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November 30, 2008

Performance Management - Why Bother?

There is much talk in both the Human Resources (HR) and Technology (IT) press about Performance Management. These two seemingly disparate domains have found at least one commonality: the need to provide feedback to people at all levels in an organization.

Until recently, HR referred to this process as Performance Review or Performance Appraisal. Performance to IT was about computer and network functioning. HR made the switch to indicate more clearly that people needed to be managed and they wanted to know how they where doing at their job. What a concept! IT got on the bandwagon when automation of just about everything was becoming the vogue.

Now, there is a push from the HR side of the equation that is being met by web-based, Software-as-a-Service (SaaS) applications that promise fast, easy, "professional" reviews. Some of these IT organizations even provide the wording for a manager to use in writing review documents. Yuck! I'll say it my way, thank you very much!

Think about this: the two primary reasons to conduct goal driven, objective performance appraisals are 1, to be sure that the people are doing what they need to do to support the organization's vision, strategy and goals; and 2, to provide objective and subjective feedback to people about their performance on the job and support their professional and personal growth. A mutually beneficial process.

The sad fact is that even today, in our "enlightened" society, most small to mid-size organizations don't conduct appraisals of any kind. On the rare occassions that they do, it is usually a one-sided lecture by the manager without consideration of the employee's viewpoint, frequenty ending unhappily for both parties. It doesn't have to be this way. It only takes a system of clearly defined goals and performance expectations, agreed to up front by both the manager and the employee. When appraisal time comes around(we suggest at least twice a year, quarterly is better) there are no surprises.

More on how to get this done in our next issue.

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