Why should workers strive to help their teams succeed then their performance appraisals - and salary increases - focus on individual achievement? If your company uses team performance rather than individual performance, your appraisals must reflect those objectives.
Make sure to follow these pointers:
- Set both individual and team goals - Work with employees to get two sets of goals - one addressing individual performance issues and the other addressing team performance. For example, you may want employees to take the initiative in their individual duties rather than over relying on you for guidance. But when they're operating as part of a team, they need to work cooperatively with other team members rather than striking out on their own. Make clear that difference roles have different expectations and it's important for workers to adapt well to each situation.
- Link pay to team performance - How important is a given work team's activity to the overall performance of your department? Does it account for 20 or 50 percent of your workload? Determine what weight should be given to team activities, then rework pay and bonus structures to reflect those percentages. If 50% of an employee's time is spent acting as part of a work team, then 50% of the employee's compensation should be tied to the team's performance.
Showing posts with label Performance. Show all posts
Showing posts with label Performance. Show all posts
Tuesday, March 2, 2010
Friday, October 23, 2009
Do you have the right focus?
It seems like the HR professional must continue the fight for training and development since it does not appear that the CEO has realized the value of training to the company or organization.
Companies focus on profits, stock prices, and performance, but not on employees. How do we forget to see the value in our people, particularly our key employees, when it comes to celebrating our business outcomes? Studies have shown that companies that invest more heavily in training and development have been more successful in achieving their defined outcomes.
Many of the recent studies have concluded that a more engaged workforce provides enhanced performance and improved productivity. Companies with a more engaged workforce seldom have morale issues. “In the 21st century, our natural resource is our people – and their potential is untapped and vast. Skills will unlock that potential.” (Leitch Review, December 2006) Even with the economic climate of the past year or two, it has been demonstrated that training expenditures were a strong predictor of stock prices.
So where is the hidden agenda? Is any CEO really interested in the productivity and developing the potential of their people or is the real objective of only reducing cost associated with people including the people themselves. I have seen a decrease in revenue of less than 10%, yet the company has reduced its labor forces by almost 30%.
Training the management of any organization will certainly prove to make the organization more effective. People are looking for advancement and an opportunity to develop skills to assist with their upward mobility. They want feedback immediately from their supervisor and they want to work in an environment that supports their development. The social culture that is presented today by companies is very important to the millennial generation. Many believe that a budget for employee development indicates whether a company is in it for the long haul or not.
If we expect to retain our top producers in the management positions, we better make sure that they have the skills and competencies to work with four generations of workers. This ensures that knowledge is shared, cross-training is completed and the work is getting done in a timely fashion. We need to teach our management team that communication is the key to people success and that success can only be achieved if we develop people’s potential and focus on productivity and performance, and not just trying to reduce costs. Reducing training budgets can be detrimental.
We are fortunate that the economy has kept the Baby Boomers in the workforce but how long will that last? It looks like we will be left with an untrained workforce that doesn’t like to communicate with others. It sure sounds like it might not be the best time to be in a management position.
Come on Mr. CEO; listen to your People Developer. Investing in your management team will produce an improved bottom line. If you don’t believe that training and development can affect the bottom line, just look at how the reduction in their training budget prepared Wachovia for the merger with Wells Fargo. Their training budget was reduced by over 50% and their stock fell as much as 95% before the bank finally agreed to the merge. Helping people reach their potential, coupled with effective processes and procedures can certainly affect the effectiveness of the organization.
The time to train is now and please pass this on to the decision makers in your company!
Companies focus on profits, stock prices, and performance, but not on employees. How do we forget to see the value in our people, particularly our key employees, when it comes to celebrating our business outcomes? Studies have shown that companies that invest more heavily in training and development have been more successful in achieving their defined outcomes.
Many of the recent studies have concluded that a more engaged workforce provides enhanced performance and improved productivity. Companies with a more engaged workforce seldom have morale issues. “In the 21st century, our natural resource is our people – and their potential is untapped and vast. Skills will unlock that potential.” (Leitch Review, December 2006) Even with the economic climate of the past year or two, it has been demonstrated that training expenditures were a strong predictor of stock prices.
So where is the hidden agenda? Is any CEO really interested in the productivity and developing the potential of their people or is the real objective of only reducing cost associated with people including the people themselves. I have seen a decrease in revenue of less than 10%, yet the company has reduced its labor forces by almost 30%.
Training the management of any organization will certainly prove to make the organization more effective. People are looking for advancement and an opportunity to develop skills to assist with their upward mobility. They want feedback immediately from their supervisor and they want to work in an environment that supports their development. The social culture that is presented today by companies is very important to the millennial generation. Many believe that a budget for employee development indicates whether a company is in it for the long haul or not.
