Performance Management: How does continuous feedback impact the performance management of organizations

1/14 Performance Management: How does continuous feedback impact the performance management of organizations Gestão de Desempenho: Como o feedback contínuo impacta na gestão de desempenho das organizações Gestión del desempeño: ¿Cómo impacta la retroalimentación continua en la gestión del desempeño de las organizaciones Ana Carolina Alves Costa 1 [email protected] Melissa Beatriz Borges Agnoletto 1 [email protected] Marcia da Silva 1 [email protected] 1 – FATEC East Zone Abstract: This article explores, using the exploratory-descriptive method, the impact of continuous feedback on performance management, highlighting its role in aligning the human and strategic objectives of organizations through an analysis carried out with two companies based on the perception of the leaders and employees who make up the work environment. Performance management is based on technical/behavioral competencies, with a focus on increasing the knowledge of those involved in order to achieve the desired results. Furthermore, communication plays a fundamental role in this process as it allows for assertive debate between the participants. Continuous feedback is necessary for employee development, integrating strategic human and organizational objectives, highlighting strengths and areas in need of improvement. The importance of this subject is related to the need for companies to use resources and tools to differentiate themselves in the competitive market. These results show that the creation of a solid performance culture, integrated into the role of management, optimizes organizational performance and promotes consistent results. Keywords: Continuous feedback; Communication; Performance management; Organizations. Resumo: O presente artigo explora através do método exploratório-descritivo, o impacto do feedback contínuo na gestão de desempenho, destacando seu papel no alinhamento entre os objetivos humanos e estratégicos das organizações por meio de uma análise realizada com duas empresas baseando-se na percepção dos líderes e dos colaboradores que compõem o ambiente laboral. A gestão de desempenho é baseada em competências técnicas/comportamentais, com foco em aumentar o conhecimento dos envolvidos para alcançar resultados desejados. Outrossim, a comunicação tem um papel fundamental nesse processo pois, permite um debate assertivo entre os participantes. O feedback contínuo é necessário para o desenvolvimento dos colaboradores integrando objetivos humanos e organizacionais Recebido Received Recibido Dez. 2024 Aceito Accepted Aceptado Mar. 2025 Publicado Published Publicado Jul./Set. 2025 Jul./Sep. 2025 https://git.fateczl.edu.br e_ISSN 2965-3339 DOI 10.29327/2385846.3.4-4 São Paulo v. 3 | n. 4 v. 3 | i. 4 e34095 Julho-Setembro July-September Julio-Septiembre 2025 Performance Management: How does continuous feedback impact the… Gestão de Desempenho: Como o feedback contínuo impacta na gestão de ... Gestión del desempeño: ¿Cómo impacta la retroalimentación continua en la … DOI: https://doi.org/10.29327/2384439.3.4-4 Advances in Global Innovation & Technology | v.3 n.4 | e34095 | São Paulo | Jul./Set., 2025 2/14 estratégicos, destacando pontos fortes e áreas que precisam de melhorias. A importância deste assunto está relacionada às necessidades das empresas em utilizarem recursos e ferramentas para se diferenciarem no mercado competitivo. Estes resultados apontam que a criação de uma cultura de desempenho sólida e integrada ao papel da gestão, otimiza o desempenho organizacional e promove resultados consistentes. Palavras-chave: Feedback Contínuo; Comunicação; Gestão de desempenho; Organizações. Resumen: Utilizando el método exploratorio-descriptivo, este artículo explora el impacto del feedback continuo en la gestión del desempeño, destacando su papel en la alineación de los objetivos humanos y estratégicos de las organizaciones a través de un análisis realizado con dos empresas a partir de la percepción de los líderes y empleados que componen el ambiente de trabajo. La gestión del rendimiento se basa en las competencias técnicas/comportamentales, centrándose en aumentar los conocimientos de los implicados para alcanzar los resultados deseados. Además, la comunicación desempeña un papel fundamental en este proceso, ya que permite el debate asertivo entre los participantes. La retroalimentación continua es necesaria para el desarrollo de los empleados, integrando los objetivos estratégicos humanos y organizativos, destacando los puntos fuertes y las áreas que necesitan mejorar. La importancia de este tema está relacionada con la necesidad de las empresas de utilizar recursos y herramientas para diferenciarse en el mercado competitivo. Estos resultados demuestran que la creación de una sólida cultura del rendimiento, integrada en el papel de la dirección, optimiza el rendimiento de la organización y promueve resultados consistentes. Palabras clave: Retroalimentación continua; Comunicación; Gestión del desempeño; Organizaciones. Performance Management: How does continuous feedback impact the… Gestão de Desempenho: Como o feedback contínuo impacta na gestão de ... Gestión del desempeño: ¿Cómo impacta la retroalimentación continua en la … DOI: https://doi.org/10.29327/2384439.3.4-4 Advances in Global Innovation & Technology | v.3 n.4 | e34095 | São Paulo | Jul./Set., 2025 3/14 1. INTRODUCTION The general objective of this article is to explore how continuous feedback can influence performance management in organizations. Thus, we will analyze employees' and leaders' perceptions of this topic via exploratory-descriptive, qualitative research, answering the following question: How can continuous feedback influence performance management in