HRO Today December 2019 - 68

Employee Engagement
This fi nding is supported by
independent research from
Deloitte, which found that
organizations with effective
performance management
systems perform 92 times
better fi nancially than those
with ineffective, often annual,
reviews.
...more successfully hold
individuals and teams
accountable
2. They achieve the goals and
priorities of the organization.
Executives want to feel confi dent
that their workforce is focused
on the right things: the activities
and objectives that matter most
to the organization's sustained
success. According to the study,
companies with continuous
performance programs in place
outperformed or signifi cantly
outperformed their established
goals at a 50 percent higher
rate than companies without a
continuous program.
+42%
better at holding
individuals accountable
In a rapidly changing business
environment, a continuous performance review process
ensures that the entire workforce stays aligned with
changing priorities and maintains the transparency
needed to ensure the company progresses towards its
goals.
The research also found that companies that adopt a
continuous performance process are 42 percent more
effective at holding employees accountable and 34
percent more effective at holding teams accountable.
3. They create a more aligned workforce. Employees today
want to know that their work contributes to something
larger than themselves. This sense of purpose comes from
effectively communicating the company's mission and
aligning everyone's work to top company goals.
Companies with continuous performance review
processes are 26 percent more effective at
communicating company goals overall and 23 percent
more effective at aligning their workforce to top
priorities.
Employees want frequent feedback to ensure that
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HRO TODAY MAGAZINE
| DECEMBER 2019
+34%
better at holding teams
accountable
they're headed in the right direction, and more
frequent, ongoing check-ins between employees and
managers are a good solution. Companies with a
continuous process in place are 71 percent more likely
than those without to require their managers to check
in with their reports on goal achievement at least three
times or more throughout the year.
This pays huge dividends in terms of organizational
transparency and improved communication throughout
the organization, with companies that leverage this
approach reporting a 32 percent increase in their ability
to communicate progress towards top objectives across
the organization.
4. They attract and retain top talent. Today's job market
is highly competitive. Unemployment is at its lowest rate
in 50 years and new hires are demanding the highest
average salaries in a decade, according to CNBC. This
situation creates very real costs that can account for as
much as 70 percent of a company's total expenses, fi nds
Paycor. The tough hiring environment makes retaining,
developing, and motivating the workforce mission
critical.
HRO Today December 2019

Table of Contents for the Digital Edition of HRO Today December 2019
