All research in HR shows that what staff value most at work is a good relationship with a line manager they can trust. They might not say that out loud, but it makes staff relations and staff engagement so much more effective. Good performance management allows you to set goals and targets that are realistic and monitorable. It also helps you with supervision and annual reviews, which I think are best renamed Performance Development Reviews.
The first really important time you need great performance management is in induction and probation. That allows you to get off on the right foot with new staff, set expectations, make sure they are able to work for you, and to identify why you will let them go if they are not the right person for your job.

All research in HR shows that what staff value most at work is a good relationship with a line manager they can trust. They might not say that out loud, but it makes staff relations and staff engagement so much more effective. Good performance management allows you to set goals and targets that are realistic and monitorable. It also helps you with supervision and annual reviews, which I think are best renamed Performance Development Reviews.
The first really important time you need great performance management is in induction and probation. That allows you to get off on the right foot with new staff, set expectations, make sure they are able to work for you, and to identify why you will let them go if they are not the right person for your job.