“The economy is in ruins! Bottom line? Good management will defeat a bad economy.” – Stan Slap
The International Monetary Fund’s July 2019 World Economic Outlook notes that global economic growth remains torpid. And, global growth is forecast to grow 2.3% in the rest of 2019. The given reasons for this weak economic outlook are primarily to do with the continued and unresolved trading tensions between China and the United States of America.
A weak economic outlook is never good news for business. Succinctly stated, it generally translates into poor financial performance due to subdued sales. However, as the quotation mentioned above by Stan Slap notes, the antidote to a ruinous economic climate is to ensure that reliable and visionary leaders take over the organisational management.
One of the essential organisational tasks that company leaders need to effect is effective employee management. And, in today’s digital age, which is also known as the Fourth Industrial Revolution, it makes sense to assume that all performance management methodologies and practices must include a digital performance management system.
Choosing the best employee management software
Therefore, the question that begs is: How do managers choose the right software to drive employee performance and satisfaction. Because, simply stated, successful, happy employees drive organisational growth and ultimately grow the company’s bottom line.
By way of answering this question, here are several tips to help you choose the performance management software to best suit your company’s requirements.
Level of customizability
Generally speaking, there are two types of software:
- Extremely rigid software: In this case, the business is expected to change its way of doing business and its business processes to suit the software.
- Customizable software: Here, the software is designed to complement and enhance the existing organisational structure and business processes.
Both of these software types have merit. However, in the modern business world that has to continually adapt to the speed at which technology (both hardware and software) progresses and changes, the level of customizability that a software application displays is preferable to the inflexible system.
Thus, based on this argument, it is advisable to choose software that is highly customizable.
Project-based and real-time evaluation processes
The traditional employee performance review lifecycle is either annual or biannual. This process is deficient in its method and application.
Real-time or project-based evaluation methodologies are far superior to the historical practice of evaluating employee performance. This method allows employees to record their performance on a daily, weekly, or monthly basis.
Additionally, project-based evaluation systems enable project managers to monitor the project’s progress measured against the project plan timelines. And, intervene before a positive, forward-looking project turns into an adverse, delayed scenario.
Finally, the continuous employee management system allows employers to reward high-achieving employee regularly; thereby, ensuring confident, happy staff.
Data-driven employee review systems
Business Intelligence (BI) and predictive analytics models are useful to forecast and management tools that can be successfully used to drive business growth and success. Importantly, predictive analytics uses historical data, Artificial Intelligence (AI) and machine learning to provide statistics that are used to predict or forecast future trends.
BI and predictive analytics are usually used to forecast sales and purchasing trends. However, they are successful in predicting and preventing negative staffing trends. Thus, purchasing employee management software that encompasses data-driven modeling tools makes sound business sense.
The primary advantage of implementing a cloud-based employee management solution is that employees can log in to the system anytime and anywhere. They are not restricted to completing their reviews at the office and during office hours.
This fact also allows companies to take advantage of the remote working phenomenon that is sweeping across the global business world. Workers can live and work for an organisation from anywhere in the world.
Ability to integrate seamlessly with other applications
When developing a software application, it is never a good idea to “reinvent the wheel.” For example, Microsoft Office 365 is a solid well-functioning office package that includes a spreadsheet application, email, and word processor. It does not make business sense to duplicate MS Office’s technology.
However, common data is always needed across multiple applications. Therefore, it is vital to choose an employee review system that offers seamless integration with software applications like Microsoft Office, Google Apps, and Basecamp (a project management app).
In summary, it is entirely possible to grow a business in weak economic conditions. Furthermore, happy and well-rewarded employees will drive business success irrespective of the external business climate. And, a modern, flexible, data-driven employee performance management system will assist management in ensuring a positive healthy work environment. Finally, a successful business organisation must be spearheaded by visionary leaders.