Six Ideas to Improve Your Performance Management Practices
Position Employees for Growth
Let’s talk about performance management for a few minutes. Why? Because I know that it’s everyone’s favorite topic, especially around this time of year. Typically, managers can’t wait to complete the annual performance review cycle in the midst of everything else that needs to be done wrapping up one year and starting the next.
Performance management is about more than performance reviews. Really it’s about focusing attention and energy in the right direction. Think about it for a minute. If you were to encourage everyone to energetically do whatever they please, the result would be chaos, right? But a solid performance management process is going to channel their efforts.
I like power washing. I know that’s weird but there is something satisfying about being able to remove the dirt and grime from my back patio. I could choose to simply use a hose or a bucket of water, but the power washing tool (the system) focuses the water and accomplishes work. A good performance management practice is similar in that it provides the system or structure that affects change (hopefully with a bit less pressure).
Here are a few of the pieces to an effective performance management practice:
- SMART objectives – The acronym SMART refers to specific, measurable, attainable, results-oriented and time sensitive. Objectives are often tied to general performance metrics or strategic goals of the organization. They should be discussed and agreed upon with the employee at the beginning of the performance period. Ideally, at least one objective for the period will be development-related.
- Coaching – The value of a coach lies in their ability to develop and execute a strategy through others. It’s a matter of teaching, encouraging and driving activity in a manner that drives results. On-going coaching throughout the performance period is needed to ensure continued focus. It also enables you to learn about and remove obstacles to performance earlier in the process.
- Documentation – Few employees enjoy creating documentation. But it’s critically important. You may have heard the phrase, “If it’s not documented, it didn’t happen.” Documentation can be in the form of a performance review, a recognition statement, an incentive letter, a disciplinary action document or an investigative file. It’s the proof of action. And, when proof is needed to support an employment action or better understand an employee’s work history, it’s extremely helpful to have it in place.
- Corrective Action – When it’s warranted, a clear process on how to correct performance or behavior issues is a benefit. And it’s necessary in order to keep the organization running smoothly. An incremental approach to improving employee performance allows you to correct issues before they become more “career altering” or life changing. Generally these start with a simple discussion and action plan on how to turn things around. And if the improvement is not made, you would then progress to a documented formal counseling notice, written warning, perhaps a final written warning and then termination. Some of these steps may be skipped when a more serious issue presents itself – something that’s especially egregious.
- Reward and Recognition Systems – Reward and recognition systems are designed to tap into an employee’s extrinsic motivation. To capture their attention and give them a desire to accomplish a high level of performance. Examples may include compensation increases, incentives, public recognition, additional time off and other positive influencers. Ideally, there is a solid balance between the use of corrective action and reward and recognition systems.
- Consistency – As I’ve mentioned in several other articles, your consistency in the manner in which you address successes and failures is extremely important. Assuming that you follow your performance management plans, it clearly communicates to employees and outside agencies that people are treated fairly, with dignity and respect when they are part of your organization. Demonstrate those three elements and your risk will be minimized.
Performance Management systems that are run effectively serve as important motivational tools to ensure that your employees remain engaged and focused and your business continues to move forward.
Brian Wallace • March 8, 2022
From Theory to Execution - Building a Culture That Demands Leadership If leadership excellence isn’t about knowledge, then what is it about? It’s about building an environment where leadership is required, visible, and unavoidable. Most organizations never get there. Here’s how the ones that do think differently. Step 1: Define Leadership in Behavioral Terms “Be a better leader” is meaningless. Instead, define leadership like this: “Addresses performance issues within 48 hours” “Delegates decisions with clear ownership and authority” “Drives clarity by aligning team priorities weekly” If you can’t see it, you can’t manage it. Step 2: Make Leadership Measurable What gets measured gets managed. Ask: Are decisions being pushed down or pulled up? Are leaders developing successors or creating dependency? Is accountability consistent across teams? Are new ideas being generated? If leadership isn’t measured, it becomes subjective - and subjective standards don’t scale. Step 3: Align Consequences with Expectations This is where most organizations fail. They say leadership matters, but they tolerate: avoidance of difficult conversations inconsistent accountability leaders who produce results but damage culture siloed and self-optimizing behavior You can’t have leadership excellence without consequences for non-leadership behavior . Step 4: Build Leadership into the Operating System Leadership isn’t a program. It’s how the business runs. It shows up in: how meetings are conducted how decisions are made how performance is reviewed how feedback is delivered If leadership only shows up in training sessions, it won’t stick. Step 5: Create Cultural Pressure for Leadership The strongest cultures don’t rely on top-down enforcement. They create peer-level expectations. Leaders hold each other accountable, teams expect clarity and ownership, and underperformance is addressed quickly and directly Leadership becomes the norm, rather than the exception. The Payoff When leadership becomes part of the system, execution speeds up, decision-making improves, teams take ownership, and senior leaders get out of the weeds. And the organization finally operates at the level its strategy demands. Final Thought Most companies are trying to teach leadership. The best companies build environments where leadership is the only way to succeed . That’s the shift. And once it happens, everything else gets easier.
Let’s address the uncomfortable truth: Most leaders already know what they should be doing. They just don’t do it consistently. Not because they’re incapable - but because something is working against them. What’s Really Holding Leaders Back? It’s not a lack of awareness. It’s a combination of three forces that quietly shape behavior: 1. Success Has Trained Them to Stay the Same Leaders are promoted because they deliver results. So they double down on what got them there: solving problems themselves moving quickly by making decisions solo stepping in when things go sideways The problem? Those behaviors don’t scale. But letting go of them feels risky. So they don’t. 2. Short-Term Pressure Overrides Long-Term Discipline In theory, leaders know they should: coach instead of direct develop instead of fix empower instead of control But in reality? Deadlines hit. Clients escalate. Revenue matters. So they revert to speed and control because it’s faster right now. And just like that, long-term leadership development loses to short-term execution pressure. 3. The Organization Quietly Rewards the Wrong Behavior Watch closely and you’ll see it - the leader who “jumps in and saves the day” gets praised. Or the leader who builds a self-sufficient team gets overlooked. Or perhaps the leader who avoids conflict keeps the peace and avoids backlash. Organizations say they want leadership excellence. But their reward systems often reinforce the opposite. Why This Matters More Than You Think When leaders don’t change: their teams don’t grow decision-making stays centralized innovation slows burnout increases at the top And eventually, the business hits a ceiling that no strategy can fix. The Real Work of Leadership Development If you want leaders to change, you have to change the environment around them. That means: redefining what “good leadership” looks like aligning incentives with the behaviors you want creating consequences for avoiding leadership responsibilities Because people don’t rise to expectations. They rise to what the system reinforces .
Most companies don’t lack leadership knowledge—they lack execution. Discover why leadership fails and what it takes to turn insight into results.
