SlideShare uma empresa Scribd logo
1 de 6
Baixar para ler offline
W ulti09
The Future of Performance Management 
It’s time to completely transform your employee review process. Why? Experts agree1 that the traditional annual employee review is holding business performance back. You know the drill: that time of year rolls around, and a stress-filled meeting is set on the calendar, dreaded by both manager and employee. These annual sessions place an enormous burden on managers to squeeze 365 days' worth of feedback into an hour at a conference table, and can be a source of negative anxiety for those being reviewed. 
The solution is not to eliminate the employee review process completely. Instead, you can transform the employee review from a reviled once-a-year event into a critical, ongoing opportunity for feedback and career progression. 
The review process is best viewed as a continuous, collaborative effort between managers and their teams. Rather than saving up every comment about an employee's performance for a single meeting, managers should offer this feedback to their employees on a regular basis, regardless of what time of year it is. This could be as simple as a quick, informal comment in the hallway about a recent task or as sophisticated as logging a career milestone in an online performance management tool, to be accessed by employees at any time. This kind of ongoing stream of feedback holds extreme value to employees, especially younger, millennial hires who thrive in response to continuous reinforcement in the office. In contrast, if certain feedback is glossed over or left out of a traditional annual review, there can be potentially serious consequences with regard to long-term employee performance. Essentially, there is very little risk of a manager communicating too much to an employee, but very high risk associated with communicating too little. 
By following these six simple steps and taking advantage of the right tools, you can perfect employee performance management at your organization. 
Align Performance Objectives with Business Strategy 
Overall business strategy for a company has long been considered to be completely separate from individual employee performance management. But your C-level executives, managers and employees will all benefit from unifying these concepts. 
1“Denver experts present alternatives to traditional employee reviews.” Denver Business Journal. 
http://www.bizjournals.com/denver/print-edition/2012/03/02/denver-experts-present-alternatives- to.html?page=all
Establish employee performance milestones that advance your organization's overarching business goals. Managers can communicate these milestones clearly to employees and illustrate how they tie into their top- level corporate strategy. That way, any time one of these milestones is achieved by any given employee, it will also be an accomplishment for your organization at large. Rather than having no stake in an organization's business strategy, employees will see that any individual advancement in job performance will be directly tied to strategic advancement for the entire company. 
Keep All Performance Reviews Online 
By taking advantage of a unified human capital management system, every employee performance review and instance of formal feedback from a manager can be permanently stored in the cloud. What this means is that employees can view their individual career progress anytime, from anywhere. 
A far cry from the highly stressful but easily forgotten annual review, online access provides both a simple way for employees to see a live assessment of their performance, as well as a permanent record of their progress over time. Today’s industry-leading solutions also support mobile access. Enabling employees to access their goals and a history of their career progression from anywhere supports performance management as a continuous and collaborative experience. Access to this technology from employees’ preferred mobile devices also helps build engagement and motivation to succeed. 
Set Measurable Goals and Objectives Year-Round 
We've already acknowledged that a "yearly checkup" is antiquated in terms of gauging employee performance and providing feedback. Instead, managers should provide feedback in smaller, more digestible chunks throughout the entire year. This ensures that no critical feedback is skipped by the manager, and that the information is more likely to be retained by the employee. 
Feedback needs to be continuous, clear, and frequent—especially for the growing pool of millennial employees who perform best when communicating and collaborating openly and often. Management can create a “blueprint for success” that employees can folllow, with structured project goals that reflect performance milestones. Thus performance management
can be perceived not as a flurry of critcism aimed at an individual, but as a check-up on the “status of the project.” 
