Back

Re-imagining Performance Management

Hosted by: Novartis

As companies continue to grapple with finding an effective performance management solution, HR leaders are searching new ways to re-imagine the performance process.
HR leaders shared current issues with managing performance and potential new directions for the future at a recent ChapmanCG roundtable co-hosted by Michiel van Duin and Niti Khosla at Novartis in Basel, Switzerland. 

Reframing Performance

Changes to CEOs, management teams or business strategy are helping to provide the opportunity for HR leaders to drive initiatives to challenge the status quo and transform the performance management process.
Current processes often tend to be viewed as an onerous, box-ticking exercise connected with dread and fear, so one of the main objectives for HR leaders is to remove the negative connotations from performance management and bring additional value to the process.
While some organisations have toyed with letting go of performance management entirely, most still see it as an important requirement that needs to be done in a new way to bring out the best in employees.

Improving Employee Experience

Some organisations are looking to improve performance management by moving towards a mindset that considers the employee experience from recruitment stage right through to employee exit to help better tailor the experience.
Current systems typically include a complicated and wide-ranging rating scale, with no clear link between individual performance and variable pay, so organisations are also looking to provide more transparency and simplicity on how performance is measured and how that translates back to linked incentives.

Changing Requirements for Calibration

Calibration of ratings against a distribution curve can break team spirit by forcing inaccurate fit ratings. This can also encourage team leaders to keep underperformers in their teams and perpetuate the perception that performance ratings are disconnected to merit overall, resulting in a scenario where people may not be engaged to their full potential. To address this problem, some companies are removing calibration and enabling a flexible distribution curve.

Measuring Success

To ensure that the objectives for change have been met or resolved, it is critical that changes made to the performance process are tested for success. It is important to question whether the changes ultimately deliver better results for the organisation’s objectives, and if the advantages of the change do in fact outweigh the disadvantages.
Some organisations are moving towards agile and continuous performance management. Regular check-ins with employees using pulse surveys and other methods can help to monitor whether these are proving successful.

Personalisation and Modernisation

HR leaders discussed the need to move towards a more personalised and modern model of performance management. In the age of social media, would efforts to bring performance management more in line with today’s way of expressing real-time approval – such as the use of emojis instead of numerical ratings – work better?
A more radical approach could include crowdsourcing feedback from all employees who engage with an employee, however this creates a number of challenges around administration and dealing with negative feedback in a diplomatic way.

Cultural and Generational Factors

The younger generation are typically more comfortable and accepting of continuous feedback compared to more mature and seasoned staffers. Global one-size-fits-all solutions ignore cultural differences in how certain groups provide and deal with receiving feedback, but more local and regional solutions make it harder to consistently report at a global or group level.

Letting Go and Trusting

At the end of the day, HR leaders need to enable and empower other leaders within the business by reducing the traditional HR policing approach and trusting that managers can handle performance with the right training and coaching.
A big thank you to our presenter Sally Henderson from Zurich Insurance, as well as the representatives from ABB, Barry Callebaut, Carlsberg, Ecolab, LafargeHolcim, Novo Nordisk, Octapharma, Oxfam International, PricewaterhouseCoopers, SR Technics, Straumann, Swiss Re, Anheuser-Busch InBev and Zurich who joined us for this roundtable.
Subscribe to our newsletter here to read more from our ChapmanCG HR executive search leadership team.

Newsletter

Keep up with all the latest HR insights and updates.
Sign up

Related Posts

Key Contributors:

Frieder Rummel

Executive Advisor

Executive Advisor
View more
Executive Advisor

Frieder Rummel

Executive Advisor

Frieder Rummel is an Executive Advisor for EMEA with ChapmanCG based in Vienna, Austria. He supports the EMEA team to build relationships with CHROs and global HR leaders in Europe, the Middle East and Africa, with a primary focus on Germany, Austria and Switzerland.

