People Innovation Excellence

Why performance management is alive and well

Why performance management is alive and well

Because performance management plays such a key rote, many companies, including GE, Microsoft, Google, Yahoo!, Adobe, and Accenture, are going through a similar process of transitioning from a performance appraisal to a performance management system. In other words, they are moving away from a dreaded once-a-year review to ongoing evaluation and feedback.

Contrary to a trend described in the media with such headlines as “Performance Evaluation is Dead” and “The End of Performance Reviews,” the evaluation of performance is not going away. In fact, performance assessment and review are becoming a normal, routine, built-in, and ever-present aspect of work in all types of organizations.

It is not the case that companies are abandoning ratings and performance measurement and evaluation. They are actually implementing performance systems more clearly aligned with best practices, as described in this book, that involve and ongoing evaluation of and conversation about performance.

Many companies are getting rid of the labels “performance evaluation,” “performance review,” and even “performance management.” Instead, they use labels such as “performance achievement,” “talent evaluation and advancement,” “check-ins,” and “employee development.” But they still implement performance management, but use new, more fashionable, and perhaps less threatening labels.

Everyone does performance management one way or another. Results of a survey of about 1,000 HR professionals in Australia showed that 96 percent of companies implement some type of performance management system. And, results of a survey of 278 organizations, about two-thirds of which are multinational corporations from 15 different countries, showed that about 91 percent of organizations implement a formal performance management system.

 

Source:

Performance Management for Dummies

By Herman Aguinis, PhD

2019, John Wiley & Sons, Inc., Hoboken, New Jersey


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