Ideally, managers can gather multi-contributor feedback to paint a complete picture of an employee's performance. Performance information from peers can be just as valuable as a manager's impressions. With performance management as part of a unifed HCM solution, this is easy for your team 
members to engage in using the same online system of record as your managers. 
Create a Pay-for-Performance Environment 
Fostering consistently outstanding performance is a combination of finding the right career and cultural fit for employees and providing incentive to grow. The traditional annual review process is ineffective with regard to the latter, because many employees consider the ultimate outcome of these reviews to be an automatic pay raise for satisfactory performance. This creates a twofold problem, where employees may experience intense anxiety leading up to their review, but only pay close attention to the last few minutes of it, when the pay increase is mentioned (or omitted). 
Instead, try to inexorably link the performance review process to compensation. Consider merit-based increases rather than or in addition to automatic scheduled raises. Make sure that your employees understand that their performance year-round is a critical factor in determining compensation, and that the feedback they receive from managers is the best indicator of their potential for receiving an increase. Using a unified HCM solution, managers can enact approved pay increases seamlessly at any point throughout the year, using the same gateway through which they can leave performance feedback. 
Analyze Performance Management Data and Trends 
Making changes to the methodology of the employee review is just the beginning when it comes to perfecting performance management at your organization. To take it to the next level, you want to employ cutting-edge reporting and analytics to back up your assessment of your workforce's performance. From comparing retention metrics across different teams to getting a more accurate picture of employees that have held multiple positions over the course of years, comprehensive business intelligence tools put a wealth of performance data at your fingertips.
This kind of analysis can enable your business to set a performance baseline to be applied to every new hire, or tailored to fit the needs of unique teams and positions. Track long-term trends, empowering your organization to adjust proactively at any point during the year to reflect the most up-to-date feedback and consistently enhance performance. 
Manage Everything in One Place 
The antiquated annual employee review process often goes hand-in-hand with unwieldy tracking and storage solutions that involve multiple sources of data, manually updated spreadsheets and even completely separate providers for different tasks. The more convoluted the system becomes, the less likely it is for the necessary feedback to have a positive impact on employee performance. 
In transforming your organization's performance management, embrace a solution that provides the full array of tools a manager needs to track and review every aspect of an employee's performance, while making this information accessible to your employees at any time in the cloud. Comprehensive HCM can deliver this functionality alongside all areas of business that relate to performance management, including budgeting, career development, trend forecasting, and more. A best-in-class, cloud- based solution will provide all of this in one single system of record, accessible online at any time and even on the go. To truly future-proof your performance management, adopting unified HCM is the first step.
2013 Ultimate Software Group, Inc. All rights reserved. 
The information contained in this document is proprietary and confidential to The Ultimate Software Group, Inc. 
No part of this document may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying and recording, for any purpose without the express written permission of The Ultimate Software Group, Inc. No part of this document may be extracted and/or used out of the context of the full published document for any reason. 
This document is for informational purposes only and is subject to change without notice. Ultimate Software makes no warranties, express or implied, with respect to this document or any statements contained therein and specifically disclaims any warranties including but not limited to those for a particular purpose. 
This document contains or may contain statements of future direction concerning possible functionality for Ultimate Software’s products and technology. Ultimate Software disclaims any express or implied commitment to deliver functionality or software unless or until actual shipment of the functionality or software occurs. 
UltiPro is a registered trademark of The Ultimate Software Group, Inc. All other trademarks referenced are the property of their respective owners. 
April 2013 
2000 Ultimate Way 
Weston, FL 33326 
1 800-432-1729 
www.ultimatesoftware.com 
ultiproinfo@ultimatesoftware.com

