Abstract

In this study, it is proposed that a PM system's purpose can be positioned on a bipolar continuum from a strong performance orientation to a strong development orientation. Further, it is suggested that PM system purpose relates to industry characteristics and also the PM system's effectiveness in terms of increasing performance and fostering employee development and motivation. Analyses based on data from 319 Belgian organisations reveal that organisations operating in more competitive markets tend to have a PM system with a stronger performance oriented purpose, at the expense of a stronger development-oriented purpose. Relating PM system purpose to PM system effectiveness, our studyindicates that PM systems with a stronger development-oriented purpose are more effective in fostering employee development and motivation. In contrast, the strength of a PM system's performance-oriented purpose did not relate to higher effectiveness in terms of increasing performance at various levels.

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.