In simple terms, performance management is just H.R. speak for managing the contribution your people make to your business.
When done well, it brings commercial advantage. When done poorly, it costs you time and money.
Common problems we see
Growing business has no performance management in place
This wasn’t an issue when there were just a handful of employees. But now your successful business is growing. More people lead to more ambiguity.
There is a policy written down, but it’s not working
This is so common. We’ve seen money invested into H.R. systems, beautifully designed templates and well written memos from CEO’s to staff. Yet it’s not working.
Everyone believes they are performing well, but results say otherwise
Everyone believes they are performing well, but results say otherwise
No clear connection between performance and reward
Rationale for bonuses and pay decisions are not transparent leaving some employees disengaged and increased risk of disgruntlement escalating into formal complaints. You may also be paying out more than you need to.
How we help
We build mature and value-adding frameworks that connect the dots between company performance, individual performance and financial reward. Without this, performance management is just a H.R. tick box exercise.
Checklist
- Bring all areas of your business onto a common performance management timetable
- Align that timetable to your financial year
- Make a strong connection between the company objectives and individual objectives
- Ensure the connection between individual performance and financial reward is transparent, fair, equitable and defensible
- Adopt the new ways of working into your teams so that managing performance becomes just the way you do things