A new research report about performance management offers some provocative findings: Specifically, “the business value of traditional performance management models is collapsing. While these legacy systems still inform decision-making around compensation, promotions, terminations, and other compliance-mandated functions, they’ve become irrelevant to actually improving performance or its management. They do not measurably add value.”
New approaches to performance management are clearly needed.
This global executive research study about the future of performance management is based on more than 30 interviews with leading industry experts. The research and analysis were conducted under the direction of the authors, including IDE fellow, MIchael Schrage, as part of an MIT Sloan Management Review research initiative in collaboration with and sponsored by McKinsey & Company.
The full report can be found here.