---
title: "Performance Management Glossary: Key Terms and Definitions"
description: "Performance Management Glossary\nKey Terms and Definitions"
---
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1. [PaidHR Help Centre](https://support.paidhr.com/)
2. [Performance Management](https://support.paidhr.com/performance-management)
3. [Performance Management Glossary](https://support.paidhr.com/performance-management#performance-management-glossary)
# Performance Management Glossary: Key Terms and Definitions
## This glossary explains common terms used in PaidHR’s Performance module to help you understand the performance setup, review process, OKRs, questionnaires, and employee assessments.
**1. Performance Setup and Review Process**
- **Performance Management:** The process of setting goals, monitoring progress, evaluating employee performance, and identifying areas for improvement.
- **Performance Setup:** The initial configuration required to prepare your organisation for performance reviews, including confirming organisation details, setting up review cycles, configuring ratings, and defining company values.
- **Review Cycle:** The overall performance review process established for a specific cycle, including its configuration, review periods, assessments, and feedback.
- **Review Period:** The specific timeframe used to assess employee performance within a review cycle.
- **Review Period Timeline:** The start and end dates defining the period being assessed.
- **Date Window:** The dates configured for a stage of the performance review process.
- **Submission Window:** The timeframe within which employees and assigned reviewers are expected to submit their assessments.
- **Launch Review Period:** The action of starting a configured review period so assigned participants can begin the review process.
- **Automatically Launch on Schedule Date:** A setting that allows a review to launch automatically on its scheduled date.
- **Announcement:** A notification setting that informs employees about an upcoming review. Depending on the configuration, employees may receive a notification one week before the review start date.
**2. OKRs, Goals, and Key Results**
- **OKRs (Objectives and Key Results):** A goal-setting framework used to define what an organisation or employee wants to achieve and how progress will be measured.
- **Objective:** A statement describing what an organisation, department, or employee wants to achieve.
- **Company Goal:** A goal established at the company level to define what the organisation wants to achieve.
- **Departmental Objective:** A goal established for a specific department to guide its work towards achieving broader company goals.
- **Key Result:** A measurable outcome used to determine whether a goal or objective has been achieved.
- **Individual Key Result:** A measurable result assigned to an individual employee to track progress towards achieving a defined goal.
- **Person-Led Key Result Framework:** A framework that focuses on individual employees’ key results without requiring departmental objectives. Individual key results can be aligned with company goals.
- **Objective-Led Framework:** A framework that organises performance around objectives and their associated key results.
- **OKR Framework:** The structure used to organise goals, objectives, and key results for a review cycle.
- **Align with Company Goal:** Linking an individual key result to a relevant company goal to show how the employee’s contribution supports organisational priorities.
- **Align with Department Objective:** Linking a key result to a departmental objective. This may not apply when using the Person-Led Key Result framework.
- **Edit OKRs:** Updating existing goals, objectives, or key results when changes are necessary.
**3. Metrics and Progress Tracking**
- **Metric:** The measurement used to track progress towards a key result.
- **Target:** The result an employee or team is expected to achieve by a specified deadline.
- **Start Value:** The current value or baseline of a metric when a key result is created.
- **End Value:** The desired value the employee is expected to achieve by the end of the review period.
- **Due Date:** The deadline by which a key result is expected to be completed.
- **Percentage:** A metric type used to measure results as a percentage.
- **Numeric:** A metric type used to measure results using numerical values, such as the number of tickets resolved.
- **Amount:** A metric type used to measure a monetary or other amount-based result.
- **Binary:** A metric type used to track whether a result has been achieved or not, typically represented by two possible outcomes.
- **Assign Weight:** Allocating a value of importance to a key result when calculating an objective or performance score.
- **Auto-Distribute Weight:** Allowing the system to distribute weights automatically when the weight field is left blank, according to the system’s configuration.
- **Zero Weight:** Assigning a weight of zero to track a key result without allowing it to contribute to the objective score.
- **Employee Progress:** The current status or measured advancement of an employee towards achieving their assigned key results.
- **Require Evidence for Key Results:** An option that requires employees to attach supporting evidence to their key result assessments.
**4. Questionnaires and Performance Assessments**
- **Questionnaire:** A structured set of questions used to collect feedback and assess employee performance, skills, competencies, achievements, and areas for improvement.
