By Rob Starr, Big4.com Content Manager.
With another year ending soon and the possibilities for change dominating business thinking as the calendar flips over, PwC is suggesting companies look toward developing their most valuable assets rather than just evaluating them. They suggest improved employee experience, performance and engagement are the resulting offshoots from an overhaul of traditional performance management methods and PwC Principal, Mary Lyons, talked with Big4.com so we might understand this viewpoint further.
We started our conversation on why performance management is a key topic for business leaders today and going forward by touching on the velocity of the modern business world and the corresponding rapid pace of change therein.
“Even in the day to day operations of businesses, there is an urgency to create a culture of innovation,” Lyons said. “They need to be agile so they can create or take advantage of any new
She goes on to say the best of the more modern performance management systems have aligned with an organization’s strategic goals and moved away from traditional and less effective incremental improvements. PwC’s “Fast take on Talent Innovation: Performance Management” is the background document that explains this new approach in detail. It proposes, among other things, enterprise-wide talent strategies to bolster overall business performance as a modern C-suite business priority.
“In order to innovate and be agile, leaders are looking to make sure they have an engaged workforce. They need to ensure the experience they are providing is effective, efficient and modern and that they can engage a changing workforce,” Lyons says adding that full-time employees as well as freelancers need to be considered in this new configuration that plays out on the global stage.
“It’s important they have the capability that can drive this innovation engine and the big value is in creating what’s called the virtuous cycle of development.”
This idea centers around focusing on the capability you need to deliver the strategy you desire and then hire the talent that best lines up with these goals, while honing a new performance management template that falls in line with this new vision. Lyons explains the shift has some immediate benefits.
“When you take a step back from thinking about this as a process that you need to comply with and move it into an everyday coaching and feedback mentality, the benefit is there’s no waiting for a period of time to have discussions about closing gaps and adding value,” she says. “You’re doing it immediately.”