Performance Review Myths and Truths Exposed

1. TRUTHS that will change your perception of
performance management forever – and insights
to help you make the shift to SOCIAL PERFORMANCE.

2. Traditional performance management
models often leave management
frustrated and employees demotivated.
Savvy managers understand that appraisal scores offer little value to the company or the employee—
and employees loathe subjective performance appraisal processes that rate them on a mere handful
of the myriad of factors that drive results for the organization.
These systems, while very popular, are not always driving the value expected, according to Josh
Bersin, principal analyst at Bersin & Associates. His research reveals that 53 percent of managers
think their talent management software failed to help them create a performance-driven culture in
their organization.
Indeed, the challenges to traditional performance management models have been well documented,
from measuring competencies to linking together compensation and evaluations to simply keeping
the system relevant amid the rapidly changing demands of today’s business world. The answer is
Social Goals.
“‘Social’ is the word that is transforming almost every talent practice.
In 2012, we will see an explosion in social recruiting, social performance
management, social recruiting, social rewards and recognition, social
learning, and social career management.”
—Josh Bersin, principal analyst at Bersin & Associates.
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3. Introduction
With Social Goals, any company can collaborate on goals to drive greater team productivity.
Social Goals is revolutionizing goal setting and attainment with a transparent, interconnected
approach to corporate goals and accountability.
Rather than getting employees to record information after the dust settles on a project and
holding a debriefing session to air out what was done right and wrong, Social Goals works the
way you do—in real-time. Social Goals aligns with the agile performance management model,
a model that offers dynamic and continuous feedback rather than sterile appraisals at
quarterly or annual intervals.
“Our groundbreaking research in 2011 discovered that companies which regularly revisit their
goals (quarterly or even more often) dramatically outperform those which create annual
cascading-goal programs. The dynamic nature of global business makes it necessary for
performance management to become ‘agile’ and ‘real-time.’”— Josh Bersin, principal analyst
at Bersin & Associates
This eBook explores the myths and truths around modern performance management
models—truths that will set you free to pursue a more effective way to drive engagement and
productivity across your organization.
“Until input (thought) is linked to a goal (purpose) there can be no
intelligent accomplishment.”
— Paul G. Thomas, an executive with more than 20 years of leadership experience
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4. Myth: Management systems should be designed for managers.
Truth: Management systems should be designed for employees.
Traditional management systems are designed with the needs of management in mind—and that’s
a large part of why traditional performance management systems are broken and failing. If the goal is
to help employees improve, then the performance management system has to be designed to match
the realities of the modern workforce, which moves faster and more often works from remote
locations. Today’s workforce is dynamic, and so must management systems be.
“It is an immutable law in business that words are words, explanations
are explanations, promises are promises—but only performance
is reality.”
—Robert Bacal, author of “Performance Management”
TRUTH 1
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5. Myth: Performance reviews should be about competencies.
Truth: Performance reviews should be about contributions
and results.
Measuring competencies is largely subjective. What’s more, managers have far less day-to-day
interaction with employees than coworkers do, making performance appraisals based on
competencies even less accurate (and often demotivating for employees who are driving
results that aren’t measured in these reviews). Performance reviews should take into account
contributions and results.
“Appraisals are where you get together with your team leader and agree
what an outstanding member of the team you are, how much your
contribution has been valued, what massive potential you have and,
in recognition of all this, would you mind having your salary halved?”
—Guy Browning, British humorist who deals with office politics and social climbing
TRUTH 2
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6. Myth: Business goals should be private.
Truth: Public goals engage the workforce.
In your personal life, you might keep some goals private—because they are private. But there’s no
benefit in keeping organizational goals tucked away in a digital drawer. Goal gurus agree that sharing
goals with others increases the chances of reaching those goals. This is especially true in a business
setting. Making goals public via Social Goals engages the workforce and breeds a team-oriented
culture in your organization.
There’s a lot of talk in the business world about engagement vs. empowerment. Making business
goals public both engages the workforce in your mission and empowers them to find innovative ways
to execute it.