Mais conteúdo relacionado

Mais procurados

Implementing Balanced Scorecard In Organization PowerPoint Presentation Slides
Implementing Balanced Scorecard In Organization PowerPoint Presentation SlidesImplementing Balanced Scorecard In Organization PowerPoint Presentation Slides
Implementing Balanced Scorecard In Organization PowerPoint Presentation SlidesSlideTeam
 
My singlepoint - Strategy Execution Suite
My singlepoint - Strategy Execution SuiteMy singlepoint - Strategy Execution Suite
My singlepoint - Strategy Execution SuitePHILIPPE CORNETTE
 
Key Highlights PowerPoint Presentation Slides
Key Highlights PowerPoint Presentation Slides Key Highlights PowerPoint Presentation Slides
Key Highlights PowerPoint Presentation Slides SlideTeam
 
Assess the Maturity of an Organization to Realize Process Improvement Success
Assess the Maturity of an Organization to Realize Process Improvement SuccessAssess the Maturity of an Organization to Realize Process Improvement Success
Assess the Maturity of an Organization to Realize Process Improvement Successunevendock6891
 
How Can Better Collaboration Between HR and Finance Help High -Bandwidth Opt...
How Can Better Collaboration Between HR and Finance  Help High -Bandwidth Opt...How Can Better Collaboration Between HR and Finance  Help High -Bandwidth Opt...
How Can Better Collaboration Between HR and Finance Help High -Bandwidth Opt...Bhupesh Chaurasia
 
Huron Consulting — 2018 Salesforce Roadmap
Huron Consulting — 2018 Salesforce RoadmapHuron Consulting — 2018 Salesforce Roadmap
Huron Consulting — 2018 Salesforce RoadmapAmi Reese
 
Technique To Prioritize Key Tasks In Agile Process Powerpoint Presentation Sl...
Technique To Prioritize Key Tasks In Agile Process Powerpoint Presentation Sl...Technique To Prioritize Key Tasks In Agile Process Powerpoint Presentation Sl...
Technique To Prioritize Key Tasks In Agile Process Powerpoint Presentation Sl...SlideTeam
 
Zero defect programme
Zero defect programmeZero defect programme
Zero defect programmevandana369
 
Performance Evaluation PowerPoint Presentation Slides
Performance Evaluation PowerPoint Presentation Slides Performance Evaluation PowerPoint Presentation Slides
Performance Evaluation PowerPoint Presentation Slides SlideTeam
 
Increasing the probability of project success using Earned Value Management
Increasing the probability of project success using Earned Value ManagementIncreasing the probability of project success using Earned Value Management
Increasing the probability of project success using Earned Value ManagementGlen Alleman
 
Best Practices for Scenario Planning and Remote Financial Close
Best Practices for Scenario Planning and Remote Financial CloseBest Practices for Scenario Planning and Remote Financial Close
Best Practices for Scenario Planning and Remote Financial CloseWorkday, Inc.
 
Operational Excellence PowerPoint Presentation Slides
Operational Excellence PowerPoint Presentation SlidesOperational Excellence PowerPoint Presentation Slides
Operational Excellence PowerPoint Presentation SlidesSlideTeam
 

Mais procurados (20)

Implementing Balanced Scorecard In Organization PowerPoint Presentation Slides
Implementing Balanced Scorecard In Organization PowerPoint Presentation SlidesImplementing Balanced Scorecard In Organization PowerPoint Presentation Slides
Implementing Balanced Scorecard In Organization PowerPoint Presentation Slides
 
My singlepoint - Strategy Execution Suite
My singlepoint - Strategy Execution SuiteMy singlepoint - Strategy Execution Suite
My singlepoint - Strategy Execution Suite
 
PRESTO Continuous Improvement
PRESTO Continuous ImprovementPRESTO Continuous Improvement
PRESTO Continuous Improvement
 
Key Highlights PowerPoint Presentation Slides
Key Highlights PowerPoint Presentation Slides Key Highlights PowerPoint Presentation Slides
Key Highlights PowerPoint Presentation Slides
 
PRESTO Quality Control - Audits made easy
PRESTO Quality Control - Audits made easyPRESTO Quality Control - Audits made easy
PRESTO Quality Control - Audits made easy
 
Assess the Maturity of an Organization to Realize Process Improvement Success
Assess the Maturity of an Organization to Realize Process Improvement SuccessAssess the Maturity of an Organization to Realize Process Improvement Success
Assess the Maturity of an Organization to Realize Process Improvement Success
 
PRESTO KPI installation checklists
PRESTO KPI installation checklistsPRESTO KPI installation checklists
PRESTO KPI installation checklists
 
How Can Better Collaboration Between HR and Finance Help High -Bandwidth Opt...
How Can Better Collaboration Between HR and Finance  Help High -Bandwidth Opt...How Can Better Collaboration Between HR and Finance  Help High -Bandwidth Opt...
How Can Better Collaboration Between HR and Finance Help High -Bandwidth Opt...
 
