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02.11 – Recap

02.11 - Recap
So next time you’re faced with a need to evaluate the quality and the robustness of your performance management system, I propose you consider the following six questions. First is, are you measuring the right outcomes and behaviors? And here it’s important to realize that the performance dimensions, the competencies, the skills, the behaviors we’re measuring have to be aligned with the vision and the strategy of the organization and your team.
Secondly is, does the process produce reliable results, especially if multiple raters are involved? In the context of 360s, we discuss some of the key ways to analyze reliability of the data when it’s applied by multiple raters. Can the process differentiate between low and high performers, and are there clear reinforcements for high and low performers? Keep in mind here the central tendency error and the leniency error, which often prevents us from differentiating top performers from not so top performers. Do both high and low performers change their behavior in response to evaluation and feedback? And what are the risks of your performance management system?
Here it’s useful to think about the typical rater errors, as well as the stereotypes that can permeate any performance evaluation process. But it’s also useful to think about the structural risks embedded in your performance evaluation system. So for example, to deal with central tendency and leniency errors, it is tempting for us to jump to these very radical solutions in terms of implementing a forced curve or a forced peer ranking, to double down on that blue segment, to get those evasive performance gains. But recognize that installing a comparative rating system can significantly compromise your ability to foster teamwork in your organization and your ability of employees to build positive, productive working relationships.
Thanks so much for staying with us. I look forward to seeing you in the next course.
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