5 Must have Elements for Millennial Performance Management System
Millennials are one of the most dominant groups that occupy the workforce today. Millennials are born between the years 1980 to 2000. They are the largest segment of the workplace and internet is their home because they are digital natives. They connect and interact with the world through gadgets. Our forefathers would only use the internet on their computers, but millennials access the world through their phones.
Millennials prefer high end technologies to carry out their tasks which is why workplace cultures have become flexible in terms of allowing mobile phones in the workplace. When it comes to a performance management system, companies must aim towards improving the workplace standards for employees, for them to be motivated to give their best every day. Therefore, performance management is not just a number-oriented profit driven process, but it is also a holistic process that seeks to nurture employees so that they can contribute effectively to the workplace.
According to Deloitte’s research on millennial values, “while employees believe that business should consider stakeholders’ interests as well as profits, the millennials experience employers prioritizing the bottom line above workers, society and the environment, leaving them with little sense of loyalty.” Every company must know millennials switch their jobs more so than anything else.
This is not because they are perennially dissatisfied, but when they do not find any opportunity for them to thrive, they do not think twice before moving on to another job. Millennials prefer flexibility in the workplace because they are generally very open to change and like we had established earlier, they feed themselves on technology. According to CEO Michael Bush, great companies give employees the tools they need to succeed.
Companies need to create a sense of purpose in the jobs that employees do for them to give their best every day. In order to stimulate employee engagement in a workplace with such a diverse population with diverse opinions, a performance management system comes handy that seeks to automate employee performance and foster employee engagement through continuous communication.
Keeping this is mind, let us look at a few things that a performance management system must have to engage the millennial workforce:
Any performance management software would have employee data including their performance data. Managers can always leverage this data to make informed decisions for their employees. Managers can analyze the performance trends of employees to make informed decisions for the business and come up with developmental initiatives to retain the talent. You can maximize the potential of your employees by identifying the elements that drive their performance and impact business productivity. With this information, managers can find out what reduces employee attrition.
A performance management software acts as a digital platform for continuous communication among the employees and the manager. Continuous feedback helps in creating a collaborative space for employees and fosters a healthy feedback culture in the organization. Continuous feedback can be used for peer recognition, and to give instant appreciation for employee achievements.
Continuous feedback helps managers to give constructive feedback to their employees and it makes it easier for them to engage their employees. Therefore, continuous feedback helps in increasing employee self-development, employee engagement, their morale and performance productivity. This again increases team collaboration and growth.
Goals give employees a sense of direction. What makes employee goal management even better is when employees goals are aligned with the objectives of the organization. With a performance management software, you can drive high employee performance using SMART goals. Millennial employees are too straightforward, and goals driven. Companies can leverage performance management software to stimulate high performance and a productive work culture with SMART goals management.
Managers can define employee goals and company objectives and track their employee’s progress towards those goals. This not only increases employee productivity but also business growth.
360 Degree Feedback
With the help of 360 Degree optics, managers can gain employee pulse better. The 360 Degree feedback tool helps in getting a holistic feedback about employee performance in the form of self-assessment, peer-evaluation and feedback from managers, superiors and subordinates. The 360 Degree feedback also helps to get constructive feedback from external stakeholders, customers, vendors and mentors.
The employees would then get unbiased feedback on their performance which will give them an overall perspective on their competencies. Employees become more aware of their strengths and weaknesses and strive to improve themselves.
A performance management software automates employee performance reviews through its digital platform. What it does require is a customizable framework that will automate the employee performance appraisals and workflow. A PMS software speeds up the process of performance appraisals and managers will have more time implement developmental practices and employee engagement strategies effectively. Through this companies can act as a nurturing ground for their employees’ holistic development with little time and resources involved.
Millennials have a whole new understanding of what jobs mean to them. They strive for continuous career growth. Therefore, companies ought to invest in their careers and make performance processes a fruitful experience for them. Hiring great talent is not a big deal, retaining that talent is. For retaining millennials in the workplace, companies must do away with their conventional performance processes and adopt agile performance processes for engaging millennials in the workplace.