Research on Enterprise Performance Management -- Taking
Huawei and apple as examples
INTRODUCTION
With the change and development of the market environment, enterprises are facing more and more fierce market competition, and the pressure of business development is also increasing. Many enterprises' profit space is shrinking year by year, but the business indicators are increasing year by year. The top managers of enterprises hope to decompose the enterprise objectives into various departments, teams and individuals through the implementation of performance management tool, and decompose the overall pressure faced by the enterprise into the individual pressure borne by each employee, so as to fully mobilize the enthusiasm of employees, tap the great potential of employees and improve the profitability of enterprises through the positive incentive guidance. Therefore, the model of enterprise performance management has always been the focus of human resource management research. First of all, the author read the relevant literature research of performance management at home and abroad, summarize the existing mode and disadvantages of enterprise performance management, and then compare the performance management mode of Huawei and apple two major e-commerce companies, so as to put forward suggestions for the performance management of small and medium-sized enterprises, and promote the good development of small and medium-sized enterprises.
LITERATURE REVIEW
In recent research Wang Ling (2020) argues that in order to make a company's performance management system, we should first understand the model of company performance management. A set of scientific performance management system includes setting and clarifying objectives, process statistics and analysis, phased performance evaluation, feedback and application of evaluation results, and each of them involves many aspects, such as the mode and principle of setting objectives, the selection and data setting of KPI for specific departments and positions, process control method and analysis mode and process, and detailed evaluation method In order to ensure the fair, open and fair performance appraisal of enterprises, all aspects should be implemented in place. In addition, enterprises also need to establish performance culture as the core of corporate culture, so that culture can infect and drive the enthusiasm and enthusiasm of employees.
In related research, Wu Bin (2020) pointed out that the enterprise performance management system needs to standardize the target setting procedure, refine it to each employee's daily work, and form a daily cleaning system, so that employees and managers can have a clear understanding of the work, correct mistakes in time and promote excellent practices, and develop the habit of immediate improvement. Such a management method can ensure that the work is carried out quickly, and this specific
daily and weekly task pattern is directly linked to the indicators. By taking into account the results and process, the main and auxiliary indicators are set. If the main indicators are not ideal, the managers will find out the reasons or take corrective measures from the auxiliary indicators of process control, which can achieve better management effect.
Peilin Chen. (2019) also shows that the \post responsibility statement \and \responsibility statement\of each post can be formed through static responsibility decomposition and dynamic goal decomposition, and a large post assessment system with consistent objectives and responsibilities can be established. The management of cadres and business should adopt the way of regular inspection and evaluation, at the same time, pay attention to the verification of performance, and ensure the realization of the expected goals with institutionalization. Under the guidance of the idea of \quantification, not quantitative refinement\comprehensive evaluation of department performance and employee performance by various ways is comprehensive and thoughtful, and the application of assessment results is reasonable.
Nanhu Gao, et al. (2019) concluded that the performance management should be combined with a strict plan management system, so that the assessment and evaluation are objective and not mere formality. The main assessment result is to adopt the last elimination system. According to the assessment results, the system will be eliminated in proportion every year to improve the overall quality of cadres and staff. Assessment should be linked with competition for posts, and those who are equal should be allowed to go ahead, and those who are excellent should be carried out firmly. The whole staff assessment adopts different assessment methods and indicators for different types of personnel.Nanhu Gao believes that this is conducive to the construction of the cadre team, the distribution of interests and the maintenance of the sense of crisis of the whole staff, which can help enterprises to improve their profits.
Through the above literature, we can draw the basic conclusion: first, performance management needs to formulate a reasonable and practical system according to the actual situation of employees, and then need to have a reliable and feasible system evaluation system, and this evaluation index should take into account the behavior and process of employees. Finally, the whole management system needs to be strictly implemented, and unqualified employees will adopt elimination mechanism.
ANALYSIS OF THE HR PRACTICES IN TWO SELECTED COMPANIES
This paper takes Huawei and Apple as examples to discuss their performance management model.
First of all, Huawei adopts PBC assessment, that is, individual performance commitment form. This model is mainly divided into four parts, the first is goal setting, the second is performance coaching, the third is performance evaluation, and the fourth is performance feedback. The employee will decompose the annual target, set the rose target, and then sign the personal performance commitment. Performance
coaching is divided into daily counseling, mid-term review, PBC refresh and key event record. Performance evaluation is divided into employee self-evaluation, direct supervisor evaluation, collective evaluation, and results publicity. Performance feedback includes performance interview, low performance employee management, performance complaint and result application. From target setting to final performance feedback. Huawei's performance management emphasizes more on responsibility, which is the responsibility of everyone's post formation, which is to let everyone know what we want to do. For example, after signing the personal performance commitment, how much reward will be given to you if the performance is achieved, and how much punishment will be given to you if the performance is not achieved. In addition, the PBC assessment of Huawei's performance management has PBC refreshment. For example, review the work done in the first quarter in April. It is found that some indicators are set slightly too high, and the company will make an adjustment in the second quarter. At the same time, it is found that some indicators may no longer need to be evaluated according to the environment of the whole market and the current situation of the company, and need to be adjusted. Finally, Huawei's performance feedback is worth learning for many enterprises. In the whole process of performance management, the most important thing for Huawei is performance interview and the management of low performance employees. It helps employees solve problems and truly realizes the original intention of performance management.
As for the Apple, its performance management model adopts the balanced scorecard method, which focuses the attention of senior management on a strategy that can make the scope of discussion no longer limited to gross profit, return on equity and market share. Specifically speaking, apple mainly evaluates its performance from five aspects. The first is customer satisfaction. Apple used to be a technology and product focused company, competing with competitors by designing better products. The introduction of customer satisfaction index is to make employees adapt to the transformation of the company into a customer driven company. The second is core competence. Managers want employees to focus on a few key competencies, such as the ability to design user-friendly interfaces, strong software construction capabilities, and the ability to build effective sales systems. The third is the degree of staff input and coordination. Apple conducts a comprehensive employee survey every two years and conducts random employee surveys frequently. Generally, Apple will conduct a comprehensive analysis of all survey results to understand the actual performance of employees. The fourth is market share. It's very important for apple to reach the maximum market share. This is not only because sales growth can bring benefits, but also an important reason for Apple's platform to firmly attract software developers. Therefore, in the evaluation of performance level, it is regarded as an important project. Finally, shareholder value. This indicator can help managers of various departments analyze the impact of their activities on the overall value of the company, and make accurate forecasts of new business activities. In management practice, apple uses these five performance indicators as a benchmark to compare with the best organizations in the industry.
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