In reality, we often overcomplicate what performance management is. Performance management is simply managing the performance of individuals, teams and the organisation. As organisations grow, a consistent approach to performance management becomes vital. Yet too often it becomes a formalised process rather than a way of doing this – a culture.
As you saw in the previous lesson, historically the process was driven by best intentions and the need to formalise. Managers that had not learnt the skills needed for effective performance management failed to address under performance, manage their team and have development conversations including giving praise when it was due.
Managers felt they needed a process or structure to follow to give them a methodology in their approach. Over time the method became too formal and was focused on pay and reward rather than actual performance. The lack of conversations around performance management throughout the year tends to mean appraisals become highly emotions and largely paper-based.
Most people will tell you they don’t like the traditional/formal approach to the performance management cycle yet continued doing so in fear they would end up working in an organisation of poor performance, conflict and chaos.
Reflection
When you think of performance management, what comes to mind?
When I have asked this question before, I normally get responses like:
Paper exercise – conflict – stress – waste of time – HR process – unfair – subjective
Currently, many top FTSE 100 companies are ditching the formalised annual performance objectives setting and review because they found them no longer helpful or fit for purpose.
It is important to remember:
YOUR PEOPLE ARE NOT MACHINES
If a machine isn’t working with optimal performance, a manager will find the cause of the issues and either repair or replace it so that high performance occurs again. Human’s do not operate like that.
People cannot simply be repaired or fixed.
The things that make people operate at their best performance happens from within. This is why we need to shift from process management to people management and managers need to learn the vital skills that help switch people on rather than turn them off.
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