The future of performance management
The old ways of performance management are not as effective in comparison to new methods. Discover two major ways that HR departments are revamping their performance management systems in a way that is more conducive to good employee morale and future improvement.
1. A focus on the future rather than the past
Once a year reviews are focused on past failures whereas regular employee evaluations are more centred around promoting future employee development.
Deloitte Services LP director of leader development Ashley Goodall and performance management service provider Marcus Buckingham wrote in Harvard Business Review that frequent meetings fostered constant learning at Deloitte because employees received continual feedback on their work. This, companies are finding, has been useful for employee motivation.
On the flip side, HR departments are also realising the negative nature of traditional, annual reviews that go through the whole year's list of failures. This is ineffective if you view this method in light of a Kansas State University study done in 2013 that found how negative feedback can cause some people to perform worse because it makes them feel insecure.
Weekly meetings make a bad day not seem so dire, and can increase staff engagement if the conversation is centred around improving next week.
2. The use of more accurate data
The most up-to-date and efficient employee assessment tool is data, because it provides a more objective measure of performance and thus better insights.
Employees have been frustrated by how assessments seemed excessively subjective in the past.
This is certainly helpful as many employees have been frustrated by how performance management assessments seemed excessively subjective in the past, according to McKinsey and Company.
However, data alone for performance management is insufficient. The main function of data should be to enhance the quality of the discussions between HR and the employee by backing up evaluation with fact.
The new age of employee evaluation
These two changes ultimately herald a more positive way of conducting performance management. The old ways of holding annual reviews that focus on the past and the current value of the employee are not as helpful. This new and improved version of evaluation communicates to employees how they can improve and tracks their progress based on objective data.
Find out how Flexi Personnel's HR consultants can help your company implement new performance management techniques that will motivate your employees and promote future growth.