Employee performance is about how well employees are performing their assigned activities within a business. This is vital for the success of a business, as a low employee performance level will result in a low process rate within the company, affecting their overall competitiveness and profits, thus a heightened performance level for employees will increase overall competitiveness and profits in a company. Organisations can use a variety of techniques within the management functions of planning, organising, controlling and leading to improve an employee's performance, including; management by objectives, departmentalisation, feedback control and reward power. These techniques will be discussed within this essay, with their benefits as well as examples on how they are practiced in businesses. Management by Objectives (MBO) is a management approach that is used by organisations to assist in planning that aims to increase subordinates commitment to a company and give a better sense of where subordinates belong in an organisation by creating clearly defined goals that are mutually agreed on by both management and employees, and using those goals to evaluate employee performance (Thomson et al. 1998, p. 3). The term was first outlined in 1954 by Peter Drucker in his book, "The Practice of Management", where Drucker described MBO as an environment where management and employees come together to set and monitor the goals of the company for a certain period (Anastasia 2007). MBO can benefit organisations through employees who gain a heightened commitment and desire to achieve company objectives, since they were involved in the process of formulating them, increasing their productivity and efficiency. Another benefit includes subordinates knowing where they belong in a company, Thomson (c. 2015) argued; subordinates are more likely to coordinate their own activities and processors because they know what will help and what will cripple their objectives due to the continuous performance evaluation they receive, which gives employees motivation and empowerment to perform their job well. Due to the benefits MBO provides, many companies have adopted this approach to improve their performance, an example being Intel, which is the world's largest manufacturer of semiconductors. The company's managers guide provides a direction on how they use this approach, Anastasia (2018) explains; each manager at Intel must start by choosing a few overring objectives, create objectives with employees that fit in with the overriding objectives and allow the employees to set their own activities to let them to meet their objectives. The goals are then written down for each level of the organisation, and individuals are given targets to meet, which ensures employees know what the company is trying to achieve and how they are expected to help to meet those targets. Departmentalisation can be defined as an organisational design process that groups activities into several smaller units based on similarity and features, to achieve the objectives of a company in the
most efficient and effective way, to enable increased job satisfaction, motivation, efficiency and facility in appraisal (Sharma c. 2010). Departmentalisation traditionally has multiple types of structures including, functional, geographic,