Performance management in SME high-growth sectors and high-impact sectors in Thailand

Abstract

Performance management (PM) plays a vital role in the successful operation of an organization. It is essential for organizations to understand the correlations between factors, problems and solutions to enhance the efficiency of PM. Mixed method research is applied, including explanatory sequential design (Quan → Qual). By analysing findings and interviews from a cluster of small and medium enterprise (SME) high-growth sectors and high-impact sectors based on descriptive and inferential statistics, the PM finding is that these two SMEs are not different. Moreover, the factors that influence PM are recruitment, retention and retirement. Regarding PM problems, the key factors are a lack of employee participation, unclear goals, unfair evaluations, ineffectual communication and ineffective application of evaluations to improve PM. Therefore, related private and government organizations should enhance their knowledge and understanding of problem-solving procedures by attending trainings or discussing these topics with experts to raise their awareness of PM and to learn how to resolve related issues, particularly factors that directly influence PM, to ensure progress in their performance.