Ultimately, management sets the overarching business goals. Savvy managers are working with
employees to figure out the best way to accomplish those goals as a team rather than laying out a list
of rigid priorities.
“Creative thinking is not a talent. It is a skill that can be learned. It empowers
people by adding strength to their natural abilities which improves teamwork,
productivity and where appropriate profits.”
—Edward de Bono, physician, author, inventory and consultant who coined the term lateral thinking
TRUTH 3
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7. Myth: Managers should assign goals to employees.
Truth: Managers should cast vision on the end goal—but
employees should be allowed to create and share
intermittent goals with their team and work together
to accomplish the tasks.
The most successful organizations are home to employees who are committed to the work they are
doing. Engaging employees with Social Goals helps them make a personal connection with the work.
When managers assign blanket goals to employees, it robs them of a certain level of autonomy to
employ critical thinking skills to map out milestones and solve challenges to the end goal. By allowing
employees to set milestones on the roadmap to corporate goals, you not only drive buy-in–you also
drive passion.
“With out passion you don’t have energy, with out energy you have nothing”
—Donald Trump
TRUTH 4
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8. Myth: All goals need timelines and metrics.
Truth: Some goals move too fast for dates and a “let’s get it done”
mentality can dilute the quality of the work.
Some believe deadlines help employees avoid procrastination, stay accountable and drive focus.
There is some truth in that, but there is also the reality that the pace of work and how employees
tackle goals has forever changed. Everything is moving faster. Dating goals then is, well, dated. In
other words, putting hard and fast dates on goals doesn’t always match with the nature of goals in
today’s competitive landscape. With Social Goals, some goals are dated while others are grouped
into broader categories like “now,” “next,” and “some day.”
“A man on a mission is far different from a drone on a deadline.”
—Unknown
TRUTH 5
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9. Myth: Employees should get feedback once a quarter or once a year.
Truth: Employees should get feedback as often as it’s needed.
Employees may need feedback several times a quarter or more—or less. Instead of monumental
performance reviews, steady feedback along the way helps employees adjust more quickly and
drives better results.
Think about it: an on-stage comedian gets immediate feedback—if the audience is not connecting
with his routine he can switch it up. Employees need recognition for making the right decisions and
guidance when they meet with obstacles. Waiting a quarter or a year makes it difficult for employees
to shift the momentum. Social Goals offers more immediate feedback.
“Feedback is the breakfast of champions.”
—Ken Blanchard, American author and management expert
TRUTH 6
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10. Myth: Employee feedback should come from management.
Truth: Employees want more feedback from their coworkers
than their manager.
Coworkers understand the daily grind and how the work of teams and departments interconnect,
setting the stage for more valuable, actionable feedback. Social Goals empowers coworkers to
recognize the work of their peers, or speak out if they have advice on how to accomplish a priority
faster, better or more efficiently.
“My peers say I have made a difference. That means more to me than
winning an Oscar”
—Conrad Hall, Oscar-winning cinematographer
TRUTH 7
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11. Myth: Goals should only be shared among members of
departmental teams.
Truth: Every team across an organization should be able
to view the goals of other teams and departments.
Sharing goals only among members of departmental teams creates silos. By contrast, allowing every
team across an organization to view the goals of other teams and departments fosters a culture of
collaboration and drives self-management toward the overall goals of a corporation. Social Goals
makes goals transparent across the organization
“The purpose in life is to collaborate for a common cause; the problem is
nobody seems to know what it is.”
—Gerhard Gschwandtner, American businessman
TRUTH 8
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12. Conclusion
Can you see how traditional performance management models put you—and
your employees—in a box? The social enterprise and agility performance
models a growing reality. Those companies that make the shift now will be reap
the rewards later. But one of the missing links in the social enterprise
has been Social Goals.
WorkSimple is the new way to drive performance. Individuals, small teams
and large global organizations alike use WorkSimple as a better way to share
goals, work together, get and give feedback, and make others shine.