“{Language} {evolves} wið cierr. {You} nîedðearf (gyden {update} êower spr¯æc {skills} æthebban underscêotan mid ðone as môdhwæt ednîwe eardgeard. {With} gamolferhð Englisc, êow {cannot} anbidung onemn duguð {modern} simbles.”  

It sounds Greek and Latin to us. But it is old English. That may not be the correct translation, but it gives us a picture of how old English would have been. The above text is the translation of,    

“Language evolves with time. You must update your language skills to sustain in the brave new world. With old English, you cannot survive in the modern world.”   

Similarly, you cannot stick to the outdated pen and paper performance management method in this digital era. You cannot sustain in this fast-paced business world with your old ways. You need to update yourself to the changing world to survive and stay in business. Focus on a development-driven performance management system to stay unique in your industry.  

Digital Transformation is Inevitable   

Research suggests that 70% of companies either have a digitally transformed workplace or are working to have one. The mundane pen and paper approach in managerial tasks may help you to analyze the individual performance but it is impossible to evaluate the team or the organization’s performance. Besides, the manual process does not allow you to make data-driven decisions, development strategies, or engagement activities.  

Therefore, with the influx of technology and the millennial workforce, digital transformation is unavoidable. The data from the digital processes are valid and reliable, and the information enables you to formulate approaches that suit your business growth and workforce. 

Be a Coach for Employee Retention   

A study asserts that 89% of HR leaders agree that ongoing peer feedback and regular check-ins are the key factors for the success of a team. Thus, your managers should act as a coach and deliver continuous feedback to your employees to help them identify the gaps in their performance and improve their skills. Through ongoing feedback, a manager will get to know the team better and he/she will be able to tailor the training programs accordingly. 

From now on, individual development should not be a once in a year process but an ongoing process that ensures success throughout the year. The employees who learn future skills do not leave the company, and the employee retention rate will increase.  

Handpicked Related Links: 

• 3 Performance Management Transformations that Help You Win the War for Talent 
• Reasons Why 360 Degree Feedback are useful for Millennials 
• 9 Common Mistakes to Avoid while Conducting 360 degree Performance Reviews 

360 Degree Feedback Creates an Open Culture that fosters Development   

360 degree feedback focuses not only on the performance but also the overall development of an employee. The open work culture nurtures an employee and creates a future leader. The employees learn their strengths and weaknesses and work on it to build up their personality and character. Through 360 degree feedback, upward communication has also become easier. A manager can also realize the flaws in his/her leadership skills and work on it to become a good leader.   

The open culture fosters development by instilling the core values of the company in employees and promoting collaboration.     

Engage Employees to Increase Productivity   

“Empowerment through individual development; Organizational growth through empowerment.”   

The continuous feedback and training plans contribute to the individual development of an employee, in turn, empowering them. Engaged and empowered employees emotionally invest in work and put in efforts with loyalty to achieve goals within the given time. A study reveals that engaged employees contribute a 21% increase in the profitability of an organization by increasing their productivity.    

You have to move forward step by step implementing various methods to create a development-focused performance management system. It is a slow and continuous process. Choose and tailor a system and software that fit your organization. A development driven performance management will ensure the success of your organization.