Employee performance management is evolving. The ‘Great Resignation’ is having a significant impact on organizations, worldwide. Managing, developing, and inspiring employees through feedback and performance management is more important than ever.
In this post, we will look at some of the significant developments that we anticipate in 2022:
- Continuous Feedback & Check-Ins
According to the latest data, 95 percent of managers are dissatisfied with how their firms do performance evaluations, and over 90 percent of HR directors believe the process does not even provide reliable data. Dissatisfaction with once-a-year evaluations is caused by a variety of circumstances, including:
- Millennials & Gen Z – Millennials and Generation Z are currently the largest proportion of the modern workforce. These employees desire meaningful feedback and transparency, but very few millennials believe that they get it on a regular basis. Astoundingly more than half of the employees that belong to Generation Z, want several check-ins with their boss throughout the week! Employees of all generations desire continual feedback, but it is significantly more important for the younger generations, who want to constantly develop and improve. Annual assessments are simply insufficient.
- Evolving Organizational Structures – Many businesses no longer have hierarchical structures. Throughout the year, employees work in a variety of jobs, on a variety of teams/departments, with a variety of project supervisors. This makes remembering employees’ contributions at the end of the year incredibly difficult. We want agile, real-time performance management tools that correspond to the organizational team grid.
- Recency Bias – Recency bias is an unconscious bias in which a manager recalls just the most recent performance of an employee, ignoring the entire picture of the person’s performance since the last review. This has always been a problem: it is difficult to develop a realistic picture of employee performance when managers only evaluate staff once a year! In today’s fast-paced environment, managers’ ability to assist, monitor, and document their teams’ performance in real-time has never been more important.
- Impact of Hybrid Work
Teams of the future will be hybrid. Indeed, a significant number of employees desire to work from home at least one day every week, and many believe that working both in-office and remotely is the ideal approach. Organizations will continue to promote these strategies as employees want more flexible work alternatives.
There are fewer organic interactions with a hybrid approach or remote work; for example, supervisors cannot just draw employees aside after a team meeting for short comments as readily as before. In this hybrid and remote world, with everyone so busy and focused on completing their to-do lists, feedback and growth talks tend to take second place.
Organizations must implement standard processes and technologies to facilitate developmental dialogues and gather feedback in a consistent manner. It will be necessary to establish defined processes and apply well-integrated tools (such as Future Fit).
- Performance Data In All Aspects of Talent Management
Organizations can no longer reliably depend solely on their managers’ “gut feelings” to make critical talent selections. Performance data should be utilized for more than simply remuneration, promotion, and termination; it has the potential to unlock all elements of talent management. This is especially true if you decide to use solutions like Future Fit to combine numerous data sources.
For example, reskilling and upskilling are two talent management decisions on which firms may rely on performance data. Upskilling is the process of acquiring new skills or improving existing ones in order to adapt to changes in one’s present position, whereas reskilling is the process of learning new skills for a new role. Organizations may utilize performance data to understand each employee’s strengths and limitations and to ensure that they have the necessary training and tools to help them succeed.
Finally, it is important noting the significance of training new managers. Just because someone is an excellent individual contributor does not imply that they are capable of managing others. Managers and future leaders must be taught in delivering and receiving good feedback, as well as coaching and other critical abilities.
Are there any trends we missed? Let us know?
How can we help you perform better?