Which of the following is a primary goal of performance management?

Prepare for NCEA Level 2 Business Studies Test. Study comprehensively with flashcards and varied question formats, each offering hints and detailed explanations. Ready yourself for success!

The primary goal of performance management centers around employee development and improvement. This process involves setting clear expectations, providing regular feedback, and facilitating opportunities for learning and professional growth. By focusing on employee development, organizations aim to enhance employee skills, motivation, and performance levels, which, in turn, can lead to greater efficiency and better overall results for the business.

In performance management, the emphasis is on recognizing and cultivating the potential of employees. This includes creating a supportive environment where feedback is constructive and aimed at fostering growth. While maximizing profits, enhancing product quality, and reducing operational costs are important objectives for a business, they are often seen as secondary outcomes of effective performance management practices. By investing in employee development, companies can create a more skilled and engaged workforce that drives success across other areas, such as profitability and quality improvements.

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