Experts believe that companies with an ongoing performance management process get better results than those that just have check-ins with management or human resources each year, since they can more easily root out what’s not working and double down on what is.
With periodic meetings with management, employees benefit from a continual push to progress, rather than a sudden rush to meet objectives once their review rolls around. Removing that scramble can yield drastically more positive outcomes for employees, managers and organizations.
Once implemented, an effective performance management plan has these benefits for employees, managers and organizations:
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Improved communication: With regular check-ins from managers, employees are encouraged to communicate more freely about the company’s objectives and their performance goals.
Well-defined rules: With a better understanding of how they will be evaluated moving forward, employees and their managers can gauge how they’re doing without waiting for the next review.
Reduced stress: Everyone wants to be a good employee. Without feeling like they must try to impress a higher-up all the time, employees can focus on the task at hand. Meanwhile, managers are less likely to worry about offending underperforming employees.