Even though agile has been in the IT industry for long, still many firms need to adopt it by leaving the traditional performance management practices.
In this article at Clear Review, Stuart Hearn defines the importance of agile performance management, how is it distinct from traditional practices, and the software needed to implement this transition.
Agile performance management helps in assessing every employee’s performance by conducting regular discussions and feedbacks throughout the year. It’s a fast process that regularly addresses the barriers to effective performance.
It requires monthly discussion to strengthen manager and employee’s relationship by sharing feedbacks and areas of improvement while forming a forward-looking approach towards work.
Traditional vs. Agile
Agile enables periodic reviews while traditional performance management evaluates annual performance of the employees. It analyzes the rigid annual goals of an employee that sometimes become outdated by the time of review.
On the other hand, agile promotes frequent interaction between employees and managers to address regular performance issues, leaving no room for major improvements. It offers frequent feedbacks and suggestions to improve while in the traditional process employees need to wait for a year.
The Implications of Frequent Feedback
Organizations following traditional practices need valid business benefits to practice agile performance management. Here is the fact-sheet to back the statement:
- Quarterly reviews bring 30 percent higher ROI for a firm in comparison with those who follow the traditional
- A Deloitte report suggests that companies that are collaborative in nature are double profitable in comparison with their competitors.
- Transition to agile performance management leads to a 30 percent drop in voluntary employee turnover, says Adobe report.
- According to CEB research report, about 95 percent of managers are unhappy with their existing traditional performance practices due to inaccurate information.
To bring agile performance management into practice, the organizations need to take these preliminary steps:
- Communicate the need for transition to your employees and managers and help them learn its benefits in future.
- Agile requires training of senior managers to learn what to discuss with the employees in one-on-one discussions. It will boost the manager’s confidence to hold regular review meetings and extend support to the employees.
- The managers and employees need to be aware of short-term “Smart” objectives. This will establish a desire to improve among employees.
- Clearly defining the benefits of agile to employees will excite them. But it is possible if everyone understands its impact on their careers.
- Regular monitoring of the new review sessions will bring clarity and help in addressing employee’s concerns, leaving no room for doubts.
The author suggests if the organizations will invest in “performance management software” to help managers and employees schedule and track their quarterly “check-ins” and goals, it will benefit the organization. Read the full article by clicking the following link: https://clearreview.com/agile-performance-management-guide-2018/