Relevance of Employee Development Plans in Employee Performance Management

Employee development plan is the modern tool adopted to improve the efficiency of the employees and also to gain insight about the areas in which they can make the most of their potentials. It specifies the courses of action to be under taken to improve the performance of the employees. Employee development plan has got high relevance in the present organizational set up as there has been a paradigm shift in the focus of performance appraisal system across the world. Focus has been shifted from simple rewards, incentives and punishment to the need of defining, planning and managing performance of the employees. Today organizations’ are focused on managing the performance of the employees. It has been observed that in many organizations’ the employees were not given neither suitable task or environment or responsibility to realize their potential to the maximum. This has resulted in job dissatisfaction and high rate of job hopping. The paper articulates about the theoretical perspective about the relevance of employee development plan and its role in achieving the developmental goals of the organization as well as the employees