Three Strategies for Creatively Recognizing Employees

Valentine’s Day is for lovers. Usually we stay away from the topic of ‘love’ at work but we’re talking about positive recognition here, not the stuff that gets you in a sexual harassment lawsuit!

Smart leaders and managers know that it’s a good time to show your employees some love as well. In other words, let them know how much you appreciate their hard work toward achieving your organization’s goals. (You did set the goals in January, right?)

Recognition doesn’t have to be big, time-consuming, or expensive. In fact, the most meaningful recognition often comes simply from saying “thank you” for a job well done. But there are times when the situation calls for more than just a simple verbal acknowledgment. There are a lot of things that get in the way, but you do need to do it.

Here are three strategies for letting your employees know how much you care.

1. Start small.

Start by saying “thank you” on a regular basis. Over time, change what you say and how you say it so that it doesn’t become routine. Be specific. Instead of, “Nice job,” say, “Nice job on the quarterly audit. I know you worked incredibly hard to get it in on time.”

Recognize individual accomplishments with a short e-mail note or comment in a team meeting. Send the employee a handwritten note of appreciation, and send a copy to your boss. How many of us have those handwritten notes saved away because they are so rare and really do mean something? Leave a sticky note with a snack thanking the person for his or her efforts. Leave a message on their desk that the employee will receive first thing in the morning.

Give small gifts such as cards, desk toys, picture frames, gift cards, or chocolate. To make sure your gift will truly be appreciated, check out the employee’s work area to see what types of things they display. Or find out where they go for coffee in the morning or lunch at noon. A gift card to a favorite coffee shop or restaurant shows that you are observant and thoughtful.

2. Get Personal.

For performance that requires more than your basic pat on the back, orchestrate a thank-you letter or e-mail from senior leadership. Have the company leader call the employee with personal thanks. Make sure the employee is recognized publicly perhaps in a company e-newsletter, on the intranet, or at an all hands meeting. Send flowers or a gift basket on behalf of the company to the employee’s home.

Offer the employee an assignment or project that will stretch their current skill set. Give them an increase or change in responsibility and authority. Offer them an opportunity to shadow someone in a job they want to have next. Increase flexibility of work hours and/or occasional comp time (hint: employees really like this one).

Give employees a relevant book inscribed with a message from leadership recognizing their accomplishment. Allow them to observe a team or project that would represent a big promotion (and thus a learning opportunity to observe). Arrange for your manager or a senior leader to take your group out to lunch or dinner to celebrate a team accomplishment.

3. Use Peer Recognition

It is just as important for employees and teams to recognize each other as it is for leaders and managers to acknowledge good work. One good way to recognize a team, department, or organization is to establish a “Caring Credits” program.

At the beginning of the month, give everyone three cards. Employees write notes acknowledging their colleagues for going above and beyond their job requirements, and submit the cards to a designated individual (someone in HR, the team leader, etc.). At the end of the month, the person with the most cards written about them earns some sort of recognition. Distribute all the cards collected to employees acknowledged so people can see the praise they received from co-workers. That way, everyone gets recognized, not just the winner.

Another good strategy involves setting aside some wall space for public recognition. Pick a Friday afternoon to engage employees in creating their own (and your own) “What’s Great?” wall boards.

Employees use the boards to write a brief note about something great that occurred during the week. Notes can include professional or personal achievements or events. Encourage people to contribute to each other’s boards as well as their own, and watch how easily they begin to add to the boards without weekly prompting. The different handwritings and colored markers will brighten up the workspace. And others will stop by just to see what’s new on the boards.

So take a few moments this Valentine’s Day to show your employees some love – the legally appropriate kind! Then look for simple and effective ways to do it throughout the year. A little bit of recognition goes a long way toward maintaining a happy, motivated workforce. Remember, recognition doesn’t have to be big, time-consuming, or expensive. It’s not brain surgery…sometimes it’s harder!

In my last blog, I talked about the importance of communicating your strategic planning framework to employees at all levels of the organization. And not just once, but over and over again so that people never lose sight of the goals. I also noted that most employees prefer to hear this information directly from their boss or manager.

But face-to-face communication is not the only method for keeping people informed about where you are going and what you need to do to get there. Smart leaders use a variety of communication tools and methods to keep their most important messages top of mind with employees throughout the year.

Start by setting up a system to remind managers to discuss the goals and strategic planning framework elements with employees on a regular basis. Provide tools and templates managers and team leaders can use in monthly team meetings and in one-on-one conversations. This will take care of the face-to-face communication that employees want and need.

