Building a skilled, talented, and engaged workforce is critical to the success of every organization. As the need for top talent rises, so is the need for managing and leading them toward meeting your company’s objectives. The achievement of results is entirely dependent upon it.
Jump right in:
- Why You Can Rely on Performance Appraisals Alone?
- Using OKRs in Favor of No Performance Management System
- Benefits of Using OKRs in lieu of Laissez-Faire Methods
- Using OKRs as a Primary Performance Management Solution
Talent management and performance monitor is a rising effort in today’s market, and it’s only going to grow. MarketWatch predicts that the performance management application industry is going reach $16 billion by the year 2023.
That’s a pretty impressive number, but it also speaks to the growing need for KPI monitoring across the globe. It’s not surprising consider most companies focus on three main goals:
- globalizing their business and leadership reach
- developing business models that are conducive to growth
- recruiting and retaining customers and employees
Do you see a typical pattern among these goals? You are correct if you guess that performance management runs through all of them. Without implementing performance monitoring using methods like the Objectives and Key Results (OKRs) framework, means that your company may be missing out on the efficiencies and efficacies of deploying them.
Why You Can Rely on Performance Appraisals Alone
Companies, such as small businesses, find themselves relying on performance appraisals alone to monitor achieving goals. However, focusing on the long-term horizon regarding management has more positive effects on a company’s results.
Performance reviews offer:
- useful information that relates to an employee at the personal level
- efficiencies in reviewing results
- an opportunity to receive employee feedback
Unfortunately, giving an employee or team feedback once a year can actually be a bad thing. How so? Imagine if a top performing athlete like Serena Williams received tips and performance feedback once a year? Do you think she would be regarded as such a high-performing player?
Maybe. But it’s unlikely. A well-oiled machine needs constant appraisal so that there is opportunity to correct a course of action that may actually hurt the company over the long-run.
Using OKRs in Favor of No Performance Management System
Using the OKR framework is a much better approach in terms of managing your teams. When you rely on performance appraisals or even no system at all, you risk creating inefficiencies in productivity and reaching the organization’s overall goals.
Instead of leaving things to chance, choosing to focus on deploying OKRs has many advantages. Unfortunately, companies only feel their benefits after implementation and buy-in from top management levels down the human resources chain.
Consider the following benefits of using an OKR versus nothing at all.
Benefits of Using OKRs in lieu of Laissez-Faire Methods
Companies need more than a relaxed atmosphere and performance appraisals to drive its full capacity. Instead of focusing on judgments, you can make the shift towards the softer side of OKRs, which use vision and motivation to encourage higher-quality performances on behalf of the employee.
OKRs also assist in continuous performance management over the long-run horizon. Rather than setting and literally forgetting the goals you created, using OKRs systematizes your approach over the short- and long-run. This aspect is critical to the overall growth and stability of a company.
Consider these additional benefits that are part executing an OKR framework strategy versus not using any performance management framework whatsoever.
Goal-Setting and Revision
Employees need clear instructions to meet expectations. When you forgo using OKRs, you essentially quell their ability to perform at maximum capacity. They require context and substance to find inspiration. Today’s employees are highly motivated by the ‘why’
aspect of their work.
OKRs allow you to set goals and develop a map that leads your team on the road toward achievement. Aligning your workforce with a higher calling creates buzz, direction, and priorities. When this happens, companies generate an inspiration synergy that has long-lasting effects on the entire organization.
Coaching and Management
While goals need adjusting at times, sometimes an individual is simply incapable of reaching them due to available resources, knowledge, and training. OKRs allow you to identify the performance gaps and quash problems long before they ever begin. Forgoing a performance management system means that you may miss out on multiple opportunities available to your organization.
Employees thrive on professional development. It sends the message that they are worth the investment. It also means they learn about their capabilities through carefully designed, regular feedback on their performance. Using an OKR brings this opportunity to them at regular intervals throughout their tenure with your company. It also builds trust and respect between the two sides which can result in even greater synergy across the board.
Final Thoughts and Considerations on Using OKRs as a Primary Performance Management Solution
Performance management through OKRs is critical to the success of your organization. In fact, we cannot stress their performance enough. Make sure you find modern technology that supports the evaluation of OKRs specifically. You’ll find that these platforms align far better with tracking and monitoring over other programs.
Integrating your offline efforts with the online world is critical in sharing knowledge across teams while effortlessly collaborating as cohesive to achieve those goals. Whichever method you approach, ensure that it aligns with your existing programs and suites.
Consider Weekdone to Accomplish Your Goals
Weekdone is your OKR-based solution that can help you meet your goals, strategize with your team, and implement a weekly planning session. We take it to the next level by offering easy-to-track activity options that allow your team to connect with each other across your entire organization.
Want to learn more about meeting your objectives? Check out our case studies to find out why OKRs work and how Weekdone can help you manage them more effectively.