The UAE businesses are growing rapidly, with HR leaders focusing on maximizing employee performance to drive business success. However, with only about 30% of employees in the UAE actively engaged, there’s significant room for improvement.
Efficient performance management plays a crucial role in addressing this gap, helping businesses streamline operations and unlock employee potential.
So, if you’re a UAE-based business seeking effective resources to boost workplace efficiency, this blog will guide you through the best performance management software options available in 2025.
What is Performance Management Software?
Managing a large and dynamic workforce with varied goals and interests is challenging.
Given the scale of operations and the individual skill levels and job responsibilities, you won’t be able to directly evaluate each employee’s performance to gauge who is ready to take the next step, and who needs more guidance and feedback. Keeping track of objectives and their progress for a large workforce manually becomes challenging, and can be quite error-prone.
This is where performance management software comes into play.
It’s a tool that enables organizations to track, assess, and enhance employee performance by allowing managers to set goals, monitor progress, provide feedback, and conduct reviews.
This implies that whether your workforce consists of 10 in-house employees or 100 remote employees, there’s a central location where you can go to gain detailed insights into each employee’s performance for efficient appraisal.
In fact, these tools are not just limited to performance management. They also consist of features that encourage performance improvement, consistency, and scalability.
Why is Good Performance Management Software Important for UAE Businesses?
There are several reasons why any UAE-based business can benefit from implementing performance management software:
Data-Driven Decision-Making
Performance management tools are very comprehensive. They provide a range of insightful data on an employee’s productivity, efficiency, progress, achievements, strengths, weaknesses, skill gaps, etc., which prove vital in making accurate, data-driven appraisals.
Remote Workforce Management
46% of the UAE’s total workforce is working remotely, with the proportion expected to rise to 52% by 2025. This burgeoning workforce necessitates the need for centralized, cloud-based technologies like performance management software for consistent and proficient workforce management.
Talent Retention
As per a survey, as many as 94% of employees say they would stay longer with a company if it provides scope for career development. Performance management software facilitates this. By highlighting skill gaps and recommending training opportunities, these tools can help you nurture and, thus, retain top talent in your organization.
What are the Top Features to Look for in Performance Management Software?
Before we dive into the list, here are some general attributes you should seek in a performance management tool to ensure maximum efficiency:
Goal Setting and Tracking
One of the main elements that make performance management software effective for all kinds of teams and organizations is its ability to set and track goals. Without this feature, you won’t be able to gauge the actual progress of an employee in real time. So, go for a tool that provides robust goal-setting and tracking functionalities.
Comprehensive Feedback Features
The core of successful performance management is consistent feedback. If the software doesn’t allow managers to provide ongoing, constructive advice to the employees, no amount of goal-setting or performance reviewing can make any difference.
So, choose a tool that offers comprehensive feedback features to ensure growth and development.
Automated Performance Reviews
Regularly evaluating employee performance is essential. However, the process can be extremely taxing and time-consuming, especially if your workforce is hybrid.
Therefore, look for performance management software that automates and streamlines the entire process.
Analytics and Reporting
Manual performance reviews involve a risk of bias. However, performance management software eliminates this by providing solid data-driven analytics and reports on every employee’s performance, productivity, engagement, etc., encouraging fair appraisals.
This is another essential feature you should look for in the tool.
Third-Party Integrations
If you have a performance management system in place, it’s very crucial that you pick a tool that seamlessly integrates with it and all other software/technology constituting it.
For starters, an efficient performance management tool should integrate with HR, payroll, and collaboration platforms.
9 Best Performance Management Software in the UAE
Here’s the list of the nine best performance management software for UAE-based businesses in 2025:
1. PeopleStrong
Performance management is not easy. But with PeopleStrong, you can significantly optimize the process.
PeopleStrong’s Performance Management modules helps you streamline the crucial steps in performance management – setting goals, tracking progress, and providing feedback.
With PeopleStrong you can use multiple goal frameworks – MBOs, SMART Goals, OKRs, and KPIs. You can also track and share these goals—anytime, anywhere.
To promote an environment of continuous feedback, PeopleStrong offers 360-degree reviews, feedback loops, upward feedback mechanisms, and one-on-one feedback sessions.
That’s not all—it also provides features to conduct employee-centric reviews and feedback sessions to encourage a more holistic feedback approach. PeopleStrong also comes with Gen AI features allowing you to create goals quickly and also help employees with a 24×7 available talent coach that helps employees stay on track and improve their performance.
All in all, this agile solution is your one-stop solution for all things performance management.