organizations? Performance management is the key factor in aligning human objectives with the organization's strategic goals. This management is achieved by grouping technical and behavioral competencies, measured through evaluations, to develop employees' potential and consistently deliver results aligned with the organization's plans. As stated by Rocha et al. (2020), communication within company’s links those involved in planning and implementing the objectives previously established between the organization and its human capital. However, the manager must be able to focus on interpersonal liaison and clearly convey the desired message via the chosen communication channels. Communication plays a fundamental role in effective performance management. It is by means of exchanging information that a dialogue is established between management and its employees, enabling precise and effective reports for both. Continuous outcome is necessary in this process to ensure that strengths and areas for improvement are aligned, with a continuous focus on human development and the achievement of pre-established corporate goals. Consequently, assertive communication, when carried out correctly, allows those involved to understand and participate in strategic objectives, linking them to individual efforts and ultimately leading to organizational success. The choice of this theme is justified by the importance of the practice implemented in today's organizations. Human development is increasingly important in the face of the need for training and development to help companies stand out in terms of competitiveness and innovation in the global market. Besides, it is important to promote a healthy, assertive environment so that those involved are engaged and aligned with the desired purposes, thereby driving strong achievement and, subsequently, maximizing results. In light of this, after analyzing the aforementioned facts, we are invited to reflect on the function of management in alignment with leadership. The creation of an execution culture that promotes the socialization of processes and human development, bringing, by means of the sum of efforts, greater value and lasting results to companies. 2. THEORETICAL FRAMEWORK 2.1 Performance management models Performance management is fundamental to aligning individual goals with organizational objectives. Across this process, it is possible to manage the human and organizational factors that impact expected/achieved performance, as measured by technical/behavioral competencies and employees' results. Pontes Performance Management: How does continuous feedback impact the… Gestão de Desempenho: Como o feedback contínuo impacta na gestão de ... Gestión del desempeño: ¿Cómo impacta la retroalimentación continua en la … DOI: https://doi.org/10.29327/2384439.3.4-4 Advances in Global Innovation & Technology | v.3 n.4 | e34095 | São Paulo | Jul./Set., 2025 4/14 (2022) highlights that performance evaluation is one of the most important methodologies in human resource management for the effective achievement of strategic goals, in line with the values of each organization. If well executed, the evaluation will lead to positive results and allow for guidance to be provided as needed. In this context, it is necessary to understand and explore various execution evaluation methodologies to measure the expected final effect objectively. Among the principal contemporary and modern evaluations, the following stand out: • Competency-based assessment; • 360-Degree Performance Evaluation; • Management by Objectives (MBO); • Results-Based Performance Management; and • Agile Performance Management. As claimed by Beuren et al. (2020), performance evaluation is a process that links organizational objectives, conduct benchmarks, and the analysis of employee results, carried out methodically in accordance with the established purposes. Competency-based assessment is a process that measures employee realization by identifying and assessing the competencies, skills, and attitudes important to the effective execution of their functions. As claimed by Montezano et al. (2021, apud Montezano & Isidro, 2020), competence is a process that occurs at different levels within the organizational structure, among the interdependent groups and individuals that compose it, and is analyzed and demonstrated in specific contexts with certain purposes. It represents the ability of a group composed of companies, groups, and individuals to deliver results in line with good performance. Thence, competency-based assessment focuses on analyzing each employee's behavioral and technical competencies within a company. To achieve this, we can consider three factors: Knowledge, skills, and attitudes – the famous "KSA" (Knowledge, Skills, and Attitudes). This type of assessment can be applied in several ways, including gap identification, which helps identify competency gaps among employees and facilitates the development of training and development programs. Companies also offer career plans to build personalized professional paths, aligning employees' competencies with the requirements of the intended responsibility. Consequently, organizational development helps align employee competencies with the company's strategic objectives. On the other hand, a 360-degree performance evaluation is a tool for obtaining more complete information about an employee's performance, combining perspectives from the manager, colleagues, subordinates, and the employee themselves. This impression is then unified and presented to the person being evaluated, offering a broad view of their performance. Along this process, it is possible to achieve benefits such as professional development and improved relationships, hence promoting understanding across hierarchical levels and functions