Essay On Performance Management
In broad terms, public sector contains of governmental and public agencies, enterprise, companies, that deliver public services. The perception of public sector is broader than central of government and may have connections with the not profit organisation or private sectors (The Institute of Internal Auditors, 2011).
In organisation, performance management can be defined as the strategies, policies of the performance management and the technique that monitor the performance of managers and employees in the organisation. In the public sector, performance management can be very useful tool to focus on “managing for results”. Next, it has clear picture on the strategies for improving the performance of the employees and the business organisation,
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Before KPI was introduced at that time, ‘one-size-fits-all’ system plays an important role in the public sector and has the similarity of KPI system. For some cases, public sector made it difficult to clearly understand and measurable outcomes. Besides that, it also difficult for them to develop KPIs in order to manage operations. Example: ‘one-size-fits-all’ system had been founded for more than two decades to measure the public sector performance and it is no more longer be the most effectively way for the public sector. So the solution for this issue are public sector in Australia are compulsory to practice KPI system in the organisation. There are few public sector in Australia find it is quite difficult for them to practice key performance indicator system due to the organisation law. An example from the real situation in Australia, Economic Regulation Authority department is one of the public service that had been audited by the OAG office. Due to economic regulation authority department law, the sector can only report the KPI performance to OAG office for administrative practice and not the sector activities. For the Australia public sector reporting on KPI to the OAG office, they will submit the public sector KPI performance to the government so that government know about the performance of the services from the sector yearly report. (Western Auditor General Report,
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