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How can you incorporate strategic thinking into performance evaluations?

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Performance evaluations are a crucial tool for developing your employees and aligning their goals with your organizational vision. However, many managers focus on measuring past results and current competencies, without considering how to foster strategic thinking and future-oriented skills. Strategic thinking is the ability to analyze complex situations, anticipate opportunities and challenges, and make informed decisions that align with long-term objectives. It is a vital skill for leaders and innovators, and it can be cultivated through coaching and feedback. In this article, you will learn how to incorporate strategic thinking into performance evaluations, and how to use them as a catalyst for learning and growth.

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Mandi Morgan

Executive Leadership Coach | Key Note Speaker | Dale Carnegie Certified Trainer | EMBA, Performance Improvement and…

1 Define strategic thinking

Before you can evaluate your employees' strategic thinking skills, you need to define what they mean for your organization and your role. Strategic thinking is not a one-size-fits-all concept, and it may vary depending on your industry, context, and objectives. For example, a strategic thinker in marketing may have a different focus and approach than a strategic thinker in finance. Therefore, you need to clarify the expectations and criteria for strategic thinking in your team, and communicate them clearly to your employees. You can use a framework such as SMART (Specific, Measurable, Achievable, Relevant, and Time-bound) to set goals and indicators for strategic thinking, and align them with your organizational vision and mission.

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Mandi Morgan

Executive Leadership Coach | Key Note Speaker | Dale Carnegie Certified Trainer | EMBA, Performance Improvement and Business Growth
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Incorporating strategic thinking into performance evaluations involves assessing an individual's ability to align their goals with the organization's long-term objectives. Assessments on core competencies such as Adaptability, Change Management, Critical Thinking, Innovation, Problem Solving, Decision Making, & Strategic Agility can help evaluate their capacity to analyze complex situations, anticipate trends, make informed decisions that contribute to overall strategic success. In addition, consider how well these individuals adapt to changing circumstances, identify opportunities, and contribute innovative ideas. Integrate these strategic priorities into daily tasks and the impact of their actions on the broader organizational strategy.

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Robert Barber, Developing Exceptional Leaders

Human Capital Advisor | Leadership Trainer | AI for Leaders | HR Exec. | Entrepreneur | Exec Coach | Strategic Planner | SHRM Cert Provider | Best Selling Author | Univ Professor | Speaker | EE Engineer
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I'd add that once defined, incorporating continuous feedback and development opportunities is key. Encouraging employees to reflect on their decisions and learn from both successes and setbacks fosters a growth mindset. It's also beneficial to integrate cross-functional collaboration, where employees can apply strategic thinking across different areas, broadening their perspective and impact. Regularly revisiting and adjusting the criteria based on evolving organizational goals ensures the strategic thinking framework remains relevant and effective.

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2 Assess strategic thinking

Once you have defined strategic thinking, you need to assess how your employees demonstrate it in their work. You can use various methods and sources to gather evidence of strategic thinking, such as self-assessments, peer feedback, customer feedback, project outcomes, and behavioral observations. You can also use specific questions and scenarios to test your employees' strategic thinking skills, such as asking them to identify the root causes and implications of a problem, or to propose alternative solutions and strategies for a situation. You should look for indicators of strategic thinking, such as critical thinking, creativity, foresight, adaptability, and alignment.

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Robert Barber, Developing Exceptional Leaders

Human Capital Advisor | Leadership Trainer | AI for Leaders | HR Exec. | Entrepreneur | Exec Coach | Strategic Planner | SHRM Cert Provider | Best Selling Author | Univ Professor | Speaker | EE Engineer
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Building on this, I believe it's crucial to contextualize the assessment within the broader business environment. Linking employee strategic thinking to tangible business outcomes can provide a clearer picture of its impact. Encouraging reflective practice where employees analyze their strategic decisions in light of business results can deepen their understanding and application of strategic thinking. Additionally, incorporating case studies and role-play scenarios in evaluations can simulate real-world challenges, further sharpening their strategic skills.

