Performance management system has been influential as a method that would help improve
individual and organizational efficiency. This demonstrated the need to undertake this
research with a case study approach in titled challenges faced and the best practices in
performance management system implementation in the Indian manufacturing sector.
The main goals of this research are to explain the nature of PMS, to examine the methods
used in PMS, to recognize the challenges faced by managers and to discuss best practices in
PMS. To achieve these targets, managers provided in-depth information on their performance
management program and interviews with four managers were conducted.
The research found that the performance management program was not effective and
therefore the company faced certain issues such as staff discontent, lack of training and high
attrition rate. It was proposed that management review its performance management program
before it becomes a debacle and make a few improvements, such as coaching managers in
conflict management and offer more inherent incentives based on human resource efficiency
and provide consistent feedback with positive criticism to encourage the workforce to