Just 36 per cent of UK companies believe their Performance Management processes to be efficient, according to a study conducted by professional services company Towers Watson.
"These findings will not surprise many people," said Radha Chakraborty, Director at Towers Watson, "but they do highlight the important gaps that companies will need to address if the effectiveness and perceptions of performance management are to improve."
Efficient performance management = efficient performance
Dynamic performance management processes are essential for a company to achieve optimum levels of organisational performance. Ideally they should be should be both strategic and integrated, and must incorporate development, performance improvement and behaviour management.
At its core, performance management is about ensuring that each employee's performance contributes to the organisation's overall goals in the most efficient way possible. However, 45 per cent of those surveyed said that managers don't see the value in it and 53 per cent considered that they don't have the time to do performance management effectively.
Further, Towers Watson found that traditional – non-automated – performance management processes still dominate over three quarters of the organisations surveyed. When 87 per cent of companies surveyed report that performance management is their primary method for aligning individual performance objectives with strategic business priorities, this is cause for concern.
Radha Chakraborty continued: "Clearly, we have an opportunity to make a business impact by reshaping the delivery of performance management. How we do that must align to the culture, as well as the priorities, of the business."
Performance Management Training
The DeltaNet Performance Management suite provides the knowledge and steps to deliver high quality appraisals and get the most from team members through performance capability and objective setting. The eLearning courses are available on demand, so are there to support you in dealing with common performance management issues efficiently as they arise.