Huron Consulting — 2018 Salesforce Roadmap
Huron Consulting — 2018 Salesforce RoadmapHuron Consulting — 2018 Salesforce Roadmap
Huron Consulting — 2018 Salesforce Roadmap
 
Technique To Prioritize Key Tasks In Agile Process Powerpoint Presentation Sl...
Technique To Prioritize Key Tasks In Agile Process Powerpoint Presentation Sl...Technique To Prioritize Key Tasks In Agile Process Powerpoint Presentation Sl...
Technique To Prioritize Key Tasks In Agile Process Powerpoint Presentation Sl...
 
Zero defect programme
Zero defect programmeZero defect programme
Zero defect programme
 
KPIs and Dashboards
KPIs and DashboardsKPIs and Dashboards
KPIs and Dashboards
 
Performance Evaluation PowerPoint Presentation Slides
Performance Evaluation PowerPoint Presentation Slides Performance Evaluation PowerPoint Presentation Slides
Performance Evaluation PowerPoint Presentation Slides
 
Increasing the probability of project success using Earned Value Management
Increasing the probability of project success using Earned Value ManagementIncreasing the probability of project success using Earned Value Management
Increasing the probability of project success using Earned Value Management
 
Operational-Excellence
Operational-ExcellenceOperational-Excellence
Operational-Excellence
 
Best Practices for Scenario Planning and Remote Financial Close
Best Practices for Scenario Planning and Remote Financial CloseBest Practices for Scenario Planning and Remote Financial Close
Best Practices for Scenario Planning and Remote Financial Close
 
ePeoplePower
ePeoplePowerePeoplePower
ePeoplePower
 
Epeoplepower Pms
Epeoplepower PmsEpeoplepower Pms
Epeoplepower Pms
 
PRESTO Audit
PRESTO AuditPRESTO Audit
PRESTO Audit
 
Operational Excellence PowerPoint Presentation Slides
Operational Excellence PowerPoint Presentation SlidesOperational Excellence PowerPoint Presentation Slides
Operational Excellence PowerPoint Presentation Slides
 

Destaque

InfóRmatica
InfóRmaticaInfóRmatica
InfóRmaticamarveen
 
Verdezoto ana presentación_estructura_internet
Verdezoto ana presentación_estructura_internetVerdezoto ana presentación_estructura_internet
Verdezoto ana presentación_estructura_internetAnita V M
 
Medios de comunicación.-
Medios de comunicación.-Medios de comunicación.-
Medios de comunicación.-EstebanLomba
 
Прості чергування 7-12
Прості чергування 7-12Прості чергування 7-12
Прості чергування 7-12DIR Academy
 
Presentación 2
Presentación 2Presentación 2
Presentación 2GemaVJ
 
Campaña%20vibra%20cedeagro%20(1)[1]
Campaña%20vibra%20cedeagro%20(1)[1]Campaña%20vibra%20cedeagro%20(1)[1]
Campaña%20vibra%20cedeagro%20(1)[1]sarahinabe
 
Taller 4 html aplicaciones web
Taller 4 html aplicaciones webTaller 4 html aplicaciones web
Taller 4 html aplicaciones webEdward Farfan
 
Montaje y calculo
Montaje y calculoMontaje y calculo
Montaje y calculoHijole
 
Cuadro blogg
Cuadro bloggCuadro blogg
Cuadro bloggjanesgu46
 
Forges
ForgesForges
ForgesNeo22
 
Actividad final
Actividad finalActividad final
Actividad finalTefa Hoyos
 

Destaque (20)

InfóRmatica
InfóRmaticaInfóRmatica
InfóRmatica
 
Verdezoto ana presentación_estructura_internet
Verdezoto ana presentación_estructura_internetVerdezoto ana presentación_estructura_internet
Verdezoto ana presentación_estructura_internet
 
