Performance Appraisal

Smart tips for HR professionals

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Developing employees is a critical skill set for all HR professionals. But how do you know which system is the best to develop your employees?

There are many different performance management systems. Like any other complex organizational issue, there is never one right answer to an HR problem. Most of the time the right solution is dependent on many organizational factors. The best an HR professional can do is to learn and analyze many systems, and then make a judgement call on what is the best intervention for their organization at that moment in time.

You may want to start looking at what is happening in performance management trends. It seems that many HR professionals and organizations are rethinking their annual performance review systems.

Jason Averbrook in his new book called, the Ultimate Guide to a Digital Workforce Experience – Leap for a Purpose, shares this thought with us: “Employees don’t want feedback, they want attention.”

The once-a-year performance review does not give the employee enough attention. Averbrook goes on to say that 60 percent of companies are beginning to reshape their performance review systems.

Click here to read more about Jason Averbrook’s ideas. 

For decades, organizations have been using the traditional annual reviews that rate and rank employees. These annual rating and ranking systems seem to be of less value as time moves on and as organizational needs and employees’ values change.  Traditional performance review systems focus on the employee’s past behavior, and not their current behaviour. Today’s organizational deliverables are changing rapidly; looking back over the last year of an employee’s behaviour adds minimal productive value to the HR equation and therefore adds little to the employees’ or organization’s performance.

If the annual employee performance review systems are no longer viable, HR departments must begin to implement new modern day performance measurement systems that meet the needs of the employees and the needs of the rapidly changing business world.  Here is a list of the some of the recent trends in performance management:

  • Frequent real-time feedback instead of one-shot annual reviews
  • Decoupling performance reviews from administrative practices such as annual merit pay or bonuses
  • Dropping the ranking systems: think of what an employee can do, not what they have done

Employees want more frequent and focused attention to help them develop and perform. HR needs to investigate these new trends in performance management, and then begin to implement new methods to keep improving performance results.

Discussion Questions

Research and identify three large organizations that are moving away from the annual performance review system, then discuss what they are using to replace it.

Monitoring Performance Matters

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Curious corporate businesswoman skeptically meeting looking at small employee standing on table through magnifying glass isolated grey office wall background. Human face expression attitude perception
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Through the course of our Human Resources studies, we have learned that effective performance appraisal systems for employees depend on continuous feedback and constant monitoring. Good performance management on the part of the employer includes a process of employee engagement and should not be viewed as a singular, one-time only performance appraisal event.

High quality performance management systems, therefore,  require a very high level of commitment and involvement on the part of the employer. This can be difficult to implement, especially in a large workforce where employees are spread across all levels of the physical work-space. Most employers simply do not have the time or the resources that allow for such intense day-to-day performance management methods.

This is where technology can step in to provide much needed support. Humanyze, a U.S. based technology provider, has developed wearable technology that tracks employee speech levels, tone of voice and body movements. While seemingly intrusive, if implemented properly these devices allow for immediate feedback to employees about their own behavioural patterns. This type of self-monitoring may have an impact on performance levels, without the need for constant intervention on the part of an individual manager.

Click here to read an article on wearable technology.

Click here to read how wearable technology is linked to monitoring employee performance.

As noted in the second article, these devices allow for data analysis based on patterns of employee behaviours. The data analysis can be used to promote constructive changes in the workplace that create opportunities for increased performance resulting in increased productivity and reduced levels of stress.

All of these have a direct impact on the organization’s bottom line and, as we know, the better the bottom-line – the better the rewards for the organization’s humans.

Discussion Questions:

  1. From a Human Resources perspective, what benefits do wearable technology bring to support constructive performance management practices?
  2. What are the negative implications of wearable technology in the workplace?
  3. Would you be comfortable wearing monitoring technology in your current workplace?