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Performance Management: “Then” vs. “Now” Approaches

Performance management is most organizations’ approach to achieving goals through employees’ actions and behaviors.  Traditional performance management (often the modern day equivalent of management by objective) seeks to be an annual closed-loop process culminating in the annual performance review, the bane of most managers’ existence.

Its underlying assumption is that if management organizes the work, and everyone is accountable for his or her part, the organization will achieve extraordinary results. This is based on a belief that it is all about individual accountability.  In other words, and if we write down employees’ goals and hold them to their piece of the puzzle, the business is bound to succeed. And sometimes they do succeed although it is usually only with small incremental improvements that do not move the needle forward enough.

Performance management isn’t a bad notion, but it has several fundamental flaws:

  • Most organizations’ approach to performance management is so mechanical, disconnected, and impersonal that employees significantly under-engage in the process
  • It holds people accountable for things they usually only have some control over
  • In the absence of relevant concrete measures it often has many “measures” that are based on opinion rather than fact
  • Most goals are measured only by a task due date and do not include a measure for the quality of the completed task because that is viewed as too subjective
  • Lastly, if employees are not solving problems using data-driven root cause analysis,
    no amount of performance management mechanics will improve the customer experience or achieve financial goals

As a result, most traditional performance management outcomes are mediocre and sub-optimized.  For example, according to the Project Management Institute 68% of projects fail.  These results are so “then” and will not create highly competitive and successful organizations.

NOW Management System®

Mass Ingenuity has a much more modern, engaging, and integrated approach to performance management.  The NOW Management System® significantly drives up employee engagement because it enables “every employee to act on every opportunity every time” in order to improve the customer experience, grow revenue, and reduce costs.

Extensive research shows a compelling positive correlation between the level of engagement and customer satisfaction, product quality and profitability. In fact, organizations in the top quartile of employee engagement out earn their competitive peers by 22-28%.

Our system prioritizes, connects, and drives the execution of all work in an organization, ensuring that every resource is focused on the goals and that every human being has the maximum authority to act.  It moves decision making to the lowest level while driving accountability and enterprise-wide transparency.  Especially important is the fact that the NOW Management System® provides ongoing metrics to tell all employees and managers how specific key goals, outcomes, processes, and projects are doing and where early mitigation efforts are needed.

The NOW Management System® approach to performance management is systemic, holistic and highly integrated.  Proven to quickly improve employee engagement and results, Mass Ingenuity’s approach to performance management has achieved as much as 46% increase in process measures and a 68% increase in outcome measures. As one of our CEO clients puts it, “By implementing the Mass Ingenuity management system we have achieved across-the-board results beyond anything we had imagined.”