Three performance management trends for the next five years

Performance management is a topic that does not stand still. Employers will often try new things in this area to encourage employees and obtain the best results.

Is your performance management forward thinking?

47% of you should have just answered “no” - the percentage of companies that do not prioritize performance management during HR software projects.

Here are three performance management trends that will help you to attract and retain a motivated workforce in the coming years.

Continuous performance management

Performance management used to be limited to once per year. A manual exercise for HR and managers to obtain and compile feedback.

An employee needed to think back over the year to document progress toward career goals. Now we live in a ‘just in time’ information age and performance management should be no different.


Covering the key issues faced by businesses selecting and implementing HRMS.


Your HRMS should make it easy for managers to enter performance notes as projects occur. When making your HRMS shortlist ask about peer feedback options. It’s newer functionality but it contributes greatly to morale when employees feel valued.

Focus on career growth

Millennials, also known as Generation Y, are the group born in the early 80’s to the mid-90s. As baby boomers are starting to retire, millennials will take their place as the largest percentage of your workforce.

As this group is starting to make an impact and making it into management positions, their requirements cannot be ignored.

According to a Gallup poll, millennials place a high premium on career growth and development. When searching for a job, 59% say that opportunities to learn are important to them while it’s closer to 40% for other groups in the workplace.

If you are looking to recruit and retain millennials, you need an HRMS that helps them to learn and grow in your company. Your HRMS should allow them to chart out a career plan and help them to achieve it. Millennials will also look for training and mentoring possibilities, your HRMS should provide them with both of these options.  

Globalization shifts the focus to “deliverables”

In an HR market that is continuing to become more global, a traditional performance management approach is not enough.

Workers may have a manager in a different location or time zone. A supervisor needs to be aware if an employee is doing the minimum or exceeding expectations. Increased communication and clear goals will help to measure an employee’s success.

An HRMS can help to facilitate this process by allowing managers and employees to have informal discussions and track the results. Your HRMS should help your managers to create robust goals for themselves that can then be automatically filtered down to employees. A good HRMS will allow for scheduling and automatic reminders to encourage communication efforts.

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Heather Batyski

About the author…

Heather is an experienced HRMS analyst, consultant and manager. Having worked for companies such as Deloitte, Franklin Templeton and Oracle, Heather has first-hand experience of many HRMS solutions including Peoplesoft and Workday.

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Heather Batyski

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