Medios de comunicación.-
Medios de comunicación.-Medios de comunicación.-
Medios de comunicación.-
 
Прості чергування 7-12
Прості чергування 7-12Прості чергування 7-12
Прості чергування 7-12
 
Investigación de lab fisica
Investigación de lab fisicaInvestigación de lab fisica
Investigación de lab fisica
 
Presentación 2
Presentación 2Presentación 2
Presentación 2
 
Campaña%20vibra%20cedeagro%20(1)[1]
Campaña%20vibra%20cedeagro%20(1)[1]Campaña%20vibra%20cedeagro%20(1)[1]
Campaña%20vibra%20cedeagro%20(1)[1]
 
My artwork
My artworkMy artwork
My artwork
 
Taller 4 html aplicaciones web
Taller 4 html aplicaciones webTaller 4 html aplicaciones web
Taller 4 html aplicaciones web
 
Montaje y calculo
Montaje y calculoMontaje y calculo
Montaje y calculo
 
Terminos Interactivos
Terminos Interactivos Terminos Interactivos
Terminos Interactivos
 
Maria camila
Maria camilaMaria camila
Maria camila
 
Fundamentals
FundamentalsFundamentals
Fundamentals
 
Presentacion guia 4
Presentacion guia 4Presentacion guia 4
Presentacion guia 4
 
Cuadro blogg
Cuadro bloggCuadro blogg
Cuadro blogg
 
Forges
ForgesForges
Forges
 
Graffiti 2
Graffiti 2Graffiti 2
Graffiti 2
 
Actividad final
Actividad finalActividad final
Actividad final
 
Presentacion
PresentacionPresentacion
Presentacion
 
Clase
ClaseClase
Clase
 

Semelhante a W ulti09

Employee performance appraisal
Employee performance appraisalEmployee performance appraisal
Employee performance appraisalpoppyclark68
 
How to performance appraisal
How to performance appraisalHow to performance appraisal
How to performance appraisalbenhouston803
 
Initiating a performance discussion
Initiating a performance discussionInitiating a performance discussion
Initiating a performance discussionVINOOT ULLEGADDI
 
Annual performance appraisal report
Annual performance appraisal reportAnnual performance appraisal report
Annual performance appraisal reportsaragreen243
 
Employee performance evaluation
Employee performance evaluationEmployee performance evaluation
Employee performance evaluationLinmary2010
 
Is your company still utilizing an annual performance review to measure and r...
Is your company still utilizing an annual performance review to measure and r...Is your company still utilizing an annual performance review to measure and r...
Is your company still utilizing an annual performance review to measure and r...VINOOT ULLEGADDI
 
Improve Service Quality Through Enterprise Feedback Management
Improve Service Quality Through Enterprise Feedback ManagementImprove Service Quality Through Enterprise Feedback Management
Improve Service Quality Through Enterprise Feedback ManagementSpectos GmbH
 
Special Report: The Secret to Increasing Workforce Performance through Great ...
Special Report: The Secret to Increasing Workforce Performance through Great ...Special Report: The Secret to Increasing Workforce Performance through Great ...
Special Report: The Secret to Increasing Workforce Performance through Great ...StaffCircle Ltd
 
Back Office Ebook
Back Office EbookBack Office Ebook
Back Office EbookLee Kayne
 
Time Tracking Software and Workplace Productivity
Time Tracking Software and Workplace ProductivityTime Tracking Software and Workplace Productivity
Time Tracking Software and Workplace ProductivityCeline George
 
Getting People to Talk : Creating a Culture of Continuous Performance Manage...
Getting People to Talk : Creating a Culture of  Continuous Performance Manage...Getting People to Talk : Creating a Culture of  Continuous Performance Manage...
Getting People to Talk : Creating a Culture of Continuous Performance Manage...Bhupesh Chaurasia
 