Top features:
- Offers real-time performance tracking and updates
- Complies with major global data security standards like GDPR and AICPA SOC (1 & 2)
- Integrates with major tools and software like Microsoft Office 365, Oracle, SAP, etc.
- Easy-to-navigate user interface for a seamless user experience
- Comprehensively designed to address all HR requirements like recruiting, onboarding, payroll, etc.
2. SAP SuccessFactors
Another Performance Management tool to consider is SAP SuccessFactors. This tool allows you to plan performance management strategies, set performance KPIs, measure progress, and create incentive compensation plans to reward high-performing employees. Apart from this, the tool gives AI recommendations to fuel employee growth and development.
Top features:
- Goal setting and alignment with organizational objectives across teams
- Real-time recognition and rewards to encourage motivation
- Employee development plans integrated with performance reviews
3. OracleHCM
If you’re a mid-to-large enterprise looking for suitable performance software, OracleHCM is a strong choice. This cloud-based solution is designed to simplify the performance management process of organizations with a global workforce.
It offers several tools that encourage regular performance review, reward, and enhancement.
The best part? It lets you provide your employees with an AI coach for tailored skill and career development.
Top features:
- Cloud-based performance reviews for streamlined feedback and assessments
- Succession planning tools for strategic workforce management
- Employee self-service portal for performance updates and progress tracking
4. Workday
Workday aims to refine HR management through the power of AI. Its workforce management software automates mundane HR processes, analyzes your organization’s changing needs, and identifies ways to address them.
As for performance management, Workday is especially favorable for managers seeking to improve their team’s productivity. From easy-to-use timesheets to agile absence management software—all its features let you monitor your team’s productivity so you can ensure maximum efficiency.
Top features:
- Real-time feedback from peers and managers to enhance engagement
- Integrated OKRs and goal-setting functionality for clear focus
- Comprehensive data-driven analytics for improved decision-making
5. Profit.co
If you’ve formulated OKRs to improve employee performance, Profit.co can help you streamline the initiative.
It creates a whole performance management structure that lets you review employee performance, track goals and OKRs, and provide 360-degree reviews. This tool also offers support for succession and talent development for an all-encompassing experience.
Top features:
- Real-time progress tracking against objectives and key results
- Integrated feedback tools to improve performance alignment
- Regular check-ins and feedback loops to track performance consistently
6. Lattice
Another best performance management software is Lattice. This tool encourages organizations to prioritize regular performance management by automating the whole process. It allows users to review employee performance and provide feedback.
With Lattice’s robust reporting and analytics feature, you can also identify gaps in your business operations to eliminate inefficiencies.
Bonus? The tool is very engaging and easy to implement!
Top features:
- 360-degree performance reviews for comprehensive insights
- Employee engagement surveys integrated for performance improvement
- Employee growth paths based on performance metrics
7. BambooHR
If performance management customization is your top priority, BambooHR is the best performance management software for you. From reviews to feedback mechanisms, this tool lets you customize every element of performance management.
Apart from this, BambooHR’s comprehensiveness is another noteworthy aspect. This one tool lets you set goals, evaluate productivity, plan assessments, and provide appraisals—everything you can imagine to boost performance outcomes.
Top features:
- Simple and intuitive performance review templates for quick assessments
- Employee self-assessments tied to performance outcomes
- Easy-to-use reporting and analytics for HR decision-making
8. HiBob
HiBob specializes in elevating team performancethrough elemental 360-degree reviews. Using this tool, you can provide detailed reviews to your employees by their managers, peers, and subordinates for a thorough evaluation.
HiBob also facilitates self-assessments, letting employees rate their own performance and enabling managers to better grasp their strengths, weaknesses, etc. This proves useful when aligning employees with duties.
Top features:
- Goal setting and alignment for employee and company objectives
- Advanced reporting dashboards for HR data-driven decisions
- OKR management system to align personal and organizational goals
9. PerformYard
PerformYard is a dedicated performance management software, especially suitable for small, close-knit teams. With features like goal check-ins, employee 1:1’s, and performance rating scales, it proves ideal for optimizing and scaling performance management activities.
Being highly customizable, you can also easily tailor essential nitty-gritty better to align the tool with your organization’s unique needs.
Top features:
- Flexible performance review cycles tailored to organizational needs
- Continuous feedback options for ongoing performance tracking
- Succession planning tools to track high-potential employees
Potential Pitfalls to Watch Out For
Performance management helps an organization maximize its efficiency and stride toward its goals. However, if you do not have a well-thought-out implementation plan, it can create several challenges for you and your employees. For instance:
Training Difficulties
If you do not consider your team’s skill and knowledge level before selecting performance management software, you may have a difficult time training your employees. Things may escalate even more if the tool is overly complex and not user-friendly.
