Conceptual framework of performance management system for construction companies in indonesia

Abstract

Different factors determine a company's success. The quality of the company's performance management system (PMS) is one factor that supports this success. Performance management is essentially the systematic process by which the company involves its employees in the achievement of organizational missions and objectives. Facing tighter business competition, performance management can be the best approach to increase employee motivation, boost productivity, and produce tangible impacts on improving the performance and development of the company's business. This paper presents an alternative framework of performance management system for corporate level for construction companies in Indonesia. In the development of the proposed alternative PMS, one of the performance management system approaches, namely the Knowledge-Based Performance Management System (KBPMS). The proposed framework is expected to be more suitable for construction companies in Indonesia, especially in facing global challenges and to be more competitive in this industry business competition.