Frieder also works as a leadership consultant and coach, and he leads assessment and talent projects for ChapmanCG. His experience involves decades of intense corporate work, including 18 years with Procter & Gamble, 12 years with Allianz and three years with Hershey’s.

Frieder has worked in Germany and Austria and, most recently, spent eight years in Asia. The focus of his work has been on Human Resources, but he has also spent time as a Managing Director and Head of IT, as well as acting as a company spokesperson. His last corporate role before joining ChapmanCG was as Senior Director, Human Resources, Asia, Europe, Middle East and Africa for the Hershey Company.

Frieder is originally from Germany and holds a Master’s degree in Mathematics from Philipps University Marburg and a Doctorate in Mathematics from Technical University Darmstadt. He speaks both German and English fluently. In his spare time, Frieder enjoys nature and culture and has completed more than a dozen full marathons, with half a dozen in tropical climates.

Tim Spriggs

Managing Director

Consulting Team
View more
Consulting Team

Tim Spriggs

Managing Director

Tim Spriggs is a Managing Director with ChapmanCG based in the UK. He works with the team to identify high-calibre HR talent across EMEA and internationally.

Tim has worked on behalf of some of the top global multinationals and has a background in global HR search. He works with our teams across Europe, APAC and North America to foster our strong links between our global headquarters and the regions.

Tim spent five years in Singapore where he was instrumental in building the China business and covered international work out of Asia. Prior to ChapmanCG, Tim worked for JD Haspel, a boutique London-based executive search firm, where he specialised in EMEA HR search assignments across multiple sectors including technology, pharmaceuticals, financial services and natural resources.

Before moving into executive search, Tim’s passion for sport led him to his first career in sports marketing and media sponsorship with Octagon. He has a BA (Hons) in American Studies from the University of Nottingham, and a CIM Diploma from the London School of Marketing.

In his spare time, Tim enjoys running and cycling in the Chilterns and is known to have the occasional swim in the Thames near his home in Henley.

Latest Articles by Tim

ChapmanCG News 29 May 2019

Destination Agile: HR’s Role in the Journey

A group of HR leaders took part in this session with a topic of ‘Destination Agile:…

Kirsty Jucker
Read
Future of Work 19 January 2019

Re-imagining Performance Management

As companies continue to grapple with finding an effective performance management solution, HR leaders are…

Kirsty Jucker
Read
Talent Development 27 December 2018

How are HR Leaders’ Roles Evolving?

What will HR leaders’ roles look like in the future? The ChapmanCG share their observations…

ChapmanCG ChapmanCG
Watch
ChapmanCG News 1 December 2018

Top HR Podcasts of 2018

Since our launch of the ChapmanCG Global HR Interview podcast series in 2015, we have…

ChapmanCG ChapmanCG
Listen
Culture & Business Transformation 28 November 2018

Transitioning to an HR leadership role in a start-up

Considering transitioning to an HR leadership role in a start-up? ChapmanCG’s executive search team provides…

ChapmanCG ChapmanCG
Watch
ChapmanCG News 22 October 2018

Five Ways Digitalisation Will Impact HR

Digitalisation is transforming the function of human resources. As organisations look more-and-more towards digitalising their systems…

ChapmanCG ChapmanCG
Read
Talent Development 15 October 2018

What Makes an HR Leader Stand Out in China?

When multinational companies first entered China, companies looked abroad for international HR leaders to train…

ChapmanCG ChapmanCG
Watch
Digital Transformation 17 July 2018

Four Essential Tips to Attracting and Retaining Quality Digital Talent

Attracting high-calibre digital talent is one of the hottest talent and leadership topics and is…

Frieder Rummel
Read
Talent Acquisition 17 July 2018

The Changing Landscape of Singapore’s HR Talent

In Singapore, hiring quality talent remains a key challenge for most CEOs and senior leaders.…

ChapmanCG ChapmanCG
Watch
Digital Transformation 7 July 2018

Innovations in Workforce Analytics

Innovations in workforce analytics can play an important role in supporting HR teams to better…

Graham Tollit
Read