CLIENT CASE STUDY - How PeopleCentriX fostered people success through a future-fit performance management framework.
FinCorp, a leading financial institution, recognised the need to enhance its performance management system to drive individual and team excellence while providing real-time insights for leaders. To address this challenge, FinCorp partnered with PeopleCentriX to revamp the performance management framework and achieve tangible outcomes.
FinCorp encountered several challenges associated with the traditional approach to managing performance, hindering its ability to foster a culture of excellence. The key challenges identified were as follows:
Inaccurate and Delayed Performance Data
Under the existing approach, the process of collecting and analysing performance data was time-consuming and prone to errors. This resulted in delays and inaccuracies in evaluating employee performance, impeding the organisation's ability to make informed decisions based on reliable data.
Limited Ongoing Feedback and Development
The traditional approach focused on infrequent performance reviews, providing limited opportunities for ongoing feedback and development. This approach hindered employee growth and engagement by creating a disconnect between performance discussions and day-to-day work, ultimately impacting motivation and productivity.
Limited Visibility into Performance
Leaders at FinCorp faced challenges in gaining real-time visibility into employee performance. The absence of reliable data gathering and analysis mechanisms made it difficult to track progress, identify areas for improvement, and make informed decisions to drive performance effectively.
Ineffective Recognition and Rewards
The traditional approach to recognition and rewards lacked accuracy and transparency. Without access to timely and accurate performance data, leaders struggled to make fair and consistent decisions regarding recognition and rewards, potentially leading to demotivation and a perception of unfairness among employees.
To overcome these challenges, PeopleCentriX collaborated with FinCorp on a comprehensive solution that encompassed the following steps:
Step 1: Voice of the Customer
PeopleCentriX conducted interviews, surveys, and focus groups with leaders, people managers, and employees to gather insights into their priorities, challenges, and needs. This customer-centric approach provided valuable input to inform the redesign of the performance management framework.
Step 2: Framework Design & Prototype
Using the insights gathered from the Voice of the Customer, PeopleCentriX facilitated Strategy Sprints where key stakeholders, including FinCorp's people managers and employees, participated in co-designing the new framework.
The redesigned performance management framework focused on three critical components:
- Fuel Performance. The framework emphasised ongoing feedback and development to drive individual and team performance. It fostered a culture of continuous improvement by providing employees with regular guidance and support to maximise their potential.
- See Performance. Real-time, reliable data gathering and analysis mechanisms were implemented to enable leaders to gain timely visibility into employee performance. This empowered leaders to make informed decisions, identify strengths and areas for improvement, and take prompt actions to drive performance effectively.
- Recognise Performance. The framework guided FinCorp in implementing fair and accurate recognition and reward practices based on reliable data. By aligning recognition with performance outcomes, the organisation motivated employees and reinforced a culture of excellence.
Step 3 - Framework Testing & Validation
To ensure the relevancy of the new performance management framework, PeopleCentriX conducted rigorous testing and stakeholder engagement. The framework was refined and validated to ensure its alignment with FinCorp's strategy and culture.
Step 4 - Framework Activation
PeopleCentriX supported FinCorp in mobilising and preparing the team and stakeholders for the implementation of the new performance management framework. Comprehensive training sessions and change management initiatives were conducted to ensure a smooth transition and successful adoption of the new framework. This step involved communicating the benefits of the revamped performance management approach and addressing any concerns or resistance from employees.
By partnering with PeopleCentriX, FinCorp expects enjoying several significant benefits:
Enhanced Performance Insights
The new framework provided FinCorp's leaders with real-time, reliable data on employee performance. This improved visibility enabled leaders to identify high-performers, track progress, and address performance gaps promptly. As a result, decision-making regarding performance-related actions became more informed and impactful.
Continuous Feedback and Development
The emphasis on ongoing feedback and development in the revamped framework empowered employees to grow. Regular feedback discussions and developmental opportunities created a culture of continuous improvement. It also resulted in better focus on developmental actions resulting from performance assessments, allowing employees to strengthen their skills and capabilities.
Fair and Accurate Recognition
With reliable performance data at their disposal, leaders at FinCorp will be able to make fair and accurate recognition and reward decisions. This transparency in the recognition process will foster a sense of fairness and will motivate employees to strive for excellence.
Better Identification and Preparation of Successors
The revamped performance management framework also enabled FinCorp to identify and prepare successors for critical positions within the organization. Through comprehensive performance assessments and talent development initiatives, potential successors were identified early on, and tailored development plans were put in place to groom them for future leadership roles.
Increased Employee Engagement and Retention
The holistic approach to performance management, including ongoing feedback, development opportunities, accurate recognition, and succession planning, will result in increased employee engagement and retention.