This piece was first published in the latest edition of Performance Magazine. Andrea Minelli is the head of Professional Services SEA and a trainer and Performance Management Consultant at The KPI Institute. Andrea shared his views on the question “What Are the Success Factors of a Corporate Performance Management Implementation Process?”

A performance management system (PMS) implementation is not an easy feat regardless of the maturity of their implementation SOPs and the capability of those individuals guiding the implementation exercise. The success rate of a PMS implementation is highly dependent on the degree of buy-in of the members of the organization regardless of whether the member is involved in the implementation per se of the framework or if they will be appraised using the mentioned system. 

Such buy-in or organizational support towards the framework can be secured via continuous and transparent knowledge-sharing sessions. We explain to all members the motivation of the implementation and the desired outcomes. We train all allocated members in raising their knowledge and awareness towards the technicality of the framework (the specificity of these training should be customized as per the audience). 

For instance, the implementation team, which is generally members of the departments of Strategy Execution, Performance Management, Quality Assurance, or Organizational Excellence, will have a more in-depth technical preparation with respect to a non-PMS-implementation member. 

Such knowledge-sharing sessions aim at upskilling those members involved in applying standardized practices related to Strategic Planning and Execution, selection of Performance Measurement indicators, such as KPIs, at different organizational layers, and above all, proper cascading/alignment practices for Strategic and Performance Management matters. 

Last but not least, it is relevant to remember that the implementation of all the mentioned practices requires not only informed, skilled, and capable individuals from specific departments of the organization, but a proper dedicated governance framework that will foster and assist both the implementation team and all the members of the organization. Crucial support is required by Top Management and BoDs members pre-during and after the PMS framework is in place. 

There is no one-size-fits solution as organizational readiness, both technical and human-wise, play a big role in the PMS success. A governance-led standardized implementation approach will provide the foundations of success though.

Andrea Minelli facilitates the Certified Performance Management Professional Live Online Course of The KPI Institute. Stay tuned to The KPI Institute’s LinkedIn official page for the upcoming schedule and learn more about the Certification in Performance Management here.

A high-performance culture is characterized by behaviors and norms that allow organizations to achieve outstanding results and superior performance. 

Citing the book “Leadership in High-Performance Organizational Cultures” by Stanley Truskie, the University of Ottawa states that organizations with a high-performance culture experience financial and non-financial success at the same time. Some examples of non-financial success are employee retention, customer satisfaction, competitiveness, and innovation. 

How can leaders build and sustain a high-performance culture? Vibhas Ratanjee, Senior Practice Expert — Organizational and Leadership Development at the analytics and advisory firm Gallup, stated that there are five cultural drivers of such culture. He emphasizes that leaders must know how to communicate clearly and consistently to help employees understand what is expected of them. In addition, identifying values and rituals guides employees in interacting within the organization and resonates with how they deal with clients. 

Ratanjee points out the need to establish and optimize work teams and structures. Work Gallup’s findings show that how employees perceive work structure has an impact on their engagement. Another driver is the development of a company’s human capital. He suggests that managers must hold coaching sessions that drive performance “based on how each person is enabled to use their own unique abilities.” 

The final cultural driver is performance management. One of Gallup’s recommendations is to invest in hiring high-performing managers. “Investment in managers is critical. They account for 70% of the variance in team engagement but an alarming 65% of managers are not engaged or are actively disengaged.”

Cristina Mihăiloaie, Business Unit Manager and Performance Management Consultant at The KPI Institute, wrote in her article on performancemagazine.org that embedding performance within an organizational culture impacts both internal and external stakeholders. 

For internal stakeholders, it can increase accountability regarding the quality of their work and establish their role and contribution to the organizational strategy. For external stakeholders, it means positioning the organization as a trustful and reliable partner, enhancing customer experience, and improving employer brand and market image.

If you would like to learn more about how to nurture a performance culture and manage your organization’s performance in different scenarios, join The KPI Institute’s Certified Performance Management Professional Live Online Course on 20 – 24 February 2022 (EMEA: 09:00 – 13:00 GST and ASEAN: 13:00 – 17:00 GMT +8). 

The 40-hour course will discuss the ins and outs of a performance management system architecture, the fundamentals of performance review meetings, and how to use data to enhance the decision-making process. 

Do not miss this opportunity to gain knowledge, practical experience, and a chance to connect with a community of industry experts and professionals. Invite your colleagues and sign up here.