To complement this personal communication, develop some creative ways to keep information in front of everyone. For example:

• Include elements of the strategic planning framework in newsletters, e-mail messages, on your intranet, and within presentations used at team and company meetings.
• Look for things employees use on a daily basis and find ways to turn them into ongoing communication vehicles. Put your mission and values on notepads, paper cubes, and/or mouse pads.
• Develop table tent cards for the cafeteria tables, posters for public areas in the offices, and screen savers that list the company’s three most important strategic objectives.
• Use paycheck stuffers to remind employees of the goals and update them on progress made towards those goals.
• Post a blog on the company intranet that explains your view of the goals and why they are important. Also, use the intranet to highlight examples of people who have achieved significant progress toward the goals and/or performed in a way that “lives” the company’s values.
• Use Twitter to send daily or weekly “tweets” — short, concise reminders of what employees need to focus on or what winning looks like for your organization.

In addition to communicating with current employees on a consistent basis, make sure all new hires receive information about the strategic framework as part of their introduction to the company. For those components of your strategic framework that may change more frequently (such as operating metrics and significant initiatives), update all employees every time there is a change. In addition to what is changing, tell people why.

There is almost no limit to the simple things you can do to communicate the most important messages in the company. Change it up every month so that people don’t tune out your messages because they look like the “same old stuff” they always see. But just keep doing it!

I have yet to see an organization that over-communicates its goals. Instead we start running, and in our busy-ness forget that others aren’t privy to all we are exposed to. When a change becomes evident and employees have not been informed, they are much more likely to fill the void with negative information, which is typically far worse than the truth.

Pausing to communicate frequently will save hours attempting to correct the myths, half-truths, and inaccurate information that spring up when you don’t communicate enough. More important, it will increase understanding of and commitment to the goals you and your management team worked so hard to create.

What are some ways you keep employees informed?

When Shakespeare said that all the world’s a stage, he probably didn’t have employee performance evaluations in mind. But for anyone who has ever endured a less-than-candid performance appraisal, his words definitely ring true.

Giving and receiving feedback is a complex process made infinitely more complicated by our human emotions and reactions. In particular, our fears, uncertainties and doubts about the feedback process can make us very uncomfortable. So when we give or receive feedback, we often appear as though we are on stage, performing a role.

Performance evaluations often feature two primary roles: lead actors (the person providing the feedback) and supporting actors (the individual receiving the feedback). Do you recognize any of the following performers in your company?

“…and the Oscar goes to…”

Leading Actors (providing feedback):

• The Magician disguises her feedback so that the employee can only guess about the real message. “You did great & here’s one thing to work on, but you did great…” In order to minimize conflict and keep the employee guessing, she only slips in negative comments when the employee isn’t looking. The magician typically appears when a manager is afraid of hurting the employee’s feelings or worried about not being liked. The receiver walks away wondering what the show was all about.
• The Corporate Enforcer’s main goal is to protect his “good guy” status. His impersonal “I’m just doing my job and delivering the message; it’s not like I wanted to or that I even believe it is necessary” approach gets him off the hook for having any negative thoughts of his own or opinions about the employee.
• The Hero plays the part of protector while delivering the feedback as if he is there only to help. “Don’t worry, I’ll do it.” He may pretend not to agree with the feedback while backpedaling out of the discussion, and will frequently step in and offer to resolve any issues for the employee.
• The Interrogator asks a series of tough questions, trying to get the employees to figure out what they might not have done well. “Do you think it went well…what do you think others thought? Do you think that was the best approach?” She remains in control by never providing the answer and by not offering any specifics on the behavior(s) in question.
• The Game Show Host prefers a guessing game in which the employee doesn’t really know what the manager is thinking but is expected to play the game anyway. “Guess what I think is your strength? What do you think I want you to focus on?” As with the magician, the employee leaves the meeting wondering what it was all about.

Supporting Actors (receiving feedback):

• The Victim is so hard on himself that any feedback is taken way out of context. “It’s always my fault. I knew I would fail at this.” He often perceives the feedback as a personal condemnation and overreacts.
• The Sheepherder believes there is safety in numbers. “Everyone does it that way.” She finds or at least identifies other employees who engage in the same behavior. This is a perfect way to avoid responsibility & accountability for personal performance & it can be intimidating to a feedback giver since it feels like the whole organization is suddenly against you.
• The Con Man (or woman) creates tangents and diversions by bringing up other projects, issues or behaviors. “Did you hear about what is going on in X department?” The goal is to get the manager off track and avoid the real issues at hand.
• Ex-Spouses blame the other person for anything less than perfection. “It’s your fault. No it’s your fault!” In this scene, the lead and supporting actors both become defensive and stop listening altogether.

