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Performance Management Changes Are Often the Missing Link with Innovation

I was seated at an innovation conference for lunch, when the Research and Development leader of a major U.S. active sportswear maker told me he had a confession. His organization was successful at creating new ideas, selecting the best ones to advance, and project- managing those ideas, but their innovations often stalled because the organization’s… Read More

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New Research on When to Use Stretch Goals to Improve the Bottom Line!

When should a company use ambitious, stretch goals (sometimes called “Big, Hairy, Audacious Goals” or “BHAGs”), and when is it better to improve incrementally?  New research on goal setting is providing important guidance that can significantly improve a company’s bottom line, increase innovation, and perhaps save its very existence. Let’s be clear, goal setting improves… Read More

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To Rate or Not to Rate. That is the Performance Management Question.

Although it has obvious benefits for aligning, motivating and developing an organization’s workforce, performance management is the most hated of human resource processes. If not done well, it interferes with the relationships between managers and employees. Performance management is often bureaucratic and time consuming, with long forms to complete and 360-degree feedback to collect. In… Read More

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Live Webinar – The Good, Bad, and Ugly of Fixing Performance Management

Over the past decade, the HR industry has seen big changes in performance management. HR professionals no longer abide by the philosophy of “up or out.” This outdated philosophy calls for the removal of the bottom 10% of employees annually then focusing development and rewards on a company’s high potentials. Instead, companies are moving to… Read More

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What Performance Appraisals Are Really About…

When I met with my former Italian human resources director, which often was over dinner, he would frequently tell me, “In Italia, dinner is about the relationship.  Not the food.” I responded, “You have me fooled. This food and wine are great!” He was right, of course. When food and wine are extraordinary, as they… Read More

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The One Step All Leaders Should Take to Drive Results!

The one step that all leaders can take to drive results is supported by mom and empirical research.  It is simple and straight forward. Even a five-year-old can do it. Say “thank you.” When employees are recognized and thanked by their leaders, it significantly raises their sense of achievement, engages them, and reinforces the behavior… Read More

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Big Changes in Performance Management! Are You Keeping Up?

Over the past decade, we have seen big changes in performance management. The trend continues. Out is the philosophy of “up or out,” take out the bottom 10% of employees annually, and only focus development and rewards on your high potentials. Instead, companies are moving to the philosophy of constant performance and development feedback. They… Read More

Performance Management Myths Debunked

Wharton’s Peter Cappelli and Martin Conyon took a deep dive into performance management data from a large U.S. corporation between 2001 and 2007.[i] They looked at performance scores and associated employment outcomes over these years. They found that several myths about performance management simply aren’t true. Here is what they learned: Myth 1: Assessment scores… Read More

The worst kept secret in talent management

What’s the worst kept secret in talent management? It’s the fact that annual performance evaluations with ratings are subjective, demotivating, destroy collaboration and innovation, and are time consuming. Ultimately, they do little to motivate, align and improve the performance and innovation of employees. Despite recent research and the fact that many well-regarded companies have abandoned… Read More

What Happens When Companies Nix Performance Ratings?

For a recent article in the Harvard Business Review, the NeuroLeadership Institute published its analysis of what happened when 33 large companies removed their performance ratings.[i] Here are their findings: The frequency of manager-employee conversations increases dramatically. I totally get this one. I have observed this significant change while working with companies to update their… Read More