Performance management is important because it is a method for ensuring that your business strategy is realised. Many people are unsuccessful with performance management because employees and managers do not have a clear understanding of the benefits. Cause? Many believe it is because HR is more concerned with policies and procedures than building a culture that inspires commitment and performance.
However, if the performance management process is run in a positive way, the business will be able to see significant effects and results. Good performance has no value unless it is directly aimed at achieving business goals. A performance management culture must be developed and cultivated – and HR must take the lead in facilitating it.
Fortunately, it is a misconception to think that a performance culture is something that exists in some businesses and is lacking in others. Every company has what it takes to create a performance culture. Management is responsible for generating awareness of the importance and the value of performance management. Only then can company culture move in the right direction.
What is performance management?
We know that performance management inspires commitment and thus performance. It is about clarifying expectations, setting clear targets and finding direction for individual employees. Furthermore, good performance depends entirely on having the right skills to master tasks – motivation through opportunities to have an influence, good follow-up, guidance, feedback, recognition and rewards.
Having an ongoing conversation between management and staff is key
Facilitate an ongoing dialogue between managers and employees that includes follow-up, guidance, feedback and support to motivate individual employees to perform at their very best. These discussions between managers and employees should take place throughout the year and be both formal and informal. Set/adjust targets quarterly in line with the company’s overall direction
A performance culture is recognized by the following elements
- Direction, involvement and priorities
- Feedback and guidance
- Clear role descriptions
- Focus on individual goals
- Competence development
- Opportunities have an influence
- Ongoing follow-up of targets
- Compliance with values
- Recognition and rewards
Performance management – how to get started?
- Take a look at the elements that characterise good performance management and determine where you already have a good company culture and what you want to improve and enhance.
- Define new processes or measures that do not currently exist or which need to be highlighted and enhanced in order to boost the performance culture within your company.
- Help managers by giving them the knowledge and training they need – performance management is a key management skill.
- Motivate managers and employees by providing good information about why performance management is important.
- Be sure to have a user-friendly HR system that supports processes digitally and that assists both managers and employees. Only then will you be able to ensure success.
Remember, performance leadership is about people, culture, commitment, and enablement.
CatalystOneTM Human Capital Management software for Performance Management stimulates employees to perform at their best through well-organised guidance, feedback, follow-up, goals and development plans. With years of extensive experience, we have developed a successful approach to performance management; a best practice and a user-friendly IT solution where both managers and staff can clarify their expectations, agree on goals and work on personal development. Our solution facilitates an ongoing dialogue, continuous follow-up and targeted guidance to motivate individual employees to perform at their very best.
CatalystOneTM – a powerful tool that boosts performance!
Text: Berit Bjerknes
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