument that assists the employees in giving their best to the organization through improved competencies, dedicated efforts, and meaningful results;
- It provides a comprehensive approach to employee performance development;
- It lays down the course of action for achieving desired goals and objectives;
- It ascertains the resources needed for effective individual/team outputs;
- It determines how to work effectiveness will be measured;
- It denotes the organization’s willingness to recognize and reward extraordinary performances;
- It provides a logical basis for differentiating between different levels of performance; and
- It creates continuous communication that promotes a shared understanding of goals and expectations.