Which one of the following is not a characteristic of performance management?

Correct option is A

Performance management is not solely owned by the HR department—this is a misconception. While HR plays a crucial facilitating and coordinating role, the ownership of performance management lies jointly with line managers and employees. It is a decentralized and participative process, where line managers actively engage in setting goals, providing feedback, and evaluating performance. HR supports by offering tools, frameworks, and training, but does not "own" the process entirely.

In modern organizations, performance management is seen as a strategic and operational responsibility. Managers are expected to take ownership for managing the performance of their teams, and employees are also active participants in goal setting, performance discussions, and development planning.

Information Booster:

• Performance management is a line function, not just an HR function.

• Managers are accountable for executing performance reviews, coaching, and development plans.

• HR’s role is advisory and supportive, providing guidelines, systems, and oversight.

• Empowering line managers ensures ownership, alignment, and real-time feedback.

• A well-designed performance management system needs collaboration between managers, employees, and HR.

• Modern organizations expect leaders to be performance coaches, not just evaluators.

• Performance is embedded in day-to-day operations, making line managers the primary drivers.

Additional Knowledge:

(b) Does not have direct link to reward:
This is a characteristic of performance management. Effective systems directly link performance to rewards, such as bonuses, promotions, and recognition. This motivates employees and aligns their efforts with organizational goals.

(c) Continuous review with one or more formal reviews in a year:
A key feature of modern performance management systems is that they are ongoing and dynamic. Regular feedback and coaching are essential, supplemented by formal reviews quarterly, mid-year, or annually.

(d) Joint or participative process:
Performance management is inherently collaborative, involving both employee and manager in setting expectations, providing feedback, and planning development. This fosters ownership, clarity, and engagement.