- **Questionnaire Template:** A saved set of questions that can be assigned to participants during a performance review.
- **Question:** A prompt that a participant must answer as part of a questionnaire.
- **Response Type:** The format in which a participant responds to a question, such as a rating or text response.
- **Rating:** A numerical or predefined score used to assess performance against a particular criterion.
- **Text Box:** A response field that allows participants to provide written feedback.
- **Assessment:** The stage of the review setup where reviewers, questionnaires, core values, and other assessment requirements are configured.
- **Self-Assessment (Self-Review):** An assessment completed by an employee to evaluate their own performance, achievements, strengths, and areas for improvement.
- **Core Values:** The fundamental principles and behaviours that guide an organisation and can be used as criteria for evaluating employee performance.
- **Qualitative Employee Feedback:** Written feedback that focuses on observations, strengths, achievements, and areas for improvement rather than numerical ratings.
- **Performance Rating:** A score or rating assigned to represent an employee’s performance against defined expectations or criteria.
**5. Review Participants and Reviewer Types**
- **Reviewer:** A person assigned to assess an employee’s performance and provide feedback during a review.
- **Reporting Manager:** The manager or supervisor responsible for overseeing an employee’s work and evaluating their performance.
- **Self:** The employee being reviewed, who completes their own assessment.
- **Direct Reports:** Employees who report directly to the employee being reviewed. They may provide feedback on the employee’s leadership and management.
- **Peers:** Colleagues who work at the same or a similar level as the employee being reviewed and can provide feedback based on their working relationship.
- **Others:** Other assigned reviewers who do not fall under the listed categories but have relevant knowledge of the employee’s performance.
- **Participants:** The employees included in a review period who will take part in the performance review process.
- **All Employees:** An option for including every eligible employee in the review period.
- **Specific Employees:** An option for selecting individual employees to participate in the review period.
- **Employees by Department:** An option for selecting participants based on their department.
**6. Peer Nomination**
- **Peer Nomination:** The process through which employees nominate colleagues to provide feedback during a performance review.
- **Minimum Nominees:** The minimum number of peers an employee must nominate.
- **Maximum Nominees:** The maximum number of peers an employee is permitted to nominate.
- **Final Peer Reviewers:** The number of nominated peers who will ultimately be selected to provide feedback.
- **Allow Manager Replacement:** A setting that allows managers to replace or adjust nominated peers before reviews are assigned.
- **Allow Admin Override:** A setting that allows administrators to modify peer nominations or reviewer selections when necessary.
**7. Appraisal Review Committee (ARC)**
- **Appraisal Review Committee (ARC):** An optional committee responsible for reviewing employee appraisals and participating in appraisal-related discussions or decisions.
- **Scribe:** The person responsible for recording meeting minutes, documenting decisions, and maintaining committee records.
- **Chairperson:** The person responsible for leading committee meetings and facilitating discussions.
- **Committee Member:** An individual selected to participate in the committee and contribute to its discussions and decisions.
**8. Other Review Settings and Actions**
- **Edit Review Period:** Modifying the configuration or settings of an existing review period.
- **Delete Review Period:** Removing a review period from the system.
- **Create Review Period:** Saving and completing the configuration of a review period.
- **Manager Feedback Sharing:** A setting that determines whether managers can share their feedback with their direct reports.
**Understanding the Difference Between Related Terms**
- **Review Cycle vs. Review Period:** The review cycle refers to the overall performance review process, while the review period defines the specific timeframe being assessed.
- **Objective vs. Key Result:** An objective describes what you want to achieve, while a key result defines the measurable outcome used to determine whether the goal has been achieved.
- **Metric vs. Target:** A metric is what you measure, while a target is the value you want to achieve.
- **Questionnaire vs. Assessment:** A questionnaire contains the questions participants answer, while an assessment is the broader process of evaluating performance.
- **Peer Nomination vs. Final Peer Reviewers:** Peer nomination is the process of proposing colleagues to provide feedback, while final peer reviewers are the nominated peers selected to complete the review.
- **Person-Led vs. Objective-Led Framework:** A Person-Led Key Result framework focuses on individual key results, which can be aligned with company goals. An Objective-Led framework organises performance around objectives and their associated key results.
**Note:** The available settings and terminology may vary depending on your organisation’s performance configuration and the options available in your PaidHR account.
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