Evaluating staff

For a business to achieve its goals, it needs to have a process that measures the contribution and performance of each individual against those goals.

How it works

The way in which tasks are done is becoming as important as what tasks are done, as organizations recognize the importance of creating the right culture to enable workers’ performance. For any company, effective evaluation of the performance of employees should be strategic and is aimed at ensuring the maximum productivity of individuals, teams, and the organization as a whole.

Traditional performance management cycle

Performance management is an ongoing, continuous process. Some companies are now moving away from traditional performance management to “crowdsourcing” as a way for managers to collect, evaluate, and share information on employee performance.

Individual goals Set personal goals to align with business strategy

• ❯ Business goals drive tasks and activity.
• ❯ Culture enables teams and individuals to deliver.
• ❯ HR policies give clear benchmarks.

Discussion Ongoing communication on standards of work and behavior to improve working relationships

Coaching Feedback on performance to help individuals work efficiently

Appraisal Formal feedback from the line manager, with an opportunity for individuals to contribute

Rewards Promotions and pay raises in line with
performance

A WIN-WIN SITUATION

Evaluating performance is good for both the business and the individual.

Business

• ❯ Aligns individual goals with company goals.
• ❯ Offers consistent approach, with benchmarks.
• ❯ Continuously enables improvement.
• ❯ Fosters the right behaviors and relationships.

Individual

• ❯ Understands what is expected of them.
• ❯ Has the skills to deliver on these expectations.
• ❯ Is supported to fill any gaps in capability.
• ❯ Is given feedback and allowed to discuss goals.

NEED TO KNOW

❯ Balanced scorecard Framework to measure performance against strategic goals, devised by Kaplan and Norton

❯ Competencies Defined behaviors and attributes that individuals must have to perform effectively at work

❯ Performance appraisal Process via which individual employee and their manager can discuss performance and development