Tracking performance in a changing environment
As organisations develop into more agile environments, employees are working not only for their direct line manager, but several project managers. Constant feedback to and from all these different stakeholders is crucial and performance methodologies and systems must be able to capture this input.
Coupled with the growth in less hierarchical structures, business strategies and objectives are changing rapidly. Organisations are often hard pressed to keep individual targets aligned with overall strategy and with the in-built flexibility to change according to new priorities.
An effective performance management system facilitates feedback, promotes employee engagement and gives leadership a view of the needed skills in the workforce, now and in the future.
The PwC Workforce survey tells us that employees want feedback and value learning and development. Staff appraisals and feedback sessions facilitate these discussions. They increase engagement and retention, vital in the war for talent.
Feedback sessions offer the chance to get to know your employees better. You’ll find out their preferences and what motivates them, all valuable information to keep your workforce engaged.
And finally, who doesn’t want to be praised for a job well done? Job satisfaction isn’t only about the total reward, it’s about total recognition.
Managers use performance management as a tool to have a view on which competencies are in the team and which are lacking. Personal development plans and career planning can be put in place to close the gap. Succession planning can be optimised.
Together with their team, managers can set realistic targets, taking into account team and individual goals, with the aim to motivate employees and encourage teamwork. This is essential in agile environments.
Managers have an extra challenge with the hybrid way of working. A well-designed performance management methodology and process will ease their job.
As an organisation you want to see your company goals and strategy translated into individual and team goals throughout the organisation. With a good performance system and process in place this is possible.You’ll also have a view on the performance of teams and individuals enabling you to take the appropriate actions.
How can PwC help with your performance management?
Before jumping to conclusions, we take a look at the specific challenges you’re facing. Based on this analysis, we can help you with
(re-)designing your performance management system
linking your performance system to other processes and systems, such as rewards, strategic workforce planning, employee engagement and retention, training and development
embedding your performance management system in the organisation through a thorough change and communication management programme.
