Ask HR: How can I develop a good performance management tool?
What you need to know:
- Consider the following questions: Do you have a clear link between individual performance targets and the organisations’ objectives?
- The question might appear trite, yet it is common to find individual goals that are only dimly aligned with an organisation’s priorities.
- It takes deliberate action to winnow out a few right performance goals from many good ones.
I am a HR manager of a local bank. How can I ensure that performance management is effective and that performance ratings for employees whose results are not based on numbers are objective?
Evaluating employee performance is a delicate exercise that requires careful consideration, especially where performance outputs do not obviously lend themselves to scientifically quantifiable metrics. Hence, devising an objective performance evaluation framework for an organisation requires embracing a perspective that blends both qualitative and quantitative approaches. It is instructive to note that even with respect to roles that have clear numerical performance metrics, qualitative parameters such as teamwork and adherence to organisational values can sway performance ratings.
Consider the following questions: Do you have a clear link between individual performance targets and the organisations’ objectives? The question might appear trite, yet it is common to find individual goals that are only dimly aligned with an organisation’s priorities. It takes deliberate action to winnow out a few right performance goals from many good ones.
Do you assess behavioural competencies? It is nearly impossible to sustainably succeed as an organisation without essential soft skills such as effective communication, and teamwork. A performance rating mechanism that excludes the behavioural dimension forfeits the contribution of soft skills in nurturing relationships that drive desired results. Poor relationships can remarkably undermine excellent results. Does your organisation conduct regular performance reviews or an annual, potentially tear-filled ritual that is widely dreaded by colleagues? Regular contact between employees and line managers can help to stem rude end-of-year surprises. Do you educate line managers on how to recognise and mitigate their own biases?
Does your performance management system accommodate self-assessment, line manager assessment and feedback from significant stakeholders including peers? A more panoramic view helps with tempering subjectivity in performance assessment. What about a mechanism of moderating performance ratings after line managers have assessed their teams? Done properly, this can weave greater objectivity into your performance management. The practical goal should be to effectively mitigate against, not eliminate, subjectivity in performance management. We’re human.
