KPI reporting can clearly communicate the progress of a company towards its performance goals. Not only the managers can access key results in an instant and transparent manner, but also make informed strategic decisions.
The growth and ultimate success of any company is determined by the consistency of results. These results can only be achieved if the team consistently meets the desired goals and targets. KPIs are the means of setting and measuring the success of these goals. In this post we will briefly take a look at what exactly KPIs are and why an organisation needs them.
Whether you are running a big organization with hundreds of employees, or a small company with just tens, employee performance is a critical component for the survival of your business. Although the methodology, approach, and complexity may differ from a company to another based on the internal culture, industry, size or other factors, the core of a successfully implemented performance management remains the same; technology.
Strategy teams and performance specialists are usually responsible for communicating performance measures to employees and making sure they are reporting their actual achievements on time, in order to generate accurate performance reports.
In my previous blog, I shed light on the importance of changing the terms of engagement between employee and employer. However, both parties might be naturally reluctant to this kind of drastic change, simply due to a fear of the unknown.
Most employment contracts still based on the number of hours that employees spend working. Pay and deductions are based on attendance, regardless of the employee’s productivity. For a vast number of jobs time-sheeting is not a measure of productivity, so why should employees who take longer to complete tasks be paid the same amount?
In my previous post [Link to Post], we talked about the importance of differentiating employees’ performance measures based on their importance, to produce more accurate scoring within your performance management system.
In a previous post on the 3 Myths About Performance Management, we discussed the Symmetry Myth, where performance specialists tend to measure everything equally because they see every single measure to be very important. Therefore, they evaluate all steps with the same effect on the employee’s performance score. In other words, all performance measures are given equal weights.