Do any of these casts of characters remind you of anyone? All of these lead and supporting roles require sophisticated acting skills. Yet, most people are not consciously aware of when they are performing. So when any of these actors appear on stage, it’s time to yell “Cut!” and re-shoot the scene.

Start by recognizing that the role being played is nothing more than a way of avoiding fears. If you’re the one doing the acting, take a look at the behavior getting in the way of your valuable feedback and try to develop a better understanding of why you do it. If the employee is the one on stage, show some empathy for their fears and then gently redirect the conversation back to the issue at hand.

In Hollywood, a best actor award will definitely advance your career. When it comes to being a great leader or manager and assessing your employees, not so much. Keep the acting to a minimum on both sides and you and your employees will enjoy more honest and productive performance evaluations.

January is a time when many organizations present new and/or updated goals to guide behavior during the year ahead. Often, these goals have been weeks or even months in the making. Yet many leaders feel that all they need to do now is communicate the goals once and then everyone can go back to business as usual.

Not so!

The leader’s job is to consistently support informing, inspiring, and engaging employees in what needs to be done and how. And that means communicating the goals, strategies, and key destination points not just once but on a regular basis throughout the year. At this time of year, I typically recommend that clients pay special attention to the “inform” phase of the informing, inspiring, and engaging process.

Before jumping to the conclusion that communication is one of those “soft” skills that makes employees feel good but doesn’t really impact the bottom line, consider this:
study after study confirms that productivity and employee commitment are highest in the work areas where people are kept fully and regularly informed. In other words, the more you effectively communicate to employees, the better your return on investment.

Research also shows that organizations that communicate effectively outpace those that don’t. A global Watson Wyatt study of more than 267 companies representing all major industry sectors found that a significant improvement in communication effectiveness was associated with a 29.5 percent increase in market value. Plus, companies that communicated more effectively enjoyed employee turnover rates below the averages in their industries. (Not necessarily a problem in this economy, but as things continue to improve, keeping your best employees will go back to being a challenge for many).

Here’s another reason to communicate often: we simply don’t retain information very well, especially with only one exposure to the information.

Tests have shown that immediately after listening to a 10-minute oral presentation, the average listener has heard, understood, properly evaluated and retained only about half of what was said. Within the next 48 hours, this drops off another 50%, to a final 25% level of effectiveness. So after only one presentation, the likelihood of anyone having clarity on organizational strategies and goals is minute at best. Only through constant communication, delivered in a variety of formats, can we hope to create alignment, understanding, and commitment.

What’s the best method for initially communicating goals? According to employees, it’s face-to-face. Most organizations use a variety of electronic and written methods –such as emails, newsletters, bulletin boards and intranets — to communicate with employees. However, surveys show that, even today, employees place significantly greater value on face-to face communication, especially when it comes from the person they work for.

In most cases, the preferred source of information for employees is direct contact with the manager or supervisor. Yet, many employees feel that their managers don’t communicate effectively with them. If not corrected, this dissatisfaction frequently snowballs into lack of trust, mediocre effort, increased turnover, and disengagement from the goals and objectives of the company. So as part of the “inform” phase, make sure your managers and supervisors have the skills to communicate effectively, both in one-to-one and group situations.

Also, keep in mind that communication needs to be two-way. During team and company meetings, set the tone for openness, mutual understanding and respect. Don’t try to force closure during the initial discussion. Instead, make sure that team members have future opportunities to discuss and process the goals. You have probably had several months to consider and digest everything in the strategic framework, but this is the first time many employees will have heard them. Creating a process for people to ask questions a few days after the initial presentation will go a long way toward enhancing their understanding of the goals.

The “inform” phase involves making sure every employee knows the basics of your organization and/or team goals. It does not mean doing a once-a-year communication and then going silent on updates because you’re too busy. Things change frequently in business today. And when changes occur that affect goals, measures, and how things will get done, good leaders take the time to communicate again and again.

A good rule of thumb — when you think you’re communicating too much, you’re only halfway there!

Wow, what a year!

