Performance management structures should be straightforward and easy to understand. Complicated systems are frustrating and counterproductive for both managers and employees. When done right, a good system will revolutionize a company’s performance, boost productivity and ensure an engaged workforce.
So, if you think your organizations performance management system is ineffective, here are the five questions you need to ask:
The SMART framework helps establish clear understanding of what employees are meant to achieve and how it will be measured. Ensuring that these goals contribute to the business strategy not only guarantees effective performance but also gives employees clarity on how their performance impacts the overall business.
The key is to involve your employees in the goal setting exercise. Set realistic targets that not only help you achieve your business goals but are also relevant to the personal career goals and success of the employee.
If you wait a year long to give feedback on your employee’s performance, chances are, it is too late to make any change. Introducing monthly and weekly check-ins is a great way of maintaining constant communication and providing feedback on goals and performance.
Not dealing with underperformance not only impacts individuals but also demoralizes the high performers in the team, as they see there is no consequence for non-performance. Whether it be through trainings, performance improvement plans or repurposing the employee to an activity that is suitable to his skillset, underperformance must be addressed to ensure overall effectiveness of a performance management system.
Probably the killer of all performance management systems – Managers who don’t take the it seriously and do it just to fulfil the requirement, this makes the system redundant. Regular employee surveys and HR check-ins can help identify this, however, managers need to be educated on the impact and importance.
Curia Consultants specialize in building performance management structures around your business, process and people. If you still struggle with getting your performance management system right, reach out to us for a consultation.
A collection of articles, trends and thoughts from our consultants at Curia. We strive to provide relevant content that will equip any business owner with information required to improve their business.