In 2016, an increasing number of businesses ditched annual reviews for frequent check-ins and ongoing performance management. 2017 will see employee development strategies change even further, and businesses will use new information and technology in unique ways to help their staff succeed. Here are the performance management trends to look out for in 2017:
Data and Machine Learning Will Improve Feedback
Businesses have long used big data to make strategic marketing and sales decisions. In 2017, many will turn their use of data inward, evaluating employee information to better provide feedback.
Unfortunately, recognizing good day-to-day performance often falls by the wayside. When employees aren’t commended on a job well done, even for small tasks, their engagement suffers. Companies with highly engaged employees outperform the competition by 147 percent in earnings per share, according to Gallup, and 87 percent of the workforce isn’t engaged. As such, your business likely can’t afford to have any employees feel disassociated from your company.
Thankfully, in 2017, machine learning will give managers a better understanding of when and how employees like to receive feedback, increasing their engagement. For example, the BetterWorks’ Work Graph reviews how individuals communicate and use the BetterWorks software, then prompts managers and team leaders to provide feedback, coaching or recognition when people do a good job.
Visibility Will Help Employees Feel Involved and Aligned
Employees value transparency in their employers. They see it as a sign of trust, and understanding goals across the company shows them their value within the business.
However, a recent BetterWorks survey found 64 percent of employees believe their company leaders aren’t transparent about their goals, despite the fact that such visibility encourages many to work harder. In addition, only 32 percent of women and 25 percent of men understand how their performance affects the company.
In 2017, we can expect to see more employees seek transparency from their employers through the use of solutions like goal-setting software. These applications let employees see the objectives of their peers, leaders and the business as a whole.
Professional Training Will Increase Engagement and Reduce Turnover
As millennials take up more of the work force, business practices will mold to their preferences. A Gallup survey of this generation confirmed the commonly held belief that millennials are notorious job hoppers, but the reasons why weren’t what people expected. Contrary to popular opinion, millennials aren’t averse to working hard. Rather, they want a job that supports them and provides numerous career opportunities. Eighty-seven percent of millennials said professional development opportunities were important to them when considering a job. Those who were granted these opportunities planned to stay with their jobs.
However, only 39 percent of this generation said they learned a new job-related skill within the past month. In addition, 93 percent said they left their previous employer to gain a new role or title.
Businesses will likely take note of the desire and adjust their practices accordingly. Providing career development and training opportunities will become central to a company’s goals, keeping staff engaged and employed.