Performance management is a chance for organizations to upskill employees and drive high performance at scale.
Every organization has a performance management system in place to suit their specific business needs. Some rely on general appraisals to measure progress, assess goals and set objectives. Others have moved to new and improved types of performance management such as 360-degree reviews and self-assessments.
Methods of performance management may vary but the objective must always be employee learning and development. How can you, as a decision-maker, help your employees transform into high-performers and achieve optimal results? Performance management systems are a great way to improve input and enhance output.
Discover different techniques of performance management and help your employees thrive.
The Evolutions Of Types Of Performance Management Systems
Traditionally, the measure of performance was whether you met your monthly or quarterly target. Numbers took centerstage. These types of performance management systems have, over time, evolved into more inclusive, detailed and nuanced forms of performance reviews.
Not only are they more refined and fine-tuned to the employee’s needs but also take into account learning and development initiatives. Methods of performance management systems in the modern workplace are based on:
Employee motivation and job satisfaction to make sure they can thrive in a functional, healthy and supportive work environment
Key performance indicators to measure each aspect of their jobs, not just generating revenue and making their numbers
Learning and development efforts to help employees upskill, grow and become well-rounded professionals
Retaining top talent to make sure they have the resources to realize their full potential
Aligning personal goals with organizational goals to work in tandem with employees
Employee development is the key to a successful business. Your employees can benefit from initiatives that help them transition into their new roles. First-time managers, for instance, will require training and mentorship for their first performance management cycle. Giving feedback, setting goals and requesting feedback are critical for an early manager. Understanding different methods of performance management will give them clarity on how to approach this unfamiliar part of their job.
Different Types Of Performance Management Systems
Performance management may be conducted weekly, monthly or quarterly for best results. Depending on techniques of performance management, you can decide which works best for your employee and senior executives.
Here are common types of performance management systems:
Measure Key Performance Indicators
Key performance indicators or KPIs help managers assess employee performance. For instance, if an employee’s KPI is to achieve certain sales numbers for a quarter, their performance will depend on whether they were able to meet the target. Other KPIs include project management in terms of decreasing turnaround time, or time taken to complete a task. Skill development such as completing online courses or upskilling can also work as KPIs.
A 360-degree appraisal is an overall employee review where each member they work with—from their manager to juniors—gives anonymous feedback on their work. This is a great tool to understand employee strengths and weaknesses.
Manager Performance Review
Managers require performance reviews to make sure their teams are aligned. Their employees may have some feedback on what they can improve. This will help managers become better leaders who listen, support and mentor their teams.
Self-assessments may not seem effective since employees have to grade their own performance, but they work. Employees take stock of their tasks, things they found challenging and what they were good at. It’s a great way to compile achievements and identify improvement areas.
General Performance Review
A general performance review is how most organizations conduct performance management. It measures employee performance based on predetermined, standard metrics such as meeting their goals, working in teams and following a code of conduct.
Different methods of performance management have unique benefits. If you want to train early-stage managers on how to conduct performance reviews, you can assess the ones they’ll find easy to manage.
Harappa’s First Time Manager Program
First-time managers have a lot to navigate while transitioning into their new roles. From managing teams to meeting goals, they have to stay on top of things. Giving feedback is a critical aspect of a manager’s role. With Harappa’s First Time Manager Program, your employees can equip themselves with the right tools to achieve transformative outcomes. Our program offers curated learning pathways with must-have Thrive Skills to help achieve peak performance. An online-first, blended learning journey with self-paced courses and live masterclasses assures exceptional results. Through our 10/10 pedagogy, we create customized learning paths based on learner-specific content. Schedule a demo today to learn more!
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