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What Can Performance Management Software do for My Business?

what can a performance management system do for my business
Daphne Blake

By Daphne Blake

Find Out How A Performance Management System Can Help Your Company

Implementing performance management software can significantly improve employee performance, productivity, and engagement. In this article, you will find out how to set one up and use it effectively.

What is Performance Management Software?

An important part of managing any successful company is finding a balance in all things. You want excellent profits and happy employees, so you need to have tools at your disposal that get the results you need. That's precisely what performance management software does. The goal of a performance management system is to promote employee effectiveness and efficiency while curbing bad habits and wasted time. It's a combined effort between specific employees and management, and can also be used department-wide. Rather than a one-time meeting, a proper management system uses an ongoing process of checking in, adjusting expectations, and setting goals. Traditionally done on paper and in person, this critical tool for business success has recently been given a digital makeover.

Modern performance management offerings include an array of software options for a long list of devices. The best ones will utilize cloud technology which will allow you to use them on multiple devices, no matter where you happen to be. Being able to check on your staff even while you're not in the building is a major benefit to performance management software. That eliminates the lag time between staff activities that you want to reward or discourage and your response since you can see it all in real-time and react on the spot.

Keep in mind that the performance management system isn't always about working with employees that aren't performing well enough. Many companies routinely use these systems to reward excellent employees, too. But we're getting ahead of ourselves. Let's look at some of the best features of good performance management software and how it can help improve your company's productivity.

Setting Expectations

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Step one to a great performance management system is to evaluate the employee and discuss your findings. You should always mention the good points, of course, but the main goal of a performance system is to help struggling employees do better. Setting goals for your employee is the best way to start. Don't forget to listen to their feedback on those goals, too. You may even wish to ask them why they think they're struggling. That answer could give some much-needed insight, and it may even change your goals a bit. For employees that are doing well, you can still set goals and help them find ways to reach those goals.

Task Lists and Assignments

A good performance management system includes a detailed task list for your employee, laying out their assignments and your goals. Using the management system software, you can update this task list at any time, add notes, and even change the list altogether. The key feature of the task list is to help your employee stay on track and follow protocols, keeping your goals in mind. Those goals can be better time management, a certain number of tasks checked off per shift hour, or any other metric you'd like to set. Keep the goals realistic and fair, and be sure to listen to your employee's feedback, too. Keep an eye on the staff member's task list each day, seeing how they handle each situation and if they're efficient. Provide feedback in a timely manner so they can correct poor performance right away. Real-time updates are essential for this step so you and your employee can have a way to communicate without disrupting the other staff members.

Training Manuals and Files

Whether your goal is to help a struggling employee improve or to reward an exemplary employee for a job well-done, you need to be sure you have suitable and helpful training materials available. Staff members should always feel comfortable approaching you or a supervisor for help and questions, but it is also helpful if you provide ways for your employees to get answers on their own. This speeds up the answer process, resulting in faster improvement, and it adds a level of responsibility to employees, helping them feel connected and accountable. Nobody likes to feel helpless, so give your employees the tools they need to help themselves. A good performance management system will include a way for you to store important training files such as videos, text files, pictures, and notes with explanations and tips for success. If that information is available on a mobile device, your employee can also access it at home where they are more relaxed and ready to absorb the information.

Provide Support and a Way to Communicate

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Telling an employee what to do and then walking away is a great way to damage your reputation, your employee's confidence, and your bottom line. Instead, follow-up with your employee, keeping the lines of communication open. Give them a way to talk to you, ask questions, and get feedback from you without having to come face-to-face in your office. Using a mobile productivity app with built-in communication tools is an excellent way to accomplish this. It's mobile and multi-platform compatible, so your staff member can download it to their phone and stay in touch whenever they need a boost. You can send encouraging messages and let them know you've seen their progress and that you're pleased. If they are struggling, you can also share tips and suggestions to help them do better. Being able to communicate is a vital part of the performance management system, and that means communication both ways.

Why Do You Need Performance Management Software?

Some people may look at the steps involved in developing a good performance management system and wonder if it would be easier just to fire a troubled employee. While it's certainly an option, think about how much more money you'll lose by having to interview, hire and train a new team member to replace them. What about the costly mistakes every new employee makes? Then there are the legal repercussions if you hadn't checked those before letting the employee go. When you look at the cost of replacing an employee compared to the cost of helping him or her improve, you can clearly see the benefits of sticking with them. Besides, most productivity apps already widely used in today's businesses are already set up to be used as part of a great performance management system, which means most of the work is already done for you.

We've got more information on productivity apps that can help employees perform better. We especially like this article about everyone's least favorite job, inventory day

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