2009 has come and gone, and many of us are taking a huge sigh of relief. Going through one of the worst recessions in U.S. history will certainly take the wind out of your sails. But we appear to have weathered the worst of the storm. And while the economy might not rebound with the speed and vigor we would like, it at least appears to be heading in the right direction again.

So what did we learn from the trials and tribulations of the past year? And how can we apply those lessons going forward? Here are 10 things I believe that leaders need to do differently to position their businesses for success in 2010.

1. Get used to the likelihood there will be no normal anymore. The old business world that most of us knew and loved went away with the recession, and it’s not coming back. To adapt to today’s business realities, question all your beliefs and assumptions, get comfortable with uncertainty, and adjust your expectations. For most, the new ‘normal’ will be slow and sustained growth rather than a hockey-stick curve and it will continue to surprise us.
2. Break the rules. If you’re not breaking rules on a regular basis, your customers and markets have probably already left you behind. The new rule for today’s chaotic markets is to constantly challenge the status quo. Don’t automatically assume that what made you successful in the past will continue to make you successful in the future.
3. Recognize and minimize your “MSUs.” We all constantly MSU (make stuff up) about our company, industry, and markets. During the strategic planning process, put everyone’s beliefs and assumptions out on the table and ask, “What do we think we know to be absolutely true about our customers, competitors and markets? Is it still true? If not, what has changed and how do we need to respond to that change?” Get data and question your long standing beliefs constantly.
4. Embrace social media. Embracing social media can be a real competitive advantage. In addition to instantly connecting you with customers, social media enables you to “mindshare” with industry peers, demonstrate thought leadership, recruit talent and more. Study the social media habits of your customers, and use the appropriate tools to make them part of your community.
5. Expect more transparency. With the advent of social media, you can no longer control public perception by limiting information about your company and products. When you withhold information, today’s bloggers, twitterers and forum posters will make it up for you. The next generation of market leaders will excel at using social media to create transparency and build trust with their key stakeholders.
6. Communicate to fill the void. Today’s employees are beset with doubts, uncertainties and fears about their jobs. If you don’t tell them what is going on, they will fill the void with rumors and misinformation, usually negative. Constantly let employees know where the organization is going and what your plan for winning is. In today’s world, you can’t over-communicate.
7. Encourage strategic thinking. Strategic planning involves a formal process whereby senior management peers into the future and charts a course of action for the organization. Strategic thinking occurs when the entire organization begins to act in concert with the strategic plan. Teach your people to anticipate opportunities and threats while managing the day-to-day tasks that fall within their scope of responsibilities.
8. Make innovation a way of life. Innovation needs to become an integral part of the way you do business, not just a one-time event. Constantly challenge the way you do things, even when they have always worked well. Strive to create new products, services and ideas that have real value for stakeholders. Look for different and novel ways to deal with ongoing challenges. Constantly seek to implement new and better ways of achieving results.
9. Slow down to go fast. In times of uncertainty, prepare to pause, focus, and plan. Learn to anticipate the unanticipated by making scenario planning part of your daily routine rather than an afterthought when plans don’t pan out. Take the time to consider multiple perspectives and engage others who have diverse views. This may feel like slowing down, but will actually help you get where you want to go much faster.
10. Get back to basics. When everything around you diverts you into complexity, get back to basics. Make strategic planning a way of life in your organization. Use a strategic planning framework to drive what you do and where you focus your energies. Constantly check for internal and external forces that may impact where you’re going, what you need to do and how you need to do it. Organize your day around achieving your destination, and focus on informing, inspiring and engaging others in getting there.

Those are my top 10 tips for success in 2010. I’d love to hear what you plan to do differently going forward.

Here’s wishing you clarity, focus, and great success in the New Year!

It’s that time of the year we all dread.

No, not fighting the crowds at shopping malls or maxing out the credit cards with over-indulgent holiday spending. I’m talking about the bane of managers and employees everywhere — year-end performance evaluations.

Let’s face it. Most managers dislike giving performance evaluations and most employees hate receiving them. And giving feedback can be even more difficult when it involves negative information. But performance evaluations let employees know how their performance measures up to job expectations. They offer an opportunity to revisit old goals and set new ones. And most important, they ensure that employees have the information they need to continue to be productive contributors to the organization.

Ideally, performance feedback should be given regularly throughout the year. This helps to keep employees on track with achieving their goals and identify small problems before they become big ones. But too often, these important conversations get lost in the day-to-day struggle to get the product out the door on time. When that happens, the only recourse is one big end-of-year performance evaluation that both sides dread.