Performance appraisal software
Performance appraisal softwarePerformance appraisal software
Performance appraisal softwaresaragreen243
 
Your workforce is the enginethat drives your company for-war.docx
Your workforce is the enginethat drives your company for-war.docxYour workforce is the enginethat drives your company for-war.docx
Your workforce is the enginethat drives your company for-war.docxdanielfoster65629
 
Out of the box
Out of the boxOut of the box
Out of the boxAlsami1
 
Performance Management System
Performance Management SystemPerformance Management System
Performance Management SystemPeopleWorks IN
 
HR TRANSFORMATION: Delivery Roadmaps
HR TRANSFORMATION: Delivery Roadmaps HR TRANSFORMATION: Delivery Roadmaps
HR TRANSFORMATION: Delivery Roadmaps Bhupesh Chaurasia
 
Reinventing Performance Management: How to Measure Performance, Boost Employe...
Reinventing Performance Management: How to Measure Performance, Boost Employe...Reinventing Performance Management: How to Measure Performance, Boost Employe...
Reinventing Performance Management: How to Measure Performance, Boost Employe...Snag
 
Boosting Success_ Unveiling the Power of Employee Performance Management Soft...
Boosting Success_ Unveiling the Power of Employee Performance Management Soft...Boosting Success_ Unveiling the Power of Employee Performance Management Soft...
Boosting Success_ Unveiling the Power of Employee Performance Management Soft...RoshnaR5
 

Semelhante a W ulti09 (20)

Employee performance appraisal
Employee performance appraisalEmployee performance appraisal
Employee performance appraisal
 
How to performance appraisal
How to performance appraisalHow to performance appraisal
How to performance appraisal
 
Initiating a performance discussion
Initiating a performance discussionInitiating a performance discussion
Initiating a performance discussion
 
Annual performance appraisal report
Annual performance appraisal reportAnnual performance appraisal report
Annual performance appraisal report
 
Employee performance evaluation
Employee performance evaluationEmployee performance evaluation
Employee performance evaluation
 
Is your company still utilizing an annual performance review to measure and r...
Is your company still utilizing an annual performance review to measure and r...Is your company still utilizing an annual performance review to measure and r...
Is your company still utilizing an annual performance review to measure and r...
 
Improve Service Quality Through Enterprise Feedback Management
Improve Service Quality Through Enterprise Feedback ManagementImprove Service Quality Through Enterprise Feedback Management
Improve Service Quality Through Enterprise Feedback Management
 
Special Report: The Secret to Increasing Workforce Performance through Great ...
Special Report: The Secret to Increasing Workforce Performance through Great ...Special Report: The Secret to Increasing Workforce Performance through Great ...
Special Report: The Secret to Increasing Workforce Performance through Great ...
 
Back Office Ebook
Back Office EbookBack Office Ebook
Back Office Ebook
 
Time Tracking Software and Workplace Productivity
Time Tracking Software and Workplace ProductivityTime Tracking Software and Workplace Productivity
Time Tracking Software and Workplace Productivity
 
Getting People to Talk : Creating a Culture of Continuous Performance Manage...
Getting People to Talk : Creating a Culture of  Continuous Performance Manage...Getting People to Talk : Creating a Culture of  Continuous Performance Manage...
Getting People to Talk : Creating a Culture of Continuous Performance Manage...
 
Performance appraisal software
Performance appraisal softwarePerformance appraisal software
Performance appraisal software
 
Your workforce is the enginethat drives your company for-war.docx
Your workforce is the enginethat drives your company for-war.docxYour workforce is the enginethat drives your company for-war.docx
Your workforce is the enginethat drives your company for-war.docx
 
SAP and Change Management
SAP and Change ManagementSAP and Change Management
SAP and Change Management
 
Out of the box
Out of the boxOut of the box
Out of the box
 
Performance Management System
Performance Management SystemPerformance Management System
Performance Management System
 
HR TRANSFORMATION: Delivery Roadmaps
HR TRANSFORMATION: Delivery Roadmaps HR TRANSFORMATION: Delivery Roadmaps
HR TRANSFORMATION: Delivery Roadmaps
 
Reinventing Performance Management: How to Measure Performance, Boost Employe...
Reinventing Performance Management: How to Measure Performance, Boost Employe...Reinventing Performance Management: How to Measure Performance, Boost Employe...
Reinventing Performance Management: How to Measure Performance, Boost Employe...
 
