Performance management - control, alt or delete?

In the rapidly changing world of work we now face, how well does performance management stand up?

At our most recent forum we placed ‘Performance Management’ under the microscope as this which seems to be a really hot topic at the moment. Performance appraisal systems are among the most frequently criticised people management practices. They are often condemned for being a waste of time by managers, having little impact on performance levels and (where conducted poorly) of having a destructive impact on the relationship between managers and their subordinates. But most organisations still operate a system largely unchanged since the 1990’s.

Kindly hosted by RSSB at their fantastic new Helicon offices on Moorgate, together we explored the future for this most-maligned of topics whilst sharing and demonstrating some new alternative approaches.

With a fantastic ‘live simulation’ by our rehearsal facilitators Phil and Harri Mardlin, we bought to session together with an unexpected look into the reality of many performance conversations.

We then examined some new approaches, including Deloitte who are scraping their existing system and developing new ideas based on weekly check-ins and ‘performance snapshots’. The new system is re-focused on the simple need to ‘see, recognise and fuel performance’.

At Virgin Trains, the emphasis is on individual ownership, with the employee responsible for prompting and arranging the conversation. The process has been simplified with a focus on ‘achieving the basics’ - ie those essential elements to ensure great customer service - and sustainability. Key to the success of this new approach is the link to the new Brand Promise, making sure that everything covered is central to what makes the company tick.

We finished by gathering the questions and reflections being taken back to the workplace: included;

• What do we need to know about the ‘fundamentals’ of the organisation to make performance management work?
• How can we make it valued by the individual - particularly when dealing with 4 generational groups under one roof?
• What is the future of forced distributions/ranking and what is the alternative to support pay and reward decisions?
• Timing - do we need to completely transform the system now or should we consider something interim/transitional for the time being?

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