To conduct better performance evaluations while reducing the anxiety that often accompanies them, try the following:

The Right Environment.

• Establish a time, date and location for the discussion and carve it in stone or just make darn sure it is in your PDA. Show up on time and ask the employee to do the same.
• Select a setting that enhances discussion and fosters open communication. Make sure the location is private, especially for difficult discussions.
• Minimize physical barriers, such as your desk. If holding the conversation in an office, move to the same side of the desk or to adjacent corners at a table.
• Take the meeting seriously. Don’t allow interruptions and don’t try to work on something else at the same time.

Focus.

• Come prepared. Have your major points of feedback already in mind and documented.
• Keep the discussion centered on the data rather than on emotions or opinions.
• Don’t let employees divert the discussion into irrelevant tangents. Gently bring the discussion back on track as soon as they occur.
• Focus on the desired outcome from the feedback. Don’t get stuck in past behavior.
• When discussing a performance issue, clearly define the problem and explain why it is a problem. Then concentrate on the solution.

Tone.

• Be present. If you appear distracted or disinterested, it sends a silent (but loud) message to the employee that you don’t consider the discussion to be important.
• Establish a tone that reflects the feedback. For example, a light-hearted feeling may be appropriate for a congratulatory talk, but would be inappropriate for a serious performance problem.
• In difficult situations, display empathy while maintaining directness and objectivity.

Communication.

• Performance evaluation involves a dialog, not a monolog. Allow plenty of time for two-way discussion.
• Allow the employee to present his or her side of the issue, especially when discussing performance problems. Stay open to hearing new information that may change your perspective.
• Actively listen. When the employee finishes speaking, restate what he or she just said and check for understanding.

Outcomes.

• Agree on concrete outcomes. Make sure both sides have a common understanding about any action items coming out of the meeting.
• To address any problems and more fully support superior performance, be clear on what will be done, by when, and by whom.
• Document all action items in writing.

And one golden rule to keep in mind: annual performance conversations are never a time for surprises! If you have a message to deliver that is going to surprise an employee, it means you have not done your job throughout the year and you really need to think about that as a leader or manager.

The more often you have these types of conversations, the less painful they get. If you find yourself dreading year-end evaluations, make a point to have at least one per quarter with every employee. Or better still, one per month. You’ll get more comfortable giving feedback. Your employees will appreciate knowing where they stand. And both of you will have one less thing to stress about.

There’s been a lot of talk in the media lately about the dangers of over-protective parenting. In fact, it’s gotten so bad that psychologists have coined a new phrase — “helicopter parents” — for the moms and dads who get over-involved in their kids’ lives.

These are the parents who yell at the soccer coach when Emma doesn’t get enough playing time during the game. These are the parents who intervene at school when Dylan receives a B instead of an A, even though he turned the assignment in late and poorly done. And these are the parents who constantly hover over their kids and swoop down to rescue them any time it looks like they might stub their toe or suffer some minor distress.

Helicopter parents mean well. But they end up doing real damage to their children by being way overprotective and micro-managing every aspect of their lives. Their kids never learn how to solve problems or deal with the harsher realities of life. So when they go off to college or enter the workforce, they struggle to deal with everyday challenges in the adult world (especially when those parents hover in those worlds as well)!

Unfortunately, the business world has its share of helicopter managers as well.

These are the managers who make most or all of the decisions for their employees.
They tell people what to do, when to do it, and how to do it. They withhold information for fear of upsetting people, and tend to avoid conflict rather than addressing the underlying issue. Worst of all, they solve problems for their employees rather than letting people figure it out for themselves.

Like their parental counterparts, helicopter managers mean well. But the result is the same. By micromanaging every aspect of people’s jobs, they stunt the growth and development of their employees. And in doing so, drastically limit what the organization as a whole can achieve.

Helicopter managers aren’t bad people; they’re just stuck in the past. They’re using management concepts and techniques that no longer jibe with current market realities. In a world where everything you know about your customers and your industry can change in a flash, you can’t afford to get stuck in the present, much less the past.

In the old days managers got results by hovering and micromanaging. Today’s market conditions require a very different approach. For starters, employees will no longer put up with being told what to do, when to do it, and how to do it. If you don’t offer them some input into how they do their jobs, they will go elsewhere.

