Top tips for performance management in your company

Conversely, performance measurement can take the focus away from what actually matters: great customer service and happy employees. Measuring employee performance can create distrust and make employees feel controlled. Additionally, metrics can create internal competition and discord if results are rewarded with, for example, greater recognition or higher pay. If performance measurement also leads to efficiency improvements, it can affect overall customer service.

Therefore, it's a good idea to consider whether your company's performance management is appropriate for your employees, but also whether it makes sense and adds value to the company's ultimate goal of creating more happy customers.

Measure appropriately and effectively

A study from Danish HR shows that wellbeing is higher in workplaces where there are no performance metrics. This could either mean that performance metrics in general negatively affect employee wellbeing in the workplace, or that performance metrics affect employee wellbeing because they are not used in an appropriate way.

Studies from the same source also show that performance measurement and subsequent streamlining of internal processes can lead to dissatisfied customers because customer service deteriorates and customers don't get the value they demand. For a company to be successful with performance management, it needs to be appropriate and effective for both employees and customers. In other words, it must be aimed at ensuring employee wellbeing and a good experience for customers.

Low performance management in multiple focus areas

Instead of focusing solely on performance measurement and optimizing employee performance, it can be more rewarding for both employees and the company to measure several different types of efforts. As mentioned above, if a company only measures internal processes and tries to streamline them, it can have a negative impact on both customer satisfaction and employee satisfaction.

Instead, companies should take a more holistic approach to measurement and measure multiple focus areas to optimize. With HRM-Nordic Measure you can gather and customize different focus areas that you want to measure and follow the development of. For example, employee satisfaction and customer satisfaction, which can be broken down by each department or the entire company.

By having several focus areas that are switched between, you can ensure that the measurement is not one-sided and at the same time streamline and optimize on several parameters at a time. This makes performance management more meaningful, appropriate and effective in ensuring that all goals are met without compromising employee wellbeing or customer satisfaction.

Ongoing follow-up can ensure better performance management

Many companies conduct larger surveys in relation to focus areas that are followed up 1-2 times a year. In many cases, however, this is a long time to wait when it comes to customer and employee satisfaction. Therefore, when your company manages goals in different focus areas, you should follow up on an ongoing basis to ensure that optimizations and streamlining create improvements and success for the company.

Myhrsol Measure allows you to continuously follow up on your focus areas. With this measurement and follow-up tool in your company's HR system, you can continuously evaluate your different focus areas and closely monitor the development. This allows you to quickly make changes and new initiatives if there is any stagnation or decline in any of the focus areas.

Ultimately, this follow-up tool can help ensure that your finger is on the pulse and that all parameters are working optimally. This can also lead to increased productivity and well-being of your employees, greater customer satisfaction and therefore greater success for your business.

Get help with performance management

As written, the HRM-Nordic Measure help your company create an overview of and follow up on performance management. Here you can create focus areas that you can track progress on an ongoing basis. The system allows you to send questions to the people involved for feedback, collect and compare data, and also provides you with a report of your focus areas that can be used for evaluation and dialog about further progress.

If you are interested in learning more about how you can optimize your measurement management with Myhrsol Measure, please contact us by phone 70 26 32 25 or send an email to info@hrsolutions.dk.