Annual performance review, in recent years is found to have come under tremendous scrutiny. For everyone involved, it can prove to be quite a painful task. Many consider it to be inaccurate and ineffective while 95% mangers seem to be dissatisfied with how performance reviews are conducted. Hence, many organizations have completely eliminated their annual reviews. But employee performance measurement is continued. Employee productivity is of paramount importance for all businesses. Hence, there is needed a tool using which it becomes easier to monitor each employee at the workplace.
Reasons to measure employee performance
- Assists in company growth and goal alignment: With properly set goals to achieve, employees will be able to perform much better. Employee performance evaluation can help calibrate such goals by offering better insight into someone performing well. It also indicates areas that need to be strengthened. Employees can also set their own goals based on business needs, self-reflection and performance feedback.
- Enables employee development and growth: Managers not measuring attentively and accurately employee performance are likely to lose touch with their employees’ failures and successes. Performance measurement minus performance development will not help improve performance and vice-versa. Hence to enable employees to grow in their role progressively and to enhance satisfaction, it is a must to provide constructive feedback about their performance.
- Know the employee to develop your culture: By connecting employee experience, performance data such as exit, onboarding and employee engagement data survey can offer better insights. Employee monitoring software shows what exactly makes the highest performing employee to be successful. If not done correctly, chances are good performing employees will leave the organization for better opportunity while the average ones will be encouraged.
- Understand better company performance: Knowing in-depth about employee performance can help predict overall company performance. Engaging employees with feedback and measuring their performance regularly can help you to know how they plan strategies and perform in their assigned tasks. The feedback combined with the tool can help improve the company’s bottom line, thereby making it a more productive and enjoyable place to work at.
- Develops fair recognition culture: The performance management process being a fair one can be stated to be crucial for things associated with employee role trajectories and compensation. The former includes terminations, internal role changes, stretch goals, promotions, etc. It also helps develop employee morale.
Following the 2021 trends and incorporating the new ones will allow your business to reap in the rewards.
