Why Manage Performance?

Author: Harrison HR | Blog

Why Manage Performance?

There is a statement that says: "Our most valuable asset is our people".

We need to rethink that statement, and consider if instead it should be "Our most valuable asset is our quality, performing people.”

Sound performance management practices enable us to have high quality staff who are performing effectively.

New managers avoid having performance discussions, due to:

  • Lack of time
  • Lack skills/confidence
  • A desire to be liked
  • Adopting the attitude - "If it ain't broke, don't fix it"
  • They are concerned if it’s not handled well it could create legal implications

Avoidance of the process has many negative consequences for the manager, employee and the organisation.  Some of them are:

  • Allowing issues to escalate may cause the issue to become too big to manage at a later time
  • It is perceived by others that the organisation is tolerating poor performance
  • It may affect other employees within the team
  • It may affect productivity
  • The employee suffers
  • It can become a cost to business

It is highly beneficial to conduct performance discussions, some of the outcomes may be:

  • Improved performance of the staff member
  • Improved operational results
  • A more harmonious work team
  • Management credibility
  • Improved company results
  • Reduced staff turnover
  • Greater employee satisfaction

HHR’s top 5 tips to managing poor performance:

  1. Set clear expectations – Goals (with SMART objectives – Specific – Measurable – Achievable – Relevant – Timeframe)
  2. Provide regular (daily/weekly) feedback on performance against goals
  3. Identify and provide additional training and support where required
  4. Put your discussions and expectations in writing
  5. Don’t procrastinate – if performance is not improving after steps 1-4 you will need to start a formal disciplinary process

For advice on how to manage poor performance or any other HR Consulting advice please contact Harrison Human Resources on 1300 544 803.

Article written by: Ramona Zahner, Human Resources Consultant with Harrison Human Resources.

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