Continuous performance management is the method ahead to assure that employee behaviors are aligned with the ever-changing business targets and performance outcomes.


From rankings, annual reply to continuous performance assessments and 360 degree feedback, the procedure of estimate an employee’s work has changed over the last few decades. The latest shift is the move away from a “competitive evaluation” model to a “coaching and development model”, as the enterprise environment moves from an industrial economy to a knowledge economy. 

Read More : 10 Things HR Departments do for Employees

Managing continuous performance :

Business cycles are tumultuous and employee expectations are precisely different today. High performance confide on a collection of factors,  from day-to-day work targets, continuous development, learning, and career growth. 

How to design a continuous performance management process

From an employee’s perspective, the requirement to find purpose, and reach his/her potential is determine how well he/she performs. On the organizational front, the accessibility of data and digitization is permissive data-driven performance opinions with real-time data and insights. 

Therefore, there is now required for a performance management system based on a data-driven, flexible, continuous, and development-oriented system. This is what continuous PMS offers- a performance system which is targeted not just on particular employees, but on skills and teams.

Frequent check-ins, on-going feedback, agile goals, innovation etc. resonate with the VUCA nature of business. Continuous PMS makes it feasible for organizations to fail-fast and move more and more towards the strategic vision. 

According to a research, offender in organizations who have maintained continuous performance practices exceed or naturally outperformed their competition at a 24% higher rate. 

Designing processes :

Constructing a new procedure that reflects the people and desire contain change management, and must be approached systematically. Shaking the status quo and looking at organizational performance through a new lens are key essentials to apply design thinking to any procedure design. HR professionals must hone their skills in areas like  technological prowess, talent analytics and business acumen. The ultimate target is to conceive a PMS system and procedure, which is both employee-centric, and aligned with business targets: 

  • Understand the problem : HR must dig into employee data, manager insights, and business symbols to understand with the end customer i.e. with employees and business leads. Today, a host of technological tools are accessible for data-driven infighting and decision-making, hence HR must build data-capability from within. 
  • Research the context : HR practitioners must surely outline as to why a problem is necessary. Create a point of view about the context through research and inspection.  
  • Going beyond : HR practitioners must brainstorm along with business leads on how to clarify the problem. It is significant to go beyond the business context, to ensure that the PMS design is in alignment with the business strategy. 
  • Prototype : Prototyping targeted on the “how of creation”. Once the vision is clear for a business-aligned and employee-centric PMS, it is time to start creating and experimenting through actions. 
  • Test : Final implementation of the PMS system shall answer the question of whether it really works. For continuous performance management, it is essential to describe if the PMS really determine the desired performance outcomes which drive the business in the right direction.

The target of performance management is to implement employees and managers to reach the desired behaviors and results. Such a future-forward system can be entrenched in the organizational methods of working with the right cultural intervention. HR must educate and train employees and managers to adopt and embrace the new system on all fronts, like technical usage and mindset-readiness. More generally than not, success is determined by how ingrained the PMS ethos is in the employees’ mindset.  

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