The performance management process is absolutely essential for any business. Businesses in Dubai and all around the UAE are proactively adopting to modern technologies and latest solutions to enhance the impact of their performance management process. Conducting regular performance reviews and feedback discussion is a time consuming task, it requires enormous efforts to complete one performance cycle. The businesses are already ditching the traditional annual performance management methods, and adopting to more modernized performance management methods such as continuous performance management, agile performance management, etc.
The performance management systems have become more complex with the introduction of AI (artificial intelligence) and smart algorithms. The performance management software itself is a very sophisticated application, and when you have multiple options available in the market, it could become very difficult for the HR manager or business leader to choose the right performance management system.
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In this blog we will list the features of a best performance management system which will help you choose the right software for your business as per your needs. The employees’ development and business’s growth depends on the performance which makes performance management system the most import management tool. Different performance management systems and software solutions offers different features and functionalities.
However, there are some universal features that can help you achieve your goals. Here are the key features of an advanced performance management system which will allow you to implement any modern day performance management process to maximize the impact of the performance management software and to fulfill your unique needs.
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SMART Goals and Clear Metrics of Success
For any performance management system planning and setting up goals is one of the most crucial part of the process. The performance management system should allow managers to set up clear and understandable goals for the employees. The SMART framework enables businesses to adopt to modern practices and set up realistic and achievable goals which increase the employee success rate. The SMART stands for, Specific, Measurable, Achievable, Realistic/Relevant and Time-bound.
Furthermore the employees should also be explained the crucial success factors and how their success would be measured so they know exactly what is expected from them. That is why the OKRs, KPIs, BSCs, and various other features are used to understand the goals and to improve the communication. A good performance management system includes features which help managers to and employees to improve communication and help everyone eliminating the ambiguities and confusions from the process.
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Here are some examples of the modern metrics:
- Quantitative Metrics: The performance management system offers a variety of different data types to measure the quantity of the work produced by an employee. The quantitative metrics could be the number of sales produced by a sales team, or the number of products produced by the production team, etc.
- Qualitative Metrics: Measuring quantity is much easier than measuring the quality of the work. The qualitative metrics measures the quality of the produced work by an employee and this feedback includes reviews from customers, peers, managers and other stakeholders.
- Efficiency Metrics: The efficiency metrics is a measurement of both quality of the work and the quantity of the work. It provides much clearer picture of the performance of the employees. The efficiency measures how much work is done in what timeframe and how was the quality of the work.
- 9 Box Grid Metric: The 9 Boxed Grid metric is a modern performance management method which help management to understand the current performance of an employee and their potential which help them to identify and promote the high-value employees.
- MBO: Management by Objectives or MBO is a method to scale down the high-level organization goals and set individual goals for each employees. Mostly the individual goals are discussed and mutually agreed between the employees and the managers hence it is clear to employees what they are expected to do.
- NPS: The NPS or Net Promoter Score is the metrics that measure the performance of the entire organization. The NPS is used to understand the customer satisfaction and happiness and it tells if a customer is willing to recommend your business or products/services to others or not. People only recommend something to others if they are very happy and satisfied with it.
These are just a few metrics that will help businesses implement a successful performance management process however, there are penalty of other metrics too which help businesses to enhance their performance and improve their monitoring capabilities.
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Flexible Management and Control Settings
For any software tool or solution the most important is the flexibility and control it offers over various aspects that are related to the scope of this application. For the performance management system the flexibility and control over the performance management process is essential. That is why it is important that the performance management system you choose for your business offer flexible controls and a comprehensive administration dashboard. The performance management process is not just measuring the progress of an employee or team towards their goal, in fact the performance management system includes a variety of HR tasks and a detailed data analytical and reporting modules.
Every business have their own way of conducting performance appraisals and performing other relevant HR tasks. Thus the performance management system should be able to offer customization and controls to align it with your internal processes. For example, the system should allow managers to decide which module, process or analysis technique they want to use, it should allow them rename different modules, features or terminologies according to the internal organizational culture and such other things.
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Multi-rater Feedback and Review Modules
Another advanced feature of modern performance management system is its capabilities to conduct, process and analyze the multi-rater feedbacks and performance reviews. Traditionally the performance reviews and feedback is gathered from managers and is on annual bases, or bi-annual bases. However, the modern performance management process demands more frequent feedbacks and reviews in fact the continuous performance management is gaining huge popularity in Dubai and all around the UAE since past few years. The multi-rater feedback and performance reviews enhance the quality of the performance data and improve transparency and accuracy of the performance appraisal process.
For example the 360 degree performance reviews and feedbacks are considered to be the most common methods of the feedback in modern day performance management process. The 360 degree feedback or review is the process of collecting feedback from multiple sources such as managers, supervisors, peers, cross-departmental colleagues, senior management, customers, suppliers, and any other stakeholders who interacts with the employee. Such multi-rater feedbacks and reviews can significantly improve the accuracy and quality of the performance data.
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Ease of Use and Adoptability
For any new software system or solution the businesses are always concerned about the usability and adoptability. The ease of use and quicker adaptability not only save a lot of time, resources and cost but it also help maximizing the impact of the new system. Similar is the case with the performance management system software. Businesses should ensure that the performance management software they are choosing is easy-to-use for everyone. One of the most important aspect is the UI (user interface), the best performance management system always offers simple and easy-to-operate user dashboard. Businesses can customize the user dashboard for each user group to make it more user-friendly. The dashboard should provide all important data, feeds and notification on the main screen, and offer simplified navigation and information structure.
Furthermore every user group have different preferences hence the user dashboard should be customizable and offer flexible control for each user group to maximize the system’s usability and efficiency. Ease of access is another most important feature, the employees and managers should be allowed to access the system form multiple devices such as their computers, off-campus devices, smartphones & tablets, etc. Such features will be very helpful in maximizing the impact of the performance management system and better adoptability.
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Conclusion
The performance management process have changed over the time, especially since past few years the businesses in Dubai and all around the UAE have started adopting the modern and more aggressive performance management processes. These process require a lot of time and efforts to complete, which is why businesses use dedicated performance management software to conduct the performance management process. Usually it is the HR department who take care of the performance management system and relevant activities. However, in some organizations there is a dedicated team to handle performance management process. Whatever the case is, it is important to understand that every business leader or decision maker will have to decide which performance management software they will be using for their performance management process.
Given the circumstances of the market in UAE it is very difficult to choose one solution from the sheer number of performance management software available in the market. In this blog we have discussed some essential features that every business must be needing in order to effectively conduct the performance management process. If you want to learn more or if you want our help to design and build a bespoke performance management system for your business, please feel free to contact us through our Contact Us page or leave a comment in the comment box below and we will get in touch with you soon.
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