We are heading toward the end of the year, and soon the end-of-year business evaluation process will kick in. Are we on track? Will we achieve the outcomes planned? Yes? No?
When the answer is no, naturally the next question is “why?” and invariably “we need more people” is given as the reason. But is that really the problem?
Business performance doesn’t depend on quantitative, headcount measures alone. Simply having more people to do the job doesn’t necessarily translate to work well done. What’s often overlooked in performance evaluation is the qualitative part. This part is quite complicated, with some considerations flowing into the problem, such as below.
Do we have the right people to do the job?
There are various reasons why the people joining our team end up not being the right people for the job. Sometimes hiring mistakes happen, and at other times, people get transferred internally without proper assessment of their suitability. Hence, we have a sufficient headcount but with suboptimal performance.
All is not lost though, so don’t go into firing mode yet. There are ways to support and coach these people so that they can adjust to their roles better, for example, with on-the-job training, peer pairing and having regular feedback sessions. The hand-holding may require extra effort but retaining and properly retraining talent might pay off better than hiring new staff.
While we are at it, don’t forget that there are still issues with how these people got recruited to the team in the first place. Therefore, put it in the agenda as well to improve hiring and internal transfer practices.
Do we provide proper tools for them to work?
Imagine the struggle of doing complex project management with simple spreadsheet or peeling fruits with a butcher’s knife. Tools selection is often underestimated at work, with decision-makers perhaps choosing the cheapest ones instead of the most appropriate ones.
The next step after tool selection is user training. People must know how to use the tools to obtain optimal performance. Even the best tools available are useless unless users can operate them well. Worse, inappropriate use of certain tools may lead to injury.
Lastly, tools are not limited to software or machinery. standard operating procedures (SOP), checklists and other types of frameworks can also be considered tools which enable people to perform well at work. These documents must be regularly reviewed, updated and circulated to stay relevant with business.
Do we sufficiently motivate and reward them?
Creating a culture of recognition and appreciation is not only important for motivating staff but also critical to overall company success. This is particularly key when organizations grow or change.
Companies can use both positive amplification and negative amplification to motivate staff. Positive motivation techniques can be used to persuade staff to create good quality work while negative motivation techniques to discourage staff from having undesirable behaviors. Additionally, apart from recognizing what the staff have achieved in the workplace, companies can motivate them further by acknowledging their achievements outside of work.
Rewards come in two types: extrinsic and intrinsic. Extrinsic rewards are tangible rewards that staff receive for their good performance, such as bonuses, salary raises, gifts, promotions, compensation and commissions. On the other hand, intrinsic rewards are meant to provide personal satisfaction to staff, such as information, feedback, recognition, trust and relationships.
The qualitative side
Sorry, but a bigger headcount will not automatically lead to better results. In order to improve business performance, the qualitative side must catch up with the quantitative game. Enabling people to do their job well is as important as the number of people onboard.
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