“Performance management” sounds wholly positive. After all, who can argue with better performance? And effective performance management (PM) programs can deliver significant, tangible benefits such as:
- 5% or more increase in time spent on strategic priorities
- 3% improvement in employee productivity
- 15% jump in project completion rates
- 13% or more decrease in turnover
Yet most PM programs never capture these rewards, and many collapse under their own administrative weight. Often too much time is spent on administration and compliance, with far too little time devoted to dialogue and development. The importance and necessity of real discussion, frequency, transparency, and employee involvement are only going to increase. Forty-one percent of the incoming Millennial workforce prefer to be recognized for their work at least monthly. What can be done to address these deficits, and capture the benefits possible with more effective programs?