Benefits Of Performance Management

If you’re looking to improve the turnover, productivity and morale of your organisation, performance management is an essential tool that should be well integrated within your business.

Essentially, performance management allows employers to better manage and monitor employees’ performance. As an example, performance management can be particularly beneficial to monitor a new employee through their probation period and beyond.

There are many different performance management programmes that can be easily be implemented by employers. You should consider all programmes before selecting the right ones for your employee(s). Types of performance management programmes include –

• Job Performance Outcomes – This type of programme focuses on the fact that each employee has their own individual role and outcomes that positively contribute towards the overall mission of the company. For example, if it’s a sales advisor within your team, setting out clear job performance outcomes that you expect them to meet is a good way to ensure that their performance is up to what you expect. KPI’s are Key Performance Indicators, so you can set KPI’s for different job roles. For example, making 50+ phone calls per day that achieve X% of a range of outcomes.
• Quarterly Meetings – Especially for relatively new employees that you have introduced into your organisation, it can be a good idea to arrange meetings every quarter to evaluate progress made so far, achievements, and to discuss anything else they may need to do their job to a higher standard. Quarterly meetings are also a great opportunity to review job performance outcomes and set new goals based on recent company progression. Don’t just relate these to new employees though, they can and should be used for everyone.
• Employee Development Plans – Sitting down with your employees and clearly outlining an employee development plan and job description review is essential. It may be time to focus on your work with your employees, to create a great atmosphere, agreeing and setting clear targets, which enable channels or processes for feedback and appraisals. On a more practical note it allows the employer to succession plan to ensure, in times of need, that all areas of the business are catered for.

Benefits Of Performance Management

Whatever type of performance management programmes you decide to go for, implementing performance management within your organisation can reap many benefits. Below are just 5 of the main benefits –

• Keeps Employees Engaged & Productive – one of the key benefits of performance management is the fact that it helps to keep employees engaged and productive. When employees have clearly defined goals and objectives to meet, it helps to keep them motivated and focused on the task at hand. It also helps to boost morale and leaves employees open for receiving more praise and further opportunities.
• Increases Employee Retention – It’s no secret that high employee turnover has a detrimental effect on organisations. The good news is that performance management programmes are proven to help increase employee retention and decrease employee turnover as a result. Performance management encourages regular interaction with employees and employers that helps to build better professional relationships over time.
• Encourages Accountability – Employees love responsibility and feeling like they are making a difference towards the company’s overall goal and mission. Performance management strategies hold each employee accountable and keep them on track with their clearly defined objectives and roles within that.
• Internal Promotions – As a result of fast progression and accountability, effective performance management programmes can lead to accelerating employee growth faster than anticipated. The benefit here for employers is that when you’re looking to expand your time or someone to fill a higher role, you can save time and money by going down the route of internal promotions.
• Highlights Training Gaps – When working with SMART goals, clear areas that need improvement will be identified. Therefore, as an employer, you can then close the gap and offer further training and additional courses wherever necessary.

Contact NORi HR & Employment Law

Our professional and qualified HR experts offer a bespoke range of HR packages that include implementing clear performance management strategies and performance monitoring. Our packages help your business to improve employee retention, increase turnover, and accelerate employee development.

For more information regarding the benefit of performance management, please get in touch with our professional team by calling us now on 01254 947829. Alternatively, use our contact form and we’ll get back to you as soon as possible.