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Deviation in Performance results in the inability to attain our predetermined objectives, which in turn leads to criticism from stakeholders and other severe repercussions.
Individual employee goals not aligning with the organization's overarching objectives is one reason for the inability to meet Performance objectives.
The occurrence of Performance Alignment ensues when actual Performance coincides with expected Performance.
Expected Performance occurs when a person's actions produce the desired results or outcomes.
In Performance Alignment, Employee Performance is crucial.
Performance Alignment entails ensuring that all employees within an organization are systematically working towards the organization's objectives.
Performance Alignment occurs relatively naturally in compact organizations. Growing organizations face the challenge of being unable to work closely with all employees, which can lead to misalignment with the organization's larger vision and objectives.
People typically do not stray from organizational objectives on purpose; the fact is that it requires a great deal of conscious effort to maintain alignment in a small or large organization.
In this regard, Performance Alignment differs from Performance Management. Although Performance Alignment and Performance Management are highly intertwined, their objectives and mentalities are distinct.
- Performance Management is associated with Productivity and the attainment of Performance objectives.
- The Performance Alignment Mindset is concerned with how the team's efforts align with the organization's long-term goals and broader vision.
- Performance Management mindset is supported by training that emphasizes tangible skills, enhanced and effective Productivity.
- In Performance Alignment, emphasis is placed not only on the team's performance, but also on whether they are operating in the correct area.
Performance Alignment is influenced by 6 important factors that relate to both individual and group Performance.
- Clarity
- Commitment
- Competence
- Cooperation
- Connections
- Circumstances
All 6 factors portray individuals as "living control systems" who are goal-oriented and strive to align their perceptions and expectations.
Let's delve somewhat deeply into the specifics of these factors.
Clarity
Clarity involves determining what the success variable is and what its value must be to be considered a success.
Individuals who exercise control compare their perception of the current state to their vision of the desired state.
Commitment
Individuals who function as "living control systems" are committed to the outcomes they have established for themselves.
If the desired outcome is determined by the supervisors, the performers may not have the same level of commitment as those who have invested into the outcome. Both managers and employees should take measures to ensure sufficient commitment.
Commitment consists of 2 conditions: the contribution of outcomes to broader objectives and the positive equilibrium of consequences.
Competence
Competent individuals can adapt their behavior based on the situation in order to achieve consistent results.
This adaptability enables them to achieve reasonably consistent outcomes under varying conditions.
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Performance Management (also known as Strategic Performance Management, Performance Measurement, Business Performance Management, Enterprise Performance Management, or Corporate Performance Management) is a strategic management approach for monitoring how a business is performing. It describes the methodologies, metrics, processes, systems, and software that are used for monitoring and managing the business performance of an organization.
As Peter Drucker famously said, "If you can't measure it, you can't improve it."
Having a structured and robust Strategic Performance Management system (e.g. the Balanced Scorecard) is critical to the sustainable success of any organization; and affects all areas of our organization.
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