1. SUMMARIZE the “HR ISSUES” mentioned in the following article. Companies reima
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Question
1. SUMMARIZE the “HR ISSUES” mentioned in the following article.
Companies reimagine performance reviews.... Yearly rite replaced more frequent check-in with positive feedback. : by Patrick May San Jose Mercury New
It wasn't quite the storming of the Bastille, but a fledgling revolution was unfolding this past spring inside the conference rooms of the palm-studded, fairway-lined Trump National Doral Miami. With a who's who of corporate human resources chieftains in the crowd, from Disney to cigna to Bank of Amer a conga line of speakers called for the overthrow of an American workplace institution: the time and usually dreaded annual performance evaluation. "The conference session on blowing up the traditional performance review was standing room only," recalled David Niu, CEo of Seattle-based The TIN Ypulse, a software tool for tracking employee sentiment through weekly one-question surveys. "One speaker after another got up and said We blew it up at our company' or 'We got rid of it at ours,' and the crowd was cheering because nobody likes performance reviews; people have started to reimagine the whole process. The way corporate America measures its employees' performance is being dismantled brick by brick. From the c-suite to the boardroom to the proverbial water cooler, the annual review is increasingly criticized as a negative, time-consuming and outmoded way of s up your staff, an end-of-the-year ordeal that instead of helping an employee get back on track can actually do the opposite What's replacing it is a work in progress. But there's a gathering consensus in the HR world that the traditional review will give way to mor frequent check-ins with employees throughout the year, as managers use new tech tools to monitor progress, gauge sentime workers with positive feedback. Larry Sternberg, a blogger and CEO of Talent Plus in Lincoln, Neb., said the makeover is long overdue. "I would like anybody to point to one instance where an annual performance review has actually improved someone's performance," he said "The reason we're seeing this trend to do away with them is because they require a huge amount of work for an organization and don't produce value. Finally companies are realizing 'Why should we keep doing this? It really sucks up a lot of time." In theory, annual performance reviews provide managers and employees an opportunity to back and assess overall performance, also to determine whether the employee's work product merits a salary bump or bonus. reality is quite and more onto the process over time, making it take longer and longer. Research by Josh Bersin, principal and founder of Oakland, based Bersin by Deloitte, has shown that of 3,000 companies surveyed in 100 countries, only 10 percent said their proce was an effective use of their time, while 50 percent said it was of no use at all. As a result, he said, more than half the companies surveyed are either in the middle of redesigning their system or planning to do so in the next 18 months. Also on the way out Is an even more-despised evaluation tool: performance rankings, which firms such as Microsoft used to measure employees against each other. Chris Cabrera, CEO of San Jose, Calif., software firm Xactly, said he's done away with annual reviews at his company and replaced them with more regular feedback sessions, and "we're helping other companies do the same. So many employers are s using an annual review process that was popular before we put a man on the moon, but they're now such an old-school way of thinking. As a manager, hated doing them." One of his employees in marketing, Scott, said that "the biggest difference between the traditional model and what we've got now is the transparency; we now have clear, reachable goals tied to real achievable benefits, and they're done quarterly instead of just once a year, which makes a huge difference." Other factors pushing the trend include the advent of new tech tools to track performance in real-time. An entire cottage industry of review management software has sprung up, including products like small mprovements which offers employees an online interface to define short- or long-term goals as well as automatic reminders, according to its website "to keep people on track, and managers in the loop." Bersin said there's also the need in a highly competitive market to use positive-reinforcement systems that keep employees, especially millennials, engaged and up to speed on how they're doing. "We're entering a very tight labor market, especially here in silicon Valley and the Bay Area, where having a performance rating once a year can be degrading and cause people to leave," said Bersin. "Adobe, for example, said that fixing their review process lmproved retention by 30 percent." Ongoing feedback makes the employee feel valued, they found. "When you look at exit interviews, the overwhelming reason people leave jobs is because of their manager, not because of compensation or their commute said HR consultant David Lewis, CEO and founder of operationslnc, Connecticut's largest HR consulting firm. "And when you dig a little deeper, you often find that what's missing is feedback it's that feeling that my manager is not communicating well with me and so l don't know where I stand." "The new model is strength-based management," Bersin said. "Focusing on strengths versus weaknesses is really working out for more and more companies." TIPs ON IMPROVING ANNUAL PERFORMANCE REVIEws -Eliminate scales. erformance is more complex than that," said Stephen Balzac, president of organizational checkboxes and numeric clear examples of positive and negative development firm 7 steps Ahead. "A good system needs to highlight significant incidents, provide provide and include specifics." -Provide feedback on things the employee can change. Avoid talking about personality traits or characteristics they can't change. -When giving negative on specific and Talk about your and and never make judgments about going on in the head, for instance, by saying: " you clearly don't care about this project." -Don't set up your team members in competition with one another. -Focus on strengths more than weaknesses. -Don't forget about intangible behaviors. "It's hard to rate behaviors like helping a team member or boosting morale. Reviews need to be more holistic and find ways to take into account nonobvious team-building behaviors. The person who helps keep everyone else's mood up when things are tough is appreciated, but not really noticed- until they are gone. soURCE: socIETY FOR HUMAN RESOURCE AND STEPHEN BALZAC, PRESIDENT oF ORGANIZATIONAL DEVELOPMENT FIRM 7 STEPs AHEAD
Explanation / Answer
The article focus on implications and challenges of traditional appraisal system which is more time consuming task than giving positive inputs to the business. many organisation's consider performance appraisal as a challenge than benefit. From the article the following HRM issues can be figured out:
1)Performance reviews and criticisms :
Performance appraisal is a process of evaluating individual performance by comparing against certain standards.this is a very traditional process which has a scope of biased judgement . Now a days many corporates are viewing performance appraisal as a time consuming phenomenon rather than core activity. There are various criticisms against performance appraisal. It has a destructive impact on relationship between managers and sub ordinates.m managers always fail to appraise the performance on a objective criteria. Sometimes the appraisal includes non performance factors which demotivated the employees. There is a high mis match between employee and feedback. Summarising all the factors,the appraisal systems are replaced with continues ongoing tech based performance management system.
2) Feedback : in terms of reporting the job related performance, feedback plays a role in terms of communicating effectively about poor feedback which shouldn't be mis communicated. Any deviations in giving feedback results in destructing employee morale and confidence.
3) Corporate hr:
The corporate HRM is viewed as strategic approach than department level or group levels. There are performance metrics which are pre defined in terms of goals to be met. These hr goals should be long term oriented keeping in view about the business objectives and available resources to fulfill these goals.
Exit interviews : as soon as employee decided to quit the organisation it's great responsibility of hr to retain talented people in the organisation. Then exit interviews give a platform for a negotiation with the employee depending on his performance levels and ensure retention.
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