If we expect to retain our top producers in the management positions, we better make sure that they have the skills and competencies to work with four generations of workers. This ensures that knowledge is shared, cross-training is completed and the work is getting done in a timely fashion. We need to teach our management team that communication is the key to people success and that success can only be achieved if we develop people’s potential and focus on productivity and performance, and not just trying to reduce costs. Reducing training budgets can be detrimental.
We are fortunate that the economy has kept the Baby Boomers in the workforce but how long will that last? It looks like we will be left with an untrained workforce that doesn’t like to communicate with others. It sure sounds like it might not be the best time to be in a management position.
Come on Mr. CEO; listen to your People Developer. Investing in your management team will produce an improved bottom line. If you don’t believe that training and development can affect the bottom line, just look at how the reduction in their training budget prepared Wachovia for the merger with Wells Fargo. Their training budget was reduced by over 50% and their stock fell as much as 95% before the bank finally agreed to the merge. Helping people reach their potential, coupled with effective processes and procedures can certainly affect the effectiveness of the organization.
The time to train is now and please pass this on to the decision makers in your company!
Monday, April 14, 2008
Top End Turnover
Corporate Executives are on the move…..out the door. CEO turnover increased by 50% in 2007 compared to the previous year. Nearly a third of the departures were against the CEO’s will. The average tenure of CEO’s is down almost 25%. Tradition reasons accounted for some of the terminations but non-traditional reasons accounted for majority of departures. Turnover was highest in the telecommunications industry and financial services businesses. It should also be noted that this group also includes companies involved in the sub-prime meltdown.
In a separate survey printed in the Philadelphia Bizjournal (October 26-November 1, 2007), the CEO’s were asked to rate their own strengths and weaknesses with the following results:
Ranking
Strengths Weaknesses
Vision 1 6
Sales and Marketing 2 (tie) 5
Product Innovation 3 3
Managing People 2 (tie) 4
Information Technologies 5 2
Financial Strategies 4 1
It appears that the CEO has the vision but doesn’t always get there. I question whether or not the CEO has created a “dashboard” for himself that reflects both strengths and weaknesses and is using metrics to formulate benchmarks and to consistency re-evaluate his plan of action and implementation process along the way. It seems like many CEO’s are stuck when it comes to both the planning and implementation process. The statistics tell me that the CEO has a strong sense of awareness but for some reason the plan and implementation process are not giving the CEO the desired results.
I wrote a previous Blog on the formation of “dashboards” and this data tends to lend credence on the fact that CEO’s may not be focused on not only the “things that matter most”, but also don’t measure and monitor the metrics or trends that define the success of the organization. It could also relate that other key members of the executive leadership team are focused on the results that their departments contribute to the overall success of the organization. Sounds like our alignment with strategic objectives must be off or even non-existent. IF the disconnect occurs between the CEO and the people who work in the organization, then the end result is a “disconnect” between the CEO and the Board of Directors resulting in termination or resignation. Basically, we are back to the old adage, “Is it the People or the Process?” You can blame it on one or the other, but it is usually a combination of performance and people resulting in an ineffective process of measurement.
CEO’s better learn how leading companies measure performance and offer a goal and results-oriented culture. Ok, CEO’s, “Start your engines, monitor your dashboard, and stay focused on the finish line”…
In a separate survey printed in the Philadelphia Bizjournal (October 26-November 1, 2007), the CEO’s were asked to rate their own strengths and weaknesses with the following results:
Ranking
Strengths Weaknesses
Vision 1 6
Sales and Marketing 2 (tie) 5
Product Innovation 3 3
Managing People 2 (tie) 4
Information Technologies 5 2
Financial Strategies 4 1
It appears that the CEO has the vision but doesn’t always get there. I question whether or not the CEO has created a “dashboard” for himself that reflects both strengths and weaknesses and is using metrics to formulate benchmarks and to consistency re-evaluate his plan of action and implementation process along the way. It seems like many CEO’s are stuck when it comes to both the planning and implementation process. The statistics tell me that the CEO has a strong sense of awareness but for some reason the plan and implementation process are not giving the CEO the desired results.
I wrote a previous Blog on the formation of “dashboards” and this data tends to lend credence on the fact that CEO’s may not be focused on not only the “things that matter most”, but also don’t measure and monitor the metrics or trends that define the success of the organization. It could also relate that other key members of the executive leadership team are focused on the results that their departments contribute to the overall success of the organization. Sounds like our alignment with strategic objectives must be off or even non-existent. IF the disconnect occurs between the CEO and the people who work in the organization, then the end result is a “disconnect” between the CEO and the Board of Directors resulting in termination or resignation. Basically, we are back to the old adage, “Is it the People or the Process?” You can blame it on one or the other, but it is usually a combination of performance and people resulting in an ineffective process of measurement.
