Performance-based Management is a dynamic management system that motivates employees by establishing an employee incentive structure that helps to drive the organization’s goals. Today, over 40% of employees feel their compensation is not adequately tied to job performance and over 75% say their company does not reward them or motivate them to achieve goals! Performance Management, or Performance-based Management, is an effective solution.
Pay for Performance
Developing a pay for performance strategy will help a company: Recruit and retain the highest quality employees. Communicate and reinforce the company’s mission, values, and goals. Engage employees in the organization’s success. Reward employees for successful achievements.
We can assist you in building a performance management system that helps you:
Many companies have difficulty setting up “pay for performance” systems due to disconnects between corporate goals, business unit objectives and individual performance targets and metrics. Our Performance Management System stimulates productivity by erasing these disconnects and addressing several factors, including standardizing employee evaluation and employee incentive structured, in a three step process.
1. The Roadmap: Identifying or setting corporate goals focused on the company’s vision, mission and core values establishes the ideal for the company’s future. This future is clarified in terms of growth, service quality and brand image. Having this roadmap is critical because it allows you to send a consistent message to all employees and customers.
2. The Process: Performance-based Management requires a process that integrates an organization’s vision and values with the daily activities of its people. Keeping the vision and core values in mind, you can cascade the goals into operating objectives and individual performance targets that include key performance metrics. Each corporate goal is directly connected to clearly stated objectives and targets in every business unit. Every objective and target must serve one of the corporate goals.
3. The Software:. Effectively monitoring performance is critical. We implement a system to monitor and measure manager and employee performance through qualitative and quantitative metrics. These metrics are then linked to the company’s financial goals and incentive compensation. When these “pay for performance” links are clear to managers and employees, the result is outstanding performance. Automating the setting, monitoring and completion of goals within each manager’s business unit provides a composite picture of the entire organization that can be seen from management from anywhere “at a glance.”