Arguably the hardest parts of management in a startup are overseeing employee performance. They tend to multi-hat, making it hard to discern clear performance properly. Of course, that is further made challenging by the ever-dynamic metrics as well as the setting up of new goals and responsibilities.
With that in mind, employee performance management tips become extremely critical, particularly because of the limited resources and the need for some glimmer of luck. To disrupt the impact under-performers can have on the eventual goal attainment, here are five employee performance management tips for startups.
- Understand the intent
To many, performance management is equal to that necessary evil so desired in every organization. It is more than just facts, figures and ratings, perhaps a continuous cycle of planning, goal setting, monitoring progress, developing, rating and rewarding employees. In short, understanding the intention must entail the underlying belief that employee success is equal to the success of the whole firm.
- Define goals using MBO
Performance goals aren’t similar to job descriptions. Job descriptions could be the starting points, and since they are fluidy, performance goals will make them clear and easy to follow. Remember that, to attain the goals and objectives, employee commitment is more than mandatory. Using MBO the HP way means clearly stating and agreement of all objectives so that there’s some flexibility.
- Create SMART goals
As you continue your performance management, don’t forget to create goals that clarify exactly what you expect and the determinants to help show that the goals have been attained. Regarding the goals, S-M-A-R-T means Specific, Measurable, Attainable, Relevant and Time-based.
Don’t go for the proverbial “attain $50,000 through textbook sales by the end of…” but rather accommodate everything; both permanent and volatile aspects. Be like “Achieve $25 profits through the sale of…” so that your employees can be more creative, even during rough and torrid times.
- Share regular feedbacks and replies
There are stark differences between feedbacks and appraisals. Given that an appraisal is an overall evaluation of performance after a fixed period, your company will not have to wait for such a time to elapse so as to get a progress report. Instead, as you accomplish specific timings and accomplishments, keep your team in the know by using regular feedbacks and replies.
Positive feedbacks inspire performance and reinforce the correct attitudes. But you have to find a good style to deliver the feedbacks given that employees aren’t the same in how their receive replies. Don’t forget to be specific while sharing the comments.
Assuming that your startup is finally doing great and you are turning to be a busy entrepreneur, record all feedbacks that you share so that you can monitor trends in their performances. Documenting everything will help you use past instances and scenarios to predict the future, and caution non-performing employees.