Does Your Team Waste Time or Money?

In my journey as an author, business coach, entrepreneur, and manager, I've discovered that performance management is a vital element in fostering a productive and happy team.

This article shares six key learnings that have helped me shape high-performing teams, applicable not just in business but in various aspects of life.

1. The Goal: Everyone is a Top-Performer (in Their Role!)

One of the primary goals of performance management is to support everyone to excel in their role. Performance can only be measured when there is a clear agreement about the role, including measurable goals and KPIs. This agreement can take the form of a job description or scorecard, and should include well-formed goals, such as those in OKR format.

2. Performance Equals Work Over Time

In the world of physics, performance is defined as work done over time. For teams, work can be broken down into three components: scope, quality, and cost. Understanding and managing these components allows us to measure and enhance performance effectively.

3. Review All People

Regular reviews are crucial. Performance is assessed based on the agreed metrics, while values-fit with the team culture and potential for future roles are also evaluated. It's important to distinguish that values-fit and potential are not performance; they are complementary metrics that support overall team dynamics and long-term growth.

4. Develop All People

Development opportunities are key to maintaining engagement and motivation. This can involve training, stretch assignments, lateral moves, or promotions. By investing in development, team members prepare for new challenges and continuous growth.

5. Personal Development Plan

Each person is responsible for their own development plan. With input from managers and peers, individuals create and execute plans that align their personal aspirations with the team’s goals. This empowers everyone to take charge of their own growth.

6. Repeat with a Rhythm

Consistency is essential. We create a rhythm that sustains performance and development by regularly revisiting the steps from reviewing to learning. Trusting this process ensures continuous improvement and adaptation.

Strengthening a team through these principles leads to both success and happiness. A well-managed team is productive and fulfilled, contributing to a positive and dynamic work environment. When teams score low on these traits, motivation decreases, inefficiencies arise, and turnover rates increase, underscoring the importance of deliberate performance management.

Who among you is already practicing performance management? Do you need it in the first place? What could be the most useful thing to improve?

Contact Me

If you’d like to have a personal conversation about enhancing your team’s performance, feel free to reach out.

Together, we can explore strategies tailored to your unique needs to turn your team into a high-performing unit.