Performance management is a management tool used to evaluate, monitor and measure a company's strategies that ensure the efficiency and effectiveness of the delivery of its products. This management tool does not focus on the organization, its employees and stakeholders. It is an ongoing process that involves managers ensuring that organizational values ​​and employee values ​​match (Aguinis, 2005, p.1/2-1/5). Performance Management brings out employee skills, increases self-esteem by providing feedback to employees, there is a low number of lawsuits because it helps to understand the company better (eThekwini Municipality, 2008, p.10-11). According to Pride, Hughes and Kapoor (2011, p.288) performance management creates motivation for employees; One theory of motivation is expectancy, which states that employee satisfaction is driven by expectations about what an organization will offer in return. Compensation management is defined as the sum received for employment or a service provided, this includes money received on a monthly basis as well as benefits given as bonuses (investopedia, par.1). Individualism must be taken into consideration when implementing these pay structures or reward systems, equal pay plays a role in balancing earnings among the diverse workforce (Shen, Chanda, D'Neetto, & Monga,2009,p. 241). Woolworth Holdings supports remuneration policies that aim to ensure that it attracts and retains the best talent, which is congruent with company strategies and is a determinant of performance in the short and long term phases. The policy considers board members and employees. This policy manages the company's employees by giving... half the paper... The importance of generational mix within an organization is that it brings about inclusiveness and helps generate new innovative ideas that could lead the organization to its lasting competitive advantage. Each age group with its expectations and by interacting with each other, an exchange of knowledge and experiences takes place. Conflict is inevitable between these different age groups, however respecting and accepting the diversity of the workforce can therefore lead to creative thinking which in turn gives the company an edge over other companies. Woolworths was founded in 1931 and this was when traditionalists were born and as time went by other age groups also started working but in its full position it had the ability to hire younger age employees thus giving the The company has some influence on its ability to identify what the market wants it to offer .