The Advisors' Blog

– Broc Romanek

Here’s the intro from this blog by Globoforce’s Derek Irvine:

During the last couple of years, I’ve had the opportunity to host executive forums with CHROs, EVPs, and other senior leaders looking to evolve (and sometimes revolutionize) the foundations of HR – compensation structures, performance processes, and more. In many ways, it’s been enlightening to be a facilitator of these sessions to hear how some of the most innovative minds in human resources, talent management, compensation and benefits think about a process that has been in place for decades – the annual performance review, especially the performance rating.

Performance management is evolving. That evolution is taking many forms and directions as organizational leaders are seeking the most effective ways to give employees the feedback they need (both positive and constructive) to grow their careers. As part of this evolution, the performance rating is coming under deeper scrutiny. Most companies have some kind of rating scale for employees. Some have thrown it out entirely. Others tried to eliminate it, only to add it back again. Many hedge the discussion on performance ratings, believing that process to be the best justifier of pay raises or distribution of annual merit increases.