CEO’s better learn how leading companies measure performance and offer a goal and results-oriented culture. Ok, CEO’s, “Start your engines, monitor your dashboard, and stay focused on the finish line”…
Monday, March 10, 2008
Leadership and Dysfunctional Behaviors
Leadership.
I have always related leadership to being influential in the workplace. Being able to influence the culture of an organization or being able to compliment the core competencies of an organization have always been integral components of a successful leader. I was intrigued by an article in the February issue of Training and Development that reported that 90% of leaders say dysfunctional behaviors have become acceptable in the workplace and the consequences that have resulted from this bad behavior are lower employee satisfaction, lower productivity, and decreased quality. Our organization focuses on the healthcare marketplace and we find that dysfunctional behaviors play a major role in decreased quality and lower productivity. Both patience and employee satisfaction is determined by those factors.
Is it because we don’t consider dysfunctional behavior poor performance? Inappropriate behavior in the workplace is destructive and must be considered a performance issue.
We should focus on the behavioral issues within an organization and make sure that they are addressed by our performance management system. According to a most recent survey completed by Joseph Glenny, A Provo-Utah based author and management consultant, “finger pointing” or shifting blame, gossiping, and creating territorial borders and boundaries are three of the most destructive behaviors in the workplace today. It also noted that 64% of leaders do very little or nothing to change these behaviors.
It appears that the leaders today are fearful toward addressing the issues because of the consequences…whatever they may be. Many leaders turn to HR or Training and ask them to sprinkle “magical dust” over the situation and expect instantaneous results from the training department or vendors.
Changing behavior is a process and it requires implementation of more than just “dust”. It requires expectations in the workplace from the top down. The leadership team and their management team must define what behaviors they would like to see while stating emphatically those behaviors that will no longer be tolerated. The Performance Management system must focus on the interpersonal side of managing and believe it or not, these behavioral changes can be measured. It appears that the influential leaders of today aren’t willing to view behavior in the same light as they do performance. Maybe we should redefine leadership and not associate it with influence. It obviously is not working!
I have always related leadership to being influential in the workplace. Being able to influence the culture of an organization or being able to compliment the core competencies of an organization have always been integral components of a successful leader. I was intrigued by an article in the February issue of Training and Development that reported that 90% of leaders say dysfunctional behaviors have become acceptable in the workplace and the consequences that have resulted from this bad behavior are lower employee satisfaction, lower productivity, and decreased quality. Our organization focuses on the healthcare marketplace and we find that dysfunctional behaviors play a major role in decreased quality and lower productivity. Both patience and employee satisfaction is determined by those factors.
Is it because we don’t consider dysfunctional behavior poor performance? Inappropriate behavior in the workplace is destructive and must be considered a performance issue.
We should focus on the behavioral issues within an organization and make sure that they are addressed by our performance management system. According to a most recent survey completed by Joseph Glenny, A Provo-Utah based author and management consultant, “finger pointing” or shifting blame, gossiping, and creating territorial borders and boundaries are three of the most destructive behaviors in the workplace today. It also noted that 64% of leaders do very little or nothing to change these behaviors.
It appears that the leaders today are fearful toward addressing the issues because of the consequences…whatever they may be. Many leaders turn to HR or Training and ask them to sprinkle “magical dust” over the situation and expect instantaneous results from the training department or vendors.
Changing behavior is a process and it requires implementation of more than just “dust”. It requires expectations in the workplace from the top down. The leadership team and their management team must define what behaviors they would like to see while stating emphatically those behaviors that will no longer be tolerated. The Performance Management system must focus on the interpersonal side of managing and believe it or not, these behavioral changes can be measured. It appears that the influential leaders of today aren’t willing to view behavior in the same light as they do performance. Maybe we should redefine leadership and not associate it with influence. It obviously is not working!
Wednesday, January 23, 2008
The Weather Outside is Frightful!
Don’t let this holiday song provide a foundation theme for 2008! You certainly can tell it is winter by the methodology being used by the weather forecasters to panic the local residents into spending hours at the grocery store buying all the necessities for a mid 1950’s blizzard. I sit there listening to them tell me that the potential for the front moving rapidly from the South up the coast colliding with the Arctic air being driven down by a Canadian high located over some Lake near Michigan should produce a tremendous snowstorm that supposedly we have all been waiting for. I wake up the next morning and I find a “dusting” if anything but the result of the forecast is that WAWA has sold more milk and bread compared to previous snow storm announcements (for those not in the Philadelphia market, WAWA is the leading convenience store where you buy milk and bread) We are starting to hear the same thing about a global recession. After conducting their annual S.W.O.T., it has now become part of everyone’s strategic plan to list an economic recession as the major external threat that may affect their business success for the upcoming year. I guess we better get in line at your local WAWA to buy cost reduction measures, recession-proof armor, revenue producing fairy dust, and more. Unfortunately, I can feel the cost-cutting measures starting to unfold as I am writing this article.
