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  • Writer's pictureSimao Almeida

How to implement a performance assessment system in an organization?

Updated: Nov 18, 2018

What should be considered in the implementation of a "performance assessment system"?

Performance Assessment System by Simao Almeida
Performance Assessment System

Performance evaluation is a permanent activity and not a single moment.

The performance evaluation starts with a preparation or structuring that results in the definition of strategic objectives in the short, medium and long term.

With the strategic objectives defined, it is necessary to define and agree on the overall objectives and their operational support objectives.

It is important that the definition or revision of these objectives are made annually, however, periodic follow-up and "questioning" is recommended:

  1. Monthly, for all that affect operational management,

  2. Quarterly, for all that affect tactical management

  3. Every six months, for all those who affect strategic management.

The periodic cycle of implementing the performance assessment system involves the following activities:

  • Plan and implement

  • Monitor, report and analyze

  • Review and correct.

Key moments in implementing the performance assessment system and its activities

1. Strategic Alignment

The strategic alignment consists in knowing and understanding the mission and vision of the organization with the purpose of knowing the business in detail.

It also controls the objectives defined by the strategy, namely to know the calculation formula and to know what positively and negatively influences the creation of value.

Knowing the organization's "modus operandi" allows the identification of key activities and answering questions such as, What is the value chain? What are its components and how do you arrive at each result?

2 . Implementation of management support dashboards

For the construction of dashboards - control panels - it is necessary to identify metrics and responsibilities. This responsibility motivates, and motivation is the driving force of excellence.

The indicators in the dashboard allows you to understand the level of compliance with the agreed objectives.

The main advantage in "agreeing" goals is commitment, i.e., when someone has to decide gets committed and this commitment is the guarantee of success!

Monitoring and tracking results is also part of the implementation. Monitoring key indicators allows you to act and influence timely results.

3. Align and control results

 The control goes through the detailed analysis of results, allowing to identify trends that anticipate the future: forethought!

Correcting the trajectory, through the revision of objectives, improves the effectiveness and efficiency of the activities. Note: Only for tangible purposes.

It is essential that cyclically "return" to the monitoring and control of results to give motion to the cycle of continuous improvement.

Monitoring key indicators allows you to act and influence results.

The implementation of a Performance Evaluation Process is a strategic project, organic and transversal to all areas of an organization.

Commitment to top management and management is critical to project success.

The definition of metrics and goals is an activity that transcends all business areas and involves the various operational levels because it is an activity that changes habits and customs.

 Change management is an integral part of a performance assessment project, communicating implementation progress and defining and reviewing quick wins, critical success factors.

I should only be evaluated for something that I influence, I am responsible and that I commit myself to achieve.

#assessment #performance #evaluation

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