8 150812201129-lva1-app6891 (2)
8 150812201129-lva1-app6891 (2)8 150812201129-lva1-app6891 (2)
8 150812201129-lva1-app6891 (2)
 
Boosting Success_ Unveiling the Power of Employee Performance Management Soft...
Boosting Success_ Unveiling the Power of Employee Performance Management Soft...Boosting Success_ Unveiling the Power of Employee Performance Management Soft...
Boosting Success_ Unveiling the Power of Employee Performance Management Soft...
 

W ulti09

  • 2. The Future of Performance Management It’s time to completely transform your employee review process. Why? Experts agree1 that the traditional annual employee review is holding business performance back. You know the drill: that time of year rolls around, and a stress-filled meeting is set on the calendar, dreaded by both manager and employee. These annual sessions place an enormous burden on managers to squeeze 365 days' worth of feedback into an hour at a conference table, and can be a source of negative anxiety for those being reviewed. The solution is not to eliminate the employee review process completely. Instead, you can transform the employee review from a reviled once-a-year event into a critical, ongoing opportunity for feedback and career progression. The review process is best viewed as a continuous, collaborative effort between managers and their teams. Rather than saving up every comment about an employee's performance for a single meeting, managers should offer this feedback to their employees on a regular basis, regardless of what time of year it is. This could be as simple as a quick, informal comment in the hallway about a recent task or as sophisticated as logging a career milestone in an online performance management tool, to be accessed by employees at any time. This kind of ongoing stream of feedback holds extreme value to employees, especially younger, millennial hires who thrive in response to continuous reinforcement in the office. In contrast, if certain feedback is glossed over or left out of a traditional annual review, there can be potentially serious consequences with regard to long-term employee performance. Essentially, there is very little risk of a manager communicating too much to an employee, but very high risk associated with communicating too little. By following these six simple steps and taking advantage of the right tools, you can perfect employee performance management at your organization. Align Performance Objectives with Business Strategy Overall business strategy for a company has long been considered to be completely separate from individual employee performance management. But your C-level executives, managers and employees will all benefit from unifying these concepts. 1“Denver experts present alternatives to traditional employee reviews.” Denver Business Journal. http://www.bizjournals.com/denver/print-edition/2012/03/02/denver-experts-present-alternatives- to.html?page=all
  • 3. Establish employee performance milestones that advance your organization's overarching business goals. Managers can communicate these milestones clearly to employees and illustrate how they tie into their top- level corporate strategy. That way, any time one of these milestones is achieved by any given employee, it will also be an accomplishment for your organization at large. Rather than having no stake in an organization's business strategy, employees will see that any individual advancement in job performance will be directly tied to strategic advancement for the entire company. Keep All Performance Reviews Online By taking advantage of a unified human capital management system, every employee performance review and instance of formal feedback from a manager can be permanently stored in the cloud. What this means is that employees can view their individual career progress anytime, from anywhere. A far cry from the highly stressful but easily forgotten annual review, online access provides both a simple way for employees to see a live assessment of their performance, as well as a permanent record of their progress over time. Today’s industry-leading solutions also support mobile access. Enabling employees to access their goals and a history of their career progression from anywhere supports performance management as a continuous and collaborative experience. Access to this technology from employees’ preferred mobile devices also helps build engagement and motivation to succeed. Set Measurable Goals and Objectives Year-Round We've already acknowledged that a "yearly checkup" is antiquated in terms of gauging employee performance and providing feedback. Instead, managers should provide feedback in smaller, more digestible chunks throughout the entire year. This ensures that no critical feedback is skipped by the manager, and that the information is more likely to be retained by the employee. Feedback needs to be continuous, clear, and frequent—especially for the growing pool of millennial employees who perform best when communicating and collaborating openly and often. Management can create a “blueprint for success” that employees can folllow, with structured project goals that reflect performance milestones. Thus performance management