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3 Provide feedback on strategic thinking

After you have assessed your employees' strategic thinking skills, you need to provide them with constructive feedback that highlights their strengths and areas for improvement. You should use the feedback as an opportunity to coach your employees and help them develop their strategic thinking skills. You can use the GROW model (Goal, Reality, Options, and Way forward) to structure your feedback and coaching conversation, and to help your employees set goals and action plans for improving their strategic thinking. You should also use positive reinforcement and recognition to motivate your employees and acknowledge their achievements.

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Robert Barber, Developing Exceptional Leaders

Human Capital Advisor | Leadership Trainer | AI for Leaders | HR Exec. | Entrepreneur | Exec Coach | Strategic Planner | SHRM Cert Provider | Best Selling Author | Univ Professor | Speaker | EE Engineer
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Excellent approach to feedback using the GROW model. In addition to this, emphasizing continuous learning can further enhance strategic thinking. Encouraging employees to seek diverse perspectives and stay informed about industry trends can broaden their strategic horizons. It's also beneficial to facilitate mentorship programs where they can observe and learn from others' strategic thinking processes. Lastly, creating a culture that values questioning and curiosity can stimulate innovative and strategic approaches, driving both personal and organizational growth."

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4 Monitor and support strategic thinking

Finally, you need to monitor and support your employees' progress and performance in strategic thinking. You should follow up on their goals and action plans, and provide them with ongoing feedback and guidance. You should also create a supportive and conducive environment for strategic thinking, by encouraging collaboration, learning, innovation, and risk-taking. You should also model strategic thinking yourself, by sharing your insights, perspectives, and decisions with your employees, and by involving them in strategic planning and problem-solving.

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Robert Barber, Developing Exceptional Leaders

Human Capital Advisor | Leadership Trainer | AI for Leaders | HR Exec. | Entrepreneur | Exec Coach | Strategic Planner | SHRM Cert Provider | Best Selling Author | Univ Professor | Speaker | EE Engineer
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Great points on monitoring and support. It's equally important to establish metrics and KPIs to quantitatively track progress in strategic thinking. Regular 'strategic review' meetings can be a platform for employees to showcase their strategic projects and receive real-time feedback. Additionally, integrating strategic thinking into the core values of the organization can reinforce its importance. Encouraging cross-departmental projects can also offer employees a broader scope to apply and enhance their strategic thinking skills, fostering a more interconnected and strategically aligned workforce

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5 Review and revise strategic thinking

As a leader, you should also review and revise your own strategic thinking skills and practices, and how they affect your performance evaluations. You should seek feedback from your employees, peers, and superiors, and reflect on your strengths and weaknesses in strategic thinking. You should also update and adjust your goals and indicators for strategic thinking, based on the changing needs and challenges of your organization and your role. You should also seek opportunities to learn and improve your strategic thinking skills, by reading, networking, mentoring, and taking courses.

Strategic thinking is a key skill for leaders and employees in the 21st century, and it can be enhanced through performance evaluations. By incorporating strategic thinking into performance evaluations, you can help your employees develop their potential, align their goals with your vision, and achieve better results for your organization.

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6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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How can you incorporate strategic thinking into performance evaluations?

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2

3

4

5

6

1 Define strategic thinking

2 Assess strategic thinking

3 Provide feedback on strategic thinking

4 Monitor and support strategic thinking

5 Review and revise strategic thinking

6 Here’s what else to consider

Leadership Development Coaching

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How can you incorporate strategic thinking into performance evaluations?

1

2

3

4

5

6

1 Define strategic thinking

2 Assess strategic thinking

3 Provide feedback on strategic thinking

4 Monitor and support strategic thinking

5 Review and revise strategic thinking

6 Here’s what else to consider

Leadership Development Coaching

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感谢您的反馈

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