Traditionally, the goal performance feedback provided by your organization’s HR department specifically spoke to individual employees. Being able to tie employee performance directly into the organization’s strategy could help to make fully informed strategic decisions. Additionally, when employees are able to tie their performance goals back to the company’s strategy, they are better able to see how their work directly impacts the company’s performance.
In many organizations, employees are simply unaware of their company’s strategic goals. A study in 2001 indicated that less than 10 percent of employees were fully aware of their company’s strategic goals. Employees are more productive, more engaged and are more successful when they understand how their goals directly impact the organization. Therefore, it is important to set performance goals that employees can directly tie into the organization’s performance.
Cloud based HRIS systems, such as SuccessFactors, have the ability to create performance management systems that are directly tied into the organization’s strategic vision. These types of programs are able to put the focus on your company’s greatest asset, the employees. By aligning goals with the company’s strategic focus, and reporting on those goals, the organization can have a clear line of sight into how each employee is impacting the organization. This can be accomplished through:
Performance management should begin with the organization’s strategic goals. Employee goals should be “SMART” and directly tied to one of the organization’s goals. SMART goals are:
The performance management system utilized in a HRIS system is specifically designed to do this, providing feedback and visibility in a number of ways, including across departments, within reporting levels, and by strategic goal. This ability ultimately impacts the organization's performance and bottom line.
AltaFlux Corporation is a global HCM cloud consulting partner based in Troy, Michigan. We empower organizations by streamlining, transforming, and optimizing key human capital management (HCM) processes with industry-leading HCM cloud solutions like SAP SuccessFactors, Benefitfocus, WorkForce Software and Dell Boomi.