There is no question that the economy may more than likely turn “chilly” in the upcoming year and the predictions for the real estate market continue to appear “frigid”. Forecasters are predicting that there is a heightened interest in career development and paying down personal debt. Business leaders have learned in 2007 that employee loyalty is waning as employer commitment begins to weaken. The generational shift in ownership in small businesses and the retirement rush is the corporate environment has begun and will accelerate in 2008. Economic trends are being characterized by shorter job tenures, changing generational values, scarce talent, and a surplus of vacant positions.
Statistically it is well documented that these trends are real. These trends are affecting all levels within an organization and we need to focus on the acquisition of talent, identification and development of leaders within an organization, and the retention of good employees. Survey after survey demonstrates that most businesses believe there is a current shortage of quality leadership talent in the workforce and they measure personality or behavioral styles when identifying future leaders. It is also well documented that most companies have not implemented an adequate leadership development plan and not focused on the emotional intelligence of the future leader.
The real concern for me is that most companies still do not realize that their people offer them the most competitive advantage in any economic climate.
First, it is important that you do not let the business weatherpersons scare you into a cost-cutting frenzy in that areas of business that means the most to your employees. Second, leadership and career development cannot be achieved without an effective training and development process. Not a program, but a process! I ask you to be innovative in the selection of your tools and products for this process and of course, make sure they are cost – effective but most importantly, produce the desired results or behavioral change that your company needs to be more competitive in 2008. Don’t let the forecasters scare you into cutting the processes that will mean the difference for your future.
Innovative Leadership offers training and development for all levels of your employees. Executive Coaching, Manager Training, and even Customer Service. Get more competitive and make a difference with these programs and processes. Contact us to get started today!
There is no question that the economy may more than likely turn “chilly” in the upcoming year and the predictions for the real estate market continue to appear “frigid”. Forecasters are predicting that there is a heightened interest in career development and paying down personal debt. Business leaders have learned in 2007 that employee loyalty is waning as employer commitment begins to weaken. The generational shift in ownership in small businesses and the retirement rush is the corporate environment has begun and will accelerate in 2008. Economic trends are being characterized by shorter job tenures, changing generational values, scarce talent, and a surplus of vacant positions.
Statistically it is well documented that these trends are real. These trends are affecting all levels within an organization and we need to focus on the acquisition of talent, identification and development of leaders within an organization, and the retention of good employees. Survey after survey demonstrates that most businesses believe there is a current shortage of quality leadership talent in the workforce and they measure personality or behavioral styles when identifying future leaders. It is also well documented that most companies have not implemented an adequate leadership development plan and not focused on the emotional intelligence of the future leader.
The real concern for me is that most companies still do not realize that their people offer them the most competitive advantage in any economic climate.
First, it is important that you do not let the business weatherpersons scare you into a cost-cutting frenzy in that areas of business that means the most to your employees. Second, leadership and career development cannot be achieved without an effective training and development process. Not a program, but a process! I ask you to be innovative in the selection of your tools and products for this process and of course, make sure they are cost – effective but most importantly, produce the desired results or behavioral change that your company needs to be more competitive in 2008. Don’t let the forecasters scare you into cutting the processes that will mean the difference for your future.
Innovative Leadership offers training and development for all levels of your employees. Executive Coaching, Manager Training, and even Customer Service. Get more competitive and make a difference with these programs and processes. Contact us to get started today!
Tuesday, November 20, 2007
Developing a Performance Management Culture
What are the most important factors in regard to the development of a Performance Management culture?
We have been working with companies for over five years focusing on the performance and productivity of their management team and staff. It really boils down to the following ten factors:
- I have a complete understanding of the definition of my role and responsibilities associated with the assigned job position.
- The work environment has given me all the tools that I need to be a high achiever in the job position.
- I have a complete understanding of the workplace expectations outlined by my immediate supervisor.
- I have a complete understanding of the strategy (Vision, Mission, and Purpose) of the company and know what makes a difference in the marketplace with our customer.
- I have the information and metrics to monitor my progress toward my goals.
- I am aware of the market conditions and financial stability of the company at all times.
- I find the performance appraisal process in my company the most effective means to self-evaluate myself and measure my progress toward my goals.
- My supervisor is available to discuss any work related concern.
- People at my company are interested in my career development.
- I am willing to accept responsibility for my actions and be held accountable for my results. I understand that my compensation should be based on results, both the company’s and mine.
If your employee can attest to the previous statements, then you should have a Performance based culture.
I find it hard to believe that the management teams of companies cannot deliver on those ten criteria. Is it that we don’t know how to have this culture or our supervisor is just not holding us accountable?
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