So many things can and will be said about performance management, yet at the end of day, performance management is a piece, a key piece, yet nonetheless a part of the overall linkage to full business performance management. You cannot have one, successfully or otherwise, without the other, and therefore you must be able to succinctly be able to define what you are looking for, strategy, and how to get there, – activities/tasks. Without this, and without everyone measuring what they do against the same core things, then what and how can you likely obtain results that are realistic and sustainable.
Your business operates to be successful, whether you are not for profit, for profit, private, public, domestic or international, the end goal for any business is results. Obtaining these results is what matters.
So the next big question(s) pertaining to obtaining these results:
- How many of you have Performance Management Systems in your company?
- Likely most will answer yes.
- How many of you can tell us exactly what your Performance Management Systems are tied to and if everyone is being evaluated based and against the same things – the business strategies?
- The likely answer is few to none.
- This is because most performance management systems are created to only evaluate the individual performance against “some” goals, yet not for evaluation and execution of the business strategies.
- Which means, how can you possibly evaluate performance if you are not evaluating against what the business is defined to do…the strategies and vision…and how can you be objective in this evaluation and course correct quickly and in real time.
- Again, the likely answer is you cannot! The reason is that these systems are designed to be legacy work or lagging indicators and thus subjective.
- Who performs theses strategies is the key question?
- One of the 3 strategic resources that is key and paramount to any organization regardless of size and/or industry. So therefore, people do the execution of such strategies.
- Performance is evaluated based upon the activities and tasks that are done, based upon the plan (the strategies) and how well or not they are accomplished. Performance is critical and absolutely key to move the organization to effective, results driven execution.
- How is that really done?
- The activities are developed by the people that do the work, the employees, and defined off the strategies and vision of the business., otherwise, you are creating and most likely working within business silos.
- Leadership then has a standard toolset, which everyone works together with and on, and evaluates in real time the performance individually, departmentally and organizationally, thus allowing motivation to be given equally as individuals and managers to manage. Interpersonal skills with dedicated efforts, behaviors and attitudes make it all possible.
- Understanding this in real time and evaluating continually allows for results and eliminates much of the subjectivity.
To truly have an effective, results oriented Performance Management system, based around effective Execution, the business must establish a common Vision and Strategies that everyone works from and towards. Once this is done, establishing the activities/tasks that are done by individual contributors becomes a company focus and who knows best what is actually occurring other than the people doing it! This now brings the strategic planning process to the business, which then brings full business performance management, of which individual performance management is a subset, into reality and results!
A performance strategy is useless until it involves an effective allocation of available resources – people, processes and finances – and establishment of who does what by when, or in other words, measuring and managing to the same and equal things to run and provide full business performance management.
So truly the big question to ask of yourself, the business and the people, consistently and consciously, is do we have a clearly defined set of top business strategies that everyone knows?
- If the answer is no, or unsure, then you must ask yourselves what are you measuring and managing against, and how can you possibly get to results if this is unknown?
Can you and your business clearly articulate, define and everyone in the business do the same – what is our business performance management process and individual performance management process and we are measuring and managing against?
I guarantee that you will be surprised what the answers reveal! Let us know…