  • 4. can be perceived not as a flurry of critcism aimed at an individual, but as a check-up on the “status of the project.” Ideally, managers can gather multi-contributor feedback to paint a complete picture of an employee's performance. Performance information from peers can be just as valuable as a manager's impressions. With performance management as part of a unifed HCM solution, this is easy for your team members to engage in using the same online system of record as your managers. Create a Pay-for-Performance Environment Fostering consistently outstanding performance is a combination of finding the right career and cultural fit for employees and providing incentive to grow. The traditional annual review process is ineffective with regard to the latter, because many employees consider the ultimate outcome of these reviews to be an automatic pay raise for satisfactory performance. This creates a twofold problem, where employees may experience intense anxiety leading up to their review, but only pay close attention to the last few minutes of it, when the pay increase is mentioned (or omitted). Instead, try to inexorably link the performance review process to compensation. Consider merit-based increases rather than or in addition to automatic scheduled raises. Make sure that your employees understand that their performance year-round is a critical factor in determining compensation, and that the feedback they receive from managers is the best indicator of their potential for receiving an increase. Using a unified HCM solution, managers can enact approved pay increases seamlessly at any point throughout the year, using the same gateway through which they can leave performance feedback. Analyze Performance Management Data and Trends Making changes to the methodology of the employee review is just the beginning when it comes to perfecting performance management at your organization. To take it to the next level, you want to employ cutting-edge reporting and analytics to back up your assessment of your workforce's performance. From comparing retention metrics across different teams to getting a more accurate picture of employees that have held multiple positions over the course of years, comprehensive business intelligence tools put a wealth of performance data at your fingertips.
  • 5. This kind of analysis can enable your business to set a performance baseline to be applied to every new hire, or tailored to fit the needs of unique teams and positions. Track long-term trends, empowering your organization to adjust proactively at any point during the year to reflect the most up-to-date feedback and consistently enhance performance. Manage Everything in One Place The antiquated annual employee review process often goes hand-in-hand with unwieldy tracking and storage solutions that involve multiple sources of data, manually updated spreadsheets and even completely separate providers for different tasks. The more convoluted the system becomes, the less likely it is for the necessary feedback to have a positive impact on employee performance. In transforming your organization's performance management, embrace a solution that provides the full array of tools a manager needs to track and review every aspect of an employee's performance, while making this information accessible to your employees at any time in the cloud. Comprehensive HCM can deliver this functionality alongside all areas of business that relate to performance management, including budgeting, career development, trend forecasting, and more. A best-in-class, cloud- based solution will provide all of this in one single system of record, accessible online at any time and even on the go. To truly future-proof your performance management, adopting unified HCM is the first step.
  • 6. 2013 Ultimate Software Group, Inc. All rights reserved. The information contained in this document is proprietary and confidential to The Ultimate Software Group, Inc. No part of this document may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopying and recording, for any purpose without the express written permission of The Ultimate Software Group, Inc. No part of this document may be extracted and/or used out of the context of the full published document for any reason. This document is for informational purposes only and is subject to change without notice. Ultimate Software makes no warranties, express or implied, with respect to this document or any statements contained therein and specifically disclaims any warranties including but not limited to those for a particular purpose. This document contains or may contain statements of future direction concerning possible functionality for Ultimate Software’s products and technology. Ultimate Software disclaims any express or implied commitment to deliver functionality or software unless or until actual shipment of the functionality or software occurs. UltiPro is a registered trademark of The Ultimate Software Group, Inc. All other trademarks referenced are the property of their respective owners. April 2013 2000 Ultimate Way Weston, FL 33326 1 800-432-1729 www.ultimatesoftware.com ultiproinfo@ultimatesoftware.com