Ethics in Performance Management

Sheetal Wagh

Ethics is the backbone of an organization and all its activities

Ethical performance management is defined as the ‘process of planning, managing, appraising, and monitoring employee performance based on the principles of fairness, objectivity, transparency and good corporate governance

  Ethics in Performance Management

• Ethics is a process of rational thinking aimed at establishing “What values to hold and when to hold them”

• A Moral principle or a set of moral Values held by an individual or group

1. Ethical- of or Based on a system of moral beliefs about right and wrong, in accordance with principles of professional Conduct.

2. Managerial Ethics - Standards and Moral Judgment managers use in their Business.

Ethical Behaviour • Higher employee loyalty

• Encouragement of personal sacrifice

• Honouring of Organisational policies

• Reduction in Turnover

• Satisfied Customers

Unethical Behaviour

• Manufacturing- Use of inferior quality of material

• Marketing- Misleading customers about product features or service differentiations.

• Distribution- Changing priority of booked orders without informing customers.

• Customer Care- Not keeping commitment on Guarantees.

Objectives and Significance of Ethics in Performance Management

Building a better society

Cultivates high-performance teams

Attracts and retains talent

Maintains legal sanctity

Improves reporting

Promotes a strong corporate image

Ethical Issues and dilemmas in Performance Management

Managerial malpractice

Value Conflict

Moral Mazes

Corporate goal achievement

Employee engagement

Managerial favoritism

Peer Pressure

Workplace politics

Violation of ethics

Ethical Strategies in Performance Management

1. Education and training on ethics

2. Employment Accountability

3. Communication

4. Resolving value conflict

5. Increasing employee engagement

6. Culture of dissent

THANK YOU