and reducing conflicts. Performance Management: How does continuous feedback impact the… Gestão de Desempenho: Como o feedback contínuo impacta na gestão de ... Gestión del desempeño: ¿Cómo impacta la retroalimentación continua en la … DOI: https://doi.org/10.29327/2384439.3.4-4 Advances in Global Innovation & Technology | v.3 n.4 | e34095 | São Paulo | Jul./Set., 2025 5/14 The 360-degree feedback system was first used in 1940 and is still applied today. In some systems, employees nominate their evaluators, but the manager must first approve those evaluators of the person requesting feedback. Some models offer textual response outcome, while others provide rating scales. There are countless possibilities. (APPUS HR ANALYTICS, 2020, our translation) MBO is a management approach in which employees and managers set clear, measurable objectives to be achieved within a specific timeframe. Harlez (2023) points out that MBO is a tool for managers, designed to increase organizational effectuation by blending collective objectives with specific goals and contributing to positive outcomes for the compsny and its employees. The process involves defining the objective: the objective is developed because of personal problem-solving and ensuring it aligns with the organizational vision and mission; and continuous monitoring: progress towards established objectives is regularly monitored, and corrective action is taken when realization is lower. The other step is job performance evaluation, in which the employee's performance is evaluated based on the fulfillment of established objectives. In addition to the evaluations already mentioned, results-based performance management focuses on measuring each employee's performance via concrete, measurable results. Its objective is to ensure that evaluations are based on real, objective data, consequently reducing subjectivity in the evaluation process. This involves defining Key Performance Indicators (KPIs), which are specific metrics that measure progress in key areas such as sales, operational efficiency, and customer satisfaction. As maintained by Cruz et al. (2021), KPI management involves monitoring the execution of indicators because they permit verification that the firm is progressing in the expected direction and timeframe. Agile Performance Management, on the other hand, is a modern approach that applies agile principles to performance evaluation. Agile performance management focuses on flexibility, collaboration, and continuous measured results. Its distinctive features include changeable goals, frequent reviews, greater employee autonomy, and a transparent learning environment. Agile performance management is crucial in the contemporary workplace, as it facilitates responsiveness to change and promotes employee engagement. Similarly, performance management encourages the use of digital tools and a balanced lifestyle. By correlating performance evaluation methods with the leader's role in people management, it is necessary to prepare leaders to avoid potential perceptual distortions, that is, subjectivities that could hinder the analysis process, bringing to light possible personal precepts such as judgments and particular values that may affect and prevent the objective measurement of human execution in enterprises. Reis and Carrino (2024) point out that efficient leaders objectively define team strategies so that everyone understands the organization's purposes; this involves clearly communicating goals and expectations, as well as motivating their employees to align with the intended objectives. Performance Management: How does continuous feedback impact the… Gestão de Desempenho: Como o feedback contínuo impacta na gestão de ... Gestión del desempeño: ¿Cómo impacta la retroalimentación continua en la … DOI: https://doi.org/10.29327/2384439.3.4-4 Advances in Global Innovation & Technology | v.3 n.4 | e34095 | São Paulo | Jul./Set., 2025 6/14 2.2 Continuous Feedback as a Development Tool As stated by Silva et al. (2024, apud comes, 2021), feedback is a process in which the sender transmits information to the receiver, which is subsequently understood and generates a response from the receiver. It is a necessary tool for organizational communication to be clear and objective, increasing expectations for achieving objectives, promoting a stable work environment that supports productivity and efficiency, and ensuring positive results and high-quality deliverables. The performance evaluation process is defined by metrics that assess the alignment of the organization's culture with the practices developed by the institution, with the ultimate purpose of increasing engagement and ensuring that individual efforts converge with the expected strategies. Performance evaluation allows the business to assess employee performance, providing clear feedback, identifying areas for improvement, analyzing strengths, and developing effective action plans for continuous development (BENEDITO, 2022). Hence, it is possible to affirm that output, when combined with monitoring employee progress, is interconnected and enhances results when used together. Hence, during this process, efforts should be made to promote a feedback culture, as the information provided can encourage the employee to improve or develop a particular behavior or performance. All information that leads a person to become aware that their performance has either reached the desired standard, to encourage and reaffirm it, or has fallen below expectations, thus helping to avoid it and guide them towards the desired standard. In this sense, feedback, in the work context, is a fundamental factor for success, entering the cycle of effort, resulting data, and performance. (GONÇALVES, 2022, pp. 5 and 6, our translation). Considering this, an execution culture is necessary for internal clients to keep up with the company's development and to stay up to date with the ever-evolving job market, which demands that employees be actively willing to develop themselves. The organization's primary role is to promote human development, enhance technical and behavioral skills, and engage in continuous learning, so that people are better equipped to take on new roles and functions. 