More important, to succeed in constantly changing markets you must have a flexible, adaptable organization that can change direction on a dime. And you get that by having empowered, enabled employees who can perform at high levels and achieve goals and objectives without someone constantly hovering over them.

As a manager, your job isn’t to make decisions for employees. It’s to teach them how to make decisions that are good for the customer and the organization. Your job isn’t to solve problems for employees. It’s to coach them to creatively solve problems on their own. Your job isn’t to micromanage every aspect of your employees’ jobs. It’s to give them the information and resources they need and then get out of the way and let them do their jobs!

And don’t confuse this approach with withholding answers if your employees ask you for them. There is nothing worse than a manager who thinks he/she is teaching an employee how to think by asking questions versus telling them what you know. If you know the answer or have strongly held opinions about how something needs to get done, give the answer and expose your thinking process to get it. Your employees learn more that way and won’t talk bad about you in the break room or on twitter!

If your company is struggling to respond to changing customer expectations and market realities, land your helicopter, turn in your pilot’s license and start learning a new and more flexible way of leading your organization. Helicoptering works great during police chases and traffic reports. Not so much in parenting. And in today’s markets, it won’t get the results you need for your business either.

Have you ever attended a meeting where people promised important deliverables but never followed through? Conversely, have you ever committed to a deadline knowing full well that you couldn’t meet it but that no one would hold you accountable for it?

According to recent research, 78% of all company leaders identify “getting the right things done” as a significant problem in their companies. It’s not surprising, then, that accountability has become a critical competency missing in many companies.

Some of this is due to the fast-paced nature of today’s business environment. With so many demands on our time and attention, we can barely keep up with the never-ending crises of the day; much less accomplish everything we have committed to doing. But a lack of accountability also stems from the absence of a (formal and informal) performance management system. Without such a system in place, clearly connected to strategic goals and objectives, it can be difficult, if not impossible, to engage people in following through on doing the right things in a timely manner.

A structured performance management process can strongly support ongoing efforts to build accountability into the organizational culture. It helps to keep everyone aligned with the strategic goals, and it focuses people’s attention on what needs to get done, by when. Without it, management can easily get off track and forget to measure and reward what we have told everyone is important.

Specifically, an effective performance management system:

• Communicates how individuals contribute to business success and how they will be evaluated.
• Aligns individual goals with key business priorities, resulting in greater focus, more efficient use of resources, and less time wasted on non-value added activities.
• Provides a comprehensive system for recognizing what gets done and reinforcing how it is achieved.
• Creates a discipline of measuring progress against specific goals and making adjustments as necessary.

In most companies, performance management consists of a once-a-year performance review session that is dreaded by manager and employee alike. To achieve the desired results (i.e., improved accountability), performance management needs to be an ongoing activity, not a one-time event. It requires two-way conversations between manager and employee so that both are working from the same page in terms of what is being managed and how it is being managed.

A good performance management process involves five key steps:

1. Establish Goals. Start by linking what needs to get done to the strategic planning framework. Align the competencies, skills and knowledge of the employee to create specific action items that will guide the employee’s behavior going forward.
2. Plan Development. Discuss short- and long-term development needs, including agreement on how and when development will occur, as well as prioritization of development to support more immediate business needs. Create a plan to accomplish the required and the desired learning and growth.
3. Take Action. Provide ongoing and frequent direction and support while the employee applies energy and focus toward accomplishing the goals.
4. Assess Performance. Evaluate the progress being made toward the goals and provide ongoing feedback to the employee on a formal and informal basis.
5. Provide Reward. Acknowledge and reward employees through organizational programs, local recognition, and other approaches tailored to individual employees. This may also involve consequences and disciplinary action for poor performance.

Who has time to do all this on a regular basis?

Consider the consequences of not doing it: Lack of trust between employees and management; declining productivity and lost business due to missed deadlines and broken commitments; lower employee morale and higher turnover. These are just some of the more obvious consequences of a poorly implemented performance management system.

Perhaps the most overlooked, and costliest, of consequences is the loss of top performers. When superstars see poor performers getting a free ride because no one holds them accountable, they start looking for another place to work. And make no mistake, even in a bad economy, top performers can almost always find a job elsewhere.

Performance management is a joint effort. Leaders, managers and employees all have a role to play in creating performance excellence. Having an effective process in place, coupled with the skills and abilities to conduct it effectively, to manage performance makes it easier for everyone to perform well in their roles and to achieve your organization’s strategic goals.

Don’t spend time doing it over! Pause and focus on getting this basic right from the beginning.