07 Dec Have You Joined the Corporate Performance Management System Revolution?
Recently, Harvard Business Review released an article detailing the ways in which corporate performance management systems have changed over the last few decades. Specifically, the article highlights how the formal and often dreaded approaches to performance management of the past – numerical systems and the infamous rank-and-yank tactic popularized by GE’s Jack Welch – are being replaced by continuous developmental feedback.
So, the question is: are you still using an outdated performance management strategy?
If so, it’s time to make a change. Here’s why:
- To Develop Your Workforce: Using performance management software to connect managers and their associates is a great way to facilitate strengths-based coaching and find out which development opportunities employees seek. Plus, developing your existing team is just a smart business practice overall: it’s easier and more cost-efficient to promote from within, associates seek and thrive development opportunities, and the organization is able to facilitate a culture of high performance through managers who capitalize on their employees’ strengths.
- To Encourage Collaboration: Whereas the numerical and formal yearly appraisal focused primarily on the individual, today’s feedback-oriented, agile model of performance management aims to see how departments and teams are working together to meet collective goals. While there’s still room for individual goals achievement (and high performers should still be recognized appropriately), the new wave of performance management thwarts unhealthy competition instead of breeding it. Companies like Gap have witnessed tremendous success in terms of collaboration after switching strategies.
- To Meet the Needs of a Changing Business Landscape: More and more associates are working remotely. By 2020, more than 40% of the workforce will consist of temp workers, contractors, and freelancers, according to Business Insider. To manage remote teams, employers need solutions that will help them exchange feedback regularly – not just once a year. Agile performance software can help managers and associates communicate goals clearly, track progress, and stay engaged throughout the entire year.
HRsoft is a leading provider of strategic talent management software that improves manager effectiveness and business results. Our full suite of cloud-based HR software solutions includes applicant tracking software, compensation planning software, total rewards software, stay interview software, performance management software, and content management software. To learn more about our Performance Management Software, PERFORMview, click the button below!