June 2017


Coaching and Development Replaces Performance Management

Twenty years ago, if you asked any employee how they were evaluated in their job, they would most likely say through employee performance ratings – a system designed to rank the performance of employees against colleagues strictly measured through output. Today, companies are turning towards a new regime of employee performance ratings – a system based on skills and attitude with the ability to drive change.

Managers who provide regular feedback and opportunities for growth and improvement are far more likely to have high-performers and greater employee satisfaction responses. The focus on coaching and development is becoming a priority in the workforce as more and more executives have found significant links to overall business success.

Now managers must dedicate time managing and communicating the importance of performance ownership with their direct reports. Coaching requires an open mindset, willing to build and progress rather than evaluate. Most importantly, managers must recognize the complete separation between performance and employee compensation.

A shift towards this progressive movement starts with senior leaders acknowledging the need to use performance management as a way to build skills. Managers need to be taught to provide valuable feedback that encourages their employees to further excel in their role.

Expanding the Sourcing Scope

Every day, it seems as if new recruitment job board websites come into the market constantly, making it harder for potential candidates to stand out and even harder for companies to acquire qualified talent. As the need for quality talent becomes more prevalent, companies must consider broadening their sourcing scope and seeking alternative solutions.

Employers must take full advantage of the resources that are available today by not overlooking cross-industry hiring. By expanding the view on the type of talent acquisition, companies will have the benefit of individuals trained in other departments, whom often, gain experience that correlates with the open position. A diverse workplace culture and sets of opinions appeals to different markets, which can help the company grow to a market outside of the initial targeted ideation.

Consider meritocracy. While the skills and experience that someone has are important to the success of the role, focusing on the ability and motivation that such employee possesses leads to greater drive for advancement in employees. This drive then positively translates into better overall company financial performance – encouraging employees to work hard for earned workplace promotions.

Rely on different sources. While employee referrals are an obvious source of talented potentials, reaching out on social platforms such as LinkedIn or industry Facebook pages may come up with surprising results. By expanding the scope that most companies have become accustomed to searching for potential hires through, the company will be able to diversify its culture and grow with a work environment that is slowly transitioning to multi-dimensional positions.

Compensation Budgeting

Budgeting is always a hot topic when it comes to employee benefits, which can sometimes lead to recruiters feeling as if their budget is stretched too thin to cover everything that is wanted in the workplace. But, it doesn’t need to be like that – here are some simple tricks to making the most out of a tight budget:

  • Offer competitive non-salary benefits. Make up for a lack of monetary incentives with benefits catered towards the employee’s needs. Offering childcare support, flexible schedules, office space, remote working opportunities and other chances for employees to feel valued is a great alternative that does not require salary-impacted benefits – rather, focus on employee work-life balance.
  • Focus on what’s important. There are items that can be considered “must-haves” that will make a huge difference in the day-to-day work life. Prioritizing items that are “must-haves” versus the “nice-to-haves.” Do this by ensuring the expenses are worth every penny.
  • Forecast – it’s vital to a healthy workplace budget. Keep in mind that staffing will change in the next year whether you see it coming or not. It is important to plan for these changes and leave a bit of budgetary room available to account for those changes, especially considering employee compensation.
  • Understand that you will not always be right. Whatever compensation package is offered, it is never going to be the best thing for every employee, and that is okay. Realize the biggest factors that will lead to company and employee success. One of the best ways to show appreciation for employees is fair compensation, so focus your attention on the benefits that will make the biggest impact for the largest number of employees.