At BetterWorks, we believe that it is important to never stop learning and to always surround ourselves with others who challenge our thinking, especially as we rethink performance management.
Josh Bersin, Principal and Founder of Bersin by Deloitte, joined us for lunch and we had to pass on the knowledge he shared.
#1: Creating a Feedback Culture is a Journey
We can all agree that change is sometimes difficult and uncomfortable, but with the right tools in place, a plan to execute and discipline to meet your goals- change is made easier. But your whole company–from top company leaders to the newest onboarded employee–must embrace the feedback mindset. Creating a feedback culture is a journey. So what’s the end result? An increase in employee engagement and satisfaction. But you have to be “all in” on the journey to experience the change.
#2: We’re not ready to abandon ratings
Despite many organizations abandoning the traditional ratings process, Bersin believes that ditching ratings should not be the goal. Instead, consider taking a different approach to ratings. The one-time, end of the year evaluation is not cutting it for employees and managers alike. Josh explained how this type of feedback runs the risk of being largely based on politics instead of the employee’s work ethic and accomplishments. Number rating systems for performance reviews are not sufficient. The solution? Data-driven performance reviews.
#3: Competitive Assessment vs. Coaching Development
If you are not developing yourself as a company, you are going out of business fast. This is why coaching and personal development are vital to the internal and external success of your company. Leaders must teach managers how to give feedback in a positive way and how to have developmental conversations with their employees. Do not be discouraged if this does not happen overnight. Like Bersin reminded us, creating a feedback culture is a journey.
#4: CEOs: It Begins With You
When embarking on a company change, the CEO or senior leadership must sign off on the implementation of continuous performance management. This will change how the organization works from the top down. The change in mindset and action must first be modeled by company leadership. This will have a rippling effect on each employee that will begin the shift in your feedback culture.
#5: The Market is Always-Changing
To be successful in today’s market, companies have to continually stay ahead of the curve. Customers want a vendor who knows where their industry is headed. The longevity and well-being of your internal team will have a direct impact on the longevity and well-being of your business success. Just as the market is ever-changing, our performance management must be evolving just as fast.
Here at BetterWorks, we are excited to see how Bersin’s advice will continue to impact companies now and in the future. We’re working everyday to put his advice to use!