Without talented and dedicated people, a business is little more than

10 Unexpected a great idea. While this seems obvious, companies didn’t always
focus on employee performance management to stimulate growth

Employee and satisfaction as they do now. Developments in this area over the
last few years have brought this truism home like never before.

Performance Low unemployment rates and a critical need for technological skills
have created a war for talent. As a result, businesses recognize that
to stay competitive, they must find ways to bring out their employees’
Management best performance, by ensuring that they feel a sense of belonging
and purpose. Increasingly, companies realize that to succeed, they

Trends To Watch must create an employee-centric culture and employ the latest
performance trends, because they are able to hire, retain and develop
employees.

For In 2019 For the last three years, our posts on employee engagement and
management trends have been our top performers, showing that
the term consistently resonates with managers, company leaders,
and HR professionals. But employee engagement is really a metric
to understand the success of your overall employee performance
management strategy.

We’ve assembled this list of top trends to help you create or refine
your employee performance management strategy in 2019.
10 Unexpected Employee Performance Management Trends To Watch For In 2019

01.
Finding The Leverage &
Developing Trust
Companies are always looking for ways to improve employee productivity,
and they can learn from high-performing organizations. Companies like

“
Apple, Google, and Netflix are 40% MORE PRODUCTIVE than the
average company by using a mix of employee performance management
strategies that focus on organizational structure and trust-building.

According to research by Bain & Company, the way companies construct

their teams has a major impact on productivity. Apple and Google for The company is telling
example, dedicate 95 percent of their top talent to key business functions, employees, ‘We assume
as opposed to spreading top talent across many areas.
you are not here to rip off
“It took 600 Apple engineers fewer than two years to develop, debug,
and deploy iOS 10,” Bain’s Michael Mankins told Fast Company. “Contrast
the company, and we’re
that with 10,000 engineers at Microsoft that took more than five years to not going to put in place
develop, debut, and ultimately retract Vista. The difference is in the way
these companies chose to construct their teams.”
processes that consume
human capital, waste time,
Mankins also pointed out that extending trust to employees improved
productivity and supported employee growth and development at top and zap energy,”
companies. He said organizational rules and processes often prevent
people from getting things done or improving in their role. Netflix avoids a
common process issue, expense management, by trusting its employees.
The company has no expense policy. Instead, it trusts employees to act
responsibly.

“The company is telling employees, ‘We assume you are not here to
rip off the company, and we’re not going to put in place processes that
consume human capital, waste time, and zap energy,’” Mankins explains.

Look for more companies to mimic the leaders in productivity by

organizing teams to improve output in critical areas, as well as eliminating
some bureaucracy by trusting their employees more.

www.15Five.com | content@15five.com 2
10 Unexpected Employee Performance Management Trends To Watch For In 2019

02.
Continuous
Performance
Management Will
Catch On
Organizations are realizing that the old way of doing performance
management no longer works (something we frequently cover on this blog).
In 2017, Deloitte’s Global Human Capital
Today’s workforce desires authentic relationships between employees
Trends reported that 70% of companies and managers, as well as opportunities for employee development and
were in the process of reinventing their HR advancement. This generation has ushered in the disruptive age of
performance management process. Just a continuous performance management.

year later, 76% of companies surveyed have In the future, expect more organizations to embrace continuous performance
reinvented their performance management to management. As Josh Bersin notes in his article, HR Technology in 2018:

be more continuous.

“
Continuous performance management is
possible, it works, and it can transform your
company. We’re not talking about doing away
with ratings, rather we are talking about
building a new, ongoing process for goal
setting, coaching, evaluation, and feedback.”

Very few software solutions integrate all of the HR Technology tools that
companies need to develop and advance their employees by checking-
in continually throughout the year. Look for continuous employee
performance management solutions that incorporate objective (OKR)
setting and management, weekly feedback surveys, 1-on-1 meetings, and
quarterly reviews.

Continuous performance management software will make it easier for

managers and employees to collaboratively map out career trajectories,
and to provide the coaching and mentoring that people need to become
their best selves.

www.15Five.com | content@15five.com 3
10 Unexpected Employee Performance Management Trends To Watch For In 2019

03. While much attention has been focused on improving employee

Employee engagement, organizations are shifting their focus to improve employee
experience. Even though 83% of HR managers agree that employee

Experience experience is very important to the success of the organization, not

everyone understands what employee experience is.

Continues to It is more than perks and and vacation days, as 15Five co-founder Shane
Metcalf noted in his article in HR Technologist:

Be A Thing
“
The employee experience is the
human experience: the thoughts,
feelings, emotions, decisions and
overall qualitative experience that
anybody has while working at a
company. It’s how someone feels,
the quality of their relationships
and communications and the
level of performance that they are
supported in achieving.”