2.3 Impact of Continuous Feedback on Organizational Culture Continuous feedback plays a principal role in shaping and improving a positive organizational culture. It is a system that habilitates the corporation and its employees to have more transparent, sincere communication and align expectations, promoting a more collaborative work environment. Buckingham and Goodall (2019) highlight effect as an opportunity to express opinions about an individual's performance and suggest ways to improve their work. Return is of paramount importance; by means of it, we can measure attitudes, conduct, behaviors, and interpersonal relationships. Unlike the standards seen in companies, continuous feedback is a process that aims to promote employee development and agile adaptation to change. Creating a culture of continuous feedback is a strategy to improve organizational performance. When employees frequently receive return on their performance, they feel more valued, which is directly linked to motivation. Result as a Performance Management: How does continuous feedback impact the… Gestão de Desempenho: Como o feedback contínuo impacta na gestão de ... Gestión del desempeño: ¿Cómo impacta la retroalimentación continua en la … DOI: https://doi.org/10.29327/2384439.3.4-4 Advances in Global Innovation & Technology | v.3 n.4 | e34095 | São Paulo | Jul./Set., 2025 7/14 motivational factor improves personal satisfaction and engagement at work. Moreover, it is significant for employees' professional and personal development. With consistent output, employees can improve their daily performance, fostering a culture of continuous learning and personal growth. On the other hand, the lack of continuous monitoring can create a series of obstacles for the institution. The absence of frequent, clear communication can ultimately lead to reduced performance, and employees tend to feel more demotivated and insecure about their roles in the company. Thence, feedback is not just a tool that aids development, however a vital means of building a solid, positive organizational culture. 2.4 Relationship between Performance Management and Organizational Results Performance management is a method used to aid in employee development. Over time, this practice has become established and has generated organizational success for companies. By aligning employees' personal and individual goals with the company's strategic goals, the company can boost its team potential and, consequently, achieve better results. Since the people involved in the organization's production process are responsible for executing the strategy, results-based management serves as an important driver, enabling employees to turn plans and strategies into reality and help the firm achieve its planned results. (SCHNEIDER, Alencar Júlio Feldens et al, 2022, our translation.) Organizational performance is defined as the company's ability to achieve its goals and objectives efficiently and effectively. This management positively and directly impacts organizational results, improving internal communication, increasing team motivation, aligning expectations, and strengthening employee engagement. Companies that adopt performance management practices show greater talent retention, according to Azevedo (F. C., 2019). Talent retention is associated with companies that prioritize investing in improving their employees' skills and competencies, thereby strengthening their relationships with them. Performance management provides a clear view of the company's goals and employee development and identifies areas that need improvement. Businesses that implement solid and structured performance management systems tend to achieve greater productivity and employee engagement. An engaged and involved professional encourages other employees to perform their work with more confidence and security, guaranteeing good results and making a difference within the enterprise. Therefore, talent retention is an extremely important factor for organizations. (SILVA, EM; COSTA, STS; AMORIM, DA; BORGES, MADA; CHAVES, PVA2023, our translation). Performance management is an essential strategic method for improving and maximizing results in companies. When personal/individual goals align with those of the corporation, development opportunities are identified, and continuous feedback is applied, the company can create a pleasant environment for achieving goals. A well-executed, well-supervised performance management Performance Management: How does continuous feedback impact the… Gestão de Desempenho: Como o feedback contínuo impacta na gestão de ... Gestión del desempeño: ¿Cómo impacta la retroalimentación continua en la … DOI: https://doi.org/10.29327/2384439.3.4-4 Advances in Global Innovation & Technology | v.3 n.4 | e34095 | São Paulo | Jul./Set., 2025 8/14 system not only improves individual performance but also maximizes long-term results. 3. METHOD This study used an exploratory-descriptive, qualitative research design, collecting data from academic literature, articles, and books relevant to the topic and aligned with the field of Human Resources. Using the method of Flores (1994), structured interviews were conducted in this work to explore, describe, and collect data, and to compare them for a broader understanding of the topic. The analysis was conducted using a semi-structured questionnaire. It will be based on a comparison of responses collected during interviews with two professional representatives from the institutions in question and four employees from the respective companies analyzed, along with other studies. For security reasons, methods were implemented to preserve the privacy of the interviewees. The responses collected will be displayed without identifying participants to provide greater anonymity and comfort. 