4 Challenges in Employee Performance Management and How to Overcome Them.

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Overcoming Challenges in Employee Performance Management

Overcoming Challenges in Employee Performance Management, According to HR Experts

Posted on 03 October 2023 in Business | Suki Bajaj


Managing performance effectively is a critical aspect of HR, but it comes with its own set of challenges. To help you navigate these obstacles, we gathered insights from HR professionals and business leaders across the globe.

Discover the top four challenges and solutions, from offering alternative compensation forms to gamifying the feedback process!

Offer Alternative Compensation Forms

Recruiting and retaining skilled talent is a constant challenge in today's highly competitive job market.

To gain an edge, one approach is offering alternative forms of compensation; for instance, offering childcare or stock options as part of the total employment package. This type of compensation positions a company as an employer of choice for people who may value these benefits more than a standard salary package.

Furthermore, HR professionals can ensure that businesses are staying up-to-date on strategies being used by other companies. That way, they can adjust their current recruitment methods accordingly and remain competitive in attracting top talent.

Grace He, People and Culture Director, TeamBuilding

Track Long-Term Goal Efforts

Some employees may work on long-term goals that may not show any results within a single quarter. As many companies measure success quarterly, this can be difficult for HR to assess performance.

In these cases, it's important to track all efforts made in the future attainment of the goal to ensure the employee isn't simply twiddling their thumbs, and then once the goal is reached, assess the merits of those efforts.

Jarir Mallah, HR Specialist, Ling App

Emphasize Regular Feedback

Regular feedback is a key tool in clarifying and reinforcing performance expectations. It creates an ongoing dialogue between managers and employees, allowing both sides to understand and align on goals.

With timely feedback, employees can promptly correct course if they veer off track, avoiding surprises during formal evaluations. It also helps managers identify if their expectations are realistic and attainable. Essentially, regular feedback turns performance management from a static, once-a-year event into a dynamic, iterative process that fosters understanding, growth, and productivity.

This continual communication loop is essential in setting and upholding clear, measurable expectations, thus driving performance success.

Teresha Aird, Chief Marketing Officer and HR Lead, Offices.net

Gamify the Feedback Process

While feedback is crucial for the improvement of employees, it often backfires. Even if the manager is trying to give constructive criticism, the slightest miscommunication can make the entire experience demotivating and create bitterness between the two.

Both things then severely impact performance and bring productivity down.

To solve this, companies can gamify the process, where employees will have a visual representation of their deliverables and how much they can achieve. This will leave no room for miscommunication, and employees will also realize when they are lacking, with no one else telling them.

Also, visual representation and gamifying will make the process less daunting and more exciting. It will also cut the need for managers to constantly check on their subordinates and reduce tension in their relationships.

Shilpa Kabre, Senior Talent Acquisition Manager, WebPipl

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