Creating a positive employee experience requires long-

term commitment, and in many cases, a mindset shift that
cascades from the C-suite down. Instead of focusing on
how to get the most out of employees, leaders instead
consider how they can help employees be their best. This
means equipping people to meet their goals, implementing
effective employee training and development strategies,
and helping employees feel more passionate and creative
about their work. It takes into account how to design work
culture, technology, and the physical environment.

The employee experience concept is gaining traction

and has shown to improve employee involvement and
employer brand commitment. Organizations such as
Facebook, Google, LinkedIn, Ralph Lauren, Adobe, and
Airbnb have made employee experience a key part of their
employee development strategy. Look for more companies
to do the same.

www.15Five.com | content@15five.com 4
10 Unexpected Employee Performance Management Trends To Watch For In 2019

04.
People Analytics Will
Become Essential
People analytics will no longer be a nice-to-have, it will be an
indispensable aspect of running a business.

According to the 2018 Deloitte Global Human Capital Trends

report, 84% of leaders surveyed said analytics was one
of the most important trends. Why? As companies try to
improve their ability to lead people, they are relying on data
to provide insights that can help with issues like productivity
and employee engagement. Regardless of how well-meaning
a company’s performance intentions, analytics can show
what a company’s results really are. This can be a very useful
mirror, particularly when companies want to tackle issues like
diversity and pay equity.

HR is investing heavily in the area of people analytics, Deloitte

reported, with more than 70% of respondents saying they are
currently in the middle of major projects that will help them
integrate data in their decision making. Much of the people
analytics will be fueled by AI and robotics, the Deloitte
report said. AI will become an HR helpmate, identifying and
interacting with recruiting candidates and helping employees
explore career options.

As companies can collect more and better data on turnover,

team interaction, wellbeing, and employee feedback,
managers can make more informed decisions and improve
the overall employee experience.

www.15Five.com | content@15five.com 5
10 Unexpected Employee Performance Management Trends To Watch For In 2019

05. Personalization has become a key part of creating a delightful customer

Increased Focus experience, and organizations will use the same approach in their
performance management efforts. A one-size-fits-all management approach

On Individualized can’t bring out the best in employees because every employee is different.

Workforces are more diverse than ever, with teams consisting of people

Employee from various generations, backgrounds, cultures and locations–with the

increasing prevalence of remote work arrangements. (Gallup last reported
that about 43% of Americans spent some time working remotely, a four

Support percentage point increase from four years earlier.)

Relying on individual data as well as feedback conversations provides

managers the tools for tailoring their performance management system,
curating employee development strategies and customizing other aspects
of work for each individual employee. For example, Eric Lesser and Maria-
Paz Barrientos of IBM write about how personalizing the work environment
can make a difference in their article in Workforce:

“ Some employees are fine working

in open, collaborative spaces;
others are distracted. Giving
employees options where they
work, depending on the task, can
affect short-term productivity and
longer-term engagement.”

In the coming year, more managers will change their

management strategy to take a personalized approach
to motivating individuals to help them meet their
performance goals, which in turn will boosts team
performance.

www.15Five.com | content@15five.com 6
10 Unexpected Employee Performance Management Trends To Watch For In 2019

06.
A Streamlined
Approach To
Learning And
Employee
Development

According to Gallup,
87% of Millennials cite
access to professional
development and career
growth opportunities as
the most important factor
in a job.

Look for companies to respond to this need by providing more employee training and
development opportunities, but not the traditional kind. Organizations are moving
toward micro-learning, which are short, informal, self-directed and mobile-optimized
content on single topics. These can be brief videos, webinars, podcasts, or even
games that provide learning materials in an easy-to-absorb format.

Employee training software also puts staff in control of their development so that they
can add to their skillset with on-demand content. It makes learning more continuous
and engaging.

There will also be a social aspect to this type of training, with the growth of platforms
such as Slack, which allow employees to quickly share ideas. Learning and development
content will continue to spread organically through these employee networks.

www.15Five.com | content@15five.com 7
10 Unexpected Employee Performance Management Trends To Watch For In 2019

07.
Rethinking Job
Roles Will Increase
Employee Growth
And Development
When you allow employees to do what they do best, it
makes your team more innovative and productive. Research
shows that 60% of employees want the ability to what they
do best, regardless of their role. They are driven by purpose
and managers who actively promote their development.

What does this mean?

The end of traditional job roles.

Companies will move to what’s called “job crafting,” which are

job roles built around an employee’s strengths and interests. Tom
Haak, founder and director of The HR Trend Institute, describes
how it works in his article, The End of Static Jobs:

“When there is an assignment, there is a process to look at the capabilities (qualitative

and quantitative) required for this specific assignment. The wishes, needs and
capabilities of people connected to the organization are known, or captured as part
of the process… Teams are not built of people with specific fixed jobs, but of people
who have specific skills that are needed to deliver the assignment.”