Inconsistent Feedback
If your performance management process lacks a solid feedback mechanism, software implementation will not get you closer to your goals. You will still find it difficult to provide actionable feedback and enhance employee performance.
No Room for Employee Input
Managers generally assume that performance management is limited to assessing an employee’s performance and providing feedback. However, it’s a two-way street.
Successful implementation also involves letting employees have conversations and provide their input into optimizing their performance. In its absence, they may feel disconnected from the process.
Data Privacy Concerns
Performance management software stores large amounts of sensitive employee data. If you choose one that is not aligned with data security standards, the risk of a data breach can arise. This is why due diligence must be practiced.
How to Choose the Best Performance Management Software for Your Organization?
Now that you know everything about performance management software, here are the steps you need to follow to pick the best one for your organization:
Step 1: Define Your Objectives
Before you search for the best performance management software, highlight your organization’s needs and expectations from the tool.
These could include optimizing employee productivity, tracking their performance, identifying areas for improvement, or all of these.
Having a clear idea of your implementation goals expedites the search and gives you a solid starting point.
Step 2: Shortlist Available Options
Now that you have a blueprint of your performance management objectives go ahead and shortlist the best tools that align with them. Ideally, you should consider the following factors:
- Features: Does the tool contain the features and functionalities you need to achieve your goals?
- Ease of use:Is the tool user-friendly and adaptable enough to suit the technical know-how of every employee in your organization?
- Customization options: Can you personalize the tool to match your organization’s needs?
- Integration options: Can the tool be integrated with other tools and systems in your workflow?
- Vendor support: Does the tool provide 24/7 customer support to its users? Also, how long does it generally take their support team to resolve a query?
- Scalability: Can the tool scale with your organization? Is it equipped to handle increased users, large data volumes, and changing performance management needs?
Once you have assessed each of these aspects, create a list of tools that best meet your criteria.
Pro Tip: If you don’t know which specific features to look for in performance management software, keep it simple. Choose one that offers three basic features—goal setting, performance reviews, and continuous feedback mechanisms.
Step 3: Compare Cost
Though these tools only charge a subscription fee, it’s always advisable to check for hidden costs like setup fees, training fees, etc. Additionally, assess the pricing models of your shortlisted software.
While some tools charge you on a one-time/monthly/annual basis, others may bill you on variable factors like the number of users, features, and so on. This tends to make the software expensive in the long run. So, define your budget and choose the most cost-effective software.
Step 4: Assess Security Standards
Since this software will be handling large volumes of employee and company data, it’s best to ensure it is rigorously developed to maintain data integrity.
Look for features like data encryption and multi-factor authentication to make sure the software is safe from unauthorized third-party access.
Besides, check if it guarantees maximum protection against data thefts and breaches. Select a tool that complies with local and global security standards and protocols, like:
- UAE IAS (UAE Information Assurance Standards)
- HIPPA (Health Insurance Portability and Accountability Act)
- GDPR (General Data Protection Regulation)
Step 5: Check Customer Reviews
Customer ratings and testimonials provide useful insights into how the software actually performs when implemented. So, make sure you give them a check before the final purchase.
Visit independent review websites and read customer reviews to gauge the software’s true efficiency. You can also use online customer forums to investigate a software’s strengths and weaknesses, user satisfaction level, support quality, etc.
And that’s it—you have successfully chosen the best performance management software for your organization!
Conclusion
Performance management is undoubtedly challenging, requiring time, focus, and strategy. However, it’s an essential process for driving organizational growth and employee success.
By choosing the best performance management software, you can streamline evaluations, improve communication, and ultimately achieve more efficient, impactful results that align with your business goals.
For organizations looking to optimize their performance management process, solutions like PeopleStrong offer comprehensive, automated features—from goal setting to feedback—helping to ensure consistency and efficiency.
So, hurry up—get in touch today!
Some Common FAQs:
Can performance management software be customized?
Yes, performance management software can be customized to address specific business needs. For instance, you can tailor review processes, goal-setting frameworks, feedback mechanisms, etc.
What are the general costs associated with performance management software?
Generally, implementing performance management software only requires subscription fees. However, other related costs may also be incurred, such as licensing fees, customization costs, integration costs, training costs, etc.
How can businesses integrate performance management software with other HR tools?
Businesses can integrate performance management software with other HR tools via APIs or built-in integrations to streamline processes.
How long does it take to implement performance management software in a company?
Generally, it takes two to three months to fully implement performance management software in a company. However, this timeframe can vary due to certain factors, like the size of the organization, the complexity of the chosen system, and the structure of its existing performance management process.