4. RESULTS AND DISCUSSION The following tables present the metacategories, which group the categories related to the analyzed sets, facilitating a more comprehensive understanding of the collected data. Each metacategory encompasses subcategories that share common characteristics, thus allowing for more precise measurement of the results. These sets were created to identify interconnected responses and develop improvement strategies related to the article's theme. Below, you can see the detailed breakdown of the metacategories by subcategories and their respective analysis codes, which provide a better understanding of the results collected during the research. The interviews were recorded in audio format and analyzed to develop an understanding of the topic addressed and a comprehension of the presented data. Table 1– Detailed description of the interviewees Description Age Enterprise Position Interviewee 1 20 A Personnel Administration Assistant Interviewee 2 35 A Senior Human Resources Analyst Interviewee 3 44 A Head of Human Resources Interviewee 4 30 B Company Production Supervisor Interviewee 5 23 B Machining Mechanic Interviewee 6 28 B CNC Operator Source: Authors (2024) Based on the presented frameworks, it was possible to analyze the importance of the metacategories and their subcategories for a more objective analysis of the data collected in the research. Each framework addressed different points fundamental to implementing development strategies within companies, highlighting the importance of continuous feedback and training managers in the performance evaluation process. Based on the interviewees' perceptions, impression directly impacts on employees' motivation and performance, as well Performance Management: How does continuous feedback impact the… Gestão de Desempenho: Como o feedback contínuo impacta na gestão de ... Gestión del desempeño: ¿Cómo impacta la retroalimentación continua en la … DOI: https://doi.org/10.29327/2384439.3.4-4 Advances in Global Innovation & Technology | v.3 n.4 | e34095 | São Paulo | Jul./Set., 2025 9/14 as the need to properly prepare managers so they can apply the processes efficiently and effectively. Likewise, the tools used in evaluation and management were discussed, highlighting both the positive aspects and the challenges of their applicability. Table 2 – Metacategory “The Importance of Implementing the Leader Assessment and Preparation Process” (Part 1) Codes Category Definition Units IIFC It includes allusions to the importance of implementing feedback as a tool for achieving strategic objectives in organizations. R1: Feedback, when given correctly, serves to enhance performance and is also a motivational factor. R2: Contributes to the development of tasks, strategies, thinking outside the box [...]. R3: Helps to generate closeness and a relationship of trust between people, both in vertical feedback (manager-led) and horizontal feedback (between employees). R4: It contributes to motivation; when he realizes that a superior is dedicating time to him and his development, he understands that it is important for the company, and that is good for both sides. R5: [...] it generates motivation to improve the point being discussed or a reason to improve constantly. R6: [...] the employee will understand that he is necessary for the organization; from the moment you offer results, the employee understands that he is needed there, and that his evolution is important to the company. This motivates and leads to greater dedication from the employee. CLI It includes allusions to the empowerment of leaders in implementing a feedback culture. R1: When leaders are not prepared, feedback contains external factors such as perceptual distortions [...] therefore, assessment sometimes becomes a form of punishment. R3: Fundamentally, they know how to prepare, how to approach, and how to conduct specific return conversations, avoiding aggressive practices or anything that demotivates the employee. The employee needs to leave the conversation feeling better than when they entered, regardless of whether it was a difficult conversation. R4: It is important because the employee may feel uncomfortable if it is presented inappropriately; with training and a standardized approach, it becomes a positive experience that contributes to the employee's improvement. R5: The important thing is that some leaders or managers may not understand or accept what needs to be changed or improved, and this can end up generating conflict. The importance of knowing how to give return lies in the fact that situations are not always favorable to us, and you will need experience to handle them and solve problems; without it, you will be lost. R6: I have always worked on the factory floor, and that is where we call it, the rank and file. In some companies I have worked for, I have seen people promoted to supervisors without being prepared or offered any training. The person would go to sleep as a machine operator and wake up as a supervisor, so this has a considerable impact on the rest of the team. Because when giving response, this person might not use the right words or the right managerial demeanor, which could harm an employee. Nevertheless, overall, I understand that the company bears the most significant share of the blame if it does not prepare the employee to act as a leader. Source: Authors (2024)