Of course, this shift will rely on organizations using two of

the employee performance management trends mentioned
earlier—(#4) people analytics and (#5) individualized support—to
understand the specific capabilities and desires of employees.

www.15Five.com | content@15five.com 8
10 Unexpected Employee Performance Management Trends To Watch For In 2019

08. Performance management discussions typically focus on goals, progress,

Employee and results. Both employee and manager are often reluctant to discuss
physical, mental, or emotional issues. Even if these matters don’t yet impact

Well-Being performance, managers need to be more supportive of the people who

work for them.

Gets a Seat Nearly 1 in 5 U.S. adults

has a mental health
at the Table issue in a given year.
At a time when employers need employees to bring their peak performance
to work, unaddressed illnesses can lead to absenteeism and conflict,
resulting in a downward cycle of performance—which can frequently
exacerbate a mental health condition like anxiety or depression.

Employers in 2019 will take note of how jobs can affect employees’
mental health. As Stuart Hearn, CEO of ClearVision wrote in his article, 3
Performance Trends to Shake Up 2019, discussions about mental health
and wellbeing will be common during performance checkups:

“
As we move into 2019, such
discussions are likely to play a
bigger part in employee check-
ins. Addressing these issues are
fundamental when it comes to
helping employees perform at their
best, while retaining top performers.
I predict this is one of the biggest
performance management trends
to watch out for as we approach the
start of a new decade.”

www.15Five.com | content@15five.com 9
10 Unexpected Employee Performance Management Trends To Watch For In 2019

09.
Diversity and Inclusion
Training Will be
Embedded in Performance
Management

Companies are increasingly realizing the importance of having a

diverse workforce. Research outlined by MIT, Gallup, McKinsey,
Catalyst and Scientific American, among others, definitively
conclude that diverse and inclusive organizations are more
productive and profitable.

Companies are on board, with

87% of organizations surveyed
by PWC say that diversity is a
priority for their organiztions.

But the hiring of diverse talent alone will not help a company A diverse and inclusive environment doesn’t end with the
create business success. Employees must also feel included. onboarding. It encompasses the entire employee lifecycle.
What does inclusion mean? As described in this article the According to Wanda Hope, Chief Diversity Officer at Johnson
science of inclusion consists of four parts, determined by how & Johnson, inclusion must permeate the culture. They give
employees feel: out training manuals embedded with D&I for management
touchpoints like goal setting, coaching conversations, or a mid-
1. Treated with fairness and respect year review. This helps to remove hidden biases that may impact
2. Feel valued, belong, and can be authentic the way leaders think.
3. Express themselves without retribution in a safe and
open environment As companies seek to create inclusive cultures, expect to
4. Grow and do their best work see more integration of diversity and inclusion practices in all
aspects of manager/employee touchpoints.

www.15Five.com | content@15five.com 10
10 Unexpected Employee Performance Management Trends To Watch For In 2019

10.
Increased emphasis
on brain science as
part of performance
development
Behavioral economics or brain (or neuro) science, looks at the way To be effective, this type of interaction has to take place in an
people truly behave, versus the rational way we imagine they do. environment where the employee and supervisor already have
Take giving and receiving feedback, for example. Even with the best an ongoing exchange, such as check-in meetings, one on one
performance management tool, those conversations can be difficult. conversations, or periodic reviews.
A lot of that difficulty is due to the way our brains work.
Neuroscience has been used for years in marketing. It’s used to
According to the NeuroLeadership Institute, getting unsolicited help employees make better benefits decisions, where having
feedback creates a social threat, much like the fight or flight an opt-out selection as a default makes it more likely that
response. But feedback is necessary and useful, so the key is finding employees will enroll in plans that are ultimately more beneficial
a way around the brain’s knee-jerk response, to make feedback less to them. In the future, neuroscience will gain ground in other
threatening. areas of business like managing employees, using principles like
the growth mindset to reorient their teams around performance
One way, the institute suggests, is focusing on encouraging development.
an environment where people ask for feedback more. This
“empowerment” of the asker makes it easier for feedback to be
solicited.

Performance Forward

As we venture into 2019, the key distinction for performance management strategy is a focus on the whole employee. This ranges from
physical, emotional, and mental well-being to facilitating their personal and professional development.

Continuous performance management will be the focus as more companies embrace a more agile and data-driven approach to helping
their people succeed. People analytics tools and other HR technology that supports performance management will help managers be
more involved in every aspect of the employee lifecycle.

As more organizations integrate employee performance management trends and adopt best HR practices of ongoing conversations,
employee recognition, and reforming their annual performance review process, managers will build authentic work relationships and
nurture employee development and growth. Ultimately, organizations won’t just produce positive business outcomes; by helping their
employees realize
www.15Five.com their best selves, they will create a more positive impact for customers, managers, investors, and for the world at large.
| content@15five.com 11
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