For you to find an appearance of the Fortune 500 companies in the country, you don’t have to keep opening the business pages. All you need to do is dump your old structure of performance. For instance, the best example is Goldman Sachs. As a matter of fact, no employees want their number reduced. Moreover, those who trade in them don’t want to be reduced as well.
Like dozens of other real-time companies in each sector, Goldman Sachs, is scrapping off their traditional performance systems for the new high-end qualitative performance evaluations. For you and your business. Here is why their decision matters.
Most of the traditional structures ignore human subjectivity and the naturally occurring bases. On the scale of performance, some manager’s poor performance can be another manager’s best performance. For this reason, the employees will be left with the task to determine the answers to most commonly asked questions. The qualitative modern structures acknowledge the aggregated results from a stabilized framework. However, his goes deeper by promoting the needed constructive explanation.
The organizational hierarchies are followed by the top-down performance systems executive reviewing, presidents, vice presidents, directors, and associates. This is a typical hierarchy. For this reason, you can’t find the solution to your business problem using this hierarchy. Good ideas come from the bottom and find their way up the ladder.
Most of the successful managers understand that their job is not claiming the company’s decision-making monopoly. However, to support and sot the best ideas whenever they come up. Performance systems allow departments and businesses to offer their advice to make the manager’s work easier. The organization is made better and stronger.
The outdated quantitative systems take the form of special assessment. Do you want your employees to have an annual improvement system? You want them to improve periodically. You would like to monitor and measure the meaningful improvement if you like the rest of us. Open-sourced and qualitative structures allow growth as defined.
Raj Fernando is the current president of Scoutahead. Before founding the company, he was the former CEO and founder of Chopper Trading Company.