From evaluation to valuation
It is better to focus on strengths and talents and ways to expand them, rather than to insist on improvements.
Trends in performance management
The end of the year is approaching steadily, a typical period for team leaders to start preparing and conducting performance reviews.
Objectives set the course, offer focus and indicate what a company wants to achieve in the short and long term. The recruitment agency Hudson shows in its study on ‘Trends in performance management’ that 40% of employees are indeed motivated by discussing their performance. The question is how do we conduct these performance talks in today’s office?
We see that in more than 8 out of 10 of companies, performance management is still limited to an annual evaluation review. This is remarkable, as the landscape for employees and companies is changing rapidly.
Discussing the professional development and career expectations of employees is definitely motivating for the performance, but there is a need for a shift in how to approach this. Too often managers only look backwards and focus on discussing the behavior of the employee over the year that is gone. They only look at the way tasks have been handled and performed in the past.
From functioning assessment to mutual appreciation
Traditional rating systems are often focused on identifying ways to improve performance. Hudson’s research study shows that this makes little sense. It is better to focus on strengths and talents and ways to expand them, rather than to insist on improvements. It takes time and effort to build such a corporate culture.
Performance management is all about:
- mutual conversation
- based on mutual appreciation
- mutual commitment
- mutual motivation
- perspectives for the future
Why is performance management important?
Having a common goal, knowing what you are working on, at individual and team level contributes to a greater involvement. This is a point of action where today many performance management systems can improve. There is still too much focus on the individual right now and there needs to be a shift from discussions to conversations. An ideal system shows how both an employee and a team contribute to the overall company objectives.
Everyone has strengths and talents. It is a shared responsibility to fortify strengths and develop talents. This approach makes people in any organisation more involved and happier, and above all, ready for the future.
marbl strives for development and well-being for everyone. We support every company that wants to introduce and anchor valuation discussions in their culture. We provide clients with new performance management tools to conduct these valuation discussions and to put them into practice in a sustainable manner.