The Necessity of Leadership in Driving Performance Management

You can't have a performance management system without someone monitoring what happens in the day-to-day life of the office. But even if the organization's management has a hand in the game when it comes to the employees' performance, that does not mean that this is where the responsibility lies. Organizational management must also be involved in the performance management system, as they are the ones who ultimately dictate the organization's performance culture. Employee interviews provide managers with the information they need to analyze the data and help improve team performance. They promote high performance standards through regular feedback and goal setting through coaching. It is the management of the organization that must initiate these changes.

1. Management must focus on the team

There are many moving parts in performance management that need to be monitored, including aspects such as performance appraisals to ensure employees are staying on track. As a manager, it is your responsibility to motivate, coach and guide employees through effective communication and recognition.

The most comprehensive application of a dynamic performance management system occurs when the causal relationships between current performance are used to define and adjust future performance. In the personnel area, this connection can be achieved by incorporating the concepts of goal setting and performance improvement plans into the feedback processes in a performance management system.

2. The team needs leadership to create a performance strategy

Employees must understand where the team is going. This means that you, as a leader, must be the one to make them achieve this goal.

Unfortunately, 55% of organizations say that management is not as concerned with performance management as they should be. When management takes a step back from the integration of performance management, it affects employees' adaptation, goal coordination and thus the strategy.

When management plays an active role in goal and performance management and prepares a strategy for the system, there is a greater likelihood that employees will stay on track with both their own and the organization's goals. And not least, the managers take responsibility for the team's overall goals and correct performance problems as they arise. A strategic performance plan keeps the entire team focused on one goal.

3. Managers track and analyze performance data

Although managers may not aggregate these numbers themselves, they are responsible for understanding what the numbers mean for their team's performance and the organization's overall success. With the wide variety of talent management systems, 56.3% of managers have begun to recognize the need to integrate performance management and plan to do so in the next 12 months.

Aspects of the performance management system, such as employee interviews, can shed light on practices that need to be changed, or areas where employees need training. Unfortunately, not everyone is equally enthusiastic about the employee interview. 58% of employees believe that it is not an efficient way to spend their time. However, with communication and collaboration as part of the company culture, you can ensure that this data and the changes made afterwards are embedded and actually improve the standard of performance throughout the organization.

Management must have a heavy hand in performance management. It is the management of the organization that sets the standard for the employees' performance and the quality of the company culture. Your employees expect you to lead by example and keep them focused on achieving the company's goals. You cannot do this without an effective performance management strategy and information that can be tracked in the performance management system. Using a strategic performance management system, managers can identify development and training needs throughout the organization and adapt programs accordingly.

In conclusion, active leadership involvement is crucial for successful performance management within organizations, and IceHrm provides valuable insights into effective goal-setting, coaching, and data-driven strategies to enhance employee performance.