Betterworks, the pioneer in contemporary performance management software, today released The State of Performance Enablement: Redefining performance management to nurture top talent and decrease turnover, its first annual study report for HR professionals.
Almost half of the employees polled in the research (46%) indicate they want to hunt for new employment in the coming year. These personnel are more likely to be fleeing organisations to avoid their prior jobs (72%), rather than seeking interesting new chances (28 percent ). Job progress and objectives are high on the list of reasons employees departed, but almost one-third of those who stayed said they may still be enticed away by greater career development possibilities.
“Voluntary turnover is not inevitable,” Betterworks CEO Doug Dennerline stated “We tend to think that the Great Resignation is hitting everyone equally, but what we see in this data is that employers need to consider real change to retain their talent. Employees are telling us they like their companies, but if they aren’t enabled to perform and don’t get the career development they need, they are leaving anyway. Companies who are focused on what employees want — development, feedback, and career growth opportunities — will see lower levels of churn.”
According to the poll, ineffective performance and feedback procedures have a substantial influence on employee experience and satisfaction. Respondents expressed a strong need for more flexible goal setting, 1:1 feedback, and more regular career development and advancement discussions. Almost half of poll respondents (48%) say they feel “stuck” by out-of-date goals at the end of the quarter or year. People who feel stuck in objectives also dislike their jobs, are less likely to believe they are working on the appropriate things, and are more likely to be seeking for a new employment.
Employees who check in with their supervisors on objectives and development more regularly were less likely to report they are seeking for job and more likely to be exploring internally for career prospects. However, more than half of respondents report having these discussions no more than twice a year.
Dedicated technology is also a major potential for businesses looking to provide a great employee experience and retain talent. Almost 60% of employees feel they lack a useful tool for documenting professional objectives and determining the skills required to achieve them. According to the report, having failing tools for performance enablement might be worse than not having any tools at all.
“The survey found that a lack of good performance enablement processes and technologies strongly correlates with employee turnover intent,” Betterworks CMO John Schneider stated. “Companies that are not investing in or giving employees what they need to do their best work will continue to struggle with churn. Employees who have ongoing check-ins with their managers, which include discussion of their career development goals and plans, are much more likely to be satisfied, engaged, and planning to stay with their employers.”
Main findings from the employee performance report
All-in-one systems are no longer sufficient, and only 20% of managers that utilise feedback and goal setting in the same software that they use for payroll and benefits believe that such a wide solution can always suit their team’s needs. Similarly, only 16% feel their HCM can always assist employee feedback and goal management. Not only that, but existing calibrating procedures are inadequate: Less than half of managers think they have a method for calibrating, auditing, and balancing assessments and rankings that is fair, transparent, and effective. Finally, succession planning is inadequate as only one-third of managers feel their teams’ succession planning is successful.
Betterworks® performed the Betterworks Performance Enablement survey from February 16 to 23, 2022. This is the survey’s first yearly deployment. The survey’s final sample consisted of 2506 randomly selected fully employed people (aged 18 or older), balanced for gender and age, who work in organisations with 500 or more workers. Independent market research firm SurveyMonkey offered respondents at random, with 1520 from the United States and 986 from the United Kingdom. At a 95% level of confidence, the survey had a margin of error of +/- 3 percentage points.
Betterworks, founded in 2013, creates best-in-class performance management systems that allow extraordinary results while putting employee experience at the centre of how businesses align, motivate, retain, and grow their employees. Betterworks’ lightweight and enterprise-ready SaaS solutions for check-ins, feedback, employee engagement, and recognition, unlike monolithic traditional HR systems, are designed to scale for enterprises of all sizes. Employees of our clients have been shown to be more engaged and fulfilled in their jobs, which is why industry giants such as Intuit, Freddie Mac, Asurion, Udemy, Vertiv, HCSC, and the University of Phoenix depend on Betterworks to monitor and enable performance. Kleiner Perkins, Emergence Capital, and John Doerr have all invested in Betterworks.
Mikey is a geek with a passion for all things tech. He enjoys keeping up-to-date with the latest advancements in a variety of industries and is particularly geared towards technology that changes the world.