Performance management as a tool supports the organization’s talent management and succession efforts.
The main stages which usually are used in determination of key employees of the organizations are:
- Compare performance score and potential of employees
- Identify high potential employees
- Identify employees who are in need of development
- Share score across the teams/departments
Performance score is determined by the results of targets employees achieved.
Potential usually means a set of competencies that helped employee to achieve the targets.
There are several questions which support managers to determinate potential of employees:
- Does employee consistently performs above and is he able to perform high when he is given additional scope within the next year?
- Does employee consistently performs above and is he able to perform high when he is given additional scope within next 3 years?
- Does the organization value growth of skills and competencies of employee within next 5-7 years?
- Could employee learn additional skills or competencies which are needed to be able to perform at a higher level or at a different level?
- Does the employee demonstrates leadership ability – showing initiative, understanding vision and mission, seeks to align strategy to the way he does the job?
- When would this employee be ready for a promotion? Immediately (6 months), 1 year, 2 years, never
Many organizations use Nine-box grid table.
When data is ready the next step is to insert data into the nine-box grid to plot employees for each department and for the whole organization as well.
Then to compare current situation with standard bell curve (70/20/10) and make calibration if needed.
Many organizations keep the information on high and low performers hidden from employees themselves, it means that only managers are aware about who is high and low performers in the company.
There are a lot of DO’s and DON’T’s of hiding this information from employees